Bio Rad Laboratories Inc
NYSE:BIO
Bio Rad Laboratories Inc
Bio-Rad Laboratories Inc. began its journey in 1952 and has since positioned itself as a formidable player in the life sciences and clinical diagnostics sectors. Founded by David and Alice Schwartz, the company thrived on the burgeoning interest in biological research, carving a niche by supplying essential products to scientists and healthcare professionals. With its headquarters in Hercules, California, Bio-Rad has continually developed a suite of innovative solutions that cater to both academic research and the intricate needs of clinical diagnostics, paving its way to becoming a global leader. Their operations are distinctly bifurcated: Life Science, which focuses on products for gene expression, protein purification, and food safety, and Clinical Diagnostics, offering tools for blood testing and diabetes monitoring.
The core of Bio-Rad’s business model lies in its ability to design and manufacture advanced technological products that streamline laboratory processes, making research and diagnostics more efficient and reliable. The Life Science segment generates revenue by selling reagents, lab instruments, and software that facilitate various laboratory protocols and experiments, assisting scientists in their pursuit of breakthroughs in biotechnology and pharmaceutical development. Meanwhile, the Clinical Diagnostics segment garners earnings through the provision of innovative testing and analysis tools that enable accurate disease diagnosis, blood analysis, and quality control. Guided by a robust infrastructure of research and development, the company continuously adapts to the evolving demands of science and healthcare, maintaining its fiscal health while reinforcing its reputation as a trusted provider in the global market.
Bio-Rad Laboratories Inc. began its journey in 1952 and has since positioned itself as a formidable player in the life sciences and clinical diagnostics sectors. Founded by David and Alice Schwartz, the company thrived on the burgeoning interest in biological research, carving a niche by supplying essential products to scientists and healthcare professionals. With its headquarters in Hercules, California, Bio-Rad has continually developed a suite of innovative solutions that cater to both academic research and the intricate needs of clinical diagnostics, paving its way to becoming a global leader. Their operations are distinctly bifurcated: Life Science, which focuses on products for gene expression, protein purification, and food safety, and Clinical Diagnostics, offering tools for blood testing and diabetes monitoring.
The core of Bio-Rad’s business model lies in its ability to design and manufacture advanced technological products that streamline laboratory processes, making research and diagnostics more efficient and reliable. The Life Science segment generates revenue by selling reagents, lab instruments, and software that facilitate various laboratory protocols and experiments, assisting scientists in their pursuit of breakthroughs in biotechnology and pharmaceutical development. Meanwhile, the Clinical Diagnostics segment garners earnings through the provision of innovative testing and analysis tools that enable accurate disease diagnosis, blood analysis, and quality control. Guided by a robust infrastructure of research and development, the company continuously adapts to the evolving demands of science and healthcare, maintaining its fiscal health while reinforcing its reputation as a trusted provider in the global market.
Revenue & Margins: Bio-Rad delivered Q4 and full year 2025 results within revised guidance for revenue and operating margin, but gross margin came in below expectations due to higher supply chain costs.
Diagnostics Growth: The Diagnostics segment returned to growth in Q4, supported by strong quality control and blood typing product sales across all major regions.
Life Science Segment: Life Science saw declines due to soft academic and biotech funding, but the QX 700 ddPCR platform performed strongly, and core Life Science (excluding process chromatography) showed slight growth.
Process Chromatography Headwinds: Process chromatography revenues declined due to changes in vaccine demand and customer production strategies; further mid-teens declines are expected in 2026.
Cost Actions & Restructuring: Cost discipline and restructuring efforts reduced the overall cost base, and savings are reflected in the 2026 outlook.
2026 Outlook: Bio-Rad guided for 0.5%-1.5% currency-neutral revenue growth, 54%-54.5% gross margin, and 12%-12.5% operating margin in 2026, with sequential improvement expected throughout the year.
Strong Cash Flow: Free cash flow improved to $375 million for 2025, with 2026 guidance of $375-$395 million.
Capital Allocation: No share repurchases took place in Q4, but $285 million remains authorized for future buybacks.
