NASDAQ$IDXX

IDEXX Laboratories Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

IDEXX reported a 10% increase in revenue and EPS of $1.04 for Q4 2019.

IDEXX Laboratories reported a 10% increase in revenue for the fourth quarter of 2019, driven by Companion Animal Group (CAG) Diagnostics recurring revenue and growth in the Water and Livestock, Poultry and Dairy (LPD) businesses. Earnings per diluted share were $1.04, representing a 6% growth.

  • Revenue growth in Q4 of 10% driven by CAG Diagnostics recurring revenue growth of 11%.
  • Catalyst placements at new and competitive accounts increased by 19% year-over-year.
  • Full year EPS of $4.89, representing 15% growth.
  • 2020 revenue guidance increased to $2,620 million - $2,655 million, reflecting consistent expectations for revenue growth of 9% - 10.5%.

Headline financials

Total Revenue

$605M

Previous: $549M+10.2%
EPS (adj)

$1.04

Previous: $0.98+6.1%
Capital Expenditures

$45.9M

Previous: $33.1M+38.7%
Free Cash Flow

$110M

Previous: $103M+6.8%
Net Income

$90.5M

Previous: $85.6M+5.7%
Operating Income

$116M

Previous: $115M+0.2%
Gross Profit

$331M

Previous: $300M+10.3%
Cash & Equivalents

$90.3M

Previous: $124M-27.0%
Total Assets

$1.83B

Previous: $1.54B+19.2%
Stock-Based Comp

$16.7M

Previous: $6.21M+168.2%

Revenue & EPS history

IDEXX · Revenue · Quarterly

$605M

Q4 2019+10.2%vs Q4 2018
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Revenue by segment

IDEXX · $605M total across 9 segments · Q4 2019

  • Reference labs
    $201M
  • VetLab consumables
    $174M
  • Rapid assay products
    $50.2M
  • Vet software & imaging
    $43.9M
  • Dx capital instruments
    $39.8M
  • LPD
    $36.7M
  • Water
    $32.9M
  • Dx services & accessories
    $21.2M
  • Other
    $6.14M

Forward guidance

The Company is raising its 2020 revenue outlook to $2,620 million - $2,655 million and increasing its 2020 EPS outlook to $5.42 - $5.58 per share.

Tailwinds

  • Revenue outlook increased to $2,620M - $2,655M.
  • Consistent outlook for reported and organic revenue growth of 9% - 10.5%.
  • Expectations for CAG Diagnostics recurring revenue growth of 11% - 12%.
  • EPS outlook increased to $5.42 - $5.58 per share.
  • Targeted EPS growth of 11% - 14% on a reported basis.

Headwinds

  • Stronger U.S. dollar will reduce full year 2020 reported revenue growth by approximately 0.5%.
  • Stronger U.S. dollar will reduce full year 2020 EPS growth by approximately 2%.
  • Stronger U.S. dollar will reduce EPS by an estimated $0.09 per share.
  • Projecting free cash flow at approximately 75% - 80% of net income in 2020.
  • Includes approximately 7% impact related to $35 million of major facility capital spending.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2019

Historical avgQ4 2019

+0.7%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+2.8%

Avg return

30 days after

43%

30 / 69 earnings

Positive

+27.5%

Q2 2025

Best reaction

-18.9%

Q1 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.4%-0.6%-0.1%
Q4 2025-4.8%-3.9%-3.2%
Q3 2025+14.9%+12.5%+15.3%
Q2 2025+27.5%+22.9%+18.4%
Q1 2025+9.0%+9.5%+18.7%
Q4 2024+11.1%+8.9%+3.6%
Q3 2024-7.5%-7.8%-6.5%
Q2 2024+2.6%+6.1%+3.1%
Q1 2024-3.4%-3.2%+0.9%
Q4 2023+7.6%+8.5%+5.8%
Q3 2023+5.0%+5.9%+20.8%
Q2 2023-6.4%-9.1%-7.8%
Q1 2023-2.2%-0.2%-4.0%
Q4 2022+5.2%+0.7%-0.0%
Q3 2022+3.6%+3.4%+22.1%
Q2 2022+2.2%+2.4%-12.1%
Q1 2022-11.7%-20.9%-14.5%
Q4 2021+5.0%+0.8%+4.3%
Q3 2021-6.1%-4.4%-10.1%
Q2 2021-3.6%-0.8%-5.1%
Q1 2021-3.6%-1.0%+0.1%
Q4 2020-1.4%+2.1%-1.3%
Q3 2020+0.5%+5.0%+7.4%
Q2 2020+4.8%+5.8%+2.6%
Q1 2020-0.7%+3.4%+13.3%
Q4 2019-2.8%-3.3%-10.3%
Q3 2019+1.1%-3.5%-8.1%
Q2 2019-4.7%-4.1%+2.7%
Q1 2019+4.5%+8.6%+7.7%
Q4 2018-4.5%-1.9%+1.5%
Q3 2018-3.4%-4.6%-3.9%
Q2 2018-1.7%-0.8%+3.7%
Q1 2018+6.0%+5.5%+10.0%
Q4 2017-0.4%-3.7%-0.7%
Q3 2017-3.1%-5.4%-4.9%
Q2 2017-9.2%-8.3%-6.6%
Q1 2017+0.6%-1.5%+2.9%
Q4 2016+15.7%+16.6%+19.8%
Q3 2016-1.6%-0.9%+6.6%
Q2 2016+15.5%+16.6%+21.0%
Q1 2016+5.6%
Q4 2015+10.4%
Q3 2015-8.8%
Q2 2015+9.4%
Q1 2015-18.9%
Q4 2014-3.1%
Q3 2014+9.8%
Q2 2014-2.7%
Q1 2014+2.9%
Q4 2013+6.5%
Q3 2013-1.0%
Q2 2013-0.6%
Q1 2013-6.4%
Q4 2012-3.5%
Q3 2012-1.1%
Q2 2012-5.3%
Q1 2012-3.4%
Q4 2011-0.5%
Q3 2011+3.2%
Q2 2011+6.3%
Q1 2010+0.0%
Q1 2011+3.0%
Q4 2008-3.9%
Q4 2010-3.9%
Q3 2009-1.4%
Q3 2010-1.4%
Q4 2009-2.7%
Q2 2009-2.7%
Q2 2010-2.7%

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