Quarterly and Full-Year Revenue Performance
Q4 revenue of $772 million with 4% organic growth; full-year revenue of $2.86 billion with 3% organic growth, in line with prior guidance despite headwinds.
Earnings and Margin Outperformance
Q4 adjusted EPS $1.70 (beat midpoint by $0.11 and high end by $0.06); full-year adjusted EPS $5.06, above the high end of initial guidance and up 3% year-over-year. Q4 adjusted operating margin was 29.7%.
Strong Free Cash Flow and Balance Sheet
Q4 free cash flow of $162 million and full-year FCF of $515 million with 84% and 87% conversion of adjusted net income respectively; net debt/adjusted EBITDA of 2.7x with 100% fixed-rate debt (weighted avg interest 2.6%).
Aggressive Share Repurchases
Repurchased over $800 million of shares in 2025 (8.5 million shares), bringing total repurchases since 2023 to >$1.5 billion (~15 million shares, ~12% of shares outstanding at the time), reducing diluted share count and supporting EPS.
Diagnostics Momentum
Diagnostics segment organic growth +7% in Q4 (reported +10%); full-year diagnostics organic growth +4%; reproductive health grew mid-single digits and newborn screening grew mid-single in Q4 and high-single for the year.
Software & Signals Strength
Signals software grew high-teens organically for the full year; SaaS ARR grew nearly 40% YoY with SaaS representing ~35% of the business; net retention >110% and double-digit APV growth.
Strategic M&A and Product Innovation
Closed acquisition of ACD Labs in mid-January expected to add >$20 million (~75 bps to revenue growth) in 2026; launched Signals Synthetica AI platform and announced collaboration with Lilly TuneLab to accelerate adoption.
2026 Financial Framework
Reiterated 2026 guidance: organic growth 2%–3%, total revenue $2.96–$2.99 billion (includes ~1% FX tailwind and ACD contribution), adjusted operating margin target 28%, and adjusted EPS guidance $5.35–$5.45 (high single-digit EPS growth).