BURLINGTON — LabCorp on Tuesday reported a first-quarter profit of $212.9 million – not quite meeting Wall Street expectations. But revenues did collectively beat the target of analysts.
The numbers were good enough that Adam Schechter, chairman and CEO of Labcorp (NYSE: LH), was upbeat in his assessment as the life science giant continues to move forward on plans to spin off its clinical development business.
“Labcorp’s first quarter results set the foundation for a strong 2023, led by continued industry leadership and strength in our Diagnostics and Central Laboratories, and strong fundamentals in our Early Development Research Laboratories,” Schechter said in a statement.
“We are on track to complete the spin of Fortrea, our Clinical Development business, by mid-year, and anticipate the business to accelerate in the second half of the year. Labcorp remains well positioned for customers and shareholders as we pursue our mission to improve health and improve lives,” he added.
On a per-share basis, the Burlington-based company said it had net income of $2.39. Earnings, adjusted for one-time gains and costs, came to $3.82 per share.
The results fell short of Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment Research was for earnings of $3.99 per share.
The medical laboratory operator posted revenue of $3.78 billion in the period, topping Street forecasts. Six analysts surveyed by Zacks expected $3.75 billion.
LabCorp expects full-year earnings in the range of $16.25 to $17.75 per share.
Labcorp employs thousands of people across North Carolina, including a major presence in Research Triangle Park.
For the full earnings report, see: https://ir.labcorp.com/news-releases/news-release-details/labcorp-announces-2023-first-quarter-results