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Mar 31

Quest Diagnostics Q1 2025 Earnings Report

Quest Diagnostics posted strong revenue and earnings growth in the first quarter of 2025.

Key Takeaways

Quest Diagnostics saw a 12.1% increase in revenue and reported a higher net income, driven by acquisitions, enterprise demand, and growth in advanced diagnostics services.

Revenue rose 12.1% year-over-year to $2.65 billion.

Adjusted EPS reached $2.21, up from $2.04 a year ago.

Net income increased to $220 million from $194 million.

Organic requisition volume declined by 0.9% despite overall volume growth.

Total Revenue
$2.65B
Previous year: $2.37B
+12.1%
EPS
$2.21
Previous year: $2.04
+8.3%
Revenue per requisition
0.3%
Requisition volume change
12.4%
Organic req volume
-0.9%
Gross Profit
$830M
Previous year: $755M
+9.9%
Cash and Equivalents
$188M
Previous year: $474M
-60.3%
Free Cash Flow
$197M
Previous year: $50M
+294.0%
Total Assets
$15.8B
Previous year: $14B
+13.2%

Quest Diagnostics

Quest Diagnostics

Quest Diagnostics Revenue by Segment

Forward Guidance

Quest reaffirmed its full-year 2025 guidance, anticipating steady revenue growth and consistent adjusted EPS range.

Positive Outlook

  • Full-year revenue expected between $10.70B and $10.85B.
  • Adjusted EPS forecast remains between $9.55 and $9.80.
  • Cash from operations projected at $1.5B.
  • Positive momentum from acquisitions and enterprise accounts.
  • Expansion in health plan access driving demand.

Challenges Ahead

  • Organic requisition volumes declined in Q1.
  • Early quarter impacted by adverse weather.
  • Net interest expense increased to $67M from $43M YoY.
  • Cash position dropped to $188M from $549M.
  • No upward revision to adjusted EPS despite strong Q1.