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QDEL Stock Down as Q1 Earnings Miss Estimates, Revenues Down Y/Y
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Key Takeaways
QuidelOrtho reported a Q1 adjusted loss of 4 cents per share, missing the consensus estimate.
QDEL revenues fell 10.5% year over year as respiratory and Point of Care sales declined sharply.
QuidelOrtho maintained 2026 revenue guidance of $2.7B-$2.75B despite margin pressure.
QuidelOrthoCorporation (QDEL - Free Report) delivered adjusted loss per share of 4 cents in first-quarter 2026 against earnings per share (EPS) of 74 cents in the prior-year quarter. The figure missed the Zacks Consensus Estimate by 110.8%.
The adjustments include expenses related to the amortization of intangibles, acquisition and integration costs, among others.
GAAP loss per share for the quarter was $1.35 compared with the year-earlier loss of 19 cents.
QDEL’s Revenues in Detail
QuidelOrtho registered revenues of $619.8 million in the first quarter of 2026, which decreased 10.5% year over year on a reported basis and 12.6% at constant exchange rate (CER). However, the figure surpassed the Zacks Consensus Estimate by 0.3%.
In the first quarter, Respiratory revenues were $67.9 million (down 43.3% on a reported basis and 43.6% at CER), while Non-Respiratory revenues were $551.9 million (down 3.7% on a reported basis and 6.2% at CER).
Shares of the company lost around 6% in yesterday’s trading session.
QuidelOrtho’s Business Units in Detail
QuidelOrtho derives revenues from five business units — Labs, Immunohematology, Donor Screening, Point of Care and Molecular Diagnostics. As a result of the wind-down of the U.S. Donor Screening portfolio, the previously reported Transfusion Medicine business unit is now presented in its two product categories — Immunohematology and Donor Screening.
In the first quarter, Labs revenues were $353.1 million, down 5.3% on a reported basis and 7.6% at CER.
Immunohematologyrevenues were $138.3 million in the first quarter, up 7.6% and 3.4% on a reported basis and at CER, respectively.
Donor Screening revenues were $7.8 million in the first quarter, down 39.1% and 39.5% on a reported basis and at CER, respectively.
Point of Care revenues amounted to $112.8 million in the first quarter, reflecting a decline of 35%on a reported basis and 34.6% at CER.
Molecular Diagnosticsrevenues totaled $7.8million in the first quarter, up 2.6% and down 1.8% on a reported basis and at CER, respectively.
QDEL’s Geographical Distribution
Geographically, QuidelOrtho derives revenues from North America, Europe, the Middle East and Africa (EMEA), China, Latin America and Japan and other Asia-Pacific markets (JPAC).
Revenues from North Americaamounted to $328.9million, reflecting a decline of 19.1% on a reported basis and 18.9% at CER.
EMEA revenues amounted to $92.5million, reflecting an increase of 4% on a reported basis and a decline of 6.1% at CER.
Revenues from China amounted to $63.5million, reflecting a decrease of 15.3% on a reported basis and 19% at CER.
Revenues from JPACamounted to $70million, reflecting an uptick of 2.8% on a reported basis and 4.7% at CER.
Revenues from Latin America amounted to $64.9million, reflecting an uptick of 20% on a reported basis and 9.3% at CER.
QuidelOrtho Corporation Price, Consensus and EPS Surprise
In the quarter under review, QuidelOrtho’s adjusted gross profit declined 21.8% year over year to $271.2 million. The adjusted gross margin contracted 630 basis points (bps) to 43.8%.
Adjusted selling, marketing and administrative expenses increased 2.6% year over year to $184.8 million. Adjusted research and development expenses declined 19.2% year over year to $42.6 million. Adjusted operating expenses of $227.4 million decreased 2.4% year over year.
Adjusted operating profit totaled $43.6 million, reflecting an 59.5% decline from the prior-year quarter’s level. Adjusted operating margin in the first quarter contracted 850 bps to 7%.
QDEL’s Financial Position
QuidelOrtho exited the first quarter of 2026 with cash and cash equivalents of $140.4 million compared with $169.8 million at the end of the fourth quarter of 2025. Total debt (including short-term debt) at the end of first-quarter 2026 was $2.69 billion compared with $2.65 billion at the end of the fourth quarter 2025.
Net cash used by operating activities at the end of the first quarter was $33 million, against net cash provided by operating activities of $65.6 million a year ago.
QuidelOrtho’s 2026 Guidance
QuidelOrtho has provided its financial outlook for 2026.
Total revenues are expected to lie in the range of$2.7-$2.75 billion. The Zacks Consensus Estimate is pegged at $2.69 billion.
Adjusted EPS is expected to be between $1.80 and $2.00. The Zacks Consensus Estimate is pegged at $2.18 per share.
Our Take
QuidelOrtho ended the first quarter of 2026 with mixed results, where revenues surpassed the Zacks Consensus Estimate, but earnings missed significantly. The company continued to witness strength in its Labs and Immunohematology business units, while solid growth across Latin America and resilient performance in EMEA and JPAC were encouraging.
However, persistent weakness in respiratory testing continued to weigh heavily on the top line, with Point of Care and Donor Screening businesses also posting sharp declines. The company’s bottom line deteriorated year over year, while gross and operating margins contracted significantly due to lower volumes and an unfavorable business mix. Additionally, operating cash outflow and elevated debt levels remain concerns despite management maintaining its 2026 revenue outlook.
QDEL’s Zacks Rank and Key Picks
QDEL currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks from the broader medical space that are expected to report earnings soon are DexCom, Inc. (DXCM - Free Report) , Encompass Health Corporation (EHC - Free Report) and The Cooper Companies, Inc. (COO - Free Report) .
The Zacks Consensus Estimate for DexCom’s first-quarter 2026 adjusted EPS is currently pegged at 47 cents. The consensus estimate for revenues is pegged at $1.18 billion. DXCM currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DexCom has an estimated long-term growth rate of 20.6%. DXCM’s earnings yield of 4.1% compares favorably with the industry’s negative yield.
Encompass Health currently has a Zacks Rank #2. The Zacks Consensus Estimate for its first-quarter 2026 adjusted EPS is currently pegged at $1.51. The same for revenues is pegged at $1.57 billion.
Encompass Health has an estimated long-term growth rate of 8.8%. EHC’s earnings yield of 5.9% compares favorably with the industry’s 5.6%.
Cooper Companies currently carries a Zacks Rank #2. The Zacks Consensus Estimate for its second-quarter fiscal 2026 adjusted EPS is currently pegged at $1.10. The same for its revenues is pegged at $1.05 billion.
Cooper Companies has an estimated long-term growth rate of 8.4%. COO’s earnings yield of 7.2% compares favorably with the industry’s 6.1%.
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QDEL Stock Down as Q1 Earnings Miss Estimates, Revenues Down Y/Y
Key Takeaways
QuidelOrtho Corporation (QDEL - Free Report) delivered adjusted loss per share of 4 cents in first-quarter 2026 against earnings per share (EPS) of 74 cents in the prior-year quarter. The figure missed the Zacks Consensus Estimate by 110.8%.
The adjustments include expenses related to the amortization of intangibles, acquisition and integration costs, among others.
GAAP loss per share for the quarter was $1.35 compared with the year-earlier loss of 19 cents.
QDEL’s Revenues in Detail
QuidelOrtho registered revenues of $619.8 million in the first quarter of 2026, which decreased 10.5% year over year on a reported basis and 12.6% at constant exchange rate (CER). However, the figure surpassed the Zacks Consensus Estimate by 0.3%.
In the first quarter, Respiratory revenues were $67.9 million (down 43.3% on a reported basis and 43.6% at CER), while Non-Respiratory revenues were $551.9 million (down 3.7% on a reported basis and 6.2% at CER).
Shares of the company lost around 6% in yesterday’s trading session.
QuidelOrtho’s Business Units in Detail
QuidelOrtho derives revenues from five business units — Labs, Immunohematology, Donor Screening, Point of Care and Molecular Diagnostics. As a result of the wind-down of the U.S. Donor Screening portfolio, the previously reported Transfusion Medicine business unit is now presented in its two product categories — Immunohematology and Donor Screening.
In the first quarter, Labs revenues were $353.1 million, down 5.3% on a reported basis and 7.6% at CER.
Immunohematologyrevenues were $138.3 million in the first quarter, up 7.6% and 3.4% on a reported basis and at CER, respectively.
Donor Screening revenues were $7.8 million in the first quarter, down 39.1% and 39.5% on a reported basis and at CER, respectively.
Point of Care revenues amounted to $112.8 million in the first quarter, reflecting a decline of 35%on a reported basis and 34.6% at CER.
Molecular Diagnosticsrevenues totaled $7.8million in the first quarter, up 2.6% and down 1.8% on a reported basis and at CER, respectively.
QDEL’s Geographical Distribution
Geographically, QuidelOrtho derives revenues from North America, Europe, the Middle East and Africa (EMEA), China, Latin America and Japan and other Asia-Pacific markets (JPAC).
Revenues from North Americaamounted to $328.9million, reflecting a decline of 19.1% on a reported basis and 18.9% at CER.
EMEA revenues amounted to $92.5million, reflecting an increase of 4% on a reported basis and a decline of 6.1% at CER.
Revenues from China amounted to $63.5million, reflecting a decrease of 15.3% on a reported basis and 19% at CER.
Revenues from JPACamounted to $70million, reflecting an uptick of 2.8% on a reported basis and 4.7% at CER.
Revenues from Latin America amounted to $64.9million, reflecting an uptick of 20% on a reported basis and 9.3% at CER.
QuidelOrtho Corporation Price, Consensus and EPS Surprise
QuidelOrtho Corporation price-consensus-eps-surprise-chart | QuidelOrtho Corporation Quote
QuidelOrtho’s Margin Trend
In the quarter under review, QuidelOrtho’s adjusted gross profit declined 21.8% year over year to $271.2 million. The adjusted gross margin contracted 630 basis points (bps) to 43.8%.
Adjusted selling, marketing and administrative expenses increased 2.6% year over year to $184.8 million. Adjusted research and development expenses declined 19.2% year over year to $42.6 million. Adjusted operating expenses of $227.4 million decreased 2.4% year over year.
Adjusted operating profit totaled $43.6 million, reflecting an 59.5% decline from the prior-year quarter’s level. Adjusted operating margin in the first quarter contracted 850 bps to 7%.
QDEL’s Financial Position
QuidelOrtho exited the first quarter of 2026 with cash and cash equivalents of $140.4 million compared with $169.8 million at the end of the fourth quarter of 2025. Total debt (including short-term debt) at the end of first-quarter 2026 was $2.69 billion compared with $2.65 billion at the end of the fourth quarter 2025.
Net cash used by operating activities at the end of the first quarter was $33 million, against net cash provided by operating activities of $65.6 million a year ago.
QuidelOrtho’s 2026 Guidance
QuidelOrtho has provided its financial outlook for 2026.
Total revenues are expected to lie in the range of$2.7-$2.75 billion. The Zacks Consensus Estimate is pegged at $2.69 billion.
Adjusted EPS is expected to be between $1.80 and $2.00. The Zacks Consensus Estimate is pegged at $2.18 per share.
Our Take
QuidelOrtho ended the first quarter of 2026 with mixed results, where revenues surpassed the Zacks Consensus Estimate, but earnings missed significantly. The company continued to witness strength in its Labs and Immunohematology business units, while solid growth across Latin America and resilient performance in EMEA and JPAC were encouraging.
However, persistent weakness in respiratory testing continued to weigh heavily on the top line, with Point of Care and Donor Screening businesses also posting sharp declines. The company’s bottom line deteriorated year over year, while gross and operating margins contracted significantly due to lower volumes and an unfavorable business mix. Additionally, operating cash outflow and elevated debt levels remain concerns despite management maintaining its 2026 revenue outlook.
QDEL’s Zacks Rank and Key Picks
QDEL currently carries a Zacks Rank #5 (Strong Sell).
Some better-ranked stocks from the broader medical space that are expected to report earnings soon are DexCom, Inc. (DXCM - Free Report) , Encompass Health Corporation (EHC - Free Report) and The Cooper Companies, Inc. (COO - Free Report) .
The Zacks Consensus Estimate for DexCom’s first-quarter 2026 adjusted EPS is currently pegged at 47 cents. The consensus estimate for revenues is pegged at $1.18 billion. DXCM currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
DexCom has an estimated long-term growth rate of 20.6%. DXCM’s earnings yield of 4.1% compares favorably with the industry’s negative yield.
Encompass Health currently has a Zacks Rank #2. The Zacks Consensus Estimate for its first-quarter 2026 adjusted EPS is currently pegged at $1.51. The same for revenues is pegged at $1.57 billion.
Encompass Health has an estimated long-term growth rate of 8.8%. EHC’s earnings yield of 5.9% compares favorably with the industry’s 5.6%.
Cooper Companies currently carries a Zacks Rank #2. The Zacks Consensus Estimate for its second-quarter fiscal 2026 adjusted EPS is currently pegged at $1.10. The same for its revenues is pegged at $1.05 billion.
Cooper Companies has an estimated long-term growth rate of 8.4%. COO’s earnings yield of 7.2% compares favorably with the industry’s 6.1%.