Charles River Laboratories tops Q2 revenue and profit estimates

Charles River Laboratories International

05/08/2026 12:17

Overview
US drug discovery services firm's Q2 revenue fell 2.7% but beat analyst expectations
Adjusted EPS for Q2 beat analyst expectations

Outlook
Charles River raises 2026 organic revenue growth guidance to 0.0%-1.0% from (1.5)%-(0.5)%
Company lifts 2026 non-GAAP EPS outlook to $11.15-$11.45 from $10.80-$11.30
Charles River lowers 2026 GAAP EPS guidance to $3.05-$3.35 from $5.35-$5.85 due to divestiture losses

Result Drivers
DSA DEMAND - Co said improved demand in the Discovery and Safety Assessment segment, particularly higher study volume for regulated safety assessment services, supported results
MANUFACTURING SEGMENT - Better-than-expected performance in the Manufacturing segment, including higher revenue in Microbial Solutions and benefits from divestitures, contributed to results
RMS WEAKNESS - Lower revenue for small research models in North America and research model services weighed on the Research Models and Services segment

Company press release: ID:nBw2VkvrRa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$1 bln
$975.69 mln (10 Analysts)
Q2 Adjusted EPS
Beat
$3.02
$2.74 (11 Analysts)
Q2 Loss Per Share
 
$0.03
 
Q2 Adjusted Net Income
Beat
$146.20 mln
$135.48 mln (6 Analysts)
Q2 Net Loss
 
$1.48 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the biotechnology & medical research peer group is "buy"
Wall Street's median 12-month price target for Charles River Laboratories International, Inc. is $235.00, about 0.4% above its August 4 closing price of $234.12
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 15 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)