EarningsQ3 2026 Earnings Report
MX:DGX Q3 2026 EPS Results
Actual EPS$56.17
Consensus EPS$53.83
Beat/MissBeat by +$2.34
One Year Ago EPS$48.68
MX:DGX Q3 2026 Revenue Results
Actual Revenue$57.99B
Expected Revenue$57.15B
Beat/MissBeat by +$840.86M
YoY Revenue Growth+9.98%
Earnings Announcement Details
QuarterQ3 2026
Date10/22/2026
TimeBefore Open
Conference CallThursday, October 22, 2026
MX:DGX Upcoming Earnings
Quest Diagnostics's next earnings date is estimated for February 4, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:DGX Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall, supported by 10% revenue growth, 15.4% adjusted EPS growth, broad organic volume gains, improving margins, strong channel performance, productivity initiatives, and raised full-year guidance. The main negative factors were the expected PAMA revenue headwind, broad anticipated rate cuts, wage and fuel cost pressure, additional Project Nova spending, and an early-stage cybersecurity investigation. Management stated that it intends to offset a portion of the PAMA impact and maintained confidence in utilization and underlying demand.Company Guidance
Strong Third-Quarter Revenue and Earnings Growth
Third-quarter consolidated revenues were $3.1 billion, up 10% versus the prior year. Adjusted EPS was $3.00 versus $2.60 a year ago, an increase of 15.4%, driven largely by strong organic operating performance.
Broad Organic Volume and Revenue Momentum
Diagnostic information services revenues increased 10.2% year over year and 10.1% organically. Total requisition volume increased 14.5%, with organic volume up 14.4%. Excluding the Corewell Health and Fresenius Medical Care relationships, volume grew 5% and revenue grew 6.6%.
Operating Margin and Cash Flow Improvement
Reported operating income increased to $479 million, or 15.5% of revenues, from $386 million, or 13.7%, in the prior year. Adjusted operating income increased to $517 million, or 16.7% of revenues, from $458 million, or 16.3%, representing a 40-basis-point improvement. Year-to-date cash from operations was $1.49 billion versus $1.42 billion in the prior year.
Raised Full-Year 2026 Guidance
Quest raised and narrowed its full-year guidance to revenue of $12.065 billion-$12.105 billion, reflecting growth of 9.3%-9.7%; reported EPS of $10.21-$10.31; adjusted EPS of $11.25-$11.35; cash from operations of approximately $1.9 billion; and capital expenditures of approximately $550 million. Operating margin is expected to expand versus the prior year, while interest expense is expected to be lower than in 2025.
Physician Channel Growth and Kidney Diagnostics Expansion
Physician-channel revenue grew at a high single-digit rate on strong commercial execution and broad demand across the test portfolio. Quest expanded access through health-plan collaborations and outreach acquisitions, continued its collaboration with Fresenius Medical Care, and was named the primary national lab provider for pre-dialysis chronic kidney disease testing for a kidney care organization.
Hospital Channel and Co-Lab Performance
Hospital-channel revenue grew by double digits, supported by strong volume from Co-Lab Solutions with Corewell Health in Michigan. Reference-testing revenue grew in the mid-single digits. Quest also reported a robust pipeline of potential Co-Lab collaborations and outreach acquisitions.
Planned Outreach Asset Acquisition
Quest finalized a definitive agreement to acquire select outreach assets from a longtime Co-Lab customer and leading health system in the Northeastern U.S. The transaction is expected to close later in 2026.
Consumer Health Growth Above 30%
Quest expects its consumer-health growth rate to exceed 30% for the full year. The company said consumer-health margins are accretive to overall operating margins, supported by no denials, no patient concessions, and dense requisitions that can include approximately 10 tests or more.
Apple Health App Partnership
Quest is beta testing an offering that allows iPhone and iPad users to purchase, schedule, and receive results for tests covering more than 50 biomarkers through the Apple Health app. The offering also includes blood pressure and weight measurements at one of Quest's 2,000 Patient Service Centers and is expected to launch later in 2026.
Advanced Diagnostics Growth
Revenue grew by double digits for key tests in several advanced-diagnostics areas, including advanced cardiometabolic, hormone, and Alzheimer's disease testing.
Expanded Alzheimer's Testing Portfolio
Quest launched a new AD-Detect panel combining APOE, amyloid beta, and p-tau217 biomarkers and plans to add the FDA-cleared Roche p-tau217 test to its portfolio. The company stated that the biomarkers provide complementary information to improve accuracy and that it expects to add further biomarkers to support earlier diagnosis and treatment.
Women's Health Self-Collection Collaboration
Quest formed an industry collaboration with Waters Corporation to provide access to the Onclarity self-collection kit through clinical, health-plan, and consumer-health channels, including Quest Patient Service Centers. Quest expects to introduce the at-home option to clinicians, health plans, and questhealth.com consumers in 2027.
Invigorate Productivity Program
Quest remains on track to deliver 3% in annual cost savings and productivity improvements through its Invigorate program. Automation and AI were identified as major drivers of improvements in quality, productivity, and efficiency.
Automation and AI Deployment Across Laboratories
Quest extended automated specimen aliquoting to three drug-monitoring laboratories, bringing the total number of labs using an automated aliquoting solution to 10, with plans to extend the capability further. The Clifton, New Jersey lab also began using AI to scan dialysis water for microbes and impurities and automatically release specimens with negative findings.
Project Nova Progress
Project Nova advanced from the design phase to the solutions-build phase. Quest remains on schedule to begin deploying Epic solutions in its first laboratory in fall 2027.
Strong Underlying Growth Across Channels
Excluding Corewell and Fresenius, Quest reported strong growth across physician, hospital reference, and consumer channels. Hospital-reference volume grew by double digits, physician revenue grew above mid-single digits, and consumer-health growth remained above 30% for the year.
Limited ACA Exchange Impact
ACA exchange requisition volume declined 8% in the quarter, while tests per requisition increased 8%, resulting in a 3% decline in net tests. Quest estimated the overall revenue impact at approximately 10 basis points and described it as a minimal impact because higher-acuity patients and higher-revenue tests remained.
Kidney Care Commercial Opportunity
Following the Fresenius relationship, Quest opened new relationships with nephrologists and fielded a specialized sales force focused on cardiometabolic testing for early-, mid-, and late-stage kidney disease. The company said this should result in additional opportunities in 2027.
Support for PAMA Reform
Quest and the American Clinical Laboratory Association continue to advocate for the bipartisan, bicameral RESULTS Act. More than 135 members of Congress are described as co-sponsors, and the company expects a Congressional Budget Office score in the mid-to-late November timeframe, with the goal of including the legislation in an end-of-year package.
MX:DGX Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed