NYSE$CRL

Charles River Laboratories International Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Charles River Labs' performance was driven by strong revenue growth and strategic execution.

Charles River Laboratories reported a strong third quarter with revenue of $895.9 million, a 20.5% increase from the third quarter of 2020. GAAP earnings per share were $2.01, while non-GAAP earnings per share were $2.70. The company updated its 2021 financial guidance to reflect recent divestitures and foreign exchange impacts.

  • Revenue increased by 20.5% year-over-year to $895.9 million.
  • GAAP earnings per share decreased by 1.0% year-over-year to $2.01.
  • Non-GAAP earnings per share increased by 15.9% year-over-year to $2.70.
  • The company updated its 2021 financial guidance to reflect recent divestitures and foreign exchange impacts.

Headline financials

Total Revenue

$896M

Previous: $743M+20.5%
EPS (adj)

$2.70

Previous: $2.33+15.9%
Free Cash Flow

$103M

Previous: $103M+0.5%
Net Income

$103M

Previous: $103M+0.5%
Operating Income

$156M

Previous: $133M+17.4%
Gross Profit

$5.82M

Previous: $440K+1223.0%
Cash & Equivalents

$213M

Previous: $243M-12.5%
Total Assets

$7.06B

Previous: $5.21B+35.4%
Stock-Based Comp

$22M

Previous: $16.9M+30.5%

Revenue & EPS history

Charles River Labs · Revenue · Quarterly

$896M

Q3 2021+20.5%vs Q3 2020
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Charles River Labs · $896M total across 3 segments · Q3 2021

  • Discovery & Safety Assessment
    $532M+15.3%
  • Manufacturing Solutions
    $193M+48.1%
  • Research Models & Services
    $171M+12.7%

Forward guidance

The Company is updating its 2021 financial guidance. Foreign currency translation is now expected to benefit reported revenue growth by 1.5% to 2.0% in 2021. The Company is updating its GAAP and non-GAAP earnings per share guidance, primarily to reflect a lower-than-expected tax rate.

Tailwinds

  • Revenue growth, reported 19.5% – 20.5%
  • Revenue growth, organic 13.5% – 14.5%
  • GAAP EPS estimate $7.05 – $7.15
  • Non-GAAP EPS estimate $10.20 – $10.30
  • Free cash flow ~$500 million

Headwinds

  • Contribution from acquisitions/ divestitures, net (4.0%) – (4.5%)
  • Unfavorable/(favorable) impact of foreign exchange (1.5%) – (2.0%)
  • Acquisition-related amortization $1.90 – $1.95
  • Acquisition and integration-related adjustments $0.65 – $0.70
  • Venture capital and other strategic investment losses/(gains), net $0.26

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 Q3 2021

Historical avgQ3 2021

+0.1%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+0.7%

Avg return

30 days after

47%

32 / 68 earnings

Positive

+18.4%

Q1 2025

Best reaction

-13.3%

Q3 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.8%-9.0%-0.1%
Q4 2025-1.8%+3.1%-3.1%
Q3 2025-5.5%-5.0%+3.6%
Q1 2025+18.4%+24.0%+25.4%
Q4 2024+6.9%+10.4%+8.3%
Q3 2024+11.5%+17.0%+1.7%
Q2 2024-11.7%-15.1%-17.8%
Q1 2024-3.0%-1.0%-8.7%
Q4 2023+11.4%+11.2%+17.6%
Q3 2023-7.3%-7.0%+11.8%
Q2 2023+5.5%+5.2%-3.2%
Q1 2023+2.7%+1.0%+6.1%
Q4 2022-6.7%-9.0%-20.4%
Q3 2022+4.8%+9.0%+7.4%
Q2 2022-6.6%-9.4%-17.8%
Q1 2022-1.2%-8.9%-3.3%
Q4 2021-6.7%-6.1%-8.3%
Q3 2021-12.2%-13.4%-17.3%
Q2 2021-0.3%-0.4%+9.3%
Q1 2021+4.0%+3.2%-0.1%
Q4 2020+2.0%-1.1%-0.0%
Q3 2020+2.6%+7.0%+3.7%
Q2 2020+6.8%+7.3%+0.4%
Q1 2020+11.1%+12.0%+24.2%
Q4 2019+8.6%+11.9%-21.3%
Q3 2019-2.5%+1.1%+12.0%
Q2 2019-5.1%-10.3%-7.0%
Q1 2019-4.2%-4.1%-10.4%
Q4 2018+8.1%+9.0%+11.1%
Q3 2018+8.8%+6.8%+3.0%
Q2 2018-5.2%-6.6%-1.6%
Q1 2018+0.3%-1.0%+8.5%
Q4 2017+8.2%+6.0%+9.9%
Q3 2017-13.3%-14.3%-11.9%
Q2 2017-1.7%-0.2%+10.0%
Q1 2017-3.8%-2.3%+2.8%
Q4 2016+7.6%+7.3%+8.4%
Q3 2016-9.0%-5.1%-3.0%
Q2 2016-0.0%-3.1%-3.0%
Q1 2016+2.5%
Q4 2015+3.9%
Q3 2015+5.7%
Q2 2015+1.4%
Q1 2015-8.8%
Q4 2014+6.3%
Q3 2014-1.9%
Q2 2014+6.0%
Q1 2014-6.6%
Q4 2013-1.6%
Q3 2013-1.2%
Q2 2013+3.4%
Q1 2013-3.9%
Q4 2012+0.9%
Q3 2012-5.3%
Q2 2012+2.3%
Q1 2012+1.8%
Q4 2010-1.3%
Q4 2011-1.3%
Q3 2011-5.0%
Q2 2011-9.4%
Q1 2010-2.4%
Q1 2011-0.1%
Q4 2008-0.9%
Q3 2010-4.4%
Q3 2009-4.4%
Q2 2010+3.6%
Q4 2009+3.6%
Q2 2009+3.6%

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