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IDEXX Stock Up on Q1 Earnings & Revenue Beat, Margins Rise, '26 View Up
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Key Takeaways
IDEXX posts Q1 EPS of $3.47, up 17.2%, beating estimates as revenues climbed 14% to $1.14B.
IDEXX growth driven by CAG Diagnostics recurring revenues and software, imaging expansion.
IDEXX raises 2026 outlook, guiding higher revenues and EPS on sustained growth momentum.
IDEXX Laboratories, Inc. (IDXX - Free Report) posted first-quarter 2026 earnings per share (EPS) of $3.47, up 17.2% year over year. The figure surpassed the Zacks Consensus Estimate by 1.5%.
Comparable constant-currency EPS of $3.30 improved 15% year over year.
IDEXX’s Revenues
Quarterly revenues increased 14% year over year (up 11% organically) to $1.14 billion. The reported figure topped the Zacks Consensus Estimate by 2.1%.
Following the earnings announcement, IDXX shares gained 0.3% in the pre-market trading today.
IDEXX’s Q1 Revenue Analysis by Segments
IDEXX derives revenues from four operating segments: CAG, Water, Livestock, Poultry andDairy (“LPD”), and Other.
CAG’s revenues rose 14.6% year over year on a reported basis and 11.6% on an organic basis to $1.05 billion.
CAG revenue growth was led by CAG Diagnostics recurring revenue growth of 14% as reported and 11% organic.
Veterinary software, services and diagnostic imaging systems revenues grew 12% reportedly and 11% on an organic basis, led by cloud-native software growth and continued installed base expansion, including record diagnostic imaging system installations.
The Water segment’s revenues increased 10.9% year over year reportedly and 7.1% on an organic basis to $50.3 million.
For the first quarter, LPD revenues jumped 13.6% reportedly and 7.2% on an organic basis to $32.5 million.
Revenues from the Other segment dropped 14% on a reported basis as well as organically to $4 million.
IDEXX’s Margin Performance
Gross profit rose 15.9% to $722.7 million. The gross margin expanded 92 basis points (bps) to 63.4% despite an 11.5% rise in the cost of revenues.
Sales and marketing expenses surged 12.2% to $175.3 million. G&A expenses rose 30.1% to $119.1 million. R&D expenses jumped 11.4% to $65.8 million. The operating profit in the reported quarter rose 14.5% year over year to $362.6 million. The operating margin in the quarter expanded 8 bps to 31.8%.
IDEXX’s Financial Position
IDEXX exited the first quarter of 2026 with cash and cash equivalents of $200.5 million compared with $180.1 million at the end of fourth-quarter 2025.
Cumulative net cash provided by operating activities was $266.3 million compared with $238 million in the prior-year period.
IDEXX Laboratories, Inc. Price, Consensus and EPS Surprise
IDEXX upgraded an initial outlook for 2026, forecasting revenues in the range of $4,675-$4,760 million (up from $4,632-$4,720 million). The Zacks Consensus Estimate is currently pegged at $4.67 billion.
Full-year EPS is projected to be in the band of $14.45-$14.90 (up from the previous guidance of $14.29-$14.80), implying growth of 11-14% (up from 9-13%). The Zacks Consensus Estimate is currently pegged at $14.54.
Our View on IDEXX
IDEXX exited the first quarter of 2026 with both revenues and earnings beating estimates. The performance was supported by consistently high levels of execution by IDEXX teams around the world. U.S. CAG Diagnostics’ recurring revenue growth was aided by increased diagnostic frequency, including modest easing of clinical visit pressures and increased diagnostic frequency. The expansion of both margins in the quarter is also encouraging.
The IDEXX Cancer Dx Platform continues to gain strong momentum, driven by its recent international expansion and increasing adoption across the United States. The rollout of IDEXX inVue Dx is further strengthening its innovation-led growth strategy.
IDEXX’s Zacks Rank & Key Picks
IDXX currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Intuitive Surgical (ISRG - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported a fourth-quarter 2025 adjusted EPS of $1.28, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $826.4 million beat the Zacks Consensus Estimate by 4.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an earnings yield of 4.7% compared to the industry’s negative yield of 1.4%. The company’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 18.79%.
Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, posted a first-quarter 2026 adjusted EPS of $2.50, which exceeded the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion topped the Zacks Consensus Estimate by 6.2%.
ISRG has an earnings yield of 2.1% in contrast to the industry’s negative yield of 0.9%. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.82%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, posted a second-quarter fiscal 2026 adjusted EPS of 87 cents, which outpaced the Zacks Consensus Estimate by 27.01%. Revenues of $373.9 million outperformed the Zacks Consensus Estimate by 4.72%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.1% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.15%.
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IDEXX Stock Up on Q1 Earnings & Revenue Beat, Margins Rise, '26 View Up
Key Takeaways
IDEXX Laboratories, Inc. (IDXX - Free Report) posted first-quarter 2026 earnings per share (EPS) of $3.47, up 17.2% year over year. The figure surpassed the Zacks Consensus Estimate by 1.5%.
Comparable constant-currency EPS of $3.30 improved 15% year over year.
IDEXX’s Revenues
Quarterly revenues increased 14% year over year (up 11% organically) to $1.14 billion. The reported figure topped the Zacks Consensus Estimate by 2.1%.
Following the earnings announcement, IDXX shares gained 0.3% in the pre-market trading today.
IDEXX’s Q1 Revenue Analysis by Segments
IDEXX derives revenues from four operating segments: CAG, Water, Livestock, Poultry andDairy (“LPD”), and Other.
CAG’s revenues rose 14.6% year over year on a reported basis and 11.6% on an organic basis to $1.05 billion.
CAG revenue growth was led by CAG Diagnostics recurring revenue growth of 14% as reported and 11% organic.
Veterinary software, services and diagnostic imaging systems revenues grew 12% reportedly and 11% on an organic basis, led by cloud-native software growth and continued installed base expansion, including record diagnostic imaging system installations.
The Water segment’s revenues increased 10.9% year over year reportedly and 7.1% on an organic basis to $50.3 million.
For the first quarter, LPD revenues jumped 13.6% reportedly and 7.2% on an organic basis to $32.5 million.
Revenues from the Other segment dropped 14% on a reported basis as well as organically to $4 million.
IDEXX’s Margin Performance
Gross profit rose 15.9% to $722.7 million. The gross margin expanded 92 basis points (bps) to 63.4% despite an 11.5% rise in the cost of revenues.
Sales and marketing expenses surged 12.2% to $175.3 million. G&A expenses rose 30.1% to $119.1 million. R&D expenses jumped 11.4% to $65.8 million. The operating profit in the reported quarter rose 14.5% year over year to $362.6 million. The operating margin in the quarter expanded 8 bps to 31.8%.
IDEXX’s Financial Position
IDEXX exited the first quarter of 2026 with cash and cash equivalents of $200.5 million compared with $180.1 million at the end of fourth-quarter 2025.
Cumulative net cash provided by operating activities was $266.3 million compared with $238 million in the prior-year period.
IDEXX Laboratories, Inc. Price, Consensus and EPS Surprise
IDEXX Laboratories, Inc. price-consensus-eps-surprise-chart | IDEXX Laboratories, Inc. Quote
IDEXX’s Upgraded 2026 Guidance
IDEXX upgraded an initial outlook for 2026, forecasting revenues in the range of $4,675-$4,760 million (up from $4,632-$4,720 million). The Zacks Consensus Estimate is currently pegged at $4.67 billion.
Full-year EPS is projected to be in the band of $14.45-$14.90 (up from the previous guidance of $14.29-$14.80), implying growth of 11-14% (up from 9-13%). The Zacks Consensus Estimate is currently pegged at $14.54.
Our View on IDEXX
IDEXX exited the first quarter of 2026 with both revenues and earnings beating estimates. The performance was supported by consistently high levels of execution by IDEXX teams around the world. U.S. CAG Diagnostics’ recurring revenue growth was aided by increased diagnostic frequency, including modest easing of clinical visit pressures and increased diagnostic frequency. The expansion of both margins in the quarter is also encouraging.
The IDEXX Cancer Dx Platform continues to gain strong momentum, driven by its recent international expansion and increasing adoption across the United States. The rollout of IDEXX inVue Dx is further strengthening its innovation-led growth strategy.
IDEXX’s Zacks Rank & Key Picks
IDXX currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the broader medical space are Globus Medical (GMED - Free Report) , Intuitive Surgical (ISRG - Free Report) and Phibro Animal Health (PAHC - Free Report) .
Globus Medical, currently sporting a Zacks Rank #1 (Strong Buy), reported a fourth-quarter 2025 adjusted EPS of $1.28, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $826.4 million beat the Zacks Consensus Estimate by 4.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
GMED has an earnings yield of 4.7% compared to the industry’s negative yield of 1.4%. The company’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 18.79%.
Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, posted a first-quarter 2026 adjusted EPS of $2.50, which exceeded the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion topped the Zacks Consensus Estimate by 6.2%.
ISRG has an earnings yield of 2.1% in contrast to the industry’s negative yield of 0.9%. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.82%.
Phibro Animal Health, carrying a Zacks Rank #2 at present, posted a second-quarter fiscal 2026 adjusted EPS of 87 cents, which outpaced the Zacks Consensus Estimate by 27.01%. Revenues of $373.9 million outperformed the Zacks Consensus Estimate by 4.72%.
PAHC has an estimated long-term earnings growth rate of 21.5% compared with the industry’s 12.1% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 20.15%.