Thermo Fisher Scientific’s pharmaceutical services division has secured multiple multi‐year agreements to support the relocation of active pharmaceutical ingredient (API) manufacture, clinical trial fill-finish and packaging operations from Europe and Asia to U.S. sites, CEO Marc Casper said on Tuesday. The contracts cover projects ranging from small‐scale clinical batches to commercial launch volumes, and will utilize expanded capacity in its Waltham, Massachusetts, and Austin, Texas facilities. Casper noted that these wins come as customers respond to new U.S. incentives for on-shore production, driving a 15% increase in the division’s order backlog compared with the same period last year.

The reshoring contracts are expected to contribute approximately $250 million in incremental revenue over the next 24 months, according to company guidance, with gross margins in the pharma services unit projected to improve by 150 basis points as higher‐value fill-finish work displaces lower-margin toll manufacturing. Management highlighted that increased utilization of capacity built out during 2022 capital projects will drive a 10% uplift in segment operating profit in fiscal 2026. Investors will be watching how quickly Thermo Fisher can integrate these new projects into existing production lines and whether additional reshoring mandates at the federal level accelerate demand for its end-to-end services.