Contact: Nickolo Russo - Investors Racquel White - Media
Contact: Nickolo Russo - Investors Racquel White - Media Investor@labcorp.com Media@labcorp.com
Labcorp Reports Strong 2026 Third Quarter Results; Raises Full Year 2026 Guidance
◦ Adjusted EPS range of $18.30 to $18.70; up 18 cents at the midpoint • Advanced M&A strategy by announcing or closing four transactions; each are expected to be accretive to adjusted EPS in year one and return cost of capital by year three
• Received FDA approval of PGDx elio® tissue complete CDx as a companion diagnostic to help identify patients with advanced melanoma
Labcorp Holdings Inc. (NYSE: LH), a global leader of innovative and comprehensive laboratory services, today announced results for the third quarter ended September 30, 2026 and updated its full-year financial guidance.
“Labcorp delivered another strong quarter with 7% revenue growth, continued margin expansion and 14.5% adjusted EPS growth, leading to a raise in our full- year guidance,” said Adam Schechter, Chairman and CEO of Labcorp. “We furthered our leadership in specialty testing by launching innovative tests for advanced melanoma, Alzheimer’s disease, and hepatitis D, while expanding access through strategic acquisitions across our Diagnostics and Biopharma Laboratory Services businesses. As healthcare continues to be transformed by advances in science and technology, personalized medicine, and evolving consumer expectations, Labcorp is well positioned to capitalize on these trends and drive sustainable long-term growth.” 1 Labcorp continues to advance its strategic priorities:
• Received FDA approval of PGDx elio® tissue complete CDx as a companion diagnostic to help identify patients with advanced melanoma.
• Announced a collaboration with the Knight Cancer Institute at Oregon Health & Science University on a clinical study evaluating the use of Plasma Detect® Genome MRD Ultra to help identify disease recurrence earlier in patients with muscle-invasive bladder cancer.
• Announced the availability of a new hepatitis D reflex testing option within its comprehensive hepatitis testing portfolio.
◦ launched the FDA-cleared Elecsys® pTau-217 blood test, expanding access to Alzheimer's disease testing in both primary and specialty care settings. ◦ announced a collaboration with Waters Corporation that positions Labcorp as the first commercial laboratory to offer the FDA-approved BD Onclarity™ HPV assay across clinician- and self-collected screening options, including in- clinic, patient service center and at-home settings. Be the partner of choice for health systems and leading pharmaceutical companies:
• Acquired MLM Medical Labs, a leading global central and specialty laboratory provider with operations across the United States, Germany and South Africa.
• Partnered with the National Association of Community Health Centers to strengthen leadership development, support practice improvement and advance community health initiatives across the nation’s Community Health Center network.
• Subsequent to quarter end, signed the following three acquisition agreements; the timing of each of these is subject to regulatory approvals and customary closing conditions:
◦ an agreement to acquire select assets of BioReference Health’s laboratory testing businesses focused on clinical and women’s health testing services, urology, corrections and certain operational assets.
◦ an agreement with Myriad Genetics to acquire their Prenatal Health testing business, which includes the Prequel ® , Foresight, SneakPeek ® , and FirstGene ® tests.
◦ and an agreement to acquire Millennium Health, an accredited specialty laboratory with more than 15 years of experience in drug testing and surveillance.
Collectively, these acquisitions and partnerships expand Labcorp's capabilities across specialty testing, clinical trials and women's health, strengthen customer relationships and enhance the company’s ability to generate long-term growth. 2 Drive personalized health solutions:
• Expanded the Labcorp OnDemand test menu, including the launch of our Advanced Health Panel and the Marker by Labcorp™ Genetic Health Panel. The OnDemand portfolio now has over 140 panels and tests.
• On Labcorp OnDemand, launched the Thrive 5 Health Test in collaboration with Thrive Global that combines lab results with other health biomarkers and personalized recommendations to improve health.
• Announced enhancements to Labcorp Global Trial Connect™, including new capabilities across the Labcorp Sponsor™ and Labcorp Investigator™ portal experiences.
Labcorp also remains committed to a disciplined allocation of capital. In the third quarter of 2026, the company invested $255.5 million in acquisitions and paid out $58.2 million in dividends. On October 21, 2026, the company announced a quarterly cash dividend of $0.72 per share of common stock, payable on December 11, 2026, to stockholders of record at the close of business on November 24, 2026. The company has $1.4 billion remaining under its board- authorized share repurchase program, providing continued flexibility to return capital to shareholders. 3
• At the end of the quarter, Labcorp's cash and cash equivalents balance was $261.8 million and total debt was $5.85 billion.
• During the quarter, the company invested $255.5 million in acquisitions and paid out $58.2 million in dividends. 5
Three Months Ended September 30, 2026 ────────────────────────────────────────────────────────────────────────────── Requisition Price/Mix Volume Delta(4) Delta(4) Metrics Summary Total 4.8 % 1.7 % Organic(5) 3.1 % 1.3 % Acquisitions, net of 1.6 % 0.5 % Divestitures Foreign Exchange — % -0.1 % (4)Column shows changes versus the three months ended September 30, 2025. (5)Organic price/mix includes lab management agreements.
Three Months Reven… Ended Summa… Septem… in 30, milli… 2026 2025 Delta ────────────────────────────────────────────────────────────────────────────── Total $ 866.7 $ 799.1 8.5 % -1 Reven… Organ… 9.6 % Acqui… net of -0.8 % Dives… Forei… -0.3 % Excha… (1)Ce… Labs reven… growth of 11.5%; Early Devel… reven… growth of 0.4%. (2)Ex… the impact from acqui… dives… and curre… as well as other strat… actio… taken in Early Devel… (3)In… the impact from strat… actio… taken in Early Devel… Earni… Summa… in milli… Adjus… Opera… $ 159.0 -6 $ 132.2 Income (“AOI… AOI as 180 % of 18.3 % -6 16.5 % bps Reven… (4)No… finan… measu… See “Reco… of Non-G… Measu… for addit… infor… (5)Ex… amort… restr… charg… speci… items, and unall… corpo… expen… (6)Ad… Opera… Income and margin incre… driven by organ… growth and opera… effic… from the strat… actio… taken in Early Devel…
As of September 30, 2026 ───────────────────────────────────────────────────────────────────────── Metrics Summary (Dollars in billions) TTM Net Orders $ 3.59 TTM Book to Bill 1.10 Backlog $ 8.92 -7 Next Twelve Months Forecast Backlog $ 2.82 Conversion (7)Backlog increased 3.9% compared to this period last year.
Labcorp is updating 2026 full year guidance to reflect its third quarter performance and full year outlook. The following guidance assumes foreign exchange rates effective as of September 30, 2026. Enterprise level guidance includes the estimated impact from currently anticipated capital allocation, including acquisitions, share repurchases, and dividends.
(Dollars in millions, except per share data) Previous Updated 2026 Guidance 2026 Guidance Low High Low High Revenue Labcorp $14,710 $14,827 $14,779 $14,887 Enterprise(1)(2) Growth(3) 5.4% 6.3% 5.9% 6.7% Diagnostics $11,450 $11,532 $11,475 $11,551 Laboratories Growth(3) 5.3% 6.0% 5.5% 6.2% Biopharma Laboratory $3,269 $3,300 $3,328 $3,358 Services(4) Growth(3) 5.5% 6.5% 7.4% 8.4% Adjusted EPS $18.10 $18.55 $18.30 $18.70 Free Cash Flow $1,240 $1,360 $1,240 $1,360 (1) 2026 Updated Enterprise guidance includes an impact from foreign currency translation of 0.3%. (2) Enterprise level revenue is presented net of intercompany transaction eliminations. (3) Growth based on 2025 Enterprise revenue of $13,952 million, Diagnostics Laboratories revenue of $10,876 million, and Biopharma Laboratory Services revenue of $3,098 million. (4) 2026 Updated Biopharma Laboratory Services guidance includes an impact from foreign currency translation of 1.3%.
The company has provided in this press release and accompanying tables “adjusted” financial information that has not been prepared in accordance with GAAP, including adjusted net income, adjusted EPS (or adjusted net income per share), adjusted operating income, adjusted operating margin, free cash flow, and certain segment information. The company believes these adjusted measures are useful to investors as a supplement to, but not as a substitute for, GAAP measures, in evaluating the company’s operational performance. The company further believes that the use of these non-GAAP financial measures provides an additional tool for investors in evaluating operating results and trends, and growth and shareholder returns, as well as in comparing the company’s financial results with the financial results of other companies. However, the company notes that these adjusted measures may be different from and not directly comparable to the measures presented by other companies. Reconciliations of these non-GAAP measures to the most comparable GAAP measures and an identification of the components that comprise “special items” used for certain adjusted financial information are included in the tables accompanying this press release.
The company today is providing an investor relations presentation with additional information on its business and operations, which is available in the investor relations section of the company's website at https://ir.labcorp.com. Analysts and investors are directed to the website to review this supplemental information.
A webcast discussing Labcorp's quarterly results will be held today at 9:00 a.m. ET and is available by accessing the Labcorp investor relations website and navigating to the “Events” section. Alternatively, the live webcast can be accessed on this link. This webcast will be archived and accessible for one year. 9
Labcorp (NYSE: LH) is a global leader of innovative and comprehensive laboratory services that helps doctors, hospitals, pharmaceutical companies, researchers, and patients make clear and confident decisions. We provide insights and advance science to improve health and improve lives through our unparalleled diagnostics and drug development laboratory capabilities. The company's nearly 71,000 employees serve clients in approximately 100 countries, provided support for more than 85% of the new drugs and therapeutic products approved by the FDA in 2025, and performed more than 750 million tests for patients around the world. Learn more at www.labcorp.com.
autionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements, including, but not limited to, statements with respect to (i) the estimated 2026 guidance and related assumptions, (ii) the impact of various factors on operating and financial results, including global economic and market conditions on the company's businesses, operating results, cash flows and/or financial condition, (iii) current and future offerings, capabilities, and business strategies, including those related to high-growth specialty areas, (iv) expected savings, synergies and other benefits to the company, customers or patients from acquisitions and other transactions, partnerships, company initiatives and investments, (v) new or improved technologies or technology-related offerings, or partnerships in connection therewith, and (vi) opportunities for future growth.
Each of the forward-looking statements is subject to change based on various important factors, many of which are beyond the company's control, including without limitation: (i) the failure to receive tax-free treatment with respect to the spin-off of the company’s former Clinical Development and Commercialization Services business for U.S. federal income purposes; (ii) the impact of spin-off related items; (iii) personnel costs and potential difficulties with employee relations and retention; (iv) the trading price of the company's stock, competitive actions and other unforeseen changes and general uncertainties in the marketplace; (v) the impact of changes to existing or adoption of new laws and regulations applicable to the company, including healthcare reform, or changes to the interpretation and application of such laws and regulations; (vi) customer preferences and purchasing decisions; (vii) changes in payer regulations or policies and adverse actions of governmental and third-party payers; (viii) changes in testing guidelines or recommendations; (ix) the impact of global geopolitical events; (x) the effect of public opinion on the company's reputation; (xi) adverse results in material litigation matters; (xii) failure to maintain or develop customer relationships; (xiii) the company's ability to develop or acquire new products and adapt to technological changes; (xiv) failures of, or adverse events relating to, the company’s or its third-party suppliers’, vendors’ or partners’ information technology systems, programs, or processes or the company’s data security; (xv) the impact of potential losses under repurchase agreements; (xvi) adverse weather conditions; (xvii) the number of revenue days in a financial period; (xviii) inflation; (xix) increased competition; (xx) adverse effects from the development, implementation, use of, or failure of new or improved technologies, internal technology platforms, or technology-related offerings of the company or its third-party suppliers, vendors or partners, including the failure to realize the anticipated benefits from such technologies, platforms, or offerings; and (xxi) the effect of exchange rate fluctuations. These factors, in some cases, have affected and in the future (together with other factors) could affect the company's ability to implement the company's business strategy, and actual results could differ materially from those suggested by these forward-looking statements. As a result, readers are cautioned not to place undue reliance on any of the forward-looking statements.
The company has no obligation to provide any updates to these forward-looking statements even if its expectations change. All forward-looking statements are expressly qualified in their entirety by this cautionary statement. Further information on potential factors, risks and uncertainties that could affect operating and financial results is included in the company's most recent Annual Report on Form 10-K and subsequent Forms 10-Q, including in each case under the heading RISK FACTORS, and in the company's other filings with the SEC. The information in this press release should be read in conjunction with a review of the company's filings with the SEC including the information in the company's most recent Annual Report on Form 10-K, and subsequent Forms 10-Q, under the heading “MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS”. - End of Text -
September 30, 2026 December 31, 2025 ────────────────────────────────────────────────────────────────────────────── ASSETS Current assets: Cash and cash equivalents $ 261.8 $ 532.3 Accounts receivable, net 2,412.9 2,103.8 Unbilled services, net 145.8 156.9 Supplies inventory 538.4 534.7 Prepaid expenses and other 607.3 692.8 Total current assets 3,966.2 4,020.5 Property, plant, and 3,142.7 3,081.5 equipment, net Goodwill, net 7,177.0 6,789.5 Intangible assets, net 3,717.0 3,596.0 Joint venture partnerships and equity 128.3 153.9 method investments Other assets, net 793.4 751.3 Total assets $ 18,924.6 $ 18,392.7 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities: Accounts payable $ 738.0 $ 840.8 Accrued expenses and other 890.1 847.8 Unearned revenue 402.6 439.1 Short-term operating lease 182.5 191.1 liabilities Short-term finance lease 5.2 4.6 liabilities Short-term borrowings and current 601.2 500.1 portion of long-term debt Total current liabilities 2,819.6 2,823.5 Long-term debt 5,250.7 5,084.6 Operating lease liabilities 675.2 682.6 Finance lease liabilities 61.1 63.0 Deferred income taxes and other tax 528.5 454.5 liabilities Other liabilities 725.6 647.8 Total liabilities 10,060.7 9,756.0 Commitments and contingent liabilities Noncontrolling interest 16.1 16.9 Shareholders’ equity: Common stock, 81.2 and 82.2 shares outstanding at September 7.3 7.5 30, 2026, and December 31, 2025, respectively Additional paid-in capital 78.7 — Retained earnings 8,905.2 8,639.9 Accumulated other -143.4 -27.6 comprehensive loss Total shareholders’ equity 8,847.8 8,619.8 Total liabilities and shareholders’ $ 18,924.6 $ 18,392.7 equity
The consolidated revenue and adjusted segment operating income are presented net of intercompany transaction eliminations and other amounts not used in determining segment performance. Adjusted operating income and adjusted operating margin are non-GAAP measures. See the subsequent reconciliation of non-GAAP financial measures. 14
(a) Amortization of intangible assets acquired as part of business acquisitions. Restructuring and other charges represent amounts incurred in connection with the elimination of redundant positions and facilities (b) and contract termination costs within the organization in connection with our LaunchPad initiatives, and acquisitions or dispositions of businesses by the company. Acquisition and disposition-related costs include due-diligence legal (c) and advisory fees, retention bonuses, impact of delayed contract or license transfers, and other integration or disposition related activities. LaunchPad costs include non-capitalized costs associated with the (d) implementation of systems, consolidation of processes, and consulting costs incurred as part of various business process improvement initiatives. Represents transition services fees charged to Fortrea Holdings Inc. (e) related to administrative and IT systems support. The costs to provide these services are included in operating income but the service fees are included in other income. The company makes investments in companies or investment funds developing promising technology related to its operations. The (f) company recorded net gains and losses related to several distributions from venture funds, increases in the market value of investments, and impairments of other investments due to the underlying performance of the investments. (g) Adjustment removes the impact of the equity method income from the Company's minority investment in SYNLAB. (h) Income tax impact of adjustments calculated based on the tax rate applicable to each item.
Full text with the tables
FOR IMMEDIATE RELEASE
Contact: Nickolo Russo - Investors Racquel White - Media
Investor@labcorp.com Media@labcorp.com
Labcorp Reports Strong 2026 Third Quarter Results; Raises Full Year 2026
Guidance
•
Results from operations for third quarter 2026 versus third quarter 2025:
◦ Revenue: $3.81 billion vs. $3.56 billion, up 6.9%
◦ Diluted EPS: $3.22 vs. $3.12, up 3.3%
◦ Adjusted EPS: $4.78 vs. $4.18, up 14.5%
• Raised full-year enterprise revenue growth and adjusted EPS guidance:
◦ Revenue growth range of 5.9% to 6.7%; up 50 basis points at the midpoint
◦ Adjusted EPS range of $18.30 to $18.70; up 18 cents at the midpoint
• Advanced M&A strategy by announcing or closing four transactions; each are
expected to be accretive to adjusted EPS in year one and return cost of capital
by year three
• Received FDA approval of PGDx elio® tissue complete CDx as a companion
diagnostic to help identify patients with advanced melanoma
BURLINGTON, N.C., October 28, 2026 –
Labcorp Holdings Inc. (NYSE: LH), a global leader of innovative and
comprehensive laboratory services, today announced results for the third quarter
ended September 30, 2026 and updated its full-year financial guidance.
“Labcorp delivered another strong quarter with 7% revenue growth, continued
margin expansion and 14.5% adjusted EPS growth, leading to a raise in our full-
year guidance,” said Adam Schechter, Chairman and CEO of Labcorp. “We furthered
our leadership in specialty testing by launching innovative tests for advanced
melanoma, Alzheimer’s disease, and hepatitis D, while expanding access through
strategic acquisitions across our Diagnostics and Biopharma Laboratory Services
businesses. As healthcare continues to be transformed by advances in science and
technology, personalized medicine, and evolving consumer expectations, Labcorp
is well positioned to capitalize on these trends and drive sustainable long-term
growth.”
1
Labcorp continues to advance its strategic priorities:
Lead in specialty testing:
• Received FDA approval of PGDx elio® tissue complete CDx as a companion
diagnostic to help identify patients with advanced melanoma.
• Announced a collaboration with the Knight Cancer Institute at Oregon Health &
Science University on a clinical study evaluating the use of Plasma Detect®
Genome MRD Ultra to help identify disease recurrence earlier in patients with
muscle-invasive bladder cancer.
• Announced the availability of a new hepatitis D reflex testing option within
its comprehensive hepatitis testing portfolio.
• Subsequent to the quarter:
◦ launched the FDA-cleared Elecsys® pTau-217 blood test, expanding access to
Alzheimer's disease testing in both primary and specialty care settings.
◦ announced a collaboration with Waters Corporation that positions Labcorp as
the first commercial laboratory to offer the FDA-approved BD Onclarity™ HPV
assay across clinician- and self-collected screening options, including in-
clinic, patient service center and at-home settings.
Be the partner of choice for health systems and leading pharmaceutical
companies:
• Acquired MLM Medical Labs, a leading global central and specialty laboratory
provider with operations across the United States, Germany and South Africa.
• Partnered with the National Association of Community Health Centers to
strengthen leadership development, support practice improvement and advance
community health initiatives across the nation’s Community Health Center
network.
• Subsequent to quarter end, signed the following three acquisition agreements;
the timing of each of these is subject to regulatory approvals and customary
closing conditions:
◦ an agreement to acquire select assets of BioReference Health’s laboratory
testing businesses focused on clinical and women’s health testing services,
urology, corrections and certain operational assets.
◦ an agreement with Myriad Genetics to acquire their Prenatal Health testing
business, which includes the Prequel ® , Foresight, SneakPeek ® , and FirstGene
® tests.
◦ and an agreement to acquire Millennium Health, an accredited specialty
laboratory with more than 15 years of experience in drug testing and
surveillance.
Collectively, these acquisitions and partnerships expand Labcorp's capabilities
across specialty testing, clinical trials and women's health, strengthen
customer relationships and enhance the company’s ability to generate long-term
growth.
2
Drive personalized health solutions:
• Expanded the Labcorp OnDemand test menu, including the launch of our Advanced
Health Panel and the Marker by Labcorp™ Genetic Health Panel. The OnDemand
portfolio now has over 140 panels and tests.
• On Labcorp OnDemand, launched the Thrive 5 Health Test in collaboration with
Thrive Global that combines lab results with other health biomarkers and
personalized recommendations to improve health.
Shape our future through technology and innovation:
• Announced enhancements to Labcorp Global Trial Connect™, including new
capabilities across the Labcorp Sponsor™ and Labcorp Investigator™ portal
experiences.
Labcorp also remains committed to a disciplined allocation of capital. In the
third quarter of 2026, the company invested $255.5 million in acquisitions and
paid out $58.2 million in dividends. On October 21, 2026, the company announced
a quarterly cash dividend of $0.72 per share of common stock, payable on
December 11, 2026, to stockholders of record at the close of business on
November 24, 2026. The company has $1.4 billion remaining under its board-
authorized share repurchase program, providing continued flexibility to return
capital to shareholders.
3
LABCORP HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED RESULTS
… …
… …
… …
… …
… …
… 2… D… … … …
──────────────────────────────────────────────────────────────────────────────
$ 3… $ … … % $ 1… $ 1… 6… %
… % 4… %
… % 1… %
… %) 0… %
$ 4… $ … $ 1… $ 1…
1… % … % (… 1… % 1… % …
b… …
$ 1… $ … $ 4… $ 3…
$ 5… … $ … $ 1… $ 1…
1… % … … % 60 1… % 1… % …
b… …
$ 2… $ … $ 8… $ 7…
$ 3… $ … $ 1… $ 8…
$ 4… $ … … % $ 1… $ 1… 1… %
4
LABCORP HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED RESULTS
Three Nine
Cash Months Months
Flow Ended Ended
Summ… Septe… Septe…
in 30, 30,
mill… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Oper…
Cash $ 563.8 $ 387.2 $ 1,20… $ 1,026…
Flow
Capi… 151.6 106.7 404.2 310.6
Expe…
Free
Cash $ 412.2 -1 $ 280.5 $ 796.6 $ 715.7
Flow
(1)T…
incr…
in
free
cash
flow
was
prim…
driv…
by
impr…
in
work…
capi…
part…
offs…
by
plan…
incr…
in
capi…
expe…
Capital Allocation Summary
• At the end of the quarter, Labcorp's cash and cash equivalents balance was
$261.8 million and total debt was $5.85 billion.
• During the quarter, the company invested $255.5 million in acquisitions and
paid out $58.2 million in dividends.
5
LABCORP HOLDINGS INC. AND SUBSIDIARIES
Diagnostics Laboratories Segment Summary
Three
Months
Reven… Ended
Summa… Septem…
in 30,
milli… 2026 2025 Delta
──────────────────────────────────────────────────────────────────────────────
Total $ 2,948.9 $ 2,769.6 6.5 %
Reven…
Organ… 4.4 %
Acqui…
net of 2.2 %
Dives…
Forei… (0.1 %)
Excha…
Earni…
Summa…
in
milli…
Adjus…
Opera… $ 491.6 -3 $ 450.4
Income
(“AOI…
AOI as
% of 16.7 % -3 16.3 % 40 bps
Reven…
(1)No…
finan…
measu…
See
“Reco…
of
Non-G…
Measu…
for
addit…
infor…
(2)Ex…
amort…
restr…
charg…
speci…
items,
and
unall…
corpo…
expen…
(3)Ad…
Opera…
Income
and
margin
incre…
due to
organ…
growth
and
opera…
effic…
Three Months Ended
September 30, 2026
──────────────────────────────────────────────────────────────────────────────
Requisition Price/Mix
Volume Delta(4) Delta(4)
Metrics Summary
Total 4.8 % 1.7 %
Organic(5) 3.1 % 1.3 %
Acquisitions, net of 1.6 % 0.5 %
Divestitures
Foreign Exchange — % -0.1 %
(4)Column shows changes
versus the three
months ended September
30, 2025.
(5)Organic price/mix
includes lab
management agreements.
6
LABCORP HOLDINGS INC. AND SUBSIDIARIES
Biopharma Laboratory Services Segment Summary
Three
Months
Reven… Ended
Summa… Septem…
in 30,
milli… 2026 2025 Delta
──────────────────────────────────────────────────────────────────────────────
Total $ 866.7 $ 799.1 8.5 % -1
Reven…
Organ… 9.6 %
Acqui…
net of -0.8 %
Dives…
Forei… -0.3 %
Excha…
(1)Ce…
Labs
reven…
growth
of
11.5%;
Early
Devel…
reven…
growth
of
0.4%.
(2)Ex…
the
impact
from
acqui…
dives…
and
curre…
as
well
as
other
strat…
actio…
taken
in
Early
Devel…
(3)In…
the
impact
from
strat…
actio…
taken
in
Early
Devel…
Earni…
Summa…
in
milli…
Adjus…
Opera… $ 159.0 -6 $ 132.2
Income
(“AOI…
AOI as 180
% of 18.3 % -6 16.5 % bps
Reven…
(4)No…
finan…
measu…
See
“Reco…
of
Non-G…
Measu…
for
addit…
infor…
(5)Ex…
amort…
restr…
charg…
speci…
items,
and
unall…
corpo…
expen…
(6)Ad…
Opera…
Income
and
margin
incre…
driven
by
organ…
growth
and
opera…
effic…
from
the
strat…
actio…
taken
in
Early
Devel…
As of
September 30, 2026
─────────────────────────────────────────────────────────────────────────
Metrics Summary (Dollars in billions)
TTM Net Orders $ 3.59
TTM Book to Bill 1.10
Backlog $ 8.92 -7
Next Twelve Months Forecast Backlog $ 2.82
Conversion
(7)Backlog increased 3.9% compared to
this period last year.
7
Guidance for 2026
Labcorp is updating 2026 full year guidance to reflect its third quarter
performance and full year outlook. The following guidance assumes foreign
exchange rates effective as of September 30, 2026. Enterprise level guidance
includes the estimated impact from currently anticipated capital allocation,
including acquisitions, share repurchases, and dividends.
(Dollars in
millions, except per
share
data)
Previous Updated
2026 Guidance 2026 Guidance
Low High Low High
Revenue
Labcorp $14,710 $14,827 $14,779 $14,887
Enterprise(1)(2)
Growth(3) 5.4% 6.3% 5.9% 6.7%
Diagnostics $11,450 $11,532 $11,475 $11,551
Laboratories
Growth(3) 5.3% 6.0% 5.5% 6.2%
Biopharma Laboratory $3,269 $3,300 $3,328 $3,358
Services(4)
Growth(3) 5.5% 6.5% 7.4% 8.4%
Adjusted EPS $18.10 $18.55 $18.30 $18.70
Free Cash Flow $1,240 $1,360 $1,240 $1,360
(1) 2026 Updated
Enterprise guidance
includes an impact
from foreign
currency
translation of 0.3%.
(2) Enterprise level
revenue is
presented net of
intercompany
transaction
eliminations.
(3) Growth based on
2025 Enterprise
revenue of $13,952
million, Diagnostics
Laboratories revenue
of $10,876 million,
and Biopharma
Laboratory Services
revenue of $3,098
million.
(4) 2026 Updated
Biopharma Laboratory
Services guidance
includes an impact
from foreign
currency translation
of
1.3%.
8
Use of Adjusted Measures
The company has provided in this press release and accompanying tables
“adjusted” financial information that has not been prepared in accordance with
GAAP, including adjusted net income, adjusted EPS (or adjusted net income per
share), adjusted operating income, adjusted operating margin, free cash flow,
and certain segment information. The company believes these adjusted measures
are useful to investors as a supplement to, but not as a substitute for, GAAP
measures, in evaluating the company’s operational performance. The company
further believes that the use of these non-GAAP financial measures provides an
additional tool for investors in evaluating operating results and trends, and
growth and shareholder returns, as well as in comparing the company’s financial
results with the financial results of other companies. However, the company
notes that these adjusted measures may be different from and not directly
comparable to the measures presented by other companies. Reconciliations of
these non-GAAP measures to the most comparable GAAP measures and an
identification of the components that comprise “special items” used for certain
adjusted financial information are included in the tables accompanying this
press release.
The company today is providing an investor relations presentation with
additional information on its business and operations, which is available in the
investor relations section of the company's website at https://ir.labcorp.com.
Analysts and investors are directed to the website to review this supplemental
information.
A webcast discussing Labcorp's quarterly results will be held today at 9:00 a.m.
ET and is available by accessing the Labcorp investor relations website and
navigating to the “Events” section. Alternatively, the live webcast can be
accessed on this link. This webcast will be archived and accessible for one
year.
9
About Labcorp
Labcorp (NYSE: LH) is a global leader of innovative and comprehensive laboratory
services that helps doctors, hospitals, pharmaceutical companies, researchers,
and patients make clear and confident decisions. We provide insights and advance
science to improve health and improve lives through our unparalleled diagnostics
and drug development laboratory capabilities. The company's nearly 71,000
employees serve clients in approximately 100 countries, provided support for
more than 85% of the new drugs and therapeutic products approved by the FDA in
2025, and performed more than 750 million tests for patients around the world.
Learn more at www.labcorp.com.
C
autionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements, including, but not
limited to, statements with respect to (i) the estimated 2026 guidance and
related assumptions, (ii) the impact of various factors on operating and
financial results, including global economic and market conditions on the
company's businesses, operating results, cash flows and/or financial condition,
(iii) current and future offerings, capabilities, and business strategies,
including those related to high-growth specialty areas, (iv) expected savings,
synergies and other benefits to the company, customers or patients from
acquisitions and other transactions, partnerships, company initiatives and
investments, (v) new or improved technologies or technology-related offerings,
or partnerships in connection therewith, and (vi) opportunities for future
growth.
Each of the forward-looking statements is subject to change based on various
important factors, many of which are beyond the company's control, including
without limitation: (i) the failure to receive tax-free treatment with respect
to the spin-off of the company’s former Clinical Development and
Commercialization Services business for U.S. federal income purposes; (ii) the
impact of spin-off related items; (iii) personnel costs and potential
difficulties with employee relations and retention; (iv) the trading price of
the company's stock, competitive actions and other unforeseen changes and
general uncertainties in the marketplace; (v) the impact of changes to existing
or adoption of new laws and regulations applicable to the company, including
healthcare reform, or changes to the interpretation and application of such laws
and regulations; (vi) customer preferences and purchasing decisions; (vii)
changes in payer regulations or policies and adverse actions of governmental and
third-party payers; (viii) changes in testing guidelines or recommendations;
(ix) the impact of global geopolitical events; (x) the effect of public opinion
on the company's reputation; (xi) adverse results in material litigation
matters; (xii) failure to maintain or develop customer relationships; (xiii) the
company's ability to develop or acquire new products and adapt to technological
changes; (xiv) failures of, or adverse events relating to, the company’s or its
third-party suppliers’, vendors’ or partners’ information technology systems,
programs, or processes or the company’s data security; (xv) the impact of
potential losses under repurchase agreements; (xvi) adverse weather conditions;
(xvii) the number of revenue days in a financial period; (xviii) inflation;
(xix) increased competition; (xx) adverse effects from the development,
implementation, use of, or failure of new or improved technologies, internal
technology platforms, or technology-related offerings of the company or its
third-party suppliers, vendors or partners, including the failure to realize the
anticipated benefits from such technologies, platforms, or offerings; and (xxi)
the effect of exchange rate fluctuations. These factors, in some cases, have
affected and in the future (together with other factors) could affect the
company's ability to implement the company's business strategy, and actual
results could differ materially from those suggested by these forward-looking
statements. As a result, readers are cautioned not to place undue reliance on
any of the forward-looking statements.
The company has no obligation to provide any updates to these forward-looking
statements even if its expectations change. All forward-looking statements are
expressly qualified in their entirety by this cautionary statement. Further
information on potential factors, risks and uncertainties that could affect
operating and financial results is included in the company's most recent Annual
Report on Form 10-K and subsequent Forms 10-Q, including in each case under the
heading RISK FACTORS, and in the company's other filings with the SEC. The
information in this press release should be read in conjunction with a review of
the company's filings with the SEC including the information in the company's
most recent Annual Report on Form 10-K, and subsequent Forms 10-Q, under the
heading “MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS”.
- End of Text -
- Tables to Follow -
10
LABCORP HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In Millions, Except Per Share Data)
Three Nine
Months Months
Ended Ended
Septem… Septemb…
2026 30, 2025 2026 30, 2025
──────────────────────────────────────────────────────────────────────────────
Revenu… $ 3,810.0 $ 3,563.5 $ 11,078.7 $ 10,435…
Cost of 2,701.9 2,538.4 7,844.8 7,416.6
revenu…
Gross 1,108.1 1,025.1 3,233.9 3,019.3
profit
Sellin…
genera…
and 611.4 553.1 1,739.6 1,678.4
admini…
expens…
Amorti…
of
intang… 78.7 69.5 232.4 207.4
and
other
assets
Restru…
and 15.9 5.9 27.4 16.4
other
charges
Operat… 402.1 396.6 1,234.5 1,117.1
income
Other
(expen…
income:
Intere… -59.1 -56.0 -175.3 -169.1
expense
Invest… 1.4 3.5 19.2 11.7
income
Equity
method -11.0 -5.2 -22.3 -7.2
loss,
net
Other, -5.4 -1.9 -22.0 -35.6
net
Earnin…
from
operat… 328.0 337.0 1,034.1 916.9
before
income
taxes
Provis…
for 64.9 75.5 193.9 204.1
income
taxes
Net 263.1 261.5 840.2 712.8
earnin…
Less:
Net
earnin…
attrib… -0.3 -0.4 -0.9 -1.0
to the
noncon…
intere…
Net
earnin…
attrib…
to $ 262.8 $ 261.1 $ 839.3 $ 711.8
Labcorp
Holdin…
Inc.
Earnin…
per
common
share:
Basic
earnin…
per $ 3.24 $ 3.14 $ 10.27 $ 8.54
common
share
Diluted
earnin…
per $ 3.22 $ 3.12 $ 10.22 $ 8.48
common
share
Weight…
basic
common 81.1 83.1 81.7 83.4
shares
outsta…
Weight…
diluted
common 81.6 83.7 82.1 84.0
shares
outsta…
11
LABCORP HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In Millions)
September 30, 2026 December 31, 2025
──────────────────────────────────────────────────────────────────────────────
ASSETS
Current assets:
Cash and cash equivalents $ 261.8 $ 532.3
Accounts receivable, net 2,412.9 2,103.8
Unbilled services, net 145.8 156.9
Supplies inventory 538.4 534.7
Prepaid expenses and other 607.3 692.8
Total current assets 3,966.2 4,020.5
Property, plant, and 3,142.7 3,081.5
equipment, net
Goodwill, net 7,177.0 6,789.5
Intangible assets, net 3,717.0 3,596.0
Joint venture partnerships
and equity 128.3 153.9
method investments
Other assets, net 793.4 751.3
Total assets $ 18,924.6 $ 18,392.7
LIABILITIES AND
SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable $ 738.0 $ 840.8
Accrued expenses and other 890.1 847.8
Unearned revenue 402.6 439.1
Short-term operating lease 182.5 191.1
liabilities
Short-term finance lease 5.2 4.6
liabilities
Short-term borrowings and
current 601.2 500.1
portion of long-term debt
Total current liabilities 2,819.6 2,823.5
Long-term debt 5,250.7 5,084.6
Operating lease liabilities 675.2 682.6
Finance lease liabilities 61.1 63.0
Deferred income taxes and
other tax 528.5 454.5
liabilities
Other liabilities 725.6 647.8
Total liabilities 10,060.7 9,756.0
Commitments and contingent
liabilities
Noncontrolling interest 16.1 16.9
Shareholders’ equity:
Common stock, 81.2 and 82.2
shares
outstanding at September 7.3 7.5
30, 2026, and
December 31, 2025,
respectively
Additional paid-in capital 78.7 —
Retained earnings 8,905.2 8,639.9
Accumulated other -143.4 -27.6
comprehensive loss
Total shareholders’ equity 8,847.8 8,619.8
Total liabilities and
shareholders’ $ 18,924.6 $ 18,392.7
equity
12
LABCORP HOLDINGS INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Millions)
Three Nine
CASH Months Months
FLOWS Ended Ended
FROM Septe… Septem…
OPERA… 30, 30,
ACTIV… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net $ 263.1 $ 261.5 $ 840.2 $ 712.8
earni…
Adjus…
to
recon…
net
earni…
to
net
cash
provi…
by
opera…
activ…
Depre…
and 183.0 171.0 535.3 508.1
amort…
Stock 30.8 29.2 97.4 96.1
compe…
Opera…
lease
right… 48.0 49.7 145.1 149.1
asset
expen…
Defer…
income 24.4 88.6 50.8 76.4
taxes
Other, 21.0 6.3 46.6 52.4
net
Change
in
assets
and
liabi…
(net
of
effec…
of
acqui…
and
dives…
(Incr…
decre…
in -70.2 9.5 -317.3 -130.4
accou…
recei…
Decre…
(incr…
in 18.8 -0.9 11.9 3.9
unbil…
servi…
Decre…
(incr…
in 25.3 -14.4 -4.4 -17.9
suppl…
inven…
Decre…
(incr…
in
prepa… 4.4 -42.0 31.5 15.8
expen…
and
other
Incre…
(decr…
in 58.0 -123.8 -92.4 -204.4
accou…
payab…
Incre…
(decr…
in 10.2 -3.9 -39.5 -12.6
unear…
reven…
Decre…
in
accru… -53.0 -43.6 -104.4 -223.0
expen…
and
other
Net
cash
provi… 563.8 387.2 1,200… 1,026.3
by
opera…
activ…
CASH
FLOWS
FROM
INVES…
ACTIV…
Capit… -151.6 -106.7 -404.2 -310.6
expen…
Purch…
of
equity
affil… -17.1 -7.9 -34.6 -179.9
or
other
inves…
Acqui…
of
busin… -255.5 -260.5 -683.4 -324.0
net of
cash
acqui…
Other, -9.5 1.1 0.2 10.4
net
Net
cash
used -433.7 -374.0 -1,12… -804.1
for
inves…
activ…
CASH
FLOWS
FROM
FINAN…
ACTIV…
Proce…
from — — 750.0 —
term
loan
Payme…
on — — -500.0 -1,000…
senior
notes
Proce…
from
accou… 226.3 — 401.3 225.0
recei…
secur…
Payme…
on
accou… -220.3 — -370.3 —
recei…
secur…
Proce…
from
revol… — — — 64.8
credit
facil…
Payme…
on
revol… — — — -64.8
credit
facil…
Net
share
settl…
tax
payme…
from -1.6 -1.6 -47.7 -30.6
issua…
of
stock
to
emplo…
Net
proce…
from
issua… 49.5 28.6 84.2 54.3
of
stock
to
emplo…
Divid… -58.2 -59.9 -178.1 -181.4
paid
Purch…
of — -25.0 -451.8 -225.0
common
stock
Other, -5.7 -1.6 -37.0 -8.9
net
Net
cash
used -10.0 -59.5 -349.4 -1,166…
for
finan…
activ…
Effect
of
excha…
rate
on
chang… -0.1 -2.9 0.1 23.8
in
Cash
and
cash
equiv…
Net
incre…
(decr…
in 120.0 -49.2 -270.5 -920.6
Cash
and
cash
equiv…
Cash
and
cash
equiv… 141.8 647.3 532.3 1,518.7
at
begin…
of
period
Cash
and
cash
equiv… $ 261.8 $ 598.1 $ 261.8 $ 598.1
at end
of
period
13
LABCORP HOLDINGS INC. AND SUBSIDIARIES
Condensed Combined Non-GAAP Segment Information
(Dollars in Millions)
Three Nine
Mont… Mon…
Ended End…
Sept… Sep…
Dia… 30, 30,
Lab… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Rev… $ 2,94… $ 2,76… $ 8,61… $ 8,1…
Adj…
ope… $ 491.6 $ 450.4 $ 1,47… $ 1,3…
inc…
Adj…
ope… 16.7 % 16.3 % 17.1 % 16.7 %
mar…
Bio…
Lab…
Ser…
Rev… $ 866.7 $ 799.1 $ 2,48… $ 2,3…
Adj…
ope… $ 159.0 $ 132.2 $ 421.9 $ 362…
inc…
Adj…
ope… 18.3 % 16.5 % 17.0 % 15.7 %
mar…
Con…
Rev… $ 3,81… $ 3,56… $ 11,0… $ 10,…
Adj…
seg… $ 650.6 $ 582.6 $ 1,89… $ 1,7…
ope…
inc…
Una…
cor… -80.6 -69.3 -228… -20…
exp…
Con…
adj… $ 570.0 $ 513.3 $ 1,66… $ 1,5…
ope…
inc…
Adj…
ope… 15.0 % 14.4 % 15.0 % 14.5 %
mar…
The consolidated revenue and adjusted segment operating income are presented net
of intercompany transaction eliminations and other amounts not used in
determining segment performance. Adjusted operating income and adjusted
operating margin are non-GAAP measures. See the subsequent reconciliation of
non-GAAP financial measures.
14
LABCORP HOLDINGS INC. AND SUBSIDIARIES
Reconciliation of Non-GAAP Measures
(Dollars and Shares in Millions, Except Per Share Data)
Three Nine
Mont… Mon…
Ended End…
Adj… Sept… Sep…
Ope… 30, 30,
Inc… 2026 2025 2026 2025
──────────────────────────────────────────────────────────────────────────────
Ope… $ 402.1 $ 396.6 $ 1,23… $ 1,1…
inc…
Amo…
of
int… 78.7 69.5 232.4 207…
and
oth…
ass…
Res…
and 15.9 5.9 27.4 16.4
oth…
cha…
Acq…
and 23.0 10.8 54.2 55.0
dis…
cos…
Lau… 28.6 13.7 53.3 51.0
cos…
Oth… 21.7 16.8 64.8 63.2
TSA — — — 3.8
rei…
Adj…
ope… $ 570.0 $ 513.3 $ 1,66… $ 1,5…
inc…
Adj…
ope… 15.0 % 14.4 % 15.0 % 14.5 %
pro…
mar…
Adj…
Net
Inc…
Net $ 262.8 $ 261.1 $ 839.3 $ 711…
inc…
Imp…
of
adj… 167.9 116.7 432.1 396…
to
ope…
inc…
(Ga…
loss
on
ven… -0.1 -2.2 8.5 33.9
fund
inv…
net…
Equ…
met…
loss 10.9 5.0 22.1 5.0
from
SYN…
inv…
TSA — — — -3.8
rei…
Oth… -0.2 0.1 -8.1 0.8
Inc…
tax
imp… -51.0 -30.9 -142… -10…
of
adj…
Adj…
net $ 390.3 $ 349.8 $ 1,15… $ 1,0…
inc…
Wei…
dil…
com… 81.6 83.7 82.1 84.0
sha…
out…
Adj…
net
inc… $ 4.78 $ 4.18 $ 14.02 $ 12.…
per
sha…
(a) Amortization of intangible assets acquired as part of business
acquisitions.
Restructuring and other charges represent amounts incurred in
connection with the elimination of redundant positions and facilities
(b) and contract termination costs within the organization in connection
with our LaunchPad initiatives, and acquisitions or dispositions of
businesses by the company.
Acquisition and disposition-related costs include due-diligence legal
(c) and advisory fees, retention bonuses, impact of delayed contract or
license transfers, and other integration or disposition related
activities.
LaunchPad costs include non-capitalized costs associated with the
(d) implementation of systems, consolidation of processes, and consulting
costs incurred as part of various business process improvement
initiatives.
Represents transition services fees charged to Fortrea Holdings Inc.
(e) related to administrative and IT systems support. The costs to
provide these services are included in operating income but the
service fees are included in other income.
The company makes investments in companies or investment funds
developing promising technology related to its operations. The
(f) company recorded net gains and losses related to several
distributions from venture funds, increases in the market value of
investments, and impairments of other investments due to the
underlying performance of the investments.
(g) Adjustment removes the impact of the equity method income from the
Company's minority investment in SYNLAB.
(h) Income tax impact of adjustments calculated based on the tax rate
applicable to each item.
15