Labcorp reported FY 2025 revenue of USD 14.0 billion (+7.2%), including Diagnostics (Dx) revenue of USD 10.9 billion (+7.2%) and Biopharma Laboratory Services (BLS) revenue of USD 3.1 billion (+6.0%). FY 2025 operating income was USD 1.4 billion (+27.4%), with Dx segment operating income of USD 1.8 billion (+10.8%) and BLS segment operating income of USD 498.5 million (+8.6%); Dx segment operating margin was 16.4% and BLS segment operating margin was 16.1%. FY 2025 cost of revenues was USD 9.9 billion (71.2% of revenue), SG&A was USD 2.2 billion (15.9% of revenue), amortization of intangibles and other assets was USD 280.0 million (+9.2%), restructuring and other charges were USD 127.2 million (up from USD 46.0 million), and goodwill and other asset impairments were USD 4.3 million. FY 2025 interest expense was USD 224.1 million (+7.6%), equity method loss (net) was USD 13.3 million, other (net) was a loss of USD 55.0 million, and provision for income taxes was USD 229.8 million with an effective tax rate of 20.7%. For cash flow and balance sheet items, net cash provided by operating activities in FY 2025 was USD 1.6 billion, net cash used for investing activities was USD 1.2 billion, and net cash used for financing activities was USD 1.5 billion. Cash and cash equivalents were USD 532.3 million at December 31, 2025, and Labcorp said it had USD 1.0 billion of available borrowings under its revolving credit facility (amended June 27, 2025; expires 2030). The company said it borrowed an additional USD 225.0 million under its accounts receivable securitization facility in 2025, bringing the amount outstanding to USD 525.0 million at December 31, 2025, and amended the facility on January 28, 2026 to extend the scheduled termination date to January 26, 2029 and permit an optional increase in the facility limit from USD 700.0 million to USD 825.0 million by May 29, 2026. Labcorp paid USD 240.7 million in common stock dividends in FY 2025 and announced a cash dividend of USD 0.72 per share (about USD 61.0 million aggregate) payable March 12, 2026. Business and corporate updates included the June 30, 2025 expiration of the transition services agreement related to the Fortrea spin-off, which management said reduced fees charged to Fortrea by USD 76.2 million in FY 2025 versus FY 2024 (recorded in other, net). Labcorp also cited the impact of Invitae on revenue growth and operating performance, recorded USD 105.5 million of charges associated with the restructuring of its Early Development $(ED)$ business within FY 2025 restructuring charges, and said an SYNLAB investment that closed in Q1 2025 contributed to the higher equity method loss. The company also discussed the July 4, 2025 enactment of the OBBBA, noting potential utilization pressure from reduced insurance coverage but stating it currently believes any such reduction would not likely be material. Labcorp said it expects to pay up to USD 415.0 million related to pending acquisitions of select clinical laboratory assets from Empire City Laboratories and select outreach assets from Parkview Health System; it said the Empire City transaction closed in Q1 2026 and expects the Parkview acquisition to close in 2026.
Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Labcorp Holdings Inc. published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0000920148-26-000111), on February 24, 2026, and is solely responsible for the information contained therein.
Comments