Idexx Laboratories Inc. grew year-over-year revenue and earnings in the third quarter on increased sales in its reference laboratory diagnostic and consulting services and instrument and consumables businesses, the company reported today.
The Westbrook, Maine-based company reported an 8 percent increase in organic revenue for the third quarter compared to the same period in 2010. Idexx defines organic revenue growth as revenue growth excluding the impact of changes in foreign currency exchange rates, which contributed 4 percent to revenue growth, and revenue from acquisitions subsequent to June 30, 2010, which contributed less than 1 percent to revenue growth in the third quarter of 2011.
Year-over-year placements of the company’s Catalyst Dx chemistry analyzer increased by 40 percent in the third quarter, which “bodes well for future consumable sales growth,” said Jonathan Ayers, Idexx CEO and chairman. Idexx’s global reference laboratory and consulting services business grew organic revenue by 10 percent in the third quarter compared to the year-ago period, Ayers added.
The company won several government tenders in Germany in connection with a country-wide eradication program for a virus impacting beef and dairy production yields. These tenders led to a 10 percent increase in organic growth in the company’s livestock and poultry diagnostics unit. The increase was partly offset by lower sales volumes of certain swine tests and lower sales of Bovine Spongiform Encephalopathy (mad cow disease) tests resulting from the changes in European Union testing requirements for the disease.
Earnings for the third quarter grew by 11 percent compared with the same period in 2010, and the company updated its 2011 full-year revenue projection from a range of $1.205 to $1.215 billion to “approximately $1.215 billion.” The company expects 2012 revenues to fall in the range of $1.295 to $1.315 billion.
Idexx reported net earnings of $38.5 million on revenues of $301.0 million for its third quarter ended Sept. 30, 2011, compared with earnings of $34.7 million on revenues of $269.6 million in the year-ago period. Year-to-date, the company reported net earnings of $123.8 million on revenues of $911.5 million, compared with earnings of $104.9 million on revenues of $819.6 million in the year-ago period.