Labcorp Holdings (LH) Q3 2026 Earnings Report
MX:LH Q3 2026 EPS Results
- Actual EPS
- MXN 90.26
- Consensus EPS
- MXN 87.69
- Beat/Miss
- Beat by +MXN 2.57
- One Year Ago EPS
- MXN 78.93
MX:LH Q3 2026 Revenue Results
- Actual Revenue
- MXN 71.94B
- Expected Revenue
- MXN 70.97B
- Beat/Miss
- Beat by +MXN 969.83M
- YoY Revenue Growth
- +6.92%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/28/2026
- Time
- Before Open
- Conference Call
- Wednesday, October 28, 2026
MX:LH Upcoming Earnings
Labcorp Holdings's next earnings date is estimated for February 11, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:LH Q3 2026 Earnings Call
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Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall. LabCorp reported broad-based revenue growth, margin expansion, 14.5% adjusted EPS growth, higher 2026 guidance, strong diagnostics and biopharma laboratory demand, a robust backlog, and multiple specialty testing and acquisition opportunities. The principal negative issue was the proposed PAMA reimbursement reduction and its estimated $125 million 2027 impact, along with smaller ACA and foreign exchange headwinds. Management emphasized multiple stated offsets, including organic growth, BLS momentum, Launchpad savings, and business development, so the highlights significantly outweighed the lowlights.
Company Guidance
For full-year 2026, enterprise revenue is expected to grow 5.9% to 6.7%, including a 30 basis point benefit from foreign currency translation versus a 40 basis point benefit in prior guidance; Diagnostics revenue growth is expected at 5.5% to 6.2%, BLS segment revenue growth at 7.4% to 8.4%, and central lab revenue is expected to grow in the high single digits on an organic constant currency basis while early development is expected to grow in the low single digits. Enterprise margin expansion is expected relative to 2025, Launchpad remains on track for the $125 million full-year savings target, adjusted EPS guidance is $18.30 to $18.70, with an implied growth rate at the midpoint of 12.5%, free cash flow guidance is $1.24 billion to $1.36 billion, capital expenditures are expected to be nearly 4% of revenue, and the full-year adjusted tax rate is expected to be nearly 23%. For 2027, the company estimates the impact of PAMA to be approximately $125 million and expects to offset a portion of that impact.
- Strong Third-Quarter Financial PerformanceRevenue grew 6.9% to approximately $3.8 billion, adjusted operating margin expanded 60 basis points to 15.0%, adjusted EPS increased 14.5% to $4.78, and free cash flow rose to $412 million from $281 million in the prior year.
- Organic Growth and Operating LeverageOrganic revenue growth was 5.5%, with net acquisitions contributing 1.5% of growth and foreign currency translation reducing growth by 0.1%. Management attributed margin expansion and double-digit earnings growth to organic revenue growth, operating efficiencies, and productivity improvements.
- Diagnostics Segment GrowthDiagnostics revenue increased 6.5% to $2.9 billion. Organic revenue growth was 4.4%, consisting of 3.1% volume growth and 1.3% favorable price/mix, while acquisitions contributed 2.2% to revenue growth.
- Diagnostics Margin ExpansionDiagnostics adjusted operating income increased to $492 million from $450 million, and adjusted operating margin expanded 40 basis points to 16.7% from 16.3%, driven by healthy organic growth and operating efficiencies.
- Biopharma Laboratory Services MomentumBLS revenue increased 8.5% to $867 million, while organic constant-currency revenue growth was 9.6%. Central Laboratory Services grew 11.3% and early development grew 5% on an organic constant-currency basis.
- BLS Margin and Backlog StrengthBLS adjusted operating income increased to $159 million from $132 million, and adjusted operating margin expanded 180 basis points to 18.3%. The segment ended the quarter with an $8.9 billion backlog, approximately $2.8 billion of which is expected to convert into revenue over the next 12 months. Quarterly book-to-bill was 1.13 and trailing-twelve-month book-to-bill was 1.10.
- Raised 2026 Revenue and EPS GuidanceThe company raised the midpoint of its 2026 enterprise revenue guidance by $65 million and adjusted EPS guidance by $0.18. Enterprise revenue is now expected to grow 5.9% to 6.7%, diagnostics revenue growth is expected at 5.5% to 6.2%, and BLS revenue growth is expected at 7.4% to 8.4%.
- Higher Full-Year Earnings and Cash Flow OutlookAdjusted EPS guidance is $18.30 to $18.70, implying 12.5% growth at the midpoint. Free cash flow guidance remains $1.24 billion to $1.36 billion, and capital expenditures are expected to be nearly 4% of revenue.
- Launchpad Productivity Program on TrackLaunchpad remains on track to deliver its $125 million full-year savings target. Management also said the initiatives are being accelerated in preparation for 2027.
- Specialty Testing Growing Faster Than the MarketManagement said the specialty testing business continues to grow about three times faster than the broader diagnostics market and is generating a halo effect for the core laboratory business because physicians often order specialty tests alongside other LabCorp tests.
- Advances in Oncology and Precision MedicineLabCorp received FDA approval for a companion diagnostic supporting treatment decisions for patients with advanced melanoma, strengthening the PGDX platform and its position in companion diagnostics. The company also announced a clinical study with the Knight Cancer Institute evaluating its PlasmaDetect genome MRD test for recurrence of muscle-invasive bladder cancer.
- Expansion of Neurology TestingSubsequent to the quarter, LabCorp launched an FDA-cleared pTau217 Alzheimer's disease test for primary and specialty care settings. Management said the test is intended to support earlier and more accessible detection in a fast-growing specialty testing area.
- Additional Diagnostic Test and Screening LaunchesThe company launched a hepatitis D reflex test and announced a collaboration with Waters Corporation that positions LabCorp as the first commercial laboratory to offer the FDA-approved BD Onclarity HBV assay across clinician and self-collected screening options, including in-clinic, patient service center, and at-home settings.
- Strategic Acquisitions and Partnership ExpansionLabCorp acquired MLM Medical Labs, expanding its wholly owned central laboratory network to four continents: North America, Europe, Asia, and Africa. It also partnered with the National Association of Community Health Centers to support leadership development, practice improvement, and community health initiatives.
- Three Additional Acquisition AgreementsThe company signed agreements to acquire select assets of BioReference's laboratory testing business, Myriad Genetics' prenatal health testing business, and Millennium Health. Each transaction is expected to be accretive to adjusted EPS in the first year and to return the cost of capital by year three, subject to regulatory approvals and customary closing conditions.
- Expected Contributions from Announced AcquisitionsThe BioReference transaction is expected to generate $260 million of revenue in the first 12 months and approximately $0.15 of adjusted EPS including financing costs. The Myriad transaction is expected to add approximately $100 million of revenue and be slightly accretive to adjusted EPS in year one.
- Personalized Health Solutions ExpansionLabCorp launched 140 panels and tests across many conditions to help consumers understand their health over time and announced a collaboration with Thrive Global to launch the Thrive5 Health test on LabCorp OnDemand, combining laboratory results with other health biomarkers and personalized educational content.
- Technology and Innovation ProgressThe company continued investments in the MyLabCorp app, test finder, laboratory robotics, digital pathology, and other automation. BLS launched the next generation of LabCorp Global Trial Connect, and Forbes named LabCorp to its list of America's best employers for tech workers.
- Capital Deployment FlexibilityLabCorp spent $256 million on acquisitions and paid $58 million in dividends during the quarter. It ended the quarter with $262 million in cash and $5.9 billion in total debt, with approximately $1.4 billion remaining under its share repurchase authorization.
- Capacity Supports Future BLS GrowthManagement said LabCorp has substantial capacity across its wholly owned laboratories on four continents and is increasing access in regions such as Latin America. The company is also building a state-of-the-art laboratory facility in Indianapolis in response to anticipated continued growth, particularly in Central Laboratory Services.
- Continued Business Development PipelineManagement said the partnership and acquisition pipeline remains strong across hospital deals, local and regional laboratories, and other opportunities. The company expects acquisitions to contribute approximately 1.5% to 2.5% of revenue growth over time.
- Women's Cardiovascular Health OpportunityManagement said physicians are already increasingly screening women for cardiovascular disease and that recommendations from major medical societies could reinforce the importance of coverage and increase physician prescribing of relevant tests over time.
MX:LH Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 11, 2027 | 2026 (Q4) | 85.16- | 76.85 | ― | ― |
| Oct 28, 2026 | 2026 (Q3) | 87.6990.26 | 78.93 | 14.35% (+11.33) | |
| Jul 30, 2026 | 2026 (Q2) | 90.2494.22 | 82.14 | 14.71% (+12.08) | |
| Apr 30, 2026 | 2026 (Q1) | 77.6180.25 | 72.51 | 10.68% (+7.74) | |
| Feb 17, 2026 | 2025 (Q4) | 74.5176.85 | 65.14 | 17.97% (+11.71) | |
| Oct 28, 2025 | 2025 (Q3) | 77.9878.93 | 66.09 | 19.43% (+12.84) | |
| Jul 24, 2025 | 2025 (Q2) | 78.7082.14 | 74.4 | 10.41% (+7.74) | |
| Apr 29, 2025 | 2025 (Q1) | 70.6672.51 | 69.49 | 4.35% (+3.02) | |
| Feb 06, 2025 | 2024 (Q4) | 64.0565.14 | 62.31 | 4.55% (+2.83) | |
| Oct 24, 2024 | 2024 (Q3) | 65.5866.09 | 63.82 | 3.55% (+2.27) |
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