IDEXX raises 2025 forecasts on strong pet diagnostics demand, shares jump

By Kamal Choudhury

Aug 4 (Reuters) - IDEXX Laboratories IDXX.O raised its full-year profit and revenue forecasts on Monday after reporting better-than-expected second-quarter results, sending its shares nearly 28% higher in morning trading.

The company said it saw rapid adoption of its newly launched device, inVue Dx, which provides blood and ear canal test results in 10 minutes.

The company said nearly 2,400 units were installed at clinics in the quarter, prompting IDEXX to raise its full-year placement forecast by 1,000 units to 5,500.

"Demand has exceeded expectations," CEO Jay Mazelsky said during a post-earnings conference call.

The launch "appears to be pacing well" through the first half of 2025, with the company raising forecast to account for higher placements this year, said Leerink Partners analyst Daniel Clark.

IDEXX offers diagnostic equipment, such as blood and urine analyzers, and imaging systems to help vets diagnose and treat animals. It also provides veterinary software and run reference laboratories for more complex tests.

The company now expects annual profit between $12.40 and $12.76 per share, compared with its previous range of $11.93 to $12.43.

IDEXX also raised its annual sales forecast to between $4.21 billion and $4.28 billion from $4.10 billion and $4.21 billion.

Analysts had expected revenues of $4.15 billion and an adjusted profit of $12.19 per share for the year, according to data compiled by LSEG.

Sales at IDEXX's companion animal group unit, its largest unit which offers diagnostics for pets and IT services to veterinary clinics, rose about 11% to $1.02 billion in the second quarter ended June 30.

On an adjusted basis, IDEXX reported a profit of $3.63 per share for the quarter, comfortably beating analysts' expectations of $3.30.

Total revenue for the quarter climbed to $1.11 billion, surpassing analysts' estimates of $1.07 billion.