IDEXX 2026年第3四半期決算説明会：売上高とEPSの見通しを引き上げ

主要ハイライト

• アイデックス・ラボラトリーズ（IDEXX Laboratories）の2026年第3四半期のオーガニック売上高成長率は、伴侶動物グループ（CAG）診断リカーリング売上高が同11%増加したことに牽引され、10%となりました。
• 第3四半期のEPSは報告ベースで18%増、比較可能ベースで22%増の4.01ドルとなりました。報告ベースの営業利益率は100ベーシスポイント上昇して33.1%となり、これには比較可能ベースでの約60ベーシスポイントの拡大が含まれます。
• 全米のCAG診断リカーリング売上高は、既存病院の診療件数が1.8%減少したものの、オーガニックベースで9.6%増加しました。海外リカーリング売上高はオーガニックベースで14%増加しました。
• プレミアム機器の設置台数は1,904台のinVue Dxアナライザーを含め5,780台に達しました。経営陣は、2026年のinVue Dx設置目標である5,500台と、5年間の目標である20,000台の両方を上回ると見込んでいます。
• アイデックスは、2026年通期の売上高見通し（ガイダンス）を47億4,100万〜47億6,700万ドルに、EPS見通しを14.96〜15.16ドルに上方修正しました。
• 9月に買収したCoVetは、年換算売上高約2,000万ドルを誇るAIネイティブの獣医ワークフロープラットフォームを追加するものですが、経営陣はこの取引により2026年のEPSが1株当たり約0.13ドル押し下げられると予想しています。

主要財務データ

事業および業績の動向

アイデックスVetLabの消耗品売上高は、プレミアム機器の稼働台数増加と検査メニュー利用の拡大に支えられ、オーガニックベースで15%増加しました。経営陣は、Catalyst膵リパーゼ、Catalystコルチゾール、およびSDMAを含む生化学検査クリップの導入が引き続き進んでいることを強調しました。

当四半期中、同社は5,780台のプレミアム機器を設置しました。これには1,904台のinVue Dxと、競合他社からの切り替えおよび新規設置によるCatalyst約1,200台が含まれます。世界におけるinVue Dxの稼働台数は11,000台に近づき、アナライザー1台当たりの年間リカーリング売上高は経営陣の想定範囲である3,500〜5,500ドル以内に留まりました。

第4四半期の開始時に、北米のすべてのinVue Dx顧客向けに穿刺吸引細胞生検（FNA）検査が利用可能になりました。経営陣によると、初期のユーザーは2倍の数の腫瘤を評価しているとのことです。また、同プラットフォームは第3四半期中に、血液形態測定機能に有核赤血球と偏心赤血球を追加しました。

世界の受託参考検査機関（リファレンス・ラボ）の売上高は、新規顧客の獲得と既存病院での利用増加により、オーガニックベースで10%増加しました。14,000社以上の顧客ががん診断（Cancer Dx）を発注しており、Cancer Dx検査の70%はより広範な血液検査パネルに含まれていました。アイデックスは9月下旬に犬の肥満細胞腫検知機能を追加し、年内に血管肉腫検知機能を追加する予定で、第1四半期には北米で広く提供開始を予定しています。

動物病院向けソフトウェアおよび画像診断の売上高はオーガニックベースで10%増加しました。この成長には、ソフトウェアのリカーリング売上高、クラウドネイティブな統合医療管理システムの普及、そして全米におけるDR50 PLUSの四半期設置台数が再び過去最高を更新したことが反映されています。

アイデックスは9月にCoVetを買収しました。同プラットフォームは環境音声認識とAIを活用して診察時の会話を記録し、治療計画を作成して飼い主へのフォローアップを支援します。CoVetはすでにezyVetと連携しており、アイデックスはVetConnect PLUS、Vello、およびアイデックス以外の医療管理システムとの統合をさらに深める計画です。

経営陣の見通し（ガイダンス）

第4四半期について、経営陣は報告ベースの営業利益率を28.4%〜29.3%と予想しています。売上総利益率の改善は、CoVetの費用および継続的な事業投資によって相殺される見込みです。報告ベースの売上高成長率は、約70ベーシスポイントの為替逆風を受ける見通しですが、一部はCoVetにより相殺される見込みです。

経営陣は、2026年残りの期間において米ドルが1%上昇した場合、売上高は約400万ドル、EPSは0.02ドル押し下げられると述べました。

リスクおよび注視点

• 第3四半期の全米既存病院の診療件数は1.8%減少したほか、子犬や子猫の飼育動向も引き続き低調でした。
• 経営陣はマクロ経済環境を厳しいと認識しているものの、足元の需要および診療件数の動向は、概ね従来の前提条件に沿った推移を見せていると説明しました。
• CoVetは取引、統合、および償却コストを通じて短期的な圧迫要因となります。この買収により、2026年の営業利益率は約30ベーシスポイント、EPSは約0.13ドル押し下げられる見込みです。
• 為替相場の変動は、第4四半期に予想される逆風を含め、引き続き売上高および利益の変動要因となります。
• インフレに伴うコスト圧迫は続いていますが、第3四半期の価格改定、生産性向上、および製品ミックスが売上総利益率への影響を相殺しました。

アナリストQ&Aのハイライト

経営陣は、2026年の当初予想を上回る成長の要因として、イノベーション、海外展開の拡大、新規顧客獲得、および受診1回当たりの診断利用増加を挙げました。また、受診頻度や検査メニューの導入率が1回の診療内で向上するため、アイデックスの成長は診療件数のプラス成長に依存しないことを強調しました。

inVue Dxについて、経営陣は同プラットフォームが現在世界展開の本格稼働モードに入っており、依然として大きな設置拡大余地を残していると述べました。穿刺吸引細胞生検（FNA）機能の広範な提供はリカーリング売上高を支援する可能性があるものの、提示されている年間3,500〜5,500ドルの範囲は動物病院の規模の違いや海外市場も考慮されたものであるとしています。

受託参考検査機関（リファレンス・ラボ）について、経営陣はがん診断（Cancer Dx）、広範な検査メニューの革新、サービス品質、および競合他社からの顧客獲得を挙げました。Cancer Dx検査の20%以上は、主としてアイデックスのリファレンス・ラボを利用していなかった顧客からの依頼であり、ラボの更なる普及機会を生み出しています。

CoVetに関しては、経営陣は年間50〜100ベーシスポイントの営業利益率拡大という長期的フレームワークを維持しました。統合コストは落ち着くと予想しており、CoVetの直接的なソフトウェア売上高と診断利用の増加の両方から潜在的な恩恵を受けるとみています。

また、経営陣は1月18日にオーランドで開催されるVMX投資家向けイベントにて「IDEXX MultiQ Dx」について説明することを確認しました。

決算説明会全文文字起こし

決算説明会の完全なトランスクリプト

経営陣による説明

Operator

Good morning, and welcome to the IDEXX Laboratories Third Quarter 2026 Earnings Conference Call. As a reminder, today's conference is being recorded. Participating in the call this morning are Mike Erickson, President and Chief Executive Officer; Andrew Emerson, Chief Financial Officer; and John Ravis, Vice President, Investor Relations.

IDEXX would like to preface the discussion today with a caution regarding forward-looking statements. Listeners are reminded that our discussion during the call will include forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those discussed today. Additional information regarding these risks and uncertainties is available under the forward-looking statements noticed in our press release issued this morning as well as in our periodic filings with the Securities and Exchange Commission, which can be obtained from the SEC or by visiting the Investor Relations section of our website, idexx.com.

During this call, we will be discussing certain financial measures not prepared in accordance with generally accepted accounting principles or GAAP. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures is provided in our earnings release, which may also be found by visiting the Investor Relations section of our website.

In reviewing our third quarter 2026 results and updated 2026 guidance, please note all references to growth, organic growth and comparable growth refer to growth compared to the equivalent prior year period unless otherwise noted. [Operator Instructions] Today's prepared remarks will be posted to the Investor Relations section of our website after the earnings conference call concludes.

I would now like to turn the call over to Andrew Emerson.

Andrew Emerson

Good morning. I'm pleased to take you through our third quarter results and provide an updated outlook for our full year 2026 financial expectations. During the third quarter, IDEXX delivered outstanding financial results driven by strong global execution, the expanding impact of IDEXX innovations and continued progress in increasing the medically relevant use of diagnostics across our companion animal business.

We also advanced our software, data and AI capabilities through the acquisition of CoVet. Revenue increased 10% organically, supported by 11% organic growth in CAG Diagnostics recurring revenues, reflecting nearly 14% gains in international regions and nearly 10% growth in the U.S. We see strong demand for diagnostic solutions, including IDEXX's innovations, as demonstrated with premium instrument placements of nearly 5,800 units with over 1,900 IDEXX inVue Dx analyzers.

Operating performance was excellent with comparable operating margin gains of approximately 60 basis points year-over-year, led by improvement in gross margin while making ongoing investments in the business, including costs related to the CoVet acquisition. Strong operating profit gains enabled earnings per share of $4.01 in the quarter, an increase of 18% as reported and 22% on a comparable basis.

Strong third quarter performance supports an increase to our full year revenue outlook. We are raising our full year revenue range to $4,741 million to $4,767 million, an increase of $32 million at midpoint, reflecting strong third quarter performance and approximately $5 million of revenue from CoVet. Our updated full year overall organic revenue growth outlook is 9.3% to 10% with organic CAG Diagnostics recurring revenue growth of 10.3% to 11%. These ranges represent an increase of approximately 60 basis points at midpoint along with tightening the low end of the range as we enter the final quarter of the year.

We also increased our full year EPS outlook to $14.96 to $15.16 per share, an increase of $0.25 per share at midpoint, reflecting 15% to 16% comparable EPS growth while observing near-term dilution related to the CoVet acquisition. We'll provide further details on our updated 2026 financial expectations later in my comments.

Let's begin with a review of our third quarter results. Third quarter organic revenue growth of 10% was driven by 10% CAG revenue gains, 8% growth in our water business and 3% growth in LPD. Strong CAG results were driven by CAG Diagnostics recurring revenue growth of 11% organically, which was volume-led, reflecting strong execution and contributions from innovations and included approximately 4% global net price improvement.

Demand for IDEXX Diagnostic Solutions remains high, and we have realized benefits from net new customer gains, expansion of our premium instrument installed base and increased utilization of IDEXX innovations. U.S. organic CAG Diagnostics recurring revenue grew 9.6% in Q3, with solid volume gains and net price realization aligned with our full year expectations.

U.S. growth continues to be supported by greater testing frequency and intensity per visit as customers adopt our expanded menu. U.S. same-store clinical visits declined an estimated 1.8% in the quarter, reflecting a U.S. CAG Diagnostics recurring revenue growth premium of approximately 1,100 basis points, our fourth consecutive quarter above 1,000 basis points.

Underlying patient dynamics continue to support long-term demand for diagnostics. In the quarter, pets age 5-plus years where diagnostic frequency rises contributed to clinical visit growth. With a substantial majority of wellness visits still not including blood work, increased diagnostic inclusion remains a long-duration growth lever that does not depend on visit growth.

International CAG diagnostic recurring revenues grew 14% organically in Q3 with double-digit gains across major international regions. International performance reflects the success of our strategic focus on developing the sector and strong IDEXX execution. We're also encouraged by the quality of growth reflected by the strong momentum in net new customers and same-store sales gains. We've successfully completed expansions highlighted on the second quarter call, well ahead of schedule.

IDEXX innovation and commercial execution drove strong organic revenue gains across our major testing modalities globally in the quarter. IDEXX VetLab consumable revenues increased 15% on an organic basis, reflecting double-digit growth in both the U.S. and international regions. Consumables growth was supported by the expansion of our premium instrument installed base and broader menu utilization. We benefited from ongoing growth of Catalyst Pancreatic Lipase, Catalyst Cortisol, an SDMA inclusion and chemistry runs following the integration of SDMA into our chemistry clips.

InVue Dx reoccurring revenue continues to ramp, aided by the expanding installed base and broadening of FNA on the platform. We remain in our estimated range of $3,500 to $5,500 of reoccurring revenue per analyzer while making fine needle aspirate testing with canine mast cell thermal detection available across all North America customers at the beginning of Q4.

Premium instrument placements reached 5,780 units in the quarter and placement quality remained high. Globally, we placed 1,904 inVue Dx instruments with strong international demand and nearly 1,200 competitive and greenfield Catalyst placements globally with over 300 in the U.S. IDEXX global reference lab revenues increased 10% organically in Q3, led by volume gains from net new customers, including competitive lab wins in the U.S. and increased same-store utilization as customers adopt broader testing menu.

The IDEXX Cancer Dx customer base continued to expand with nearly 1/4 of customers ordering in Q3, representing non-primary IDEXX reference lab accounts. With the addition of canine mast cell tumor detection to the panel in late September, we have meaningfully increased the medical value to customers without increasing our price on the panel.

Global Rapid Assay revenues increased 1% organically in Q3, sustaining modest growth seen during Q2. Veterinary software and diagnostic imaging organic revenues increased 10%, driven by recurring revenue growth and strong placements of our DR50 PLUS platform including another record quarter of installations in the U.S. Our cloud-native PIMS footprint continues to expand across both independent and corporate-owned clinics as well.

In September, we acquired CoVet a leading and rapidly growing provider of AI native, ambient listening and clinical workflow software for veterinary practices. The CoVet revenue run rate is approximately $20 million annualized and growing at strong double-digit rates creating another revenue growth driver for the software modality and opportunity for further supporting diagnostic utilization. Water revenues increased 8% organically in Q3 and livestock, poultry and dairy revenues increased 3% organically.

Turning to the P&L. Strong recurring revenue growth enabled 13% reported operating profit gains with reported operating margins of 33.1%, up 100 basis points as reported and approximately 60 basis points on a comparable basis, inclusive of CoVet related costs. Gross profit increased 12% in the quarter as reported and gross margins were 62.9%, up 110 basis points as reported and 90 basis points on a comparable basis. These gains reflect benefits from strong recurring revenue growth in IDEXX VetLab consumables and reference lab volumes, operational productivity and favorable product mix with pricing benefits offsetting inflationary cost pressures.

On a reported basis, operating expenses increased 10% year-over-year and 11% on a comparable basis, including CoVet related costs. We continue to advance investments in our innovation agenda, global commercial expansions and information technology capabilities.

Q3 EPS was $4.01 per share, an increase of 18% as reported and 22% on a comparable basis. EPS in the quarter included a $0.03 per share benefit related to a $3.5 million nonoperating gain on an equity investment bringing the year-to-date benefit to $0.05 per share or $4.7 million. Share-based compensation activity benefited the quarter by $0.01 per share compared to a $0.17 per share benefit in the prior year period and foreign exchange added $4 million to operating profit and $0.04 to EPS in Q3 net of hedge effects.

Free cash flow was $421 million in Q3 and $978 million year-to-date. On a trailing 12-month basis, our net income to free cash flow conversion rate was 110%. For the full year, our updated outlook for free cash flow conversion is 95% to 100% of net income, including updated full year capital spending of approximately $160 million.

Our balance sheet remains strong. Total debt was aligned with prior year-end as strong free cash flow supported repaying $75 million of senior notes in the quarter and we deployed approximately $335 million of capital towards the CoVet acquisition and share repurchases in Q3, bringing the year-to-date share repurchases to $805 million and supporting a 2% year-over-year reduction in diluted shares outstanding.

Turning to our full year 2026 outlook. As noted, we're increasing our outlook for overall revenue to $4,741 million to $4,767 million, an increase of $32 million at midpoint. This reflects the flow-through benefits of strong third quarter performance, CoVet revenue and relatively consistent foreign exchange effects compared to prior estimates.

Our reported revenue growth of 10.1% to 10.8% includes approximately 70 basis points benefit from foreign exchange at the rates outlined in our press release, and approximately $5 million of CoVet revenue in 2026. As a sensitivity, a 1% strengthening of the U.S. dollar would reduce revenue by approximately $4 million and EPS by $0.02 per share for the remainder of the year.

Our updated overall organic revenue growth outlook of 9.3% to 10% includes organic growth range of 10.3% to 11% for CAG Diagnostics recurring revenue, including approximately 4% benefit from global net price realization. Momentum across our innovation portfolio, including recent launches of Catalyst proBNP, broadening of inVue Dx FNA, and the expanded Cancer Dx panel together with our larger global commercial footprint supports our outlook.

In terms of key financial metrics, we're updating our reported operating margin outlook to 32.1% to 32.3% for 2026, reflecting 50 to 70 basis points of full year comparable operating margin improvement. The updated outlook includes approximately 30 basis points of negative impact related to CoVet including integration costs and one quarter of estimated amortization. We expect to expand margin off of these levels over the next 12 months aligned with our long-term goals.

Our updated full year EPS outlook is $14.96 to $15.16 per share, an increase of $0.25 per share at midpoint. This reflects approximately $0.12 per share improvement in our operational outlook along with benefits from a lower effective tax rate now estimated at 20.5%, lower net interest expense of approximately $32 million and $0.05 per share benefit from nonoperating gain on an equity investment, partially offset by approximately $0.13 per share of dilution related to CoVet.

Full year foreign exchange benefits EPS by approximately $0.25 per share rates outlined in our press release, and our outlook continues to include $19 million or $0.24 per share of share-based compensation benefits, and a 2% reduction in average diluted shares outstanding.

For the fourth quarter, our implied reported revenue growth range includes an approximately 70 basis point headwind from foreign currency partially offset by benefits from the CoVet acquisition. We expect reported operating margins of 28.4% to 29.3% in the quarter, which benefits from gross margin improvement being offset by CoVet expenses and ongoing investments in business.

That concludes our financial review. I'll now turn the call over to Mike for his comments.

Michael Erickson

Thank you, Andrew, and good morning. IDEXX delivered an exceptional third quarter, driven by execution across all growth drivers, expansion of diagnostic utilization, growth in our global instrument and customer base, and continued delivery against our broad-based innovation pipeline. Our innovations work together as a solution across point of care, reference labs and software to expand care and diagnostics utilization in the hands of our customers.

IDEXX Diagnostics and software innovations are enabling more pets around the world to get the high-quality care they deserve. This morning, I'll focus my comments on three areas: Global commercial execution, diagnostics and software innovation delivery, and our acquisition of CoVet.

Our commercial execution was strong again this quarter, reflected in exceptional instrument placements, new customer acquisition, and volume-driven growth ahead of sector averages. At the point of care, each instrument placement is a long-term platform investment by the practice in every menu addition, grows the recurring value of that installed base. Our reference labs delivered another quarter of double-digit growth led by volume expansion, including strong pull-through from Cancer Dx. And in Diagnostic Imaging, we delivered a third consecutive quarter of more than 300 digital radiography placements driven by demand for the DR50 PLUS.

Customer retention and CAG Diagnostics remains in the high 90s globally, reflecting the trust veterinarians place in IDEXX and the durable value of our integrated solutions. We know from experience that diagnostics is a performance category, practices that embrace our innovative platforms, point of care, reference labs, software and imaging, see higher growth in both their diagnostics and overall practice revenue.

Internationally, demand for IDEXX innovations remains robust. The commercial expansions we announced on the Q2 call for France, Spain, South Korea and Canada were all completed ahead of schedule. These investments follow our well-proven playbook for accelerated sector development through smaller territories for increased customer proximity. When we work side by side with our customers, to build our innovations into their everyday protocols, we see higher diagnostics adoption and utilization supporting practice growth.

Turning to innovation. inVue Dx momentum is strong, and we're well on track to exceed our placement goal of 5,500 for the year. Nearly half of our Q3 placements were international, showing that the value of this paradigm-changing platform resonates with clinicians around the world. We added both nucleated red blood cells and eccentricites to blood morphology in Q3. These updates push automatically to our global installed base of nearly 11,000 inVue Dx instruments with no action required by the practice.

At the start of the fourth quarter, we opened fine needle aspirate or FNA availability to all North American inVue Dx customers, and every new North American placement now includes FNA. Every day, veterinarians face dogs with suspicious lumps and bumps and a pet parent worried about cancer. Today, only around 10% of these masses get assessed because of the cost and the complexity of glass slides and sending samples out.

Early customers using FNA on inVue Dx are evaluating twice as many masses. This is IDEXX innovation bending the cost curve to expand care access and care volume. We've also broadened what FNA can identify, adding lipomas and cartonize growth alongside mast cell tumor detection. A mast cell tumor can feel very similar to a lipoma, which is why examining the cells matters. With inVue Dx, veterinarians can give owners answers and reassurance during the visit and focus on the masses that need attention.

And if a mast needs further evaluation, a Board-certified IDEXX pathologists review is one click away, which also brings more volume to our reference labs. For customers not currently using our lab, inVue Dx placements also include onboarding to the IDEXX reference lab for a seamless experience.

IDEXX Cancer Dx continues to be one of our most important innovations, filling a critical gap in care for early and specific cancer detection. Cancer is the top cause of mortality in dogs with more than 25 million at-risk dogs globally. Tragically, cancer is often found too late to take action. Early detection expands treatment options and has the potential to extend a pet's life.

In the third quarter, we delivered another milestone, adding canine mast cell tumor detection alongside canine lymphoma in North America taking Cancer Dx from a test to a multi-cancer panel. Mast cell tumors are among the most common cancers in dogs and are frequently missed. We tuned detection toward the more aggressive forms where early detection makes the greatest difference and a positive result is highly actionable. Mast cell tumor detection also connects directly to inVue Dx, a positive result for mast cell tumor on Cancer Dx prompts a next step to examine any external masses for cancer using inVue Dx FNA. This is the kind of connected solution IDEXX can deliver across point-of-care and reference labs.

As we shared at Investor Day, we are offering the expanded Cancer Dx panel at the same affordable price as when we launched, as low as $15 in the U.S. when run with most blood work panels in the IDEXX reference labs. Doctors and pet parents should never have to choose between early cancer screening and wellness blood work. These should be run together for at-risk dogs. Independent practices and corporate groups alike are welcoming our leadership stance on affordable screening.

Cancer Dx runs on the same blood sample practices already send us for routine blood work with no change to specimen requirements or workflow. We see strong evidence that our strategy to grow blood work utilization is working. 70% of Cancer Dx runs are part of a broader blood work panel and customers who adopt Cancer Dx see higher routine testing volumes. By the end of the year, Cancer Dx capabilities will expand further to include hemangiosarcoma detection, and we are planning for broad customer availability in North America beginning in the first quarter. Hemangiosarcoma grow silently inside an organ, like the spleen, and are too often discovered only as an emergency when the mast ruptures and the dog can be lost within hours. This is a heartbreaking experience for owners and veterinarians alike. With hemangiosarcoma, Cancer Dx will address approximately 40% of all canine cancers. We believe this marks a tipping point for affordable cancer screening, inspiring broader wellness blood work.

Earlier this month, we also advanced our technology for life platform strategy with the North American launch of Catalyst proBNP, the first and only dual species quantitative cardiac test at the point of care. Heart disease affects approximately one in six cats and one in 10 dogs, yet it remains under assessed in general practice with only about 420 veterinary cardiologists in the U.S. for more than 23 million affected cats and dogs.

Catalyst proBNP supports screening, diagnosis and monitoring across multiple clinical scenarios. It delivers quantitative results during the patient visit with laboratory level accuracy. So decisions can be made while the patient is still in the clinic and results appear in VetConnect PLUS with built-in interpretive guidance. Catalyst menu additions such as SDMA inclusive clips, pancreatic lipase, cortisol and now proBNP expand the value of our over 80,000 Catalysts around the world.

We've seen how software, data and AI are powerful enablers of diagnostic utilization growth. And in September, we strengthened these capabilities with the acquisition of CoVet, a leading AI clinical assistant purpose-built for veterinary practices. CoVet gives time back to clinical teams and helps them deliver more complete care. When I visit practices, I see the friction firsthand, complex caseloads, rising pet parent expectations and burdensome documentation that pulls clinicians away from their patients. CoVet automatically captures exam room and phone conversations, builds treatment plans and supports more personalized client follow-up after the visit.

Every minute saved is capacity to see more patients and in-context prompts help with next steps. Practices and groups using CoVet are seeing measurable gains in team productivity and satisfaction across the care workflow. With CoVet, we saw a category-leading solution, along with a talented AI-native team with deep sector knowledge. CoVet has rapidly grown adoption across the U.S. and more than a dozen countries internationally.

Combined with IDEXX's software data, diagnostics and commercial capabilities, CoVet advances our vision for an AI-powered connected system that unlocks greater value from information generated throughout the clinical workflow to support expanded patient care.

CoVet is already integrated with ezyVet and we will integrate it more deeply with our other software and data assets, including VetConnect PLUS and Vello.

We'll also continue to advance CoVet integrations with non-IDEXX practice management systems. CoVet's international footprint extends our software reach to benefit customers in geographies not currently served by IDEXX practice management systems.

Looking ahead, I'm energized by the opportunity in front of us. The long-term drivers of the animal health sector remains sound. The bonds between people and their pets continues to deepen. Pets are living longer and aging into the years when diagnostics matter most. Expectations for quality care keep rising with diagnostics at the center of clinical decision-making. These factors reinforce the durability of sector growth, while practices and corporate groups that embrace innovation and engage their clients realize faster growth.

They're leaning into IDEXX diagnostics and software as growth engines. Combined with IDEXX's execution, this is driving our growth well above sector averages. We're in the early innings of a broad-based innovation cycle, inVue Dx and FNA, Cancer Dx as a multi-cancer panel, Catalyst proBNP. CoVet and our software.

Next up is IDEXX MultiQ Dx. Our next paradigm changing point-of-care platform designed and built here in Maine, USA. We'll share more at an investor event at VMX in Orlando on Monday, January 18 at 1:00 p.m. Eastern. We'll also make this available via live stream on the Investor Relations section of our website. I hope you can join us.

To IDEXX employees around the world, thank you and a special warm welcome to our new colleagues from CoVet. Your commitment to innovations that help clinical teams see more and do more is what turns diagnostic and software innovation into long-term durable growth for our customers and for IDEXX.

With that, I'll open the line for Q&A.

Operator

[Operator Instructions] We'll go right to Chris Schott with JPMorgan.

質疑応答

Christopher Schott

Maybe just first on the guidance side. You started the year with about an 8% organic growth target, that number is looking now closer to 10%, and that's coming despite a visit environment in the U.S. that hasn't materially improved. So can you just elaborate a little bit more on what's enabling this? So how much of this is the new platforms versus the sales force expansion versus maybe visits just not being the best proxy for sales growth for your business right now?

And then my second question was just on the vet visit trends. Could you just elaborate a little bit more of what you're seeing both on the puppy side and the older dog side? I'm just trying to get a sense of where those cohorts are trending and just implications as you think about longer-term visit trends from here?

Michael Erickson

Chris, thanks for the questions. This is Mike. I'll speak to kind of the broader momentum in the business that gets that several of the elements in your questions, and then Andrew will round that out, talking about guidance and a tie back to some of the trends. So as we talked about in the call, we're executing exceptionally well. Our growth is outpacing what we're seeing in terms of broader sector averages. And Chris, this is really volume-led growth, driven by the benefits that we're seeing from our innovations, from commercial execution and also from higher quality visits that are the result of positive trends when it comes to pet demographics.

On the innovation side, keep a note, this is really a broad-based set of benefits that we're seeing, and we're in the early stages of seeing this. We talked about inVue Dx, Cancer Dx. We just launched ProBNP on Catalyst, but even Pancreatic Lipase, which we launched over 2 years ago, is continuing to drive incremental growth in our business. And then commercially, our teams are executing extremely well. This was a record Q3 in terms of instrument placements, and we're seeing really strong new customer growth in the labs. And of course, all of these things come with long durable revenue tail. So as we bring on new customers, we see the long-term benefits in our growth.

The other thing is we're not sitting still, of course, and these are our customers when we look at practices and groups who are really engaging with IDEXX innovation and focusing on things like demand generation, marketing with their clients, working on the customer experience, bringing back labs clients, they're seeing growth in their businesses as well. And we're also seeing interesting moves when it comes to how pricing is applied to things like wellness diagnostics, again, to drive demand. So the bottom line is across innovation, commercial execution and what we're seeing in terms of aging pets, we see durable growth performance. And really, our growth doesn't rely on seeing positive visits. We can grow irrespective of that. Let me hand it over to Andrew to kind of round that out.

Andrew Emerson

Yes. Chris, I think to your point, we've executed exceptionally well here. I think the initial guide that we had captured a higher end that were actually above at this point, and we taking that up over the course of the year. But it really comes back to a lot of the drivers that Mike highlighted here with strong execution, really in our companion animal diagnostics business. The recurring growth really supported by innovation, global expansion and just strong momentum given the demand that we see for diagnostics at the clinic.

We continue to see our customers also be looking for ways to grow volumes and certainly an expanded menu is one of those ways to provide better care for their clients and also grow their businesses. And I think we find a nice match up there. So seeing really strong success, and I think we're comfortable with the updated guide at this point, which continues to show that we have a lot of momentum in the business, and we can continue to work through some of these pressures on clinical visits.

Just in terms of your second question, on the clinical visits themselves, certainly, we do see some of the aging cohort continue to add growth within the overall makeup here, while we're seeing some more muted puppy and kitten adoption levels. That's not a new theme. I think that's been something that's been playing out. The macro environment continues to remain a little bit more of a challenge, and it's something we're paying close attention to. But the positive side is the aging pet population is continuing to perform well. We see that playing through on the non-wellness category, more particularly. We know pets are living longer, and I think that creates a lot of opportunity for us to continue to work with our customers on that age cohort. And then the breed mix that we see is also a positive tailwind for us over time. But fundamentally, the key drivers of the pet population, people loving their pets remain intact, and I think that's a positive story for the longer term.

Operator

We'll move next to Jon Block with Stifel.

Jonathan Block

Two for me. I'll break them up. I guess just maybe the first one, I think the end views are 4,600 year-to-date. I think you said now exceed the 5,500 for 2026. But I mean, also your total since inception since the launch seems to be running solidly ahead of near-term expectations. Maybe you're about 11,000 total, correct me if I'm wrong there. So just how do we think about that 20,000 analyzers over 5 years with now maybe you knocking out more than half of those within 2 years? Are there any changes to that long-term assumption? And then I'll ask the follow-up.

Michael Erickson

Jon, we're really pleased with the momentum and the demand for inVue Dx really on the world. As I noted, we saw close to half our placements coming internationally. And you do have the numbers right. I mean we've seen just tremendous execution when it comes to placing inVues. We're on track, as I said, to exceed our placement goal of 5,500 for the year and our 5-year goal of 20,000 placements. So we're on track to exceed both of those.

And as I also talked about it, we've got more happening with the platform itself. We continue to expand the menu, which brings even more clinical value to our customers. We added to the blood morphology menu with nucleated RBCs and Accenture sites. And fine needle aspirate we know is something that's of real interest and excitement to our customers. And so we've opened up availability to that now broadly in North America. And every new install will now include fine needle aspirate.

We love what that's doing, not just in terms of addressing a real need in the area of fine but also opening up more access to care and expanding volume of care, we're seeing these customers doing twice as many masses. And so we're really pleased with the overall performance and reception and level of customer demand, and we know that this analyzer is fulfilling the key need in the clinical arsenal for our customers around the world.

Jonathan Block

That's great. That's great. Helpful color. And then, Andrew, the second one for you, and I think it's an important one. So hopefully, I can lay it out clearly. The consistent 50 to 100 basis points of annual op margin expansion in the LRP. Do we have to think about anything differently for 2027 op margin expansion with the recent acquisition of CoVet closings? You obviously embedded some dilution for 4Q '26 with the OM guidance coming down. Do we have to think about that dilution for the first 2 to 3 quarters of next year as well until you lap it? And as a result, should we have more reserve '27 OM expansion assumptions embedded in our models?

Andrew Emerson

Thanks, Jon. Appreciate the question. So as you highlighted, we did include about 30 basis points of operating margin impact from the CoVet acquisition, really spans both Q3 and Q4. But -- yes, I think from a Q4 and going forward perspective, we have factored that into the profile. I think we're still delivering on the full year operating margin results and expectations for our long-term growth algorithm, even including some of that impact, and we've been able to increase our overall guidance on revenue and EPS as it relates to those metrics as well.

So certainly, as part of the deal, we have some transaction costs, some integration costs as well as then just the overall business performance, which would include some of the impact from things like amortization of the deal as well. But keep in mind, we did highlight that we expect over the next 12 months that we would grow the total company revenues in line with those longer-term expectations of 50 to 100 basis points of annual operating margin impact here.

So as we get through the integration of the deal itself and we continue to see success in growing that business, we would build off of the overall operating margin and expand the operating margins of CoVet directly. But keep in mind, would also just be managing this as a portfolio similar to many of our other innovations, we do see multiplier benefits across this deal. So it's both a direct revenue growth driver for the software business itself, but we see opportunities to really expand the use of diagnostics.

And so when we think about both of those components, we want to make sure we're making the right investments within the business overall, and we kind of look to see it play out that way. But -- we haven't come off of our long-term growth algorithm related to this deal directly. And I think we have opportunity to continue to grow into '27 as well.

Operator

Our next question comes from the line of Erin Wright with Morgan Stanley.

Erin Wilson Wright

Great. I have one follow-up on the macro discussion earlier, and then also on rough lab. So can you speak to what magnitude of sensitivity that you're baking into guidance at this point from a macro perspective? I guess, did you see any shift in that demand trend throughout the quarter? I'm just trying to get a gauge in terms of -- you mentioned, for instance, that you're continuing to monitor what you're seeing out there from a macro perspective? And just given that innovation obviously allows you to grow through this, how are you thinking about the macro in the context of launching a new instrument next year? And -- or MultiQ when you do launch it, do you think that are in a position to invest further in innovation? How will MultiQ for instance, address some of those pain points at the clinic level? And then just a quick one on ref lab. You had another double-digit growth quarter in ref lab, which tends to be a little bit more tied to that office visit. So how much of that is attributable to market share gains versus just greater utilization for existing customer given the innovation?

Andrew Emerson

Maybe I'll address the first question, and then Mike can talk about our reference lab growth profile. Just from a macro perspective, I think it's been relatively consistent for us. I think in terms of what we see play out on clinical visits, certainly macro does have an impact here. Yes, I think when you look at the overall guide and what we've included in there, it is a range, but we've really had consistent trends here more recently and really in line with our prior guide estimates as well. So not a lot of change just in terms of that expectation as we had said Q4 at this point. Keep in mind, it can be a little bit choppy quarter-to-quarter. The variability just with the overall metric itself. But yes, I think we've captured that.

What we're really excited about is the continued quality of the visits, and that's really where we're focused on is driving that quality. And by quality, we mean broadening the use of diagnostics, using diagnostics more frequently in the pets that are coming through the door. And both of those metrics remain solid. And we continue to engage with our customers to look for ways for them to grow overall volumes. That's really our key focus at this point strategically. And I think we're seeing a lot of success in that, but maybe I'll have Mike talk about the reference lab piece of this.

Michael Erickson

Yes. Erin, we've been really pleased with the high growth in the reference labs around the world, by the way. It's really a global set of performance metrics that we're looking at there. And this is the outcome of investments that we've made over many, many years into really all aspects of the lab experience. Certainly, the investments that we've made into networks, so we can provide a very strong local service experience to customers all around the world, and that's something we continue to invest in to expand that network and make sure that we're getting closer to customers, and we can serve them in a really strong way.

And then technology, the backbone of technology in our reference labs is very sophisticated and it to provide a again, a great level of service, but also the types of sophisticated diagnostics that we that we run and then innovation in terms of various tests. And that's broad-based as well. I mean we talk a lot about cancer Dx, and that's certainly been a very strong driver of lab growth, but we're seeing, for example, still upwards of 20-plus percent of Cancer Dx runs coming from customers that aren't primarily using the IDEXX Reference Labs. And those are opportunities for those customers to experience our lab value proposition and that opens up the door to a conversation and we're seeing, as we shared, really strong new customer growth that is in part an outcome of that kind of conversation.

But we're also investing in other areas. We added Taenia tapeworms, for example, to our Fecal Dx antigen panel in the reference labs. So it's really -- it's a broad-based innovation strategy that includes Cancer Dx and other areas, along with the kind of service experience that we're providing. And we're doing this around the world. So we're really, really pleased to see the growth in the lab, not just in the U.S. but also internationally as we engage with customers not just in one modality, but in this total solution approach that includes point-of-care diagnostics, reference labs and software in an even expanded way.

Operator

[Operator Instructions] We'll go next to Matt Dellatorre with Goldman Sachs.

Matthew Dellatorre

Great. Congrats on the quarter. Maybe first going back to inVue Dx. Could you provide a bit more color on just what drove the strong placements in the quarter, specifically, any notable trends you're seeing with regard to uptake or how clinics are utilizing the product across year blood or FNA? And then maybe looking ahead to the upcoming VMX event for MultiQ. Could you just give us an idea of maybe what you'll share with that disclosure? And then how do we think about the actual launch timing on the back of that.

Michael Erickson

Thanks for the question. Just coming back on the first part of your question for inVue Dx. Really, it's -- you look at the instrument and the critical need that it's addressing around cytology. I mean cytology is a category of diagnostics that's practiced virtually in every practice around the world. They all have a microscope and it's been done the same way for over 100 years in a highly manual fashion. It requires a lot of steps, it's pretty messy and it's technique-sensitive. And so NVDX addresses that core need. It takes out the slide, which is a revolutionary step. It's got advanced optics and I -- and so it's filling a key need. And that's really, I think, at the orbit. Certainly, as we've added to the capabilities the instrument, that makes it even more clinically valuable. And I think one of the things customers have come to appreciate about IDEXX is that -- we never stand still. We're constantly expanding the value of these platforms. And so this year alone, we've added like over half a dozen new things to our blood morphology menu, just for example, and 2 just in the in the last quarter. And we continue to expand and fine needle aspirate is we're really early in that part of the innovation journey for inVue Dx. So I think there's a lot of exciting menu and kind of road map ahead of us. We've seen strong placements around the world, too, as we noticed internationally that accounted for almost half the placement. So as we've expanded availability of inVue Dx globally, we've seen really good demand an uptake there.

And so I just think this is really -- it's filling a key need with our customers, and that's what's generating demand. And certainly, we have really strong commercial teams that are able to engage with customers and support that demand through our commercial execution, and that's resulting in the types of numbers that we've shared. With respect to our events at Orlando and MultiQ Dx, we'll talk more about MultiQ Dx there. We're not providing more information today, but we're certainly excited about it. And I hope you can join us at the event.

Operator

We go next to Steven Dechert with KeyBanc Capital Markets.

Steven Dechert

I guess, first off, I know you've given the cumulative number of clinics that have ordered Cancer Dx to date launch. Just anything on what number of those clinics are recurring?

Michael Erickson

Yes. Thanks for the Cancer Dx question. This Cancer Dx is really proving to be one of the most consequential innovations in the history of the company. I mean, this is a category that has just been calling out for innovation. It's -- you look at one out of four dogs being diagnosed with cancer in their lifetime. And there really has been no solution for early and specific detection of cancer. So Cancer Dx is feeling a key need, and we're seeing just a lot of excitement and interest in what it can do in the practice.

We've shared some numbers around customer growth. We saw again significant expansion in that. We're at over 14,000 customers having ordered and run Cancer Dx. We don't split that out further, but I can tell you that we're seeing really great momentum and demand. And also, as I shared, really good multiplier benefits into broader diagnostics utilization with 70% of Cancer Dx runs being together with the blood work panel in our reference labs. So we're very happy with the momentum. And I would say it's still early days. There's a lot of opportunity ahead of us as we continue to build out the panel and address this key area of clinical need for dogs.

Operator

Our next question comes from Daniel Clark with Leerink Partners.

Daniel Christopher Clark

Great. I wanted to first ask about the inVue revenue per analyzer given it's already in your $3,500, $5,500 per year range. Like how are you thinking about that trending over time given inVue is just rolling that feels like an area with significant unmet need?

Michael Erickson

Thanks for the question. So we're comfortably in the range of the $3,500 to $5,500 annual recurring revenue per instrument that we've shared in the past. In this range, keep in mind, encompassed both ear cytology, blood morphology and also fine needle aspirate. Most customers, as we rolled out blood morphology and erocytology, do both. It was a really complementary care episodes and areas kind of submodalities if you will, within cytology. And we expect the same will be true as we roll out a fine needle aspirate more broadly. And so as we do roll out fine needle aspirate, we certainly see additional upside there to drive growth, balanced out by the fact that we continue to broaden availability of the instrument around the world. And so the range is meant to encompass various practice sizes as we go more international and all of those things kind of factor into that. So we see long-term opportunity here. We're not done with the menu on I mean we can look around the corner and see 100 million more cytology test done around the world. Frankly, manual and suboptimal way. And so we are really excited about the long-term opportunity to continue to advance this platform and meet more and more of the needs in cytology in the practice.

Daniel Christopher Clark

And then just a quick follow-up. On the incremental placement opportunity from here, obviously, international has been quite strong. U.S. has been a little more stable. So how are you thinking about kind of incremental uptake from here? Is this more of a worldwide launch at this point? And maybe where we are in terms of innings for both would be great.

Michael Erickson

Yes. We're in full worldwide launch mode within inVue Dx. And so we see really meaningful headroom to continue to place instruments around the world.

Operator

We'll take our next question from Navann Ty with BNP Paribas.

Navann Ty Dietschi

I had a question on pricing, whether you expect pricing in the animal health diagnostics sector to remain resilient versus the animal health pharma? As we know that the therapeutic market leader has announced pricing action, do you think diagnostics are isolated? And do you expect that to continue for IDEXX?

Michael Erickson

Navann, thanks for the question. We -- I don't know that I'll comment on pricing in the pharmaceutical area. In our area, we certainly know that it's a competitive sector as it's always been. We focus on price as a measure of the value that we're creating. We're very transparent around how price factors into our overall growth formula both in the past and going forward. And we put a lot of focus on making sure that when we put forward pricing, it's consistent with the value that we're providing.

And then as we've shared, a major part of our strategy also, if you look at what we're doing with Cancer Dx, for example, $15 for -- in the U.S. and an equivalent number around the world for Cancer Dx when it's run as a screening test together with blood work in our lab. This is just an example of what we're doing to make a bold statement around affordable screening. So that more pets have access to care and what we see is that also drives more volume of care. This is absolutely turning heads with our customers. They really welcome our stance on this. I've shared in the past, we've had a large corporate group that went all in with Cancer Dx as part of their senior dog wellness program, and they're seeing higher utilization, higher enrollments. It's driving their broader wellness business. I was with a practice in independent practice down in the southern part of the U.S., and they went all in with Cancer Dx for all senior dogs. And they're seeing up in the high 30s in terms of wellness blood work inclusion in their practice. So we know the strategy works. We want to make sure it's an accessible strategy so that doctors and owners aren't having to make this false choice between blood work, screening, blood work, running the blood work and finding out if their dog has cancer, and that strategy is working.

Andrew Emerson

And just related to the overall company, we've had very consistent pricing, starting with our initial guidance, and we've continued to update folks along the way about that, which really hasn't changed in terms of our expectations. Yes, to Mike's point, we're constantly focused on value. We're not looking to maximize price. We're really trying to expand the sector through volume, but we've been very consistent in terms of expectations that we have set early in the part of the year.

Navann Ty Dietschi

And maybe just a quick one. If you have any early feedback on the mast cell tumor addition that was launched in September.

Michael Erickson

Yes. That is just getting really, really positive feedback. We're early in the launch process to be clear. But certainly, customers really welcome the fact that Cancer Dx has now turned the corner from a test to a multicancer panel. And mast cell tumor is one of the most common cancers in dogs, and it often gets missed. It can be especially with dogs that have longer coats. It can be really hard to find mast-cell tumors. And the connection between Cancer Dx and inVue Dx is also really exciting. When you get a positive on Cancer Dx and if you have lumps and bumps and masses, you want to go find out which one of those is cancerous. And that's where inVue Dx is a natural next step there. So we're seeing really high receptivity to mast cell tumor and a lot of excitement too, around hemangiosarcoma, which is coming next.

Okay. So with that, I want to thank all of you for your questions. We'll now conclude the Q&A portion of this morning's call. It's a pleasure to share IDEXX's continued execution against our innovation-driven growth strategy while delivering strong financial results in the quarter. Thank you for your participation, and we'll now conclude the call.