IDEXX Laboratories reported 10% third-quarter revenue growth, with strong demand in its companion-animal diagnostics business helping lift earnings and support higher full-year guidance. The company also highlighted continued adoption of its inVue Dx analyzer and an acquisition in veterinary software.
Revenue for the quarter ended Sept. 30 was $1.214 billion. IDEXX raised its 2026 revenue and earnings outlook, citing stronger recurring revenue in Companion Animal Group (CAG) Diagnostics.
Key details
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Revenue and earnings grew: Third-quarter revenue rose 10% both as reported and organically. Diluted earnings per share were $4.01, up 18% as reported and 22% on a comparable basis.
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CAG Diagnostics remained a growth driver: Recurring revenue in the business increased 11% as reported and organically. International growth was 13% as reported and 14% organically; U.S. growth was 10% on both measures. IDEXX said volume gains, customer additions, instrument placements and innovation contributed to performance.
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Instrument adoption expanded: IDEXX placed more than 1,900 inVue Dx analyzers during the quarter, bringing the installed base to nearly 11,000 instruments. The company also cited inVue Dx with FNA and the expansion of its Cancer Dx offering into a multi-cancer panel as examples of product innovation.
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Operating margins improved: Operating margin increased 1 percentage point as reported and 0.6 percentage point on a comparable basis.
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Some items boosted quarterly EPS: Results included a $0.03-per-share benefit from a non-operating gain on an equity investment, $0.01 from tax benefits related to share-based compensation and $0.04 from year-over-year currency changes. IDEXX said the quarter also absorbed acquisition impacts.
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Full-year revenue guidance increased: IDEXX now expects 2026 revenue of $4.741 billion to $4.767 billion, a $32 million increase at the midpoint from its prior outlook. It raised its reported revenue-growth forecast to 10.1%–10.8% and its organic-growth forecast to 9.3%–10.0%.
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CAG Diagnostics guidance also rose: The company now expects 2026 recurring revenue growth in CAG Diagnostics of 11.0%–11.7% as reported and 10.3%–11.0% organically.
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Full-year EPS outlook moved higher: IDEXX raised its 2026 diluted EPS range to $14.96–$15.16, a $0.25 increase at the midpoint. The company attributed the higher outlook primarily to its improved revenue forecast while continuing to account for acquisition impacts.
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Software expansion: IDEXX acquired CoVet, an AI clinical assistant intended to support veterinary-team productivity and diagnostic utilization. The announcement did not provide financial terms.
Plain-English implications
The higher full-year outlook reflects stronger expected revenue, particularly in recurring CAG Diagnostics sales. IDEXX’s growing inVue Dx installed base and the CoVet acquisition also point to investment in diagnostics and veterinary practice software, alongside its existing product business.