IDEXX Laboratories delivered a robust Q4 performance, reporting GAAP earnings of $3.08 per share, an 18% increase year-over-year and ahead of the $2.94 consensus. On a comparable basis, EPS reached $2.92. Revenues rose 14% to $1.091 billion (12% organic), topping the $1.073 billion estimate. Companion Animal Group sales grew 14.7% to $998.5 million, led by a 12% increase in recurring diagnostics revenue. Instrument placements surged, with capital instrument revenues up 76% to $58.1 million. Water revenues advanced 12% to $50.5 million, and LPD revenues climbed 8% to $37.5 million. Gross margin expanded 50 basis points to 60.3%, while operating margin improved 150 basis points to 28.9%, driven by volume gains, productivity initiatives and net price realization.

For fiscal 2026, IDEXX forecast EPS of $14.29–$14.80 versus the $14.39 consensus, and sales of $4.632–$4.720 billion against the $4.658 billion estimate. The company anticipates Companion Animal Group Diagnostics recurring revenue growth of 8.6%–10.6% (8.0%–10.0% organic) and plans to leverage an expanding installed base of instruments and software along with its innovation pipeline to sustain momentum.

Following the results, several firms adjusted their outlooks. BTIG maintained a Buy rating but lowered its price target from $830 to $800, citing guidance that marginally trails consensus. UBS kept a Neutral stance and cut its target from $750 to $730, highlighting ongoing clinic-visit variability. Despite these revisions, shares advanced 1.7% on the day, reflecting investor confidence in the company’s long-term growth drivers.