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Dec 31, 2023

LabCorp Q4 2023 Earnings Report

Labcorp's Q4 2023 results reflected revenue increase, but a net loss due to impairment charges.

Key Takeaways

Labcorp's Q4 2023 saw a revenue increase of 3.5% to $3.03 billion, driven by organic growth and acquisitions. However, the company reported a net loss of $(166.8) million, or $(1.95) per share, compared to a net income of $37.1 million, or $0.42 per share in Q4 2022. Adjusted EPS was $3.30, up from $3.05 in the prior year. The results were impacted by impairment charges and a decrease in COVID-19 testing revenue.

Revenue increased by 3.5% to $3.03 billion compared to Q4 2022.

Diluted EPS was $(1.95) compared to $0.42 in the same period last year.

Adjusted EPS increased to $3.30 from $3.05 in Q4 2022.

Free cash flow was $414.2 million, down from $508.1 million in the prior year.

Total Revenue
$3.03B
Previous year: $3.67B
-17.4%
EPS
$3.3
Previous year: $4.14
-20.3%
Net Orders
$2.89B
Net Book-to-Bill
1.04
Previous year: 1.27
-18.1%
Backlog
$8.25B
Previous year: $16.3B
-49.4%
Gross Profit
$821M
Previous year: $970M
-15.3%
Cash and Equivalents
$537M
Previous year: $430M
+24.8%
Free Cash Flow
$414M
Previous year: $536M
-22.7%
Total Assets
$16.7B
Previous year: $20.2B
-17.0%

LabCorp

LabCorp

LabCorp Revenue by Segment

Forward Guidance

Labcorp provided its full year 2024 guidance, including revenue growth and adjusted EPS.

Positive Outlook

  • Revenue is expected to be between $12.24.7 billion and $12.26.5 billion.
  • Diagnostics Laboratories revenue is expected to grow between 3.2% and 4.8%.
  • Biopharma Laboratory Services revenue is expected to grow between 5.5% and 7.5%.
  • Adjusted EPS is projected to be between $14.30 and $15.40.
  • Free cash flow from continuing operations is expected to be between $1.00 billion and $1.15 billion.

Revenue & Expenses

Visualization of income flow from segment revenue to net income