IDEXX Q1 2024 Earnings Report
Key Takeaways
IDEXX Laboratories reported a 7% increase in revenue for Q1 2024, reaching $964 million. EPS increased by 10% to $2.81. The company is updating its full year revenue growth outlook range to 6.5% - 8.5% as reported and 7% - 9% organic.
Revenues reached $964 million, a 7% increase as reported and organic.
Companion Animal Group (CAG) grew by 7% as reported and organic.
Water revenue increased by 11% as reported and organic.
Earnings per diluted share (EPS) were $2.81, a 10% increase as reported.
IDEXX
IDEXX
IDEXX Revenue by Segment
IDEXX Revenue by Geographic Location
Forward Guidance
IDEXX is updating its full year revenue growth outlook range to 6.5% - 8.5% as reported and 7% - 9% organic. The Company maintained its full year reported operating margin outlook of 30.2% - 30.7%. The Company updated its EPS outlook range to $10.82 - $11.20.
Positive Outlook
- Updated revenue growth outlook range to 6.5% - 8.5% as reported and 7% - 9% organic.
- CAG Diagnostics recurring revenue growth outlook range of 6.5% - 8.5% as reported and 7.5% - 9.5% organic.
- Maintained full year reported operating margin outlook of 30.2% - 30.7%.
- Projected full year operating margin profit expansion of 20 - 70 basis points.
- Updated EPS outlook range to $10.82 - $11.20.
Challenges Ahead
- Includes a $35 million negative impact from the recent strengthening of the U.S. dollar.
- Reduction of 1% to the high end of the organic revenue growth range to reflect near-term moderation in U.S. clinical visit growth trends.
- Reduction of $0.08 at midpoint in EPS outlook, reflecting ~$0.11 of negative foreign exchange rate impact compared to previous guidance.
- Projected full year operating margin profit expansion of 20 - 70 basis points is net of a ~40 basis point negative growth impact from lapping a customer contract resolution payment in Q1 2023.
- Updated EPS growth outlook is 8% - 11% as reported and 9% - 13% on comparable basis, net of a ~2% negative growth impact from lapping a customer contract resolution payment in Q1 2023.
Revenue & Expenses
Visualization of income flow from segment revenue to net income