QuidelOrtho Corp (NASDAQ:QDEL), a global provider of in vitro diagnostics, reported fourth-quarter and full-year 2025 financial results that surpassed analyst expectations on the top and bottom lines. Despite the earnings beat, the company's shares traded lower in after-hours activity, suggesting investor focus may have shifted to the broader financial outlook.
Earnings Performance Versus Estimates
The company delivered a clean beat against consensus estimates for the quarter ended December 31, 2025.
- Revenue: Reported sales of $723.6 million, a 2.2% year-over-year increase, edged above the analyst estimate of approximately $722.6 million.
- Earnings Per Share (Non-GAAP): The company posted a profit of $0.46 per share, solidly exceeding the consensus estimate of $0.43 per share, representing an 8.8% beat.
This performance caps a fiscal year 2025 where the company highlighted 6% growth in its Labs business and 9% growth in its TRIAGE™ point-of-care platform, alongside a 240 basis point expansion in adjusted EBITDA margin.
Market Reaction and Price Action
The immediate market reaction to the report was negative. Following the earnings release, QuidelOrtho's stock fell approximately 4.7% in after-market trading. This decline contrasts with the stock's relatively flat performance over the past week and suggests that while the quarterly results were strong, other elements of the report or guidance may have given investors pause. The after-hours drop effectively erased the modest gains the stock had accrued over the prior two weeks.
Forward Guidance and Analyst Expectations
Management provided an outlook for fiscal year 2026, anticipating continued growth and margin expansion. Notably, the company expects free cash flow to improve by over $200 million. The company's full-year revenue guidance midpoint of $2.8 billion was 1.1% above analysts' consensus estimates at the time of the report.
Looking ahead, current analyst estimates for the coming periods provide a benchmark for future performance:
- Q1 2026: Analysts are forecasting revenue of approximately $724.8 million and non-GAAP EPS of $0.84.
- Full-Year 2026: The consensus sales estimate stands at $2.82 billion.
The company's own revenue guidance for FY26 appears to be closely aligned with these external projections, indicating management's confidence is in line with street expectations.
Press Release Highlights
Beyond the financial figures, the press release underscored operational achievements, including the reported growth in key business segments and significant margin improvement for the full year. The emphasis on a projected $200 million-plus improvement in free cash flow for the coming year is a critical point, as it signals stronger financial health and potential for strategic reinvestment or shareholder returns.
For a detailed breakdown of QuidelOrtho's historical earnings, future estimates, and analyst ratings, you can review the data here.
Disclaimer: This article is for informational purposes only and does not constitute financial advice, a recommendation, or an offer to buy or sell any securities. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
