IDEXX Laboratories (IDXX) Q4 2025 Financial Results Summary
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IDEXX Laboratories (IDXX) Q4 2025 Financial Results Summary
February 2, 2026 — IDEXX Laboratories, Inc. (NASDAQ: IDXX), a global leader in pet healthcare innovation, today announced its financial results for the fourth quarter and the full year of 2025.
Financial Highlights
- Revenue:
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Q4 2025 revenue was $1,091 million, a 14% increase compared to Q4 2024.
- Organic growth was 12%.
- Revenue from the Companion Animal Group (CAG) grew 15% as reported and 13% organically.
- Water revenue grew 12% as reported and 10% organically.
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Earnings Per Share (EPS):
- Q4 EPS was $3.08, marking an 18% increase as reported and 17% on a comparable basis.
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EPS improvement was aided by:
- Operating margin expansion of 150 basis points as reported and 120 basis points on a comparable basis.
- Q4 results included a $0.09 per share positive impact from currency changes and $0.07 from tax benefits related to share-based compensation.
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Full Year Revenue:
- The full year revenue for 2025 was $4,304 million, increasing by 10% both as reported and organically.
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CAG Diagnostics recurring revenue grew 9% as reported and 8% organically.
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Full Year EPS:
- EPS for the full year was $13.08, representing a 23% increase as reported and 14% on a comparable basis.
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EPS results benefited from a ~7% growth due to comparison with the prior year’s discrete litigation expense accrual.
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Gross and Operating Profits:
- Gross profit for Q4 was $658 million, an increase of 15% as reported, leading to a gross margin of 60.3% (up 50 basis points).
- Operating profit for Q4 was $315.6 million with a reported operating margin of 28.9% (up 150 basis points).
U.S. and International Performance
- Companion Animal Group:
- CAG Diagnostics recurring revenue grew 12% as reported and 10% organically.
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International CAG revenue grew 17% reported and 12% organic, while U.S. growth was 9% reported and organic.
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Water Revenue:
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Water revenues grew 12% reported and 10% organic for the quarter.
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Livestock, Poultry and Dairy (LPD):
- LPD revenues increased 8% reported and 4% organic for the quarter.
Outlook for 2026
- Revenue Guidance:
- IDEXX projects revenue in 2026 to be between $4,632 million and $4,720 million, reflecting a growth of 7.6% – 9.6% reported and 7.0% – 9.0% organically.
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Expected CAG Diagnostics recurring revenue growth is 8.6% – 10.6% as reported and 8.0% – 10.0% organically.
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EPS Guidance:
- EPS is projected at $14.29 – $14.80, an increase of 9% – 13% as reported and 10% – 14% on a comparable basis.
Returns on Investments and Other Financial Metrics
- Free Cash Flow: The company generated free cash flow of approximately $1,057 million for the year.
- Debt to Adjusted EBITDA: IDEXX maintains a strong capital structure with continued investments in innovative technologies and product development.
- Share Repurchases: During 2025, IDEXX repurchased shares costing approximately $1,216 million, reflecting ongoing commitment to returning value to shareholders.
Dividends and Share Repurchase
- IDEXX did not declare a quarterly dividend for this period.
- The company repurchased 2,427 thousand shares worth $1,227.6 million during the year, and 356 thousand shares in Q4 alone.
Summary of Key Percentages
- Revenue Growth:
- Q4 Revenue: 14%
- Full Year Revenue: 10%
- EPS Growth:
- Q4 EPS: 18%
- Full Year EPS: 23%
- Operating Margin Expansion:
- Q4: 150 basis points
- Full Year: 270 basis points
IDEXX Laboratories continues to show strong performance and strategic growth trajectory as it carries its successes into 2026, backed by innovation and expansive market reach.
| Three Months Ended | Twelve Months Ended | |||
|---|---|---|---|---|
| December 31, 2025 | December 31, 2024 | December 31, 2025 | December 31, 2024 | |
| Revenue: | $1,090,579 | $954,288 | $4,303,702 | $3,897,504 |
| Expenses and Income: | ||||
| Cost of revenue | 432,465 | 383,628 | 1,644,123 | 1,518,577 |
| Gross profit | 658,114 | 570,660 | 2,659,579 | 2,378,927 |
| Sales and marketing | 167,060 | 150,108 | 643,547 | 588,507 |
| General and administrative | 108,616 | 101,137 | 404,794 | 442,291 |
| Research and development | 66,833 | 57,729 | 251,207 | 219,792 |
| Total operating expenses | 342,509 | 308,974 | 1,299,548 | 1,250,590 |
| Income from operations | 315,605 | 261,686 | 1,360,031 | 1,128,337 |
| Interest expense, net | (8,623) | (5,299) | (35,842) | (18,506) |
| Income before provision for income | 306,982 | 256,387 | 1,324,189 | 1,109,831 |
| Provision for income taxes | 58,794 | 40,238 | 264,725 | 221,964 |
| Net Income: | ||||
| Net income attributable to stockholders | $248,188 | $216,149 | $1,059,464 | $887,867 |
| Earnings per share: Basic | $3.11 | $2.64 | $13.17 | $10.77 |
| Earnings per share: Diluted | $3.08 | $2.62 | $13.08 | $10.67 |
| Shares outstanding: Basic | 79,898 | 81,846 | 80,427 | 82,467 |
| Shares outstanding: Diluted | 80,480 | 82,538 | 81,025 | 83,246 |
| December 31, 2025 | December 31, 2024 | |
|---|---|---|
| Assets: | ||
| Current Assets: | ||
| Cash and cash equivalents | $180,070 | $288,266 |
| Accounts receivable, net | 552,378 | 473,575 |
| Inventories | 377,756 | 381,877 |
| Other current assets | 303,623 | 256,179 |
| Total current assets | 1,413,827 | 1,399,897 |
| Property and equipment, net | 747,380 | 713,123 |
| Other long-term assets, net | 1,189,552 | 1,180,423 |
| Total assets | $3,350,759 | $3,293,443 |
| Liabilities and Stockholders’ | ||
| Equity: | ||
| Current Liabilities: | ||
| Accounts payable | $110,408 | $114,211 |
| Accrued liabilities | 530,147 | 502,119 |
| Credit facility | 398,000 | 250,000 |
| Current portion of long-term debt | 74,995 | 167,787 |
| Deferred revenue | 35,264 | 33,799 |
| Total current liabilities | 1,148,814 | 1,067,916 |
| Long-term debt, net of current portion | 374,842 | 449,786 |
| Other long-term liabilities, net | 221,720 | 180,428 |
| Total long-term liabilities | 596,562 | 630,214 |
| Total stockholders’ equity | 1,605,383 | 1,595,313 |
| Total liabilities and stockholders’ equity | $3,350,759 | $3,293,443 |