Idexx Laboratories raised its full-year earnings outlook after reporting better-than-expected third-quarter results on Monday, as growing demand for veterinary diagnostics helped the pet healthcare company overcome continued pressure on the industry.
Shares of Idexx surged 15% to $635.79, putting the stock on track for its largest daily percent increase since August 2025, according to Dow Jones Market Data. The stock has fallen 6% in 2026.
Idexx was the top-performing stock in the S&P 500 and Nasdaq 100. The S&P 500 rose 0.8%.
The company reported third-quarter earnings of $4.01 a share, exceeding consensus calls for $3.72, according to FactSet. Idexx reported a 10% year-over-year increase in revenue to $1.21 billion, above estimates of $1.19 billion.
Idexx's core veterinary diagnostics business reported 10% organic revenue growth in the third quarter, driven by an 11% increase in recurring revenue from diagnostic tests and related products. Recurring diagnostics revenue grew 10% year over year in the U.S. and 14% organically in international markets.
Sales of consumable products used in veterinary diagnostic testing grew 15%, while revenue from lab testing services increased 10%. The company also placed more than 1,900 of its newest diagnostic analyzers during the quarter, bringing its global installed base to nearly 11,000 instruments.
Idexx also raised its full-year earnings forecast to between $14.96 and $15.16 a share, up from a previous outlook of $14.69 to $14.96. The company increased its revenue estimates to between $4.74 billion and $4.77 billion, from $4.70 billion to $4.74 billion.
The growth contrasts with weakness across the broader veterinary industry. U.S. veterinary visits declined 1.6% in the third quarter, a modest improvement from the previous quarter, Morgan Stanley analysts wrote in a research note.
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