Idexx Laboratories Stock Jumps 22% After Third-Quarter Results and Raised 2026 Guidance

Idexx Laboratories (Nasdaq: IDXX) shares rose 21.9% on Monday, closing at $671.64 from a previous close of $551.21, after the veterinary diagnostics company reported third-quarter results and raised its 2026 outlook. The S&P 500 ETF (SPY) fell 0.48% over the same session. Trading volume was 3.9 times its usual level.

Results and a higher outlook

In an 8-K filed before the open, Idexx furnished a press release reporting third-quarter revenue of $1,214 million, up 10% as reported and on an organic basis. Diluted EPS was $4.01, up 18% as reported and 22% on a comparable basis.

The company raised its 2026 revenue guidance to $4,741 million to $4,767 million, up $32 million at the midpoint. It raised its 2026 EPS outlook to $14.96 to $15.16, a $0.25 increase over the prior guidance midpoint.

Growth in recurring diagnostics revenue

Companion Animal Group diagnostics recurring revenue grew 11% as reported and organically, including 10% organic growth in the U.S. and 14% organic growth in International regions. IDEXX VetLab consumables revenue rose 14% as reported, and the company placed more than 1,900 IDEXX inVue Dx analyzers during the quarter.

Margins and costs

The company's third-quarter operating margin was 33.1%, up 100 basis points as reported. Operating expenses rose 10% as reported. The company lowered its full-year reported operating margin outlook to 32.1% to 32.3%, and the filing attributes part of that to acquisition-related impacts, including the CoVet acquisition.

The press release does not give a specific reason for the size of the share-price reaction.