NYSE$CRL

Charles River Laboratories International Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Charles River Labs' third quarter performance in 2024 saw a slight revenue decrease, but exceeded prior outlook due to stable demand indicators.

Charles River Laboratories reported a revenue of $1.01 billion for Q3 2024, a 1.6% decrease compared to Q3 2023. GAAP EPS was $1.33, while non-GAAP EPS was $2.59. The company is navigating a challenging period with biopharmaceutical clients reducing spending, but biotech funding has improved, showing early signs of stabilization.

  • Third-quarter revenue was $1.01 billion, a 1.6% decrease year-over-year.
  • GAAP earnings per share were $1.33, and non-GAAP earnings per share were $2.59.
  • The GAAP operating margin decreased to 11.6% from 14.8% in the third quarter of 2023.
  • The company repurchased 500,000 shares during the third quarter of 2024 for a total of $100.7 million.

Headline financials

Total Revenue

$1.01B

Previous: $1.03B-1.6%
EPS

$1.33

Previous: $2.72-51.1%
GAAP Operating Margin

11.6%

No prior period
Non-GAAP Operating Margin

19.9%

No prior period
RMS GAAP Operating Margin

13.9%

No prior period
RMS Non-GAAP Operating Margin

21.0%

No prior period
DSA GAAP Operating Margin

20.6%

No prior period
DSA Non-GAAP Operating Margin

27.4%

No prior period
Manufacturing GAAP Operating Margin

20.4%

No prior period
Manufacturing Non-GAAP Operating Margin

28.7%

No prior period
Capital Expenditures

-$38.7M

Previous: -$65.9M+41.3%
Free Cash Flow

$69.7M

Previous: $87.4M-20.3%
Net Income

$69.7M

Previous: $87.4M-20.3%
Operating Income

$117M

Previous: $152M-22.5%
Gross Profit

$349M

Previous: $22.3M+1468.4%
Cash & Equivalents

$210M

Previous: $157M+33.7%
Total Assets

$8B

Previous: $7.61B+5.2%
Stock-Based Comp

$19.3M

Previous: $22.8M-15.2%

Revenue & EPS history

Charles River Labs · Revenue · Quarterly

$1.01B

Q3 2024-1.6%vs Q3 2023
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Charles River Labs · $1.03B total across 3 segments · Q3 2023

  • Discovery & Safety Assessment
    $664M+7.2%
  • Research Models & Services
    $187M+3.7%
  • Manufacturing Solutions
    $176M-7.3%

Forward guidance

The company is updating its financial guidance for 2024. Revenue and non-GAAP earnings per share guidance have been narrowed and slightly raised from the midpoint of the previous ranges to principally reflect the third-quarter financial performance, which exceeded the Company's prior outlook. In addition, GAAP earnings per share guidance has been reduced due primarily to increased charges related to the Company's additional restructuring actions.

Tailwinds

  • Revenue growth, reported between -3.0% and -2.0%.
  • Impact of divestitures/acquisitions, net ~ (0.5)%.
  • Favorable/unfavorable impact of foreign exchange ~ (0.5)%.
  • Revenue growth, organic between -4.0% and -3.0%.
  • Non-GAAP EPS estimate between $10.10 and $10.30.

Headwinds

  • GAAP EPS estimate between $5.30 and $5.50.
  • Acquisition-related amortization ~$2.50.
  • Acquisition and integration-related adjustments ~$0.35.
  • Costs associated with restructuring actions ~$1.50.
  • Certain venture capital and other strategic investment losses/(gains), net ($0.17).

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 2024

Historical avgQ3 2024

+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%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro