Repligen’s Earnings Call Highlights Robust Growth

Repligen ((RGEN)) has held its Q2 earnings call. Read on for the main highlights of the call.

Repligen’s recent earnings call showcased a robust performance, highlighting significant growth in non-COVID areas, particularly in biopharma and chromatography sectors. Despite facing challenges from the gene therapy platform and muted biotech orders, the company’s overall financial health and strategic initiatives, coupled with increased guidance, suggest a positive outlook for the future.

Strong Organic Non-COVID Growth

Repligen reported an impressive 17% organic non-COVID growth in Q2 2025, marking their highest growth rate since 2022. This surge was fueled by robust performances across various segments, including Chromatography and Filtration, underscoring the company’s ability to expand beyond its COVID-related offerings.

Biopharma and CDMO Revenue Surge

The biopharma sector experienced a remarkable 20% year-over-year revenue growth, with orders also increasing by over 20%. Additionally, CDMO revenues saw significant increases, with orders growing at double-digit rates, reflecting strong demand and execution in these areas.

Record Chromatography Revenue

Chromatography achieved a record quarter, with revenue growth exceeding 40%, driven by high demand for large-scale columns from pharmaceutical companies in Europe. This milestone highlights Repligen’s strength in catering to the needs of the pharma industry.

Improved Guidance and Market Outlook

Repligen raised its 2025 revenue guidance to a range of $715 million to $735 million, reflecting 12.5% to 15.5% organic non-COVID growth. This upward revision indicates the company’s confidence in its market position and growth prospects.

Strong Order Growth

The company reported over 20% year-over-year order growth, with organic growth in the high teens. This marks the eighth consecutive quarter where orders have exceeded non-COVID revenue, showcasing consistent demand for Repligen’s offerings.

Sustainability Efforts Recognized

Repligen’s commitment to sustainability was acknowledged by Newsweek, naming it one of the world’s greenest companies in 2025. The company achieved a 25% reduction in waste generation last year, highlighting its dedication to environmental responsibility.

Gene Therapy Platform Revenue Headwind

The gene therapy platform contributed $10 million in revenue in the first half of 2025. However, the updated guidance assumes minimal incremental revenue from this platform for the remainder of the year, posing a 1% headwind to overall growth.

Muted Biotech Orders

While biotech revenues grew in the high teens, orders remained subdued due to a 42% drop in biotech funding compared to Q2 2024. This decline in funding has impacted order volumes, presenting a challenge for the company.

Tariff and Mix Headwinds on Margins

Repligen faced margin pressures from tariffs and a higher-than-normal mix of procured resins in Chromatography. Additionally, there was a 1-point margin impact from the comparison with COVID revenue, affecting overall profitability.

Forward-Looking Guidance

During the earnings call, Repligen provided optimistic financial guidance for the full year 2025, emphasizing strong organic growth and operational performance. The company expects adjusted gross margins to be between 52% and 53%, with operating margins projected to range from 13.5% to 14.5%. Adjusted diluted earnings per share are anticipated to be between $1.65 and $1.72, reflecting a 5% to 9% growth compared to the previous year. Repligen remains focused on strategic investments and operational efficiency to sustain above-market growth.

In conclusion, Repligen’s earnings call painted a positive picture of the company’s current performance and future prospects. With strong growth in non-COVID areas, increased guidance, and recognition for sustainability efforts, Repligen is well-positioned to navigate challenges and capitalize on opportunities in the biopharma and chromatography sectors.