Waters lifts annual forecasts on strong lab-equipment and diagnostics demand

Aug. 4 (Reuters) - Waters raised its annual profit and revenue forecasts on Tuesday after beating second-quarter Wall Street estimates, helped by higher demand for its laboratory equipment and better-than-expected growth at its recently acquired businesses.

• The lab equipment maker now expects 2026 adjusted profit of $14.45 to $14.65 per share, compared with its previous forecast of $14.40 to $14.60.
• It sees revenue of $6.42 billion to $6.48 billion, up from $6.41 billion to $6.46 billion previously.
• Analysts on average expect 2026 adjusted profit of $14.51 per share and revenue of $6.44 billion, according to data compiled by LSEG.
• The company posted second-quarter adjusted profit of $3.05 per share, above analysts' average estimate of $3.01. Its quarterly revenue totaled $1.65 billion, above the market estimate of $1.62 billion.
• Sales of laboratory instruments rose 5% to $240 million, while chemicals and other routinely used testing supplies recorded double-digit growth.
• The biosciences and diagnostics businesses, which Waters acquired from Becton Dickinson, generated $817 million in their first full quarter under Waters' ownership, up 4% from their comparable year-earlier performance.
• The acquired businesses make products used in biological research and clinical testing, including tools that help detect cancer and infectious diseases.
• Waters expects third-quarter adjusted profit of $3.95 to $4.05 per share and revenue of $1.75 billion to $1.76 billion. Analysts expect adjusted profit of $3.99 per share and revenue of $1.75 billion.