Qiagen Q4 2025 Qiagen NV Earnings Call | AllMind AI Earnings | AllMind AI
Q4 2025 Qiagen NV Earnings Call
Operator: Ladies and gentlemen, thank you for standing by. I am Katie, your call operator. Welcome, and thank you for joining QIAGEN's Q4 2025 Earnings Conference Call Webcast. At this time, all participants are in a listen-only mode. Please be advised this call is being recorded at QIAGEN's request and will be made available on their internet site. The prepared remarks will be followed by a question-and-answer session. If you would like to ask a question, you may press star followed by one on your touchtone telephone. Please press star, then zero, followed by star, followed by zero for operator assistance. At this time, I'd like to introduce your host, Daniel Wendorf, Vice President, Head of Investor Relations at QIAGEN. Please go ahead.
Speaker #1: standing by. I am Katie, your call recorded. Ladies and gentlemen, thank you for QIAGEN's fourth-quarter 2025 operator. Welcome, and thank you for joining earnings conference call webcast.
Speaker #1: At this time, all participants are in a listen-only mode. Please be advised this call is being recorded at QIAGEN's request and will be made available on their internet site.
Speaker #1: The prepared remarks will be followed by a question-and-answer question, you may press star, followed by one on your touch-tone telephone. Please press star. Zero, followed operator assistance.
Speaker #1: by star, followed by zero for like to introduce your host, Daniel Vendorf, Vice President of Head of Relations at QIAGEN. Please go ahead.
Speaker #2: Thank you, Operator. And welcome to our call for the 2025. We appreciate your time and interest in QIAGEN. Joining the call fourth quarter of Executive Officer, and Roland Sackers, today are Thierry Bernard, our Chief our Chief Financial Officer.
Daniel Wendorf: Thank you, operator, and welcome to our call for the fourth quarter of 2025. We appreciate your time and interest in QIAGEN. Joining on the call today are Thierry Bernard, our Chief Executive Officer, and Roland Sackers, our Chief Financial Officer. Also joining us is Dr. Domenica Martorana from our Investor Relations team. As always, today's call is being webcast live and will be archived in the IR section of our website at www.qiagen.com, where you can find the press release and presentation accompanying this call. Please also note that this call will include forward-looking statements. Actual results may differ materially from those projected due to a number of factors outlined in our most recent Form 20-F and other filings with the US Securities and Exchange Commission.
Daniel Wendorf: Thank you, operator, and welcome to our call for the fourth quarter of 2025. We appreciate your time and interest in QIAGEN. Joining on the call today are Thierry Bernard, our Chief Executive Officer, and Roland Sackers, our Chief Financial Officer. Also joining us is Dr. Domenica Martorana from our Investor Relations team. As always, today's call is being webcast live and will be archived in the IR section of our website at www.qiagen.com, where you can find the press release and presentation accompanying this call. Please also note that this call will include forward-looking statements. Actual results may differ materially from those projected due to a number of factors outlined in our most recent Form 20-F and other filings with the US Securities and Exchange Commission.
Speaker #2: Also joining us is Dr. Dominika Matorana from our Investor Relations team. As always, today's call is being webcast live and will be archived in the IR section of our website at www.qiagen.com.
Speaker #2: Where you can find the press release and presentation accompanying this will include forward-looking differ materially from those projected due statements. call. Please also note that this call 20F and other filings with the US Securities and Exchange Commission.
Speaker #2: We will also refer to certain financial measures not prepared in accordance with US Generally GAAP that provide additional insights into our performance. Reconciliations to the most directly comparable GAAP figures are in the release and presentation.
Daniel Wendorf: We will also refer to certain financial measures not prepared in accordance with US generally accepted accounting principles, or GAAP, that provide additional insights into our performance. Reconciliations to the most directly comparable GAAP figures are in the release and presentation. All references to earnings per share refer to adjusted diluted EPS. With that, let me hand the call over to Thierry.
Daniel Wendorf: We will also refer to certain financial measures not prepared in accordance with US generally accepted accounting principles, or GAAP, that provide additional insights into our performance. Reconciliations to the most directly comparable GAAP figures are in the release and presentation. All references to earnings per share refer to adjusted diluted EPS. With that, let me hand the call over to Thierry.
Speaker #2: All references to diluted EPS. With that, let Thierry. earnings per share refer to adjusted
Thierry Bernard: Thanks a lot, Daniel. Hello, and good morning, good afternoon, or good evening, depending on where you are in the world, and thank you once again for joining us. I am very pleased today to confirm that QIAGEN continued to perform and delivered a solid finish to 25, with results in the fourth quarter, again, about above outlook. We exceeded our targets for both sales and adjusted earnings, once again placing QIAGEN among the fastest-growing companies in our industry. This reflects continued execution across the business and the trust our customers place in us, even in a challenging environment. I also want to recognize the dedication of our teams around the world. Their work has been essential in delivering those results. So let me walk you through our key messages for today.
Thierry Bernard: Thanks a lot, Daniel. Hello, and good morning, good afternoon, or good evening, depending on where you are in the world, and thank you once again for joining us. I am very pleased today to confirm that QIAGEN continued to perform and delivered a solid finish to 25, with results in the fourth quarter, again, about above outlook. We exceeded our targets for both sales and adjusted earnings, once again placing QIAGEN among the fastest-growing companies in our industry. This reflects continued execution across the business and the trust our customers place in us, even in a challenging environment. I also want to recognize the dedication of our teams around the world. Their work has been essential in delivering those results. So let me walk you through our key messages for today.
Speaker #3: Daniel. Hello and good morning. Good Thanks a lot, afternoon or good evening, depending on where you are in the world. And thank you once again for joining confirm that QIAGEN continues to perform and deliver a solid finish to '25 with results in the fourth quarter again us.
Speaker #3: About our outlook— we exceeded our targets for both sales and adjusted earnings, placing QIAGEN once again among the fastest-growing companies in our industry. This reflects continued execution across the business and the trust our customers place in us, even in a challenging environment. I am very pleased today to report these results.
Speaker #3: I also want to recognize the dedication of our teams around the world. Their work has been essential in delivering those results today. So let me walk you through the fourth quarter, and we also delivered solid full-year 2025 results at the high end of our expectation. Adjusted earnings again were $540 million in the fourth quarter at CER and exceeded our outlook for flat sales development against the fourth quarter of '24.
Thierry Bernard: First, we exceeded our outlook for Q4, and we also delivered solid full-year 2025 results at the high end of our expectation, with adjusted earnings again above our guidance. Net sales were $450 million in Q4, growing 1% at CER and exceeding our outlook for flat sales development against Q4 2024. Adjusted diluted EPS was $0.62 at constant exchange rate, exceeding our outlook of about $0.60, constant exchange rate again. For the full year 2025, net sales were $2.09 billion, up 5% at CER and at the upper end of our outlook of about 4% to 5% growth. Adjusted diluted EPS increased to $2.40 at CER.
Thierry Bernard: First, we exceeded our outlook for Q4, and we also delivered solid full-year 2025 results at the high end of our expectation, with adjusted earnings again above our guidance. Net sales were $450 million in Q4, growing 1% at CER and exceeding our outlook for flat sales development against Q4 2024. Adjusted diluted EPS was $0.62 at constant exchange rate, exceeding our outlook of about $0.60, constant exchange rate again. For the full year 2025, net sales were $2.09 billion, up 5% at CER and at the upper end of our outlook of about 4% to 5% growth. Adjusted diluted EPS increased to $2.40 at CER.
Speaker #3: Adjusted diluted EPS was 62 cents at constant exchange rate exceeding our outlook of about 60 cents constant exchange rate again. For the full year of 2025, net sales were $2.09 billion up 5% at CER and at the upper hand of our outlook of about 4 to 5% growth.
Speaker #3: Adjusted diluted EPS increased to guidance. Net sales $2.40 at CER this was above our outlook which we increased twice during the year and reflects our ability to deliver in a challenging environment.
Thierry Bernard: This was above our outlook, which we increased twice during the year and reflects our ability to deliver in a challenging environment. Second key message: We reached important milestones across our portfolio. We want to highlight here that across our growth pillars, Sample Technologies, QuantiFERON, QIAstat, QIAcuity, and QIAGEN Digital Insights, they all achieved combined sales of $1.49 billion at CER in 2025, delivering 8% growth at CER again... The current trajectory keeps us on track for at least $2 billion in combined sales from our growth pillars by 2028. This reflects continued demand across our portfolio and the increasing relevance from areas where we have decided to invest for the long-term growth. Sample Technologies continue to grow, with sales up 5% at CER in the fourth quarter and 2% CER again for the full year.
Thierry Bernard: This was above our outlook, which we increased twice during the year and reflects our ability to deliver in a challenging environment. Second key message: We reached important milestones across our portfolio. We want to highlight here that across our growth pillars, Sample Technologies, QuantiFERON, QIAstat, QIAcuity, and QIAGEN Digital Insights, they all achieved combined sales of $1.49 billion at CER in 2025, delivering 8% growth at CER again... The current trajectory keeps us on track for at least $2 billion in combined sales from our growth pillars by 2028. This reflects continued demand across our portfolio and the increasing relevance from areas where we have decided to invest for the long-term growth. Sample Technologies continue to grow, with sales up 5% at CER in the fourth quarter and 2% CER again for the full year.
Speaker #3: reached important milestones Second key message: we portfolio. We want to across our highlight here that across our growth pillars, sample technologies, quantiferon, QIASTAT, Insight, they all achieved combined sales of $1.49 billion at QIAQUITY, and QIAGEN Digital CER in '25, delivering 8% growth at CER again.
Speaker #3: trajectory keeps us on track for at least $2 billion The current pillars by 2028. This the increasing relevance our portfolio and from areas where we have decided to invest.
Speaker #3: For the long-term growth. Sample technologies continue to grow with sales up 5% at CER in the fourth quarter and 2% CER again for the full year.
Speaker #3: This is an indication of the demand for automated consumables as laboratories continue to push to automated sample prep. In addition, during the year, we completed the acquisition of parts biosciences extending sample analysis and adding exposure to this field.
Thierry Bernard: This is an indication of the demand for automated consumables as laboratories continue to push to automated sample prep. In addition, during the year, we completed the acquisition of Parse Biosciences, extending sample technologies into single-cell analysis and adding exposure to this very rapidly scaling field. QuantiFERON delivered continued growth, with sales up 5% at CER in the Q4 and 10% CER again for the full year, supported by ongoing conversion and a large and still under-penetrated latent TB testing market. We are executing here on a clear strategy to drive further conversion. QIAcuity, our digital PCR solution, delivered double-digit growth in consumables and an installed base that exceeded 3,200 instruments globally since we launched it, as digital PCR continues to gain relevance in applications requiring high precision and reproducibility.
Thierry Bernard: This is an indication of the demand for automated consumables as laboratories continue to push to automated sample prep. In addition, during the year, we completed the acquisition of Parse Biosciences, extending sample technologies into single-cell analysis and adding exposure to this very rapidly scaling field. QuantiFERON delivered continued growth, with sales up 5% at CER in the Q4 and 10% CER again for the full year, supported by ongoing conversion and a large and still under-penetrated latent TB testing market. We are executing here on a clear strategy to drive further conversion. QIAcuity, our digital PCR solution, delivered double-digit growth in consumables and an installed base that exceeded 3,200 instruments globally since we launched it, as digital PCR continues to gain relevance in applications requiring high precision and reproducibility.
Speaker #3: very rapidly scaling growth with sales up 5% at CER in the fourth quarter and 10% CER again for the full year. conversion and a Supported by ongoing large and still under-penetrated latent TB testing market.
Speaker #3: We are strategizing to drive further conversion. QIAcuity, our digital PCR solution, delivered consumables and an install base with double-digit growth that exceeded 3,200 instruments globally since we launched it.
Speaker #3: As digital PCR continues to gain relevance in applications requiring high precision and QIASTAT, grew 15% at CER in the fourth quarter and 24% CER again for the full year reproducibility.
Thierry Bernard: QIAstat grew 15% at CER in Q4 and 24% CER and for the full year of 2025. Growth was supported by menu expansion and the growing installed base that exceeded 5,200 instruments. Last, our bioinformatics business, QIAGEN Digital Insights, delivered continued growth in 2025, supported by demand across both discovery, research, and academia, and clinical customers, and the integration of Genoox, which further strengthened our clinical interpretation offering. Third message for today: We made further progress on profitability and cash flow while continuing to execute on disciplined capital allocation. For 2025, our adjusted operating income margin increased 80 basis points to 29.5%, reflecting continued efficiency gains across the business. Those improvements more than offset headwinds from tariffs or adverse currency movements and the previously disclosed dilutive impact from recent acquisitions.
Thierry Bernard: QIAstat grew 15% at CER in Q4 and 24% CER and for the full year of 2025. Growth was supported by menu expansion and the growing installed base that exceeded 5,200 instruments. Last, our bioinformatics business, QIAGEN Digital Insights, delivered continued growth in 2025, supported by demand across both discovery, research, and academia, and clinical customers, and the integration of Genoox, which further strengthened our clinical interpretation offering. Third message for today: We made further progress on profitability and cash flow while continuing to execute on disciplined capital allocation. For 2025, our adjusted operating income margin increased 80 basis points to 29.5%, reflecting continued efficiency gains across the business.
Speaker #3: Growth was supported by menu expansion and a growing install base that exceeded 5,200 instruments. Last, our bioinformatics business, QIAGEN Digital Insights, delivered continued growth in 2025, supported by demand across both discovery research and academia, as well as clinical customers, and the integration of Genox, which further strengthened our clinical interpretation offering.
Speaker #3: Third message for today: we on profitability and cash flow while continuing to execute on discipline made further progress capital allocation. For 2025, our adjusted operating income margin increased 80 basis points to 29.5%, reflecting continued efficiency gains across the business.
Speaker #3: Those improvements more than offset headwinds from tariffs or adverse currency movements and the previously disclosed dilutive impact from recent acquisitions. We also generated solid free cash flow of $453 million in 2025.
Thierry Bernard: Those improvements more than offset headwinds from tariffs or adverse currency movements and the previously disclosed dilutive impact from recent acquisitions. We also generated solid free cash flow of $453 million in 2025. This supported investment into the business, including the rollout of our upgraded ERP programs. At the same time, we continue to return capital to shareholders. Since 2024, QIAGEN has returned more than $1.1 billion to shareholders to date and introduced an annual dividend payment while pursuing selective bolt-on acquisitions to support our future growth. So as we are heading into 2026, we clearly remain focused on execution, disciplined cost management, and continued investment into our growth pillars.
Thierry Bernard: We also generated solid free cash flow of $453 million in 2025. This supported investment into the business, including the rollout of our upgraded ERP programs. At the same time, we continue to return capital to shareholders. Since 2024, QIAGEN has returned more than $1.1 billion to shareholders to date and introduced an annual dividend payment while pursuing selective bolt-on acquisitions to support our future growth. So as we are heading into 2026, we clearly remain focused on execution, disciplined cost management, and continued investment into our growth pillars. Before handing over to Roland, I would also like to briefly acknowledge a change in our supervisory board. We are very pleased to welcome Mark Stevenson, who joined our supervisory board in January.
Speaker #3: This supported investment into the business, including upgraded ERP programs. Since the rollout of our 2024 program, QIAGEN has returned more than $1.1 billion to shareholders to date and introduced an annual dividend payment, while pursuing selective bolt-on acquisitions to support our future growth.
Speaker #3: So, as we 2026, we clearly are heading into remain focused on execution, discipline cost management, and continued investment into our growth pillars. Before handing over to our supervisory welcome Mark Stevenson, board.
Thierry Bernard: Before handing over to Roland, I would also like to briefly acknowledge a change in our supervisory board. We are very pleased to welcome Mark Stevenson, who joined our supervisory board in January. Mark brings deep operational and global life sciences experience, and we really look forward to working with him. At the same time, I would like to sincerely thank Ross Levine for his many years of contribution to QIAGEN. Ross stepped down from the supervisory board after taking on a new leadership role at Memorial Sloan Kettering in New York, but we are grateful that he will continue to serve QIAGEN as chair of our scientific advisory board. With that, I'll hand it over to Roland for more details on the financials.
Speaker #3: We are very pleased to who joined our supervisory January. Mark brings deep board in operational and global life sciences forward to working with him.
Thierry Bernard: Mark brings deep operational and global life sciences experience, and we really look forward to working with him. At the same time, I would like to sincerely thank Ross Levine for his many years of contribution to QIAGEN. Ross stepped down from the supervisory board after taking on a new leadership role at Memorial Sloan Kettering in New York, but we are grateful that he will continue to serve QIAGEN as chair of our scientific advisory board. With that, I'll hand it over to Roland for more details on the financials.
Speaker #3: At the same time, I would like to sincerely thank QIAGEN. Ross of contribution to stepped down from the supervisory board Ross Levin for his many years leadership role at after taking on a new Memorial Sloan Kettering in New York but we are grateful that he will continue to serve QIAGEN as chair of our scientific advisory board.
Speaker #3: With that, I'll hand it over to Roland for more details on the financials.
Speaker #2: Thank you, Thierry. Hello, everyone. Thank you as well for me for joining our call. We are pleased with our performance in the fourth quarter and full year '25 as we delivered results above our outlook for the fourth quarter on both sales and rates.
Roland Sackers: Thank you, Thierry. Hello, everyone. Thank you as well for me for joining our call. We are pleased with our performance in the fourth quarter and full year 2025, as we delivered results above our outlook for the fourth quarter on both sales and adjusted diluted EPS at constant exchange rates. 2025 was overall another solid year for QIAGEN in terms of execution and delivering on our commitments. Let me frame our performance around three key messages. First, we delivered solid results with sales for 2025 at the high end of our outlook, with continued strength in consumables and our growth pillars amid a cautious funding and capital spending environment. Second, we improved profitability, expanding the adjusted operating income margin by 80 basis points over 2024 on efficiency gains and operational discipline. These actions more than offset material headwinds from tariffs and currency movements.
Roland Sackers: Thank you, Thierry. Hello, everyone. Thank you as well for me for joining our call. We are pleased with our performance in the fourth quarter and full year 2025, as we delivered results above our outlook for the fourth quarter on both sales and adjusted diluted EPS at constant exchange rates. 2025 was overall another solid year for QIAGEN in terms of execution and delivering on our commitments. Let me frame our performance around three key messages. First, we delivered solid results with sales for 2025 at the high end of our outlook, with continued strength in consumables and our growth pillars amid a cautious funding and capital spending environment. Second, we improved profitability, expanding the adjusted operating income margin by 80 basis points over 2024 on efficiency gains and operational discipline. These actions more than offset material headwinds from tariffs and currency movements.
Speaker #2: 2025 was overall another solid year for QIAGEN in terms adjusted diluted EPS of execution and delivering on our commitments. Let me frame our performance around three key messages.
Speaker #2: First, we delivered solid results, with sales for '25 at the high end of our constant exchange outlook, with continued strength in consumables and our growth pillars. Capital spending remained strong amid a cautious funding environment, and profitability is expanding.
Speaker #2: Second, we improved adjusted operating income margin by 80 basis points over '24 on efficiency gains and operational discipline. These actions more than offset material headwinds from tariffs and currency movements.
Speaker #2: And third, we continue to deploy capital in a disciplined manner. We are investing to increasing returns to shareholders. Our strong free cash flow enabled us to make investments into bolt-on deals like PASS and Genox while also returning over $1.1 billion to shareholders support future growth while since on the financial drivers behind 2024.
Roland Sackers: Third, we continue to deploy capital in a disciplined manner. We are investing to support future growth while increasing returns to shareholders. Our strong free cash flow enabled us to make investments into both on deals like Parse and Genoox, while also returning over $1.1 billion to shareholders since 2024. With that context, let me focus on the financial drivers behind our results. For the fourth quarter, net sales grew 1% CER, and exceeded our outlook for flat sales development against the same period in 2024. Adjusted diluted EPS was $0.62 at CER, and above our outlook for about $0.60. For the full year, sales increased 5% CER, and this was at the high end of our outlook.
Roland Sackers: Third, we continue to deploy capital in a disciplined manner. We are investing to support future growth while increasing returns to shareholders. Our strong free cash flow enabled us to make investments into both on deals like Parse and Genoox, while also returning over $1.1 billion to shareholders since 2024. With that context, let me focus on the financial drivers behind our results. For the fourth quarter, net sales grew 1% CER, and exceeded our outlook for flat sales development against the same period in 2024. Adjusted diluted EPS was $0.62 at CER, and above our outlook for about $0.60. For the full year, sales increased 5% CER, and this was at the high end of our outlook.
Speaker #2: our results. For the With that context, let me focus fourth quarter, net sales grew 1% CER and exceeded our outlook for flat sales development against the same period in '24.
Speaker #2: Adjusted diluted EPS was $0.62 at about $0.60. For CER and above our outlook for the full year, sales increased 5% CER and this was at the high end of our outlook.
Speaker #2: Our growth pillars delivered 8% CER growth for the year and reached our goal of $1.49 billion of combined sales at CER. So we are on track to achieve our combined sales from these products.
Roland Sackers: Our growth pillars delivered 8% CER growth for the year and reached our goal for $1.49 billion of combined sales at CER. So we are on track to achieve our 2028 goal for at least $2 billion of combined sales from these products. Adjusted diluted EPS for the full year were $2.40 at CER for 2025, which was $0.12 above our initial outlook for the year, and compares with $2.18 in 2024. Let me now provide some additional insight into sales trends for the fourth quarter and for 2025. Among our product groups, Sample Technologies delivered mid-single-digit CER growth for the fourth quarter, and this was complemented by low single-digit growth in diagnostic solutions and genomics, while sales in our PCR product group declined at a single-digit rate.
Roland Sackers: Our growth pillars delivered 8% CER growth for the year and reached our goal for $1.49 billion of combined sales at CER. So we are on track to achieve our 2028 goal for at least $2 billion of combined sales from these products. Adjusted diluted EPS for the full year were $2.40 at CER for 2025, which was $0.12 above our initial outlook for the year, and compares with $2.18 in 2024. Let me now provide some additional insight into sales trends for the fourth quarter and for 2025. Among our product groups, Sample Technologies delivered mid-single-digit CER growth for the fourth quarter, and this was complemented by low single-digit growth in diagnostic solutions and genomics, while sales in our PCR product group declined at a single-digit rate.
Speaker #2: Adjusted diluted EPS for the full year were at CER for '25, which was $2.40 at outlook for the year, and compares with $2.18 in '24.
Speaker #2: Let me now provide some additional insights into sales trends for the fourth quarter and for '25. Among our product groups, sample technologies delivered mid-single-digit CER growth for the fourth quarter, and this was complemented by low single-digit growth in diagnostic solution and PCR product group declined at a single-digit rate.
Speaker #2: In sample technologies, genomics while sales in our sales grew in the fourth quarter was driven by higher demand for automated consumables used on our instruments and results are included first-time contributions was completed in December.
Roland Sackers: In Sample Technologies, sales growth in Q4 was driven by higher demand for automated consumables used on our instruments, and results are included first-time contributions from the past acquisitions that was completed in December. For the full year, Sample Technologies delivered 2% CER growth, in line with our expectations, as trends improved over the course of the year. In diagnostic solutions, sales increased 1% CER in Q4. QIAstat-Dx sales were up 15% CER, driven by double-digit growth in consumables as we continue to benefit from the full core menu in the US. QuantiFERON delivered 5% CER growth and supported by continued conversion from the skin test. In the PCR product group, sales declined 9% CER in Q4.
Roland Sackers: In Sample Technologies, sales growth in Q4 was driven by higher demand for automated consumables used on our instruments, and results are included first-time contributions from the past acquisitions that was completed in December. For the full year, Sample Technologies delivered 2% CER growth, in line with our expectations, as trends improved over the course of the year. In diagnostic solutions, sales increased 1% CER in Q4. QIAstat-Dx sales were up 15% CER, driven by double-digit growth in consumables as we continue to benefit from the full core menu in the US. QuantiFERON delivered 5% CER growth and supported by continued conversion from the skin test. In the PCR product group, sales declined 9% CER in Q4.
Speaker #2: For the full year, sample technologies delivered 2% CER growth in line with our expectations as trends improved over the course of the year. In diagnostic from the PASS acquisitions that 1% CER in the fourth quarter.
Speaker #2: QIASTAT DX sales solutions, sales increased CER, driven by double-digit growth in consumables as we continue to benefit from the full core menu in the US, Quantiferon delivered 5% CER growth and supported by continued conversion from the skin test.
Speaker #2: In the PCR product group, sales declined 9% CER in the fourth QIACUITY digital PCR quarter; consumables for use on the system continued to deliver double-digit growth as we continue to place over 100 instruments per quarter in a challenging capital spending environment.
Roland Sackers: Consumables for use on the QIAcuity Digital PCR System continued to deliver double-digit growth as we continued to place over 100 instruments per quarter in a challenging capital spending environment. Sales of other PCR consumables, however, declined due to factors that included the challenging funding environment and lower OM contributions compared to the 2024 period. In the Genomics and NGS product group, sales grew 2% CER in Q1, driven by double-digit growth in the QIAGEN Digital Insights Bioinformatics business. At the same time, sales of NGS consumables were under pressure. Turning to the regions. Sales in the Europe, Middle East, Africa region led the performance and were up 5% CER for Q4. Top-performing countries included Belgium, the Netherlands, Spain, and the United Kingdom. In the Americas, sales declined 1% CER, with results in the United States being flat at constant exchange rates.
Roland Sackers: Consumables for use on the QIAcuity Digital PCR System continued to deliver double-digit growth as we continued to place over 100 instruments per quarter in a challenging capital spending environment. Sales of other PCR consumables, however, declined due to factors that included the challenging funding environment and lower OM contributions compared to the 2024 period. In the Genomics and NGS product group, sales grew 2% CER in Q1, driven by double-digit growth in the QIAGEN Digital Insights Bioinformatics business. At the same time, sales of NGS consumables were under pressure. Turning to the regions. Sales in the Europe, Middle East, Africa region led the performance and were up 5% CER for Q4. Top-performing countries included Belgium, the Netherlands, Spain, and the United Kingdom.
Speaker #2: Sales of other PCR consumables, however, declined due to factors that included the challenging funding environment and lower OEM contributions compared to the '24 period.
Speaker #2: and NGS product group, sales In the genomics grew 2% CER in the fourth quarter, driven by double-digit growth in the QIAGEN digital inside bioinformatics business.
Speaker #2: At the same time, sales of NGS consumables were under pressure. Turning to the regions, sales in the Europe, Middle East, Africa region led the performance and were up 5% quarter.
Speaker #2: Belgium, the Netherlands, Spain, and the Top-performing countries included the Americas, sales declined 1% CER with results in the United States, being flat at constant exchange rates.
Roland Sackers: In the Americas, sales declined 1% CER, with results in the United States being flat at constant exchange rates. A factor reflecting this was the US government shutdown. In the Asia Pacific Japan regions, sales were flat in Q4. Results in China declined at a low-teens CER rate for Q4 over the year-ago period, but keep in mind that this country represents only about 4% of total sales in 2025. Turning to the full-year results for 2025, the adjusted operating income margin rose 80 basis points to 29.5% compared to 2024, and this was achieved despite facing about 120 basis points of combined headwinds from tariffs and adverse currency movements. In other words, the underlying profitability strengthened meaningfully during 2025.
Roland Sackers: A factor reflecting this was the US government shutdown. In the Asia Pacific Japan regions, sales were flat in Q4. Results in China declined at a low-teens CER rate for Q4 over the year-ago period, but keep in mind that this country represents only about 4% of total sales in 2025. Turning to the full-year results for 2025, the adjusted operating income margin rose 80 basis points to 29.5% compared to 2024, and this was achieved despite facing about 120 basis points of combined headwinds from tariffs and adverse currency movements. In other words, the underlying profitability strengthened meaningfully during 2025.
Speaker #2: US government A factor reflecting this was the shutdown. In the Asia-Pacific-Japan regions, sales were flat in the fourth quarter. Results in China declined at a low CER rate for the fourth quarter, over the year-ago period, but keep in mind that this country represents only about 4% of total sales in '25.
Speaker #2: Year results, for '25, the adjusted operating income margin rose 80 basis points to 29.5% compared to '24. And this was achieved despite facing about 120 basis points of combined headwinds from tariffs and adverse currency movements.
Speaker #2: In other Turning to the full strengthened meaningfully during headwinds, the margin expanded by roughly $200 basis points in above our initial target for at least $150 basis points of improvements and this was before the tariffs were announced.
Roland Sackers: Excluding these external headwinds, the margin expanded by roughly 200 basis points in 2025, and this was well above our initial target for at least 150 basis points of improvement, and this was before the tariffs were announced. This performance reinforced our confidence in exceeding our 2028 target for a margin of at least 31%, and we are reviewing this target with plans to provide an update. For the full year, we raised our adjusted EPS outlook twice during 2025 and ultimately delivered results of $2.38 on a reported basis and results at CER of $2.40. Turning to cash flow. Operating cash flow in 2025 was $654 million, compared with $677.4 million in 2024, reflecting strong earnings generation....
Roland Sackers: Excluding these external headwinds, the margin expanded by roughly 200 basis points in 2025, and this was well above our initial target for at least 150 basis points of improvement, and this was before the tariffs were announced. This performance reinforced our confidence in exceeding our 2028 target for a margin of at least 31%, and we are reviewing this target with plans to provide an update. For the full year, we raised our adjusted EPS outlook twice during 2025 and ultimately delivered results of $2.38 on a reported basis and results at CER of $2.40. Turning to cash flow. Operating cash flow in 2025 was $654 million, compared with $677.4 million in 2024, reflecting strong earnings generation....
Speaker #2: our confidence in exceeding our This performance reinforced 28th target for a margin of at least 31%, and '25, and this was well outlook twice during '25 and ultimately delivered results of we raised our adjusted EPS $2.38 on a reported basis and results $2.40.
Speaker #2: Turning to cash flow, operating cash flow in $6704 million in '25 was $654 '24, reflecting strong earnings generation. The results for '25 also absorbed million compared with about $54 million of cash at CER of payments for the efficiency initiatives.
Roland Sackers: The results for 2025 also absorbed about $54 million of cash payments for the efficiency initiatives. Free cash flow was $453 million for 2025, reflecting higher capital expenditures related primarily to IT investments that included the SAP system upgrade. We continue to deploy capital in a disciplined manner, balancing investment in the business with returns to shareholders. As you know, we completed the purchase of PATH in December, while in January, we returned $500 million to shareholders through a synthetic share repurchase. On a pro forma basis, net leverage stood at about 1.3x net debt to adjusted EBITDA in January 2026, as our leverage improves. We have financial flexibility to support continued investment in organic growth and targeted bolt-on acquisitions, while also increasing returns to shareholders, and that also includes our annual dividend payments planned again for mid-2026.
Roland Sackers: The results for 2025 also absorbed about $54 million of cash payments for the efficiency initiatives. Free cash flow was $453 million for 2025, reflecting higher capital expenditures related primarily to IT investments that included the SAP system upgrade. We continue to deploy capital in a disciplined manner, balancing investment in the business with returns to shareholders. As you know, we completed the purchase of PATH in December, while in January, we returned $500 million to shareholders through a synthetic share repurchase. On a pro forma basis, net leverage stood at about 1.3x net debt to adjusted EBITDA in January 2026, as our leverage improves. We have financial flexibility to support continued investment in organic growth and targeted bolt-on acquisitions, while also increasing returns to shareholders, and that also includes our annual dividend payments planned again for mid-2026.
Speaker #2: Free cash flow was $453 million for '25, reflecting higher capital expenditures related primarily to IT investments that include the SAP system upgrade. We continue to deploy capital in a disciplined manner.
Speaker #2: Balancing investment in the business with returns to shareholders. Now, we completed the purchase of PASS. As you know, we returned $500 million in December, while in January to shareholders through a synthetic share repurchase.
Speaker #2: On a proforma basis, net leverage stood at about 1.3 times net debt to adjusted EBITDA in January '26 as our leverage improves. We have financial flexibility to support continued investment in organic growth and targeted increasing returns to shareholders and that also includes our for mid-'26.
Speaker #2: Taken together, our 25 performance reflects solid execution on sales growth, margin expansion, and disciplined both on acquisitions while also for another year of solid profitable capital deployment, as we look 2026.
Roland Sackers: Taken together, our 2025 performance reflects solid execution on sales growth, margin expansion, and disciplined capital deployment as we look for another year of solid profitable growth in 2026. With that, let me hand the call back to Thierry.
Roland Sackers: Taken together, our 2025 performance reflects solid execution on sales growth, margin expansion, and disciplined capital deployment as we look for another year of solid profitable growth in 2026. With that, let me hand the call back to Thierry.
Speaker #2: With that, let me end the call back to Thierry. Thanks a lot, Roland, and let me share with you a bit of perspective on our product portfolio.
Thierry Bernard: Thanks a lot, Roland. Let me share with you a bit of perspective on our product portfolio. Starting with sample technologies, as you know, a key focus for QIAGEN. In December, we completed the acquisition of Parse Biosciences, extended our sample technologies portfolio into single-cell analysis. Parse are the scalable, differentiated chemistry that strengthens our Sample to Insight workflows and opens a long-term growth opportunity. Recent launches, such as Evercode Whole Blood Fixation, enable immediate fixation at collection and extend Parse's reach into translational and clinical research workflows. Alongside this expansion and acquisition, we execute on our next-generation automation roadmap. In 2025, we successfully launched QIAsymphony Connect, took initial orders for QIAsprint Connect, and remained on track for the launch of QIAmini. Within sample technologies, strategic high-value applications to continue to gain traction.
Thierry Bernard: Thanks a lot, Roland. Let me share with you a bit of perspective on our product portfolio. Starting with sample technologies, as you know, a key focus for QIAGEN. In December, we completed the acquisition of Parse Biosciences, extended our sample technologies portfolio into single-cell analysis. Parse are the scalable, differentiated chemistry that strengthens our Sample to Insight workflows and opens a long-term growth opportunity. Recent launches, such as Evercode Whole Blood Fixation, enable immediate fixation at collection and extend Parse's reach into translational and clinical research workflows. Alongside this expansion and acquisition, we execute on our next-generation automation roadmap. In 2025, we successfully launched QIAsymphony Connect, took initial orders for QIAsprint Connect, and remained on track for the launch of QIAmini.
Speaker #2: Starting with sample technologies, as you know, a key we completed the acquisition of PASS growth in Biosciences, extended our sample focus for QIAGEN. technologies portfolio into single-cell In December, analysis.
Speaker #2: PASS has a scalable, differentiated chemistry that opportunity. Recent launches such as strengthens our sample to Evercode World Blood opens a long-term growth Fixation enable immediate fixation at collection and extend PASS's reach into translational and clinical research workflows.
Speaker #2: Alongside this expansion and acquisition, we execute on our next-generation automation roadmap. In 2025, we successfully launched QIA_SYMPHONY CONNECT, took initial orders for QIA_SPRING CONNECT, and remain on track for the launch of QIA_MINI.
Speaker #2: Within sample technologies, strategic high-value applications to continue to gain liquid biopsy sample preparation traction. One example is our 30%, reflecting this increasing relevance portfolio, which grew by more than in sample technologies.
Thierry Bernard: Within sample technologies, strategic high-value applications to continue to gain traction. One example is our liquid biopsy sample preparation portfolio, which grew by more than 30%, reflecting this increasing relevance in sample technologies. Despite cautious capital spending, our sample technologies installed base grow to around 31,400 cumulative placements. Looking to 2026, we will launch QIAsprint Connect and QIAmini together with additional kits, supporting automation across more than 30 applications for QIAsprint Connect and more than 15 applications for QIAmini. Over time, this will increase instrument use and recurring consumables. Full IVDR launch for QIAsymphony Connect remains on track for mid-2026. QIAsprint Connect is planned for February and QIAmini for fall of 2026.
Thierry Bernard: One example is our liquid biopsy sample preparation portfolio, which grew by more than 30%, reflecting this increasing relevance in sample technologies. Despite cautious capital spending, our sample technologies installed base grow to around 31,400 cumulative placements. Looking to 2026, we will launch QIAsprint Connect and QIAmini together with additional kits, supporting automation across more than 30 applications for QIAsprint Connect and more than 15 applications for QIAmini. Over time, this will increase instrument use and recurring consumables. Full IVDR launch for QIAsymphony Connect remains on track for mid-2026. QIAsprint Connect is planned for February and QIAmini for fall of 2026. Moving to QuantiFERON, where we continue to invest, enabling laboratories to manage rising testing volumes with higher throughput and more efficient workflows.
Speaker #2: Despite cautious capital spending, our sample technologies install base grew to around $31,040 cumulative placements. Looking to Q1 '26, we will launch QIA SPRING CONNECT and QIA MINI together with additional kits—more than 30 applications for QIA MINI.
Speaker #2: Over time, this will increase consumables. Full QIASPRING CONNECT and more than 15 IVDR launch for QIASYPHONY CONNECT remains on track for mid-2026. QIASPRING CONNECT is QIAMINI for fall of 2026.
Speaker #2: instrument use and recurring planned for February and Moving to quantiferon, where we continue to invest, enabling laboratories to manage rising testing volumes with higher throughput and more efficient workflows.
Thierry Bernard: Moving to QuantiFERON, where we continue to invest, enabling laboratories to manage rising testing volumes with higher throughput and more efficient workflows. A key step here is the next generation of QuantiFERON-TB Gold Plus second assay, developed in collaboration with DiaSorin. Last year, we completed the European launch of this high-throughput assay. This new generation of chemistry enables laboratories to test up to 75% more patients per hour, while reducing turnaround time by around 25%. Building on this European launch, we are planning a US launch of this higher throughput chemistry in 2026. In parallel, we are also exploring how AI-based approaches can support clinical decision-making in latent TB infection, particularly in the context of increasing testing volumes and the need to guide preventive treatment.
Speaker #2: A key step here is the next-generation of quantiferon TB Gold Plus second assay developed in collaboration with Diasorin. Last year, we completed the European launch of this high-throughput assay.
Thierry Bernard: A key step here is the next generation of QuantiFERON-TB Gold Plus second assay, developed in collaboration with DiaSorin. Last year, we completed the European launch of this high-throughput assay. This new generation of chemistry enables laboratories to test up to 75% more patients per hour, while reducing turnaround time by around 25%. Building on this European launch, we are planning a US launch of this higher throughput chemistry in 2026. In parallel, we are also exploring how AI-based approaches can support clinical decision-making in latent TB infection, particularly in the context of increasing testing volumes and the need to guide preventive treatment. Turning to QIAstat, where we expanded the menu and the install base over the year. In 2025, we submitted our first blood culture identification panels for clearance in the US and in Europe.
Speaker #2: This new generation of chemistry enables up to 75% more patients per laboratory to be tested per hour, while reducing turnaround time by around 25%. Building on this European launch, we are planning a US launch of this higher-throughput chemistry in 2026.
Speaker #2: In parallel, we are also exploring how AI-based approaches can support latent TB infection, particularly in the context of increasing testing volumes and preventive treatment.
Speaker #2: Turning to QIASTAT, where In '25, we submitted our install base over the year. first blood culture identification panels for clearance in the Europe. This submission extends QIASTAT diagnostic sepsis-related applications, building on panels across respiratory, testing.
Thierry Bernard: Turning to QIAstat, where we expanded the menu and the install base over the year. In 2025, we submitted our first blood culture identification panels for clearance in the US and in Europe. These submissions extend QIAstat-Dx into bloodstream infections and sepsis-related applications, building on panels across respiratory, gastrointestinal, and meningitis testing. We also expanded the install base with cumulative QIAstat-Dx placement exceeded 5,200 instruments worldwide in 2025. We continue to invest in new panels, particularly a panel for complicated urinary tract infections, where QIAGEN will be the first with a comprehensive syndromic solution. At the same time, we are also advancing our work on a pneumonia panel. In parallel, we continue to develop companion diagnostic with our pharma partners on QIAstat-Dx.
Thierry Bernard: These submissions extend QIAstat-Dx into bloodstream infections and sepsis-related applications, building on panels across respiratory, gastrointestinal, and meningitis testing. We also expanded the install base with cumulative QIAstat-Dx placement exceeded 5,200 instruments worldwide in 2025. We continue to invest in new panels, particularly a panel for complicated urinary tract infections, where QIAGEN will be the first with a comprehensive syndromic solution. At the same time, we are also advancing our work on a pneumonia panel. In parallel, we continue to develop companion diagnostic with our pharma partners on QIAstat-Dx. Next, QIAcuity, digital PCR, continue to see steady adoption as customers convert from qPCR and NGS to digital PCR. In 2025, cumulative QIAcuity placement exceeded 3,200 systems worldwide. This reflects continued uptake of digital PCR, where higher precision, absolute quantification, and more standardized results are required.
Speaker #2: We also expanded the install base with cumulative gastrointestinal, and meningitis QIASTAT placement exceeded 5,200 instruments worldwide in 2025. We continue to invest in new panels, particularly a panel for complicated urinary tract infections where QIAGEN will be the first with US and in a comprehensive syndromic solution.
Speaker #2: At the same time, we are also advancing our work on a pneumonia panel. In parallel, we continue to develop companion diagnostic with our pharma partners on QIASTAT.
Speaker #2: Next, QIAQUITY into bloodstream infections and digital PCR continues to see steady adoption as customers convert from qPCR and NGS to digital PCR. In '25, cumulative QIAQUITY placement exceeded 3,200 systems worldwide.
Thierry Bernard: Next, QIAcuity, digital PCR, continue to see steady adoption as customers convert from qPCR and NGS to digital PCR. In 2025, cumulative QIAcuity placement exceeded 3,200 systems worldwide. This reflects continued uptake of digital PCR, where higher precision, absolute quantification, and more standardized results are required. Our focus remains on expanding the asset portfolio and improving workflows. Gene expression remains an important use case for QIAcuity, alongside applications such as cell and gene therapy. Automation is another key focus, with the launch of a nanoplate handling solution, co-developed with Hamilton on the Microlab STAR platform, enabling walkaway automation and more standardized workflows for regulated environments.
Speaker #2: This reflects continued uptake of digital PCR where higher precision, absolute quantification, and more standardized results are required. Our focus remains on expanding the assay portfolio and improving workflows.
Thierry Bernard: Our focus remains on expanding the asset portfolio and improving workflows. Gene expression remains an important use case for QIAcuity, alongside applications such as cell and gene therapy. Automation is another key focus, with the launch of a nanoplate handling solution, co-developed with Hamilton on the Microlab STAR platform, enabling walkaway automation and more standardized workflows for regulated environments. Last, QIAGEN Digital Insights, where we continue to develop bioinformatics portfolio to support both research and clinical use. This includes progress with Franklin. Following the Genoox acquisition, integrated QIAGEN's curated knowledge with AI-enhanced workflows to support genetic interpretation and clinical reporting. AI has been embedded across QDI, and we are continuing to support research, data science, and commercial solution by improving workflows, consistency, and the use of high-quality genomic content. For the next two years, our focus is to continue developing at least 14 AI-enabled software solution within QDI.
Speaker #2: Gene expression remains an important use case for QIAQUITY alongside applications such as cell and gene therapy. Automation is with the launch of a nanoplate handling solution co-developed with Hamilton on the micro lab star platform, enabling walk-away automation and more standardized workflows for regulated environments.
Speaker #2: Lastly, QIAGEN Digital Insights, where we continue to develop our bioinformatics portfolio to support both research and clinical, following the GNOT acquisition. We have integrated QIAGEN's curated knowledge with progress in Franklin genetic interpretation and clinical reporting.
Thierry Bernard: Last, QIAGEN Digital Insights, where we continue to develop bioinformatics portfolio to support both research and clinical use. This includes progress with Franklin. Following the Genoox acquisition, integrated QIAGEN's curated knowledge with AI-enhanced workflows to support genetic interpretation and clinical reporting. AI has been embedded across QDI, and we are continuing to support research, data science, and commercial solution by improving workflows, consistency, and the use of high-quality genomic content. For the next two years, our focus is to continue developing at least 14 AI-enabled software solution within QDI.
Speaker #2: AI has been embedded across QDI, and we are continuing to support research, data science, and commercial solutions by improving workflows content. For the next two years, two years, our focus is to continue developing at least 14 AI-enabled software solutions within QDI.
Speaker #2: We are also preparing to integrate large-scale single-cell data sets from past biosciences into the QDI portfolio, connecting single-cell data with downstream analysis to support predictive modeling across now, back to Roland for the outlook.
Thierry Bernard: We are also preparing to integrate large-scale single-cell datasets from Parse Biosciences into the QDI portfolio, connecting single-cell data with downstream analysis to support predictive modeling across research and translational. And now, back to Roland for the outlook.
Thierry Bernard: We are also preparing to integrate large-scale single-cell datasets from Parse Biosciences into the QDI portfolio, connecting single-cell data with downstream analysis to support predictive modeling across research and translational. And now, back to Roland for the outlook.
Speaker #2: Thank you, Thierry. Let me now provide some additional perspectives on our outlook for '26 and for the first quarter. Our ambition remains to deliver solid profitable growth as we continue to navigate a challenging macroeconomic environment.
Roland Sackers: Thank you, Thierry. Let me now provide some additional perspectives on our outlook for 2026 and for the first quarter. Our ambition remains to deliver solid, profitable growth as we continue to navigate a challenging macroeconomic environment. Against this backdrop, we remain on track toward our 2028 ambitions of around 7% core sales CAGR from 2024 to 2028, an adjusted operating income margin of at least 31%, at least $2 billion of sales from our growth pillars, and sustained shareholder returns, having already delivered more than $1 billion since 2024. For the full year 2026, we are initiating an outlook for sales growth of at least five percentage points CER and adjusted earnings per share of at least $2.50 at CER.
Roland Sackers: Thank you, Thierry. Let me now provide some additional perspectives on our outlook for 2026 and for the first quarter. Our ambition remains to deliver solid, profitable growth as we continue to navigate a challenging macroeconomic environment. Against this backdrop, we remain on track toward our 2028 ambitions of around 7% core sales CAGR from 2024 to 2028, an adjusted operating income margin of at least 31%, at least $2 billion of sales from our growth pillars, and sustained shareholder returns, having already delivered more than $1 billion since 2024. For the full year 2026, we are initiating an outlook for sales growth of at least five percentage points CER and adjusted earnings per share of at least $2.50 at CER.
Speaker #2: Against this backdrop, we remain on track toward our 28 ambitions of around 7% core sales CAGR from 24 to 28 and adjusted operating income margin of at least 31%, at least $2 billion of sales from our growth pillars and sustained shareholder returns.
Speaker #2: already delivered more than $1 '24. For the full year '26, we billion since sales growth of at least 5 percentage points CER and adjusted earnings per share of at Having least $2.50 at CER.
Speaker #2: Turning to the first quarter, we expect net sales growth of at least sales of 483 million of the first quarter of '25. The growth rate for the first quarter compared to the full year target reflects three temporary factors.
Roland Sackers: Turning to Q1, we expect net sales growth of at least 1% CER, compared to sales of $483 million of Q1 2025. The growth rate for Q1 compared to the full year target reflect three temporary factors. First, we are absorbing the year-over-year impact from the discontinuation of NeuMoDx and DiaLunox, which represents a headwind of about $10 million or about 2 percentage points in Q1. We will see the same impact in Q2 2026, but then it rolls off since these products were discontinued in June 2025. Second, and like others in our industry, we continue to see cautious life science customer spending trends carrying over from 2025 into the beginning of 2026.
Roland Sackers: Turning to Q1, we expect net sales growth of at least 1% CER, compared to sales of $483 million of Q1 2025. The growth rate for Q1 compared to the full year target reflect three temporary factors. First, we are absorbing the year-over-year impact from the discontinuation of NeuMoDx and DiaLunox, which represents a headwind of about $10 million or about 2 percentage points in Q1. We will see the same impact in Q2 2026, but then it rolls off since these products were discontinued in June 2025. Second, and like others in our industry, we continue to see cautious life science customer spending trends carrying over from 2025 into the beginning of 2026.
Speaker #2: First, we are absorbing the year-over-year impact from the discontinuation of non-MODX and Diurnal drugs, which represents a headwind of about $10 million, or about 2 percentage points in the first quarter.
Speaker #2: We will see the same impact in the second quarter of '26, but then it rolls off since these products were discontinued in June '25.
Speaker #2: In our industry, we continue to see cautious life science customers spending. Second, and like others, in trends carrying over from '25 into the beginning of '26.
Speaker #2: We have reflected an estimated in the first quarter or about 2 percentage points of impact of about $10 million growth. At the same time, we continue to expect an improvement in the funding environment over the course of the third, QuantiFeron faces a strong year.
Roland Sackers: We have reflected an estimated impact of about $10 million in Q1 or about 2 percentage points of growth. At the same time, we continue to expect an improvement in the funding environment over the course of the year. Third, QuantiFERON faces a strong comparison to results in Q1 2025, when sales were 16% CER and supported by tender activity in the Middle East, and Latin America. As a result, we expect QuantiFERON to grow at a low single-digit CER rate in Q1 2026, representing a headwind of about $6 to 7 million or about 1 percentage point of headwinds to a normalized full-year run rate for 2026 of about 6% CER growth. Turning to earnings.
Roland Sackers: We have reflected an estimated impact of about $10 million in Q1 or about 2 percentage points of growth. At the same time, we continue to expect an improvement in the funding environment over the course of the year. Third, QuantiFERON faces a strong comparison to results in Q1 2025, when sales were 16% CER and supported by tender activity in the Middle East, and Latin America. As a result, we expect QuantiFERON to grow at a low single-digit CER rate in Q1 2026, representing a headwind of about $6 to 7 million or about 1 percentage point of headwinds to a normalized full-year run rate for 2026 of about 6% CER growth. Turning to earnings.
Speaker #2: '25, when sales rose 16% CER and were supported by tender activity in America. As a result, we expect QuantiFeron to grow at a low single-digit CER rate in the first quarter, of about $6 to $7 million, or about 1 percentage point in the Middle East and Latin '26, representing a headwind to a normalized full-year run rate for '26 of about 6% CER growth.
Speaker #2: Turning to earnings, our outlook for the first quarter is for adjusted earnings per share of at least $0.50 at CER, compared with $0.55 in the first quarter of '25.
Roland Sackers: Our outlook for Q1 is for adjusted earnings per share of at least $0.54 at CER, compared with $0.55 in Q1 2025. Operational efficiency remains a priority in 2026 and continues to support profitability. At the same time, earnings for Q1 2026 are expected to absorb the $0.02 dilutive impact of the past acquisition, as well as an adverse impact of about $0.02 from the US tariffs that were implemented later in 2025. For the first half of 2026, we currently anticipate sales growth of about 2 to 3 cents CER, followed by an acceleration in the second half of the year. The acceleration in the second half reflects various factors, and let me provide a bridge to our full-year outlook.
Roland Sackers: Our outlook for Q1 is for adjusted earnings per share of at least $0.54 at CER, compared with $0.55 in Q1 2025. Operational efficiency remains a priority in 2026 and continues to support profitability. At the same time, earnings for Q1 2026 are expected to absorb the $0.02 dilutive impact of the past acquisition, as well as an adverse impact of about $0.02 from the US tariffs that were implemented later in 2025. For the first half of 2026, we currently anticipate sales growth of about 2 to 3 cents CER, followed by an acceleration in the second half of the year. The acceleration in the second half reflects various factors, and let me provide a bridge to our full-year outlook.
Speaker #2: Operational efficiency remains a priority in profitability. At the same '26 and continues to support time, earnings for the first quarter of '26 are expected to absorb the $0.02 dilutive impact of the past acquisition as well as an adverse impact of about $0.02 from the US tariffs that were implemented later in '25.
Speaker #2: the first half of '26, For we currently anticipate sales growth of about 2 to 3 cents CER, followed by an acceleration in the second half of the year.
Speaker #2: The acceleration in the second half reflects various factors, and let me provide a bridge to our full-year outlook. As a first point, the comparison impact from the roll-off headwinds from non-MODX and diurnal drugs contributes about 2 percentage points of incremental growth.
Roland Sackers: As a first point, the comparison impact from the roll-off headwinds from NeuMoDx and Dialunox contributes about two percentage points of incremental growth. New product launches, including the three new sample prep instruments, as well as new offerings for QIAstat-Dx and QIAcuity, are expected to add an additional two percentage points of growth. As a next point, acceleration year-over-year growth from QuantiFERON, starting in Q2 2026, is expected to provide about half a percentage point of incremental growth. Improving US academic and governmental funding trends, together with a higher contribution from pass in the second half, are expected to add approximately another half percentage point. Taken together, these factors fully explain the bridge from approximately 1% growth in Q1 to at least 5% growth for the full year. Turning to margins.
Roland Sackers: As a first point, the comparison impact from the roll-off headwinds from NeuMoDx and Dialunox contributes about two percentage points of incremental growth. New product launches, including the three new sample prep instruments, as well as new offerings for QIAstat-Dx and QIAcuity, are expected to add an additional two percentage points of growth. As a next point, acceleration year-over-year growth from QuantiFERON, starting in Q2 2026, is expected to provide about half a percentage point of incremental growth. Improving US academic and governmental funding trends, together with a higher contribution from pass in the second half, are expected to add approximately another half percentage point. Taken together, these factors fully explain the bridge from approximately 1% growth in Q1 to at least 5% growth for the full year. Turning to margins.
Speaker #2: New product launches including the three new sample prep instruments as well DX and KayaQT are expected to add an additional 2 percentage points of as new offerings for KayaSack growth.
Speaker #2: As a next point, acceleration in year-over-year growth from QuantiFERON starting in the second quarter of '26 is expected to provide about half a percentage point of incremental growth.
Speaker #2: And improving US academic and governmental funding trends together with a higher contribution from past in the second half are expected to add approximately another half percentage point.
Speaker #2: Taken together, these factors fully explain the bridge from approximately 1% growth in the first quarter to at least 5% growth for the full year.
Speaker #2: Turning to margins, we expect the adjusted operating income margin in '26 to remain at about 29.5% of sales as efficiency gains and broad-based growth are expected to offset margin headwinds of about 160 basis points from the past acquisition adverse currency This underpins our full year '26 target for adjusted EPS of at least movements and tariffs.
Roland Sackers: We expect the adjusted operating income margin in 2026 to remain at about 29.5% of sales, as efficiency gains and broad-based growth are expected to offset margin headwinds of about 160 basis points from the past acquisition, adverse currency movements, and tariffs. This underpins our full year 2026 target for adjusted EPS of at least $2.50 CER, and a step up from our 2025 results. Let me also provide some perspectives on the currency trends against the US dollar. For the full year, we expect a currency tailwind of about 1 percentage point on sales and a neutral effect on adjusted EPS results. For Q1, we currently expect a tailwind of about 2 to 3 percentage points on sales and a neutral impact on adjusted EPS results.
Roland Sackers: We expect the adjusted operating income margin in 2026 to remain at about 29.5% of sales, as efficiency gains and broad-based growth are expected to offset margin headwinds of about 160 basis points from the past acquisition, adverse currency movements, and tariffs. This underpins our full year 2026 target for adjusted EPS of at least $2.50 CER, and a step up from our 2025 results. Let me also provide some perspectives on the currency trends against the US dollar. For the full year, we expect a currency tailwind of about 1 percentage point on sales and a neutral effect on adjusted EPS results. For Q1, we currently expect a tailwind of about 2 to 3 percentage points on sales and a neutral impact on adjusted EPS results.
Speaker #2: $2.50 CER and a step up from our $25 results. Let me also provide some perspectives on the currency trends against the US dollar. For a tailwind of about 1 percentage points on sales and a neutral effect on adjusted EPS results.
Speaker #2: For the first quarter, we currently expect a the full year, our currency expects tailwind of about 2 to 3 percentage points on sales and a neutral impact on adjusted EPS have taken a prudent approach in setting our outlook reflecting current market conditions and known headwinds while positioning Cajun to continue to rank among the fastest growing companies in our sector.
Speaker #2: results. I would like to now hand back to Thierry. Thank you, Roland, and before we go to the Q&A, messages for today. First, looking back on another solid quarter and Overall, we closed the year with consistent execution across the business.
Roland Sackers: Overall, we have taken a prudent approach in setting our outlook, reflecting current market conditions and known headwinds, while positioning QIAGEN to continue to rank among the fastest growing companies in our sector. I would like to now hand back to Thierry.
Roland Sackers: Overall, we have taken a prudent approach in setting our outlook, reflecting current market conditions and known headwinds, while positioning QIAGEN to continue to rank among the fastest growing companies in our sector. I would like to now hand back to Thierry.
Thierry Bernard: Thank you, Roland, and before we go to the Q&A, let me quickly summarize our key messages for today. First, looking back on 2025, QIAGEN delivered another solid quarter and closed the year with consistent execution across the business. The growth pillars grew at 8% CER, and this is among the fastest in our industry. This once again reflects the strength and balance of our portfolio across life sciences and diagnostics. At the same time, we remain obviously mindful of our environment. We continue to operate amid macroeconomic uncertainty, cautious capital spending, and ongoing volatility, which requires discipline and focus in how we manage the business. Looking ahead, our growth pillars are positioned to continue growing in 2026, supported by a very strong pipeline of new product launches and portfolio additions.
Thierry Bernard: Thank you, Roland, and before we go to the Q&A, let me quickly summarize our key messages for today. First, looking back on 2025, QIAGEN delivered another solid quarter and closed the year with consistent execution across the business. The growth pillars grew at 8% CER, and this is among the fastest in our industry. This once again reflects the strength and balance of our portfolio across life sciences and diagnostics. At the same time, we remain obviously mindful of our environment. We continue to operate amid macroeconomic uncertainty, cautious capital spending, and ongoing volatility, which requires discipline and focus in how we manage the business. Looking ahead, our growth pillars are positioned to continue growing in 2026, supported by a very strong pipeline of new product launches and portfolio additions.
Speaker #2: let me quickly summarize our key The growth pillars grew at 8% CER, and this is among the fastest in our industry. This once again reflects the strength and balance of our portfolio across life sciences and diagnostics.
Speaker #2: time, we remain obviously mindful of our environment. We continue to operate amid macroeconomic uncertainty, cautious capital spending, and ongoing volatility which requires discipline and focus in how we manage the business.
Speaker #2: Looking ahead, our growth pillars are positioned to continue growing into 2026, supported by a very strong pipeline of new product launches and portfolio additions.
Thierry Bernard: While we continue to see a cautious life sciences funding environment and softer capital spending, we expect conditions to improve gradually over the course of the year. Keep in mind that our outlook for the first half of 2026 is clearly impacted by many base effects from last year, and we are relentless about the contributions ahead from the upcoming new product launches. We expect our growth pillars combined to step up again in 2026, targeting growth of around 9% at CER. Sample technologies is targeting sales of around $720 million CER, QuantiFERON around $535 million, QIAstat around $160 million, QIAcuity around $100 million, and QDI around $125 million. As you clearly see, our focus remains on disciplined execution and operational excellence.
Thierry Bernard: While we continue to see a cautious life sciences funding environment and softer capital spending, we expect conditions to improve gradually over the course of the year. Keep in mind that our outlook for the first half of 2026 is clearly impacted by many base effects from last year, and we are relentless about the contributions ahead from the upcoming new product launches. We expect our growth pillars combined to step up again in 2026, targeting growth of around 9% at CER. Sample technologies is targeting sales of around $720 million CER, QuantiFERON around $535 million, QIAstat around $160 million, QIAcuity around $100 million, and QDI around $125 million. As you clearly see, our focus remains on disciplined execution and operational excellence.
Speaker #2: continue to see a cautious life While we sciences funding environment and softer capital improve gradually over the course of spending, we expect conditions to the year.
Speaker #2: Keep in mind that our outlook for the first half of 2026 is clearly impacted by many base effects from last year, and we are relentless about the contributions ahead from the upcoming new product launches.
Speaker #2: We expect our growth pillars combined to step up again in '26, targeting growth of around 9% at CER. Sample technologies is targeting sales of around 720 million dollars CER, QuantiFeron around 535 million dollars, KayaSack around dollars, KayaQuity around 160 million 100 million dollars, and QDI around 125 million dollars.
Speaker #2: As you clearly see, our focus remains on discipline execution and operational excellence. In 2025, adjusted diluted EPS grew to $2.40 at CER, and we continue to return capital to shareholders.
Thierry Bernard: In 2025, adjusted diluted EPS grew to $2.40 at CER, and we continue to return capital to shareholders. With the completion of the $500 million share repurchase at the beginning of 2026, we delivered on our commitment for solid, profitable growth. Those results are keeping us on track against our 2028 ambitions of about 7% sales CAGR, at least 31% adjusted operating income margin, at least $2 billion of sales from our growth pillars, and the shareholder returns of at least $1 billion, which, as I just said, we already exceeded. With that, I'd like to thank you again for your attention and hand back to Daniel and the operator for the Q&A session. Thank you.
Thierry Bernard: In 2025, adjusted diluted EPS grew to $2.40 at CER, and we continue to return capital to shareholders. With the completion of the $500 million share repurchase at the beginning of 2026, we delivered on our commitment for solid, profitable growth. Those results are keeping us on track against our 2028 ambitions of about 7% sales CAGR, at least 31% adjusted operating income margin, at least $2 billion of sales from our growth pillars, and the shareholder returns of at least $1 billion, which, as I just said, we already exceeded. With that, I'd like to thank you again for your attention and hand back to Daniel and the operator for the Q&A session. Thank you.
Speaker #2: With the completion of the 500 million dollar share re-purchase at the beginning of 2026, we delivered on our commitment for solid profitable growth. Those results are keeping us on track against our 2028 ambitions of about 7% sales CAGR at adjusted operating income least 31% margin at least 2 billion dollars of sales from our growth pillars and the shareholder returns of at least 1 billion dollars, which, as I just said, we already exceeded.
Speaker #2: With that, I'd like to thank you again for your attention and hand back to Daniel and the operator for the Q&A session. Thank you.
Speaker #3: Thank you very much, Thierry. Operator, I think we can now go into the Q&A
Daniel Wendorf: Thank you very much, Thierry. Operator, I think we can now go into the Q&A session.
Daniel Wendorf: Thank you very much, Thierry. Operator, I think we can now go into the Q&A session.
Speaker #3: session. Thank you.
Operator: Thank you. Ladies and gentlemen, at this time, we will begin the question-and-answer session. Anyone who wishes to ask a question may press star, followed by one on your touchtone telephone. If you wish to withdraw your question, you may press star two. To ensure we can accommodate as many people as possible, please limit yourself to one question and, if necessary, one follow-up. Your microphone will also be muted after finish asking questions. Anyone who has a question may press star followed by one at this time. One moment for the first question. We'll take our first question from Tycho Peterson with Jefferies.
Operator: Thank you. Ladies and gentlemen, at this time, we will begin the question-and-answer session. Anyone who wishes to ask a question may press star, followed by one on your touchtone telephone. If you wish to withdraw your question, you may press star two. To ensure we can accommodate as many people as possible, please limit yourself to one question and, if necessary, one follow-up. Your microphone will also be muted after finish asking questions. Anyone who has a question may press star followed by one at this time. One moment for the first question. We'll take our first question from Tycho Peterson with Jefferies.
Speaker #4: Ladies and gentlemen, at this time, we will begin the question and answer session. Anyone who wishes to ask a question may press star followed by one on your touchstone telephone.
Speaker #4: If you wish to withdraw your question, you may press star two. To ensure we can accommodate as many people as possible, please limit yourself to one question and, if necessary, one follow-up.
Speaker #4: Your microphone will also be muted after finished asking questions. Anyone who has a question may press star followed by one at this time. One moment for the first question.
Speaker #4: We'll take our first question from Taiko Peterson with
Speaker #4: Jefferies.
Speaker #5: Hey, thanks. I want to start out on some of the new product adding 200 basis points to growth in the back half of the year.
Tycho Peterson: Hey, thanks. Wanna start out on some of the new product launches. You know, QIAcuity, QIAstat, adding 200 basis points to growth in the back half of the year. Maybe give us a little more color on the products, you know, is this about new markets or deeper penetration? And, you know, what gives you confidence they'll contribute to growth out of the gate? And then on QIAcuity, you know, help us bridge to the $250 million target by 2028, 'cause, you know, you have missed your targets there the last couple of years. So talk about what you think, really, you know, gets you to that, to that target by 2028. And then just one follow-up on QuantiFERON, on the assumptions for the, back half of the year bridge.
Tycho Peterson: Hey, thanks. Wanna start out on some of the new product launches. You know, QIAcuity, QIAstat, adding 200 basis points to growth in the back half of the year. Maybe give us a little more color on the products, you know, is this about new markets or deeper penetration? And, you know, what gives you confidence they'll contribute to growth out of the gate? And then on QIAcuity, you know, help us bridge to the $250 million target by 2028, 'cause, you know, you have missed your targets there the last couple of years. So talk about what you think, really, you know, gets you to that, to that target by 2028. And then just one follow-up on QuantiFERON, on the assumptions for the, back half of the year bridge.
Speaker #5: Maybe just give us a little more color on the products. Is this about new markets or deeper penetration? And what gives you confidence they'll contribute to growth out of the gate?
Speaker #5: And then on KayaQuity, help us bridge to the 250 million dollar target by 2028 because you have missed your targets there the last couple of years.
Speaker #5: So talk about what you think really gets you to that target by 2028. And then just one follow-up on
Speaker #5: So, talk about what you think really gets you to that target by 2028. And then, just one follow-up on—
Speaker #5: So talk about what you think really gets you to that target by 2028. And then just one follow-up on
Speaker #1: Assumptions on the back half of the year for Bridge—I said growth previously this year. Quantifier, I think you include competitive entry targets. Is that still baked in, and by how much?
Tycho Peterson: I think you previously said growth targets would, you know, include competitive entry. Is that still baked in, and by how much? Thanks.
Tycho Peterson: I think you previously said growth targets would, you know, include competitive entry. Is that still baked in, and by how much? Thanks.
Speaker #1: Thanks . include Would you competitive entry ? that still in and baked Is Thanks much ? .
Thierry Bernard: Thank you, Tycho, and I will try to make sure that I'm not forgetting any of your questions. On the new product and the impact of at least 2% extra growth from H2 compared to H1 of 2026, the way you need to see it is that at least three of those new launches are opening completely new markets from QIAGEN. Of course, the new panel of QIAstat, the blood cancer panel, is opening new segment of customers, new needs, so it's an add-on. In Sample Tech, QIAsprint marks the entry of QIAGEN into very high throughput sample technologies, where we are not at the moment, therefore, new market. QIAmini is offering or will offer automations for low throughput labs or very small volume research, new markets.
Thierry Bernard: Thank you, Tycho, and I will try to make sure that I'm not forgetting any of your questions. On the new product and the impact of at least 2% extra growth from H2 compared to H1 of 2026, the way you need to see it is that at least three of those new launches are opening completely new markets from QIAGEN. Of course, the new panel of QIAstat, the blood cancer panel, is opening new segment of customers, new needs, so it's an add-on. In Sample Tech, QIAsprint marks the entry of QIAGEN into very high throughput sample technologies, where we are not at the moment, therefore, new market. QIAmini is offering or will offer automations for low throughput labs or very small volume research, new markets.
Speaker #2: Thank Tycho . And I will try to make sure that I'm not forgetting any of your on the questions you new the impact of products at growth least from H2 compared to of 26 .
Speaker #2: H1 2% extra The way to to see it that at least is . Three of new opening are those new . markets Of completely course , the new panel kyogen from of panel Qiastat-dx , the is segment blood of customers new opening new needs .
Speaker #2: So it's an add on in sample tech marks the entry of kyogen . into high very Sprint sample throughput technologies , where we the are not at moment .
Speaker #2: market is or will offer automations low labs or small Chimene volume research . New markets . can see that justified it's and add So you growth because of year in the those offering symphony Connect be will not upgraded qiasymphony , only but probably also other convince customers to adopt launches technology that's why we confident are number .
Thierry Bernard: So you can see that it's justified and realistic to add growth in the second half of the year because of those impact. QIAsymphony Connect will be not only upgraded QIAsymphony, but probably also convince other customers to adopt this technology. So that's why we are confident in this number. On QIAcuity, you are perfectly right, Tycho. Over the last two years, because our sales on digital PCR are mainly directed at the moment in research and academia, we have disclosed that we have been impacted by a more sluggish environment of capital expenses in research and academia. So that created a bit of delay in revenues coming from instrumentation from digital PCR. The consumables have been good. For the last three years, we systematically grew at double digits, but instruments were a bit below our expectation. But again, what are we talking about here?
Thierry Bernard: So you can see that it's justified and realistic to add growth in the second half of the year because of those impact. QIAsymphony Connect will be not only upgraded QIAsymphony, but probably also convince other customers to adopt this technology. So that's why we are confident in this number. On QIAcuity, you are perfectly right, Tycho. Over the last two years, because our sales on digital PCR are mainly directed at the moment in research and academia, we have disclosed that we have been impacted by a more sluggish environment of capital expenses in research and academia. So that created a bit of delay in revenues coming from instrumentation from digital PCR. The consumables have been good. For the last three years, we systematically grew at double digits, but instruments were a bit below our expectation. But again, what are we talking about here?
Speaker #2: On equity are , you in this perfectly right , Tycho . Over the last two years , because our sales digital PCR mainly directed at the moment are research and academia , in we have have disclosed been impacted that we by a more sluggish environment on capital expenses in of research academia .
Speaker #2: and delay bit of a created in revenues coming So that from instrumentation , from digital PCR . The consumables have been good for the last three years .
Speaker #2: We systematically grew at double digit , instruments a bit were below but expectations . But again , what are we about here ? When we talking see or when we say below ?
Thierry Bernard: When we see or when we say below our expectation, if I take 2025 as an example, we still put more than 500 new QIAcuity on the market. If you look at Q4, we put more than 100 systems in Q4, 100 new QIAcuity. Those systems will obviously generate consumables tomorrow. So we have indeed given a target of $250 million revenues by 2028 for digital PCR at QIAGEN. We might have a slight delay because of the sluggish capital expense environment, but what is important to us is that we continue to grow, we capture new market, and we grow consumables at double-digit, while still placing a significant number of instruments every year. Now, for QuantiFERON, we explained the profile of the growth for 2026.
Thierry Bernard: When we see or when we say below our expectation, if I take 2025 as an example, we still put more than 500 new QIAcuity on the market. If you look at Q4, we put more than 100 systems in Q4, 100 new QIAcuity. Those systems will obviously generate consumables tomorrow. So we have indeed given a target of $250 million revenues by 2028 for digital PCR at QIAGEN. We might have a slight delay because of the sluggish capital expense environment, but what is important to us is that we continue to grow, we capture new market, and we grow consumables at double-digit, while still placing a significant number of instruments every year. Now, for QuantiFERON, we explained the profile of the growth for 2026.
Speaker #2: Our expectation ? take If I 2025 as an example , we still put more than 500 new acuity on the market . If you Q4 , at we put more than 100 systems look Q4 , 100 new equity .
Speaker #2: systems Those will obviously generate consumables . So we have indeed , tomorrow target of given a $250 million PCR 28 for digital at we might have a slight delay because revenues by important to us is that we continue to grow .
Speaker #2: capture new market and we We consumables double digit while still at significant number of Every year instruments . . Now for we Quantiferon , explained the profile of the growth 26 .
Speaker #2: capture new market and we We consumables double digit while still at significant number of Every year instruments . . Now for we Quantiferon , explained the profile of the growth for is H1 effect base by coming by tenders and significant Q4 contract in of and Q1 You will see Quantiferon of 25 .
Speaker #2: capture new market and we We consumables double digit while still at significant number of Every year instruments . . Now for we Quantiferon , explained the profile of the growth for is H1 effect base by coming by tenders and significant Q4 contract in of and Q1 You will see Quantiferon of 25 . picking up in .
Thierry Bernard: H1 is impacted by base effect coming by tenders and significant contract in Q4 of 2024 and Q1 of 2025. You will see QuantiFERON picking up in Q2, and obviously those base effects will progressively disappear, and you'll see QuantiFERON accelerating to achieve probably above 6% growth, let's say between 6% and 7% growth in 2027- in 2026, I'm sorry, which is perfectly aligned with the target that we gave during our capital market day in June 2024. QuantiFERON will be $600 million revenues by 2028.
Thierry Bernard: H1 is impacted by base effect coming by tenders and significant contract in Q4 of 2024 and Q1 of 2025. You will see QuantiFERON picking up in Q2, and obviously those base effects will progressively disappear, and you'll see QuantiFERON accelerating to achieve probably above 6% growth, let's say between 6% and 7% growth in 2027- in 2026, I'm sorry, which is perfectly aligned with the target that we gave during our capital market day in June 2024. QuantiFERON will be $600 million revenues by 2028.
Speaker #2: And Q2 obviously those will base effects progressively disappear you'll see and Quantiferon accelerating achieve probably to above 6% growth , let's say in between 6 and 7% growth 2027 .
Speaker #2: In 26 , I'm sorry , which is perfectly aligned with the target that we during gave our capital market day in will June 24th .
Speaker #2: Quantiferon be $600 million . Revenues by 2028 .
Operator: Thank you. We'll take our next question from Jack Meehan with Nephron.
Operator: Thank you. We'll take our next question from Jack Meehan with Nephron.
Jack Meehan: Thank you. Hi, everyone. Thierry, wanted to get your thoughts. There were headlines a few weeks ago around QIAGEN as a potential deal target again. Was wondering what comments, if any, you can share on that.
Jack Meehan: Thank you. Hi, everyone. Thierry, wanted to get your thoughts. There were headlines a few weeks ago around QIAGEN as a potential deal target again. Was wondering what comments, if any, you can share on that.
Speaker #3: We'll take our question from, thank you, Jack. Next, Meehan with Nephron.
Speaker #4: Thank everyone you . Hi , . Theory . I your thoughts there . Headlines A few wanted to get weeks around ago kyogen as a potential deal target .
Thierry Bernard: Thanks for the question, Jack, and I was expecting a question on this. I mean, it's fair to say that our market is still, and will still going through consolidation. That's point number one. At the same time, QIAGEN is delivering and focusing on delivering on our solid plan for the coming years. The plan that we disclosed in New York in June 2024, 7% CAGRs on the top line, at least 31% EBIT margin, EUR 2 billion from our pillars of growth. So this is where we are focusing. At the same time, we do not comment on rumors. We are always open for discussion that could create value for shareholders, and I cannot say more at this stage.
Thierry Bernard: Thanks for the question, Jack, and I was expecting a question on this. I mean, it's fair to say that our market is still, and will still going through consolidation. That's point number one. At the same time, QIAGEN is delivering and focusing on delivering on our solid plan for the coming years. The plan that we disclosed in New York in June 2024, 7% CAGRs on the top line, at least 31% EBIT margin, EUR 2 billion from our pillars of growth. So this is where we are focusing. At the same time, we do not comment on rumors. We are always open for discussion that could create value for shareholders, and I cannot say more at this stage.
Speaker #4: Again , I was wondering what you can share on comments , if any , that .
Speaker #2: Thanks for the question , Jack . And I was expecting a question on this . I it's say that mean , fair to our is still and will still through consolidation .
Speaker #2: That's number one, point. The same at this time is focusing on delivering, delivering on a solid plan for the coming years.
Speaker #2: The plan that we disclosed in New York on June 24th, targeting at least a 31% EBITDA margin, $2 billion from our growth.
Speaker #2: this is So where we are focusing . pillars of At the same time , we do not comment on rumors . always are open for We could create value for shareholders .
Jack Meehan: Understood. And appreciate the execution's been really solid and you still have your hand firmly on the wheel, but also did wanna ask about the CEO succession search.
Jack Meehan: Understood. And appreciate the execution's been really solid and you still have your hand firmly on the wheel, but also did wanna ask about the CEO succession search. ... just was wondering, when you think we might have an update on that?
Speaker #2: And I cannot say more at this stage
Speaker #4: . Understood And
Speaker #4: I appreciate the execution has been really solid, and you still have your hand firmly on the wheel. But I also did want to ask about the...
Aisyah Noor: ... just was wondering, when you think we might have an update on that?
Speaker #4: CEO succession search . was Just wondering when you think we might have an that .
Thierry Bernard: What is important for the board and for the company is to find the best person for the job. So we have a search ongoing, as we said in Q4 of 2025. This is both an external and internal search. It's advancing very well, but we need to take the necessary time once again to find the best person for the job. In the meantime, we do have a management fully dedicated to QIAGEN. It's not only Thierry, it's the entire executive committee, and also 5,700 of QIAGENers all over the world. We will obviously update you as we can progress.
Thierry Bernard: What is important for the board and for the company is to find the best person for the job. So we have a search ongoing, as we said in Q4 of 2025. This is both an external and internal search. It's advancing very well, but we need to take the necessary time once again to find the best person for the job. In the meantime, we do have a management fully dedicated to QIAGEN. It's not only Thierry, it's the entire executive committee, and also 5,700 of QIAGENers all over the world. We will obviously update you as we can progress.
Speaker #2: What is on for the Board and important for the company is to find the best person for the job. So we have a search ongoing.
Speaker #2: we As said in of 25 , Q4 this is both an external and internal search search . It's advancing very well , but we take the need to necessary time once again to find best person for the job .
Speaker #2: In the meantime , we do have a the fully dedicated to kyogen . It's only it's theory , the entire executive and also committee owners all over the 5700s of world are will update we can progress you as .
Operator: Thank you. We'll take our next question from Casey Woodring with J.P. Morgan.
Operator: Thank you. We'll take our next question from Casey Woodring with J.P. Morgan.
Casey Woodring: Great, thanks for taking my questions. Wanted to ask on the margin expansion piece, the bridge to 2026 didn't seem to include any operating margin improvement this year outside of the efficiency program, which will fall apart with the currency and tariff headwinds, unless I'm misinterpreting your comments there. So maybe just, can you walk us through how you're thinking about organic operating leverage across the business, and how some of the new product volume is expected to contribute to the bottom line this year?
Casey Woodring: Great, thanks for taking my questions. Wanted to ask on the margin expansion piece, the bridge to 2026 didn't seem to include any operating margin improvement this year outside of the efficiency program, which will fall apart with the currency and tariff headwinds, unless I'm misinterpreting your comments there. So maybe just, can you walk us through how you're thinking about organic operating leverage across the business, and how some of the new product volume is expected to contribute to the bottom line this year?
Speaker #3: Thank you . We'll take our next Woodring with JP Morgan .
Speaker #5: Great .
Speaker #5: taking my questions
Speaker #5: . Wanted to ask on the margin expansion piece . The Casey to 2026 didn't seem include any operating margin improvement this year . Outside of the efficiency program , which will foot part carcinoid of the headwinds .
Speaker #5: Unless I'm misinterpreting your comments there . So maybe just walk us can you through how you're thinking about organic operating leverage across the business and how some of the new product to expected contribute to line this year question from ?
Roland Sackers: Hi, Casey. No, I, again, I do think actually that 2026 will be another significant margin improvement year for QIAGEN, because, I think it's clearly fair to say that we do expect, we announce headwinds from the acquisitions of Parse. As you know, that is an acquisition where we're doubling up on the R&D, doubling down on the R&D investment. So there's clearly a certain dilution for us to expect for this year, and that is around 100 basis points, for 2026. In addition to that, we have a combined headwind, again, also from tariffs and FX in 2026.
Roland Sackers: Hi, Casey. No, I, again, I do think actually that 2026 will be another significant margin improvement year for QIAGEN, because, I think it's clearly fair to say that we do expect, we announce headwinds from the acquisitions of Parse. As you know, that is an acquisition where we're doubling up on the R&D, doubling down on the R&D investment. So there's clearly a certain dilution for us to expect for this year, and that is around 100 basis points, for 2026. In addition to that, we have a combined headwind, again, also from tariffs and FX in 2026.
Speaker #6: High guess . No . Again , I do think actually that 26 will be another significant margin improvement . Year for , because I think it's Kaizen to say that we do expect we headwinds from the acquisitions of announced of , as you that is of of an know , acquisition where pass we up on the R&D , are doubling R&D down on investments , where there's clearly a certain dilution for us to doubling for And that year .
Speaker #6: It's around 100 basis points, in addition, that we have for 2026 as a headwind. Again, also, combined tariffs and FX—so there will be a margin net of 160 basis points for this year, which again will be compensated.
Roland Sackers: So there will be a net margin improvement, or gross margin improvement for around about 160 basis points for this year, which again, will be compensated, as I said, from pricing and tariffs and expected currency headwinds. So, 160 basis points, how does this break down? A larger part actually this year comes, and we talked about that in the past, from gross margin improvements. I would say probably somewhere between 75 and, you know, plus basis points, and 26 comes from gross margin improvement. Have in mind, you will see an acceleration, quite significant acceleration in sample prep growth, sample preparation growth. And clearly, sample preparation is also one of the product groups which has a significant gross margin contribution to QIAGEN, so that should be helpful.
Roland Sackers: So there will be a net margin improvement, or gross margin improvement for around about 160 basis points for this year, which again, will be compensated, as I said, from pricing and tariffs and expected currency headwinds. So, 160 basis points, how does this break down? A larger part actually this year comes, and we talked about that in the past, from gross margin improvements. I would say probably somewhere between 75 and, you know, plus basis points, and 26 comes from gross margin improvement. Have in mind, you will see an acceleration, quite significant acceleration in sample prep growth, sample preparation growth. And clearly, sample preparation is also one of the product groups which has a significant gross margin contribution to QIAGEN, so that should be helpful.
Speaker #6: As I said , from pass and tariffs and expected currency headwinds So . 160 basis points . How does this break a larger part actually this year comes talked about that in the past from margin gross improvements I would say probably somewhere when we plus basis between points in 26 comes from margin gross improvement .
Speaker #6: Have in mind you will see an acceleration quite significant acceleration in sample sample preparation , growth and clearly sample preparation also one of the product groups which has a down cost margin contribution to kaizen .
Roland Sackers: And in addition to that, we still continues to see outstanding growth around QIAstat. And you also know that we in the past talked about that we're still running on an underutilization in terms of production utilization for QIAstat. So also here, better utilization will drive cost margin improvement. Last but not least, we still have ongoing 40 QIA efficiency program on the operational expense side. They all will contribute not only in 2026, also beyond. So, again, we expect margin improvement this year. We expect to continue that in 2027 and 2028. And as Thierry said in his remarks, we clearly do believe we will be able to see a significant step up north of the 31%, which was announced, for 2028.
Roland Sackers: And in addition to that, we still continues to see outstanding growth around QIAstat. And you also know that we in the past talked about that we're still running on an underutilization in terms of production utilization for QIAstat. So also here, better utilization will drive cost margin improvement. Last but not least, we still have ongoing 40 QIA efficiency program on the operational expense side. They all will contribute not only in 2026, also beyond. So, again, we expect margin improvement this year. We expect to continue that in 2027 and 2028. And as Thierry said in his remarks, we clearly do believe we will be able to see a significant step up north of the 31%, which was announced, for 2028.
Speaker #6: So that should be helpful . And is in that , we still addition to see outstanding growth around China . And you also know that in the past talked about that we still are running on an underutilization in , utilization for .
Speaker #6: Also, so better here, utilization will drive gross margin improvement. Last but not least, we have ongoing production—still have 40 Korea efficiency program on the operational expense side.
Speaker #6: They all will not only in 26 . Also So . we again , beyond expect year . We improvement this expect margin to continue that in 27 and 28 .
Speaker #6: And as you said in his remarks , we clearly do believe we will be see a step up significant the of 31% , which was announced 28 .
Casey Woodring: Okay, we'll leave it there. Thank you.
Casey Woodring: Okay, we'll leave it there. Thank you.
Speaker #6: for
Operator: We'll take our next question from Aisyah Noor, with Morgan Stanley.
Operator: We'll take our next question from Aisyah Noor, with Morgan Stanley.
Speaker #5: There. Thank you. We'll leave it. Okay.
Aisyah Noor: Thanks so much. Hi, Thierry and Roland, thanks for taking my question. My one question is on China. So can you confirm if you're exposed to VBP or any large tender renewals that we should be aware about? And what's the China growth outlook embedded in your guidance? Thank you.
Aisyah Noor: Thanks so much. Hi, Thierry and Roland, thanks for taking my question. My one question is on China. So can you confirm if you're exposed to VBP or any large tender renewals that we should be aware about? And what's the China growth outlook embedded in your guidance? Thank you.
Speaker #3: We'll take our next question Masanori from Morgan JP with . With Stanley . Morgan
Speaker #7: Thanks so much . Hi , Thierry and Roland , thanks for taking my question My one question is . China . on you So can confirm if exposed to GBP any large tender you're renewals that we should be aware about the China ?
Thierry Bernard: Thanks for the question, Anisa. We keep the same attitude and consideration towards China. As we have said for the last 3 years, it's not significant in our revenues anymore. Our exposure is 4% to China. It's a large market. It's too large of a market to be ignored. At the same time, it's too specific and too politically driven as a market to make it an investment case. We are not specifically more impacted by VBP, because VBP has been implemented across molecular solution, at least for the last 3 years in China, so it's nothing new for us. Last year was negative. We continue to think that China will be between low single digit to negative, to at very best, flat.
Thierry Bernard: Thanks for the question, Anisa. We keep the same attitude and consideration towards China. As we have said for the last 3 years, it's not significant in our revenues anymore. Our exposure is 4% to China. It's a large market. It's too large of a market to be ignored. At the same time, it's too specific and too politically driven as a market to make it an investment case. We are not specifically more impacted by VBP, because VBP has been implemented across molecular solution, at least for the last 3 years in China, so it's nothing new for us. Last year was negative. We continue to think that China will be between low single digit to negative, to at very best, flat.
Speaker #7: embedded in And what's Thank you . your
Speaker #2: Alicia . We Thanks for the keep the same attitude and consideration towards China . As we have said for the last three years .
Speaker #2: It's not significant in our revenues Our anymore . exposure is 4% to China . It's a large market . It's too large of a market be to ignored .
Speaker #2: specific time , politically as a At the same market make it an to investment case . We not specifically a are impacted by GBP because VP has been implemented across molecular solutions , least for the last at three years .
Speaker #2: In it's nothing new for us China . So . Last year was negative . We continued that to think China low between single digit to will be negative to at best very flat , and we do in the expect current political not situation , economic situation and market situation of China to see return of a growth in the future visible again , .
Thierry Bernard: We do not expect, in the current political situation, economic situation, and market situation of China, to see a return of growth in the foreseeable future. But again, our exposure is very limited, as I said, 4% of sales.
Thierry Bernard: We do not expect, in the current political situation, economic situation, and market situation of China, to see a return of growth in the foreseeable future. But again, our exposure is very limited, as I said, 4% of sales.
Speaker #2: But our very limited . As exposure is sales 4% of .
Operator: Thank you. We'll take our next question from Odysseas Manesiotis with BNP Paribas.
Operator: Thank you. We'll take our next question from Odysseas Manesiotis with BNP Paribas.
Speaker #3: take our We'll next Thank you . from question Odysseas Otis .
Odysseas Manesiotis: Hi, thanks for taking my questions. Firstly, on QIAstat, you finally have a complete menu, a high volume platform during what seems to be a material year for replacing such instruments. Is it fair to assume that you'll do much better than the 600 placements you did in 2026?... in 2025?
Odysseas Manesiotis [Healthcare Equity Research: Hi, thanks for taking my questions. Firstly, on QIAstat, you finally have a complete menu, a high volume platform during what seems to be a material year for replacing such instruments. Is it fair to assume that you'll do much better than the 600 placements you did in 2026?... in 2025?
Speaker #3: with Paribas BNP .
Speaker #8: for taking Hi . Thanks my on , you a finally have complete menu , a high volume platform during what seems to be a year for replacing such instruments it fair to that .
Speaker #8: for taking Hi . Thanks my on , you a finally have complete menu , a high volume platform during what seems to be a year for replacing such instruments it fair to that . you'll assume do much better than the 600 placements you Is did in 26 ?
Thierry Bernard: Well, I appreciate that you always want more, but more than 600 placement in 2025, it's already a good performance. So I prefer to leave it like this. We grow at 25%, for Q4. We grew at much more than double digit for 2025. We gave you an objective of more than EUR 160 million for 2026, which shows, again, a double digit growth. We are a solid number two on this market. This is exactly what we wanted to achieve, and if we can beat our objective on new placement, we will do it. But let's execute first on the EUR 160 million. Let's execute on the product launches, on the market penetration, and that will be already good.
Thierry Bernard: Well, I appreciate that you always want more, but more than 600 placement in 2025, it's already a good performance. So I prefer to leave it like this. We grow at 25%, for Q4. We grew at much more than double digit for 2025. We gave you an objective of more than EUR 160 million for 2026, which shows, again, a double digit growth. We are a solid number two on this market. This is exactly what we wanted to achieve, and if we can beat our objective on new placement, we will do it. But let's execute first on the EUR 160 million. Let's execute on the product launches, on the market penetration, and that will be already good.
Speaker #8: 25 ?
Speaker #2: Well
Speaker #2: , I In appreciate that you always want more I , but more than 600 placements in 2025 , it's already a good performance .
Speaker #2: So I prefer to leave it this like . grow We at for Q4 25% grew at much more than double . for We 25 .
Speaker #2: We gave you an objective digit than 160 million for 26 , which shows , a digit double growth a . We are solid number two on this again , exactly what market .
Speaker #2: we wanted to This achieve . And if we can beat our objective on placement , we will it . do But let's execute first on the 160 million .
Speaker #2: Let's execute on the product launches on the market penetration and would be already that .
Odysseas Manesiotis: Thank you. And a follow-up on QuantiFERON. Could you give us a bit of additional color on the Q1 guidance here? I mean, is there any price component to your conservativeness there? And how exactly were these one-off tenders given, you know, the low shelf life of the kit?
Odysseas Manesiotis [Healthcare Equity Research: Thank you. And a follow-up on QuantiFERON. Could you give us a bit of additional color on the Q1 guidance here? I mean, is there any price component to your conservativeness there? And how exactly were these one-off tenders given, you know, the low shelf life of the kit?
Speaker #8: Thank you . follow up
Speaker #8: on on good Quantiferon . Could you And a a bit of give us additional color on the guidance here ? I mean , Q1 is there price component to to your conservativeness any how there , and exactly were these one off tenders given , you know , the given , shelf life low kit ?
Thierry Bernard: Yeah, I think it's not a question of shelf life. It's a fair question, but it's just a comparison, quarter on quarter, on deal that we have been able to include in ourselves. It's a base effect. If you look at QIAGEN recent communication on QuantiFERON, it did include, over the last three years, some press releases, sometime of significant tenders. In Middle East, the contract with Oman was one of them. In Latin America, the contract in Brazil was another one of them. So those are creating a base impact compared to Q1 2026, because of their date of signature or renewal. As Roland explained during his comments, growth of QuantiFERON for Q1 2025 was close to 16%.
Thierry Bernard: Yeah, I think it's not a question of shelf life. It's a fair question, but it's just a comparison, quarter on quarter, on deal that we have been able to include in ourselves. It's a base effect. If you look at QIAGEN recent communication on QuantiFERON, it did include, over the last three years, some press releases, sometime of significant tenders. In Middle East, the contract with Oman was one of them. In Latin America, the contract in Brazil was another one of them. So those are creating a base impact compared to Q1 2026, because of their date of signature or renewal. As Roland explained during his comments, growth of QuantiFERON for Q1 2025 was close to 16%.
Speaker #2: Yeah , I it's not think a life . It's a question , fair but just a comparison . Quarter on it's on question of that we have been able to include in ourselves .
Speaker #2: It's a base If you look at again communication on effect . , recent Quantiferon , did it include some last three years , press releases , sometimes of significant tenders in Middle East , contract the was one of Oman them in over the Latin America , the contract in Brazil was another one of that .
Speaker #2: So those are creating a base impact compared to Q1 2026 because of their date signature or renewal of . As Roland during his explained his comments , growth of for Quantiferon close to Q1 2025 was 16% .
Thierry Bernard: We need to compare this with a normalized growth of QuantiFERON over the year, which is 10%. In other words, we grew in Q1 of 25, 6 points above the normal growth of CAGR of QIAGEN. It creates necessarily a base impact. This is not a conservative guidance; it's just a realistic guidance. Regarding prices, we were very clear when we issued the guidance for QuantiFERON early 2025. We know that competition will increase on that market. We factored that in our number, $600 million for 2028, and we always said that our plan commercially is to move even more customers to pre-annual contract. This is good for the business. This is good for the franchise. If this sometimes goes with a bit of pricing flexibility, it's a good thing to do.
Thierry Bernard: We need to compare this with a normalized growth of QuantiFERON over the year, which is 10%. In other words, we grew in Q1 of 25, 6 points above the normal growth of CAGR of QIAGEN. It creates necessarily a base impact. This is not a conservative guidance; it's just a realistic guidance. Regarding prices, we were very clear when we issued the guidance for QuantiFERON early 2025. We know that competition will increase on that market. We factored that in our number, $600 million for 2028, and we always said that our plan commercially is to move even more customers to pre-annual contract. This is good for the business. This is good for the franchise. If this sometimes goes with a bit of pricing flexibility, it's a good thing to do.
Speaker #2: compare We need to this with a normalized growth of Quantiferon over the which year , is 10% . In other words , we grew in Q1 of 25 , six points above the growth of children .
Speaker #2: It creates necessarily a base impact . a This is not conservative It's just a guidance . realistic guidance regarding very . We were clear prices the issued Quantiferon when we early 25 .
Speaker #2: We competition know that guidance for will increase on that market . We that in our , $600 million for number we always said that our plan commercially to is move even more customers priori annual This is contracts .
Speaker #2: for the business . This is franchise this goes with a bit of pricing flexibility , it's a good thing to do .
Operator: We'll take our next question from Michael Ryskin with Bank of America.
Operator: We'll take our next question from Michael Ryskin with Bank of America.
Michael Ryskin: Great. Thanks for, thanks for taking the question, guys. I wanna ask a little bit more in the Q1 outlook outside of QuantiFERON. You talked about some of the moving pieces there, in terms of the comps, in terms of the, you know, the new modest shutdown, things like that. I wanna dive into your expectations for end markets. You know, you had some, some comments on you expect end market improvement as you go through the year, but maybe you could just expand on that a little bit, of how much of that is built into Q1 specifically, maybe as far as US government shutdown or, or broader markets, in general, and just what the degree of improvement you're embedding as you go through the year, to sort of, like, you know, hit that back half ramp. Thanks.
Michael Ryskin: Great. Thanks for, thanks for taking the question, guys. I wanna ask a little bit more in the Q1 outlook outside of QuantiFERON. You talked about some of the moving pieces there, in terms of the comps, in terms of the, you know, the new modest shutdown, things like that. I wanna dive into your expectations for end markets. You know, you had some, some comments on you expect end market improvement as you go through the year, but maybe you could just expand on that a little bit, of how much of that is built into Q1 specifically, maybe as far as US government shutdown or, or broader markets, in general, and just what the degree of improvement you're embedding as you go through the year, to sort of, like, you know, hit that back half ramp. Thanks.
Speaker #3: next question from We'll take our Michael with Bank Ryken of
Speaker #9: Thanks Great . for thanks for taking the question , guys to ask a little bit more . one Q outlook in the I want Quantiferon , outside of talked about some of the moving pieces in terms of the comps , there in terms the mod the new shutdown , things like of I want to dive your for that .
Speaker #9: end expectations markets . You know , you some some you comments expect have end market improvement as you go through the year , but just maybe you could expand on that a of how much of that built into one .
Speaker #9: Q little bit specifically , maybe is as far as US government or broader shutdown in general , just what the degree into and improvement you're of embedding as you the go through year to sort of hit that back half Thanks ramp .
Thierry Bernard: The first comment, Michael, is that the overall market. If I look at some of our main competitors' recent earnings calls, we see that they are in the same ballpark of guidance for Q1. Most of them, not to say all of them. It is clear, and we already said that last year, that if we consider the funding environment, especially for research and academia labs, and especially in the US, we believe that the situation is better now than it was six months ago. Why? Because six months ago, most of the comments were targeting a significant decrease of budgets like NIH, for example. Now, we know that we are going to be probably seeing a slight increase in 2026 of the NIH budget, let's say, max around 1%. This is good for the business.
Thierry Bernard: The first comment, Michael, is that the overall market. If I look at some of our main competitors' recent earnings calls, we see that they are in the same ballpark of guidance for Q1. Most of them, not to say all of them. It is clear, and we already said that last year, that if we consider the funding environment, especially for research and academia labs, and especially in the US, we believe that the situation is better now than it was six months ago. Why? Because six months ago, most of the comments were targeting a significant decrease of budgets like NIH, for example. Now, we know that we are going to be probably seeing a slight increase in 2026 of the NIH budget, let's say, max around 1%. This is good for the business.
Speaker #9: .
Speaker #2: So the first comment , that on the overall Michael , is I look at market , some of our main if recent earnings calls , we see that are in the they same ballpark of guidance for Q1 .
Speaker #2: not to Most of them them . It is clear and we already last year that that if we the funding consider said environment , especially for research and labs especially in academia , , we believe the the situation is that better than it was six months ago now .
Speaker #2: Why Because ? six months ago , most of the comments targeting a were significant of like NIH , for decrease , where we know that we example be are now probably seeing a budgets in 26 of the NIH budget .
Thierry Bernard: At the same time, we said today that we believe that many research and academia labs are still in a kind of wait and see attitude. Once they get more visibility, we believe, and it's embedded partially in our H2 expectation, that capital expense, especially in research and academia, will improve because they will have more visibility. So we think that it's fair to assume that progressively, throughout 2026, the total market can come back to a growth of mid-single digits.
Thierry Bernard: At the same time, we said today that we believe that many research and academia labs are still in a kind of wait and see attitude. Once they get more visibility, we believe, and it's embedded partially in our H2 expectation, that capital expense, especially in research and academia, will improve because they will have more visibility. So we think that it's fair to assume that progressively, throughout 2026, the total market can come back to a growth of mid-single digits.
Speaker #2: Let's say , max around 1% . the This is . At the same time , we said that we today that believe many research labs academia and are still in wait and see of attitude once they get more visibility .
Speaker #2: We it's , and believe embedded our H2 in expectation , that partially capital expense , especially in research and academia , will improve because will have they more visibility .
Speaker #2: So we think that it's fair to assume that, progressively throughout 2026, the market can come back to a growth of digit.
Michael Ryskin: ... Okay. Okay, that's helpful. And then, maybe I can dig into sample tech a little bit. In the slides, I think you called out a $720 million target for 2026. Just to confirm, that includes Parse's contribution in it of about $40 million, and then just confirming that. And then the second part of that question would be, just how much of that do you expect to be contribution from some of those new automation solutions in sample tech? Is that a meaningful contributor to 2026 in that part of the portfolio, or is that just gonna take a little bit longer to ramp? Thanks.
Michael Ryskin: ... Okay. Okay, that's helpful. And then, maybe I can dig into sample tech a little bit. In the slides, I think you called out a $720 million target for 2026. Just to confirm, that includes Parse's contribution in it of about $40 million, and then just confirming that. And then the second part of that question would be, just how much of that do you expect to be contribution from some of those new automation solutions in sample tech? Is that a meaningful contributor to 2026 in that part of the portfolio, or is that just gonna take a little bit longer to ramp? Thanks.
Speaker #9: Okay , That's okay . helpful . And maybe I into can dig a little in the slides . I think you bit a 720 million target for 2026 .
Speaker #9: Okay , That's okay . helpful . And maybe I into can dig a little in the slides . I think you bit a 720 million target for 2026 . then confirm .
Speaker #9: That includes parse contribution in it of And called out confirming that . then the second part of that question will just Just to much of how be you expect to be contribution from some And new of those automation tech sample ?
Speaker #9: about 40 million . .
Thierry Bernard: So you're perfectly right for your numbers. We said EUR 720 million total sample tech. It includes indeed around EUR 40 million contribution from Pars. And as we discussed, you and I, yesterday, Pars contribution will be higher if you compare H1 to H2 for Pars. We are probably at 40% for H1 and 60% for H2 in terms of weight in their revenues. So you're perfectly right on that. Now, if you consider the new launches, QIAsymphony Connect, QIAsprint Connect, and QIAmini, they are fully embedded in the 2% extra growth coming from the new products that we are planning H2 to H1.
Thierry Bernard: So you're perfectly right for your numbers. We said EUR 720 million total sample tech. It includes indeed around EUR 40 million contribution from Pars. And as we discussed, you and I, yesterday, Pars contribution will be higher if you compare H1 to H2 for Pars. We are probably at 40% for H1 and 60% for H2 in terms of weight in their revenues. So you're perfectly right on that. Now, if you consider the new launches, QIAsymphony Connect, QIAsprint Connect, and QIAmini, they are fully embedded in the 2% extra growth coming from the new products that we are planning H2 to H1.
Speaker #9: contributor to 2026 ? portfolio , or is Is that that just going part of the little bit longer to to take a ramp ?
Speaker #2: perfectly So you're right for numbers . said
Speaker #2: tech . It 720 million total
Speaker #2: tech . It 720 million total
Speaker #2: around 40 million contribution from pass . And as we discussed , and I yesterday passed contribution solutions will be higher if you compared
Speaker #2: H2 for pass . We probably at 40% for are includes H1 and 60% for H2 . In weight in their In that So your revenues .
Speaker #2: perfectly terms right that . Now , if you of new launches the on connect qiasymphony and Connect mini , are they meaningful fully .
Speaker #2: Embedded in the growth coming are from the new H1, spring products that we
Operator: Thank you. We'll take our next question from Kavya Deshpande with UBS.
Operator: Thank you. We'll take our next question from Kavya Deshpande with UBS.
Kavya Deshpande: Good afternoon, thank you for taking my questions. Just a couple on QIAsymphony, please. So firstly, on the guidance for 2026, is there anything you might be able to share on what you're assuming in that guide for the US respiratory season in 2026? And then secondly, I think you shared a couple of years ago that at the point of your last CMD, over 50% of QIAstat customers were using more than two panels. Would you have any update on this? It'd be good to get that, just given you've done a lot of menu expansion since then. Thank you.
Kavya Deshpande [Equity Research: Good afternoon, thank you for taking my questions. Just a couple on QIAsymphony, please. So firstly, on the guidance for 2026, is there anything you might be able to share on what you're assuming in that guide for the US respiratory season in 2026? And then secondly, I think you shared a couple of years ago that at the point of your last CMD, over 50% of QIAstat customers were using more than two panels. Would you have any update on this? It'd be good to get that, just given you've done a lot of menu expansion since then. Thank you.
Speaker #3: Question from Kavya Deshpande.
Speaker #10: Good taking my you for questions . couple on please . cloistered , So firstly on the Just a guidance afternoon . is there anything Thank share on what you're for guide for the US respiratory 2026 , season in 2026 ?
Speaker #10: And then I think you shared a years couple of ago secondly , that at the point of your CMD 50% of cryostat using more than , customers were two panels .
Speaker #10: And then I think you shared a years couple of ago secondly , that at the point of your CMD 50% of cryostat that ?
Thierry Bernard: That was our first question. I think we have seen that again, the respiratory season was significant from December 25 to probably now. We'll see what is going to happen in the coming weeks. You perfectly read, I believe that there are harsh winter conditions in the US as we speak, but it's too early to say. What I can tell you is that I believe that respiratory issues will remain significant for the years to come, and that's why the respiratory panel on syndromic, like QIAstat, are so important. I think people are more aware. They are more aware of flu, whether it's A and B, RSV, obviously COVID, or other respiratory pathogens. So I believe that it's going to become a well-established panel and testing for the years to come. That's why it's key to have this panel.
Thierry Bernard: That was our first question. I think we have seen that again, the respiratory season was significant from December 25 to probably now. We'll see what is going to happen in the coming weeks. You perfectly read, I believe that there are harsh winter conditions in the US as we speak, but it's too early to say. What I can tell you is that I believe that respiratory issues will remain significant for the years to come, and that's why the respiratory panel on syndromic, like QIAstat, are so important. I think people are more aware. They are more aware of flu, whether it's A and B, RSV, obviously COVID, or other respiratory pathogens. So I believe that it's going to become a well-established panel and testing for the years to come. That's why it's key to have this panel.
Speaker #10: Would be good to get that . Just given you've done a lot of menu expansion since then . Thank you on this over .
Speaker #2: Yeah , was our first question . I think we are seen that again . The respiratory season significant from probably December 25th to now going to what is happen .
Speaker #2: We'll see in the weeks . You perfectly believe are there harsh winter in the US conditions . In the as we speak , but it's too that early to say what I can tell you is that I US believe that was coming will remain significant for the come , and why the that's years to panel respiratory on syndromic , like qiastat-dx important think are more are .
Speaker #2: Testing is key to have for the years. That's why it's important to have this panel. And as you know, in the US, not only do we have it in a long format with a large number of pathogens, but we also have it in a short format with a more reduced number of pathogens.
Speaker #2: more aware of They flu , aware whether people B A and , RSV , obviously Covid it's respiratory pathogens . So I believe that it's going to become a well-established panel .
Thierry Bernard: As you know, in the US, not only we have it in a long format, large number of pathogen, but we have it also on a short format, a more reduced number of pathogen. So, to your second part of your questions, what's the proportion of customers using more than one panel? It's clear that the 50% continues to increase, because that's the relevance of adding panel consistently year after year. And as you know, those panels are very coherent. They address mostly infectious diseases laboratories. So yes, this number is improving as well.
Thierry Bernard: As you know, in the US, not only we have it in a long format, large number of pathogen, but we have it also on a short format, a more reduced number of pathogen. So, to your second part of your questions, what's the proportion of customers using more than one panel? It's clear that the 50% continues to increase, because that's the relevance of adding panel consistently year after year. And as you know, those panels are very coherent. They address mostly infectious diseases laboratories. So yes, this number is improving as well.
Speaker #2: So to your second part of your question , what's the proportion of customers using one panel ? more than clear that the 50% continues to increase because relevance of adding panel that's the consistently after year .
Speaker #2: And as those you know , panels are come . very They address mostly infectious diseases laboratories . yes , So this number is improving as well It's .
Kavya Deshpande: Perfect. Thank you very much.
Kavya Deshpande [Equity Research: Perfect. Thank you very much.
Operator: We'll take our next question from Harry Gillis with Berenberg.
Operator: We'll take our next question from Harry Gillis with Berenberg.
Speaker #10: very Perfect . Thank you much .
Harry Gillis: Thank you for taking the questions. I have two on the midterm guidance. Could you just confirm whether your target for 7% sales growth through to 2028 or the EUR 2 billion from your growth pillars stands, excluding the contribution of Parse? And then secondly, you've previously talked about being well ahead of your 31% margin target in 2028, but I notice you haven't really talked about that recently. And obviously, you know, you've been talking about 180 basis points of negative FX impact from tariffs over the this year and/or over 2025 and 2026. Are you still well ahead of this target despite these headwinds, or should we now assume that's not the case? Thank you.
Harry Gillis: Thank you for taking the questions. I have two on the midterm guidance. Could you just confirm whether your target for 7% sales growth through to 2028 or the EUR 2 billion from your growth pillars stands, excluding the contribution of Parse? And then secondly, you've previously talked about being well ahead of your 31% margin target in 2028, but I notice you haven't really talked about that recently. And obviously, you know, you've been talking about 180 basis points of negative FX impact from tariffs over the this year and/or over 2025 and 2026. Are you still well ahead of this target despite these headwinds, or should we now assume that's not the case? Thank you.
Speaker #3: We'll take our next question from Harry Gillis at Berenberg.
Speaker #11: Thank you for taking my questions . I have two on the mid-term guidance . Could you just confirm whether your target 7% sales through to growth or the for your growth pillars stands , contribution of excluding the ?
Speaker #11: And then secondly , you've past previously talked about well ahead of your target in 28 . But 31% margin I notice you that talked about recently .
Speaker #11: obviously , And about 180 basis points of negative FX you know , impact from tariffs over year . And over 25 this and 26 .
Thierry Bernard: So we mentioned that, and, I will also ask Roland, to chime in at a point. So first of all, to your first question, the 7% CAGR. We gave that CAGR in June 2024 in our CMD, Capital Market Day in New York. You will agree with us that since 2024, the economic environment have become even more volatile. Tariffs, volatility in currency evolutions, geopolitical instability, funding difficulties for research and academia. Confronted with those difficult and volatile market conditions, this is the role of management to take the necessary capital allocation to defend our growth profiles. And this is perfectly what is behind the acquisition of companies like Genoox and Parse, fully synergistic with our portfolio, accretive to our top line, and financially accretive in a reasonable timeframe.
Thierry Bernard: So we mentioned that, and, I will also ask Roland, to chime in at a point. So first of all, to your first question, the 7% CAGR. We gave that CAGR in June 2024 in our CMD, Capital Market Day in New York. You will agree with us that since 2024, the economic environment have become even more volatile. Tariffs, volatility in currency evolutions, geopolitical instability, funding difficulties for research and academia. Confronted with those difficult and volatile market conditions, this is the role of management to take the necessary capital allocation to defend our growth profiles. And this is perfectly what is behind the acquisition of companies like Genoox and Parse, fully synergistic with our portfolio, accretive to our top line, and financially accretive in a reasonable timeframe.
Speaker #11: You’re still well ahead of this; you talk about target headwinds, or should we now assume that’s not the case? Should we— Thank you.
Speaker #2: mentioned haven't really So we that and the I will also ask Roland chime in at a to So first of all , question , to your first the point .
Speaker #2: Since 2024, economics have become even more challenging. Tariffs, volatility in currency evolutions, geopolitical instability, the funding environment, research, and difficulties for academia.
Speaker #2: with those Confronted difficult and volatile market conditions , this is the role of to necessary capital management allocation defend our profiles growth . And to take the what is behind is the acquisition of like NOx and pass companies our synergistic with portfolio , accretive to top line our and financially accretive in a reasonable time because our frame worsened has , it's environment fair to say that 7% now fully include the recent acquisition .
Thierry Bernard: So because our environment has worsened, it's fair to say that the 7% now fully include also the recent acquisition. If the market improves quicker, we might even beat that. But at the moment, let's focus and execute on the 7% all in. To the second question, Roland alluded to it, and I will also invite him to give his opinion. We believe we can beat the 31%. At the same time, we say the market is still difficult around us, so let's see what could be a new guidance, analyzing different factors before we come to the market. Roland, on this point?
Thierry Bernard: So because our environment has worsened, it's fair to say that the 7% now fully include also the recent acquisition. If the market improves quicker, we might even beat that. But at the moment, let's focus and execute on the 7% all in. To the second question, Roland alluded to it, and I will also invite him to give his opinion. We believe we can beat the 31%. At the same time, we say the market is still difficult around us, so let's see what could be a new guidance, analyzing different factors before we come to the market. Roland, on this point?
Speaker #2: If the market improves quicker , we might even beat the moment , that . But at focus and let's the execute on 7% all in to the second question , Roland alluded to it , and also invite him I will to give his we can beat the believe 31% , and at the same time we the market say difficult opinion .
Speaker #2: us . So see let's what could be a new guidance analyzing different before we the also market . factors point Roland , on this , yes .
Roland Sackers: Yes, thank you, Thierry. And again, just to give you some further thoughts to that. Again, as I said before, we clearly do expect that the growth in 2026 is particularly driven by a very strong growth of our pillars of growth, right? Pillars of growth are going to grow at 9%. Sample prep is going into high single digit area. QIAstat, nice, significantly double digit. QIAcuity, significantly double digit, and QDI, double digit as well. These are all high margin products, so we will see an impact here as well. I do think, and again, also just looking on 2025, it's a proof of evidence, right?
Roland Sackers: Yes, thank you, Thierry. And again, just to give you some further thoughts to that. Again, as I said before, we clearly do expect that the growth in 2026 is particularly driven by a very strong growth of our pillars of growth, right? Pillars of growth are going to grow at 9%. Sample prep is going into high single digit area. QIAstat, nice, significantly double digit. QIAcuity, significantly double digit, and QDI, double digit as well. These are all high margin products, so we will see an impact here as well. I do think, and again, also just looking on 2025, it's a proof of evidence, right?
Speaker #6: Thank you . again , just to give you to
Speaker #6: Further thoughts, some. And to that, again, as I before said, we clearly do see that the growth in '26 is driven by, particularly, a lot of growth in our pillars of growth, right?
Speaker #6: very come to Pillars of growth are grow 9% . prep is Sample going into high single digit area strong double . digit Korea , nice , significantly digit and double digit as well .
Speaker #6: So these are products for us. So we double will see an, significantly here as all high well. I do going to think and again also just 25.
Speaker #6: So these are product for us . So we double will see an , significantly here as all high well . I do going to think and again also just acuity It's a proof of evidence right .
Roland Sackers: Sorry that we didn't know that the US is implementing tariffs, but if I exclude that, and again, putting tariffs movement to the side, we gave out a target from 150, and we were achieving 200. Again, we are not-- that's just for a single year. That's a significant improvement. We're not standing still this year, and I'm quite sure that we have this, our 40 initiatives, operational efficiency program, a lot of things which we still can move. So that it's not that we have to generate idea, it's about execution, and I do think that that is well on its way. So yes, there will be something north of 31%.
Roland Sackers: Sorry that we didn't know that the US is implementing tariffs, but if I exclude that, and again, putting tariffs movement to the side, we gave out a target from 150, and we were achieving 200. Again, we are not-- that's just for a single year. That's a significant improvement. We're not standing still this year, and I'm quite sure that we have this, our 40 initiatives, operational efficiency program, a lot of things which we still can move. So that it's not that we have to generate idea, it's about execution, and I do think that that is well on its way. So yes, there will be something north of 31%.
Speaker #6: Sorry that we that the didn't know But if I tariffs . implementing and putting currency aside that we gave out a target 150 .
Speaker #6: And we were achieving 200 again. We were not for a single year. That's a significant improvement. We're not standing still just year.
Speaker #6: And I'm quite sure that we have this our for the operational efficiency program . A lot of things which we can move . So it's not have to generate that we still And I it's think do that execution .
Roland Sackers: I do think it's fair that also to say that we will take the time to announce it, because as Thierry alluding out, we are in a management transition here. It doesn't mean that the guides, the numbers are going to change, but I think it's also fair that whoever comes in has to review the number and has the opportunity to review the number, and then we go to the market.
Roland Sackers: I do think it's fair that also to say that we will take the time to announce it, because as Thierry alluding out, we are in a management transition here. It doesn't mean that the guides, the numbers are going to change, but I think it's also fair that whoever comes in has to review the number and has the opportunity to review the number, and then we go to the market.
Speaker #6: on its way . that there yes , So north of 31% . do think it's I fair that also to say that we will take the time to announce that we're still alluding out , we are a management transition here , doesn't mean that the guides , the going to numbers are change , but I think it's also that will be whoever fair comes to number and has the opportunity to number , and then we go to the review the in has .
Dan Brennan: Understood. Thank you.
Harry Gillis: Understood. Thank you.
Operator: Thank you. We'll take our next question from Dan Brennan with TD Cowen.
Operator: Thank you. We'll take our next question from Dan Brennan with TD Cowen.
Dan Brennan: Great, thank you. Thanks for the questions, Thierry and Roland. Maybe just first one, just back to QuantiFERON, if you don't mind. Just on the pricing comment, Thierry, has this been consistent with what's been happening in the market, over the last couple of years, or is this kind of more of a newer strategy to try to lock in some customers, maybe making some price concessions? Just wondering if you can kind of elaborate on that.
Dan Brennan: Great, thank you. Thanks for the questions, Thierry and Roland. Maybe just first one, just back to QuantiFERON, if you don't mind. Just on the pricing comment, Thierry, has this been consistent with what's been happening in the market, over the last couple of years, or is this kind of more of a newer strategy to try to lock in some customers, maybe making some price concessions? Just wondering if you can kind of elaborate on that.
Speaker #11: you Understood . Thank .
Speaker #3: you . We'll take our next Thank
Speaker #3: Cowan from Dan .
Speaker #12: Thank Great . you . Thanks for the Maybe just first questions . one . Just Quantiferon . pricing commentary mind , just If you don't , is this on the been with what's happening in consistent over the last couple of market years , or is this kind of more of a the
Thierry Bernard: No, no, it's not a new strategy, Dan. We disclosed that very transparently more than a year ago. We see an evolution of competition, and we need to fight also to make sure that we can move an already important base of customers who are-- that are in a pre, on a pre-annual contract to more customers on pre-annual contract. So it's always a negotiation. We just disclosed last year that we need to be ready also to make some concessions, but if it secures a deal for 2 or 3 years more, I think those are interesting concessions. Obviously, they have to be reasonable. What I can guarantee you then, is that overall, we continue to pass price increase every year on QuantiFERON as well.
Thierry Bernard: No, no, it's not a new strategy, Dan. We disclosed that very transparently more than a year ago. We see an evolution of competition, and we need to fight also to make sure that we can move an already important base of customers who are-- that are in a pre, on a pre-annual contract to more customers on pre-annual contract. So it's always a negotiation. We just disclosed last year that we need to be ready also to make some concessions, but if it secures a deal for 2 or 3 years more, I think those are interesting concessions. Obviously, they have to be reasonable. What I can guarantee you then, is that overall, we continue to pass price increase every year on QuantiFERON as well.
Speaker #12: try to lock in some just to strategy making the concessions ? Just wondering if kind of been that .
Speaker #12: .
Speaker #2: No, it's 'Oh,' not 'a new.'
Speaker #2: no , it's Oh , not a new
Speaker #2: Then
Speaker #2: disclosed that very review we transparently . More than a year ago . We because seeing an customers , maybe evolution competition , and we need to fight also to make we can move sure that important base of customers who are in a that are on a annual contract to more customers on annual contract .
Speaker #2: So it's always a We just disclosed last year we need that to be ready also to make some concessions , but it's already a deal secures for if more , I those are 2 or 3 years pluri Obviously they have to be reasonable .
Speaker #2: What I can guarantee you then , is that overall , we continue to pass price increase year every on Quantiferon as well . So if you look at the performance on pricing Quantiferon , it was positive .
Thierry Bernard: So if you look at the performance on pricing, 2025 for QuantiFERON, it was positive. I was just saying that when it's necessary, we need to be flexible. That's it.
Thierry Bernard: So if you look at the performance on pricing, 2025 for QuantiFERON, it was positive. I was just saying that when it's necessary, we need to be flexible. That's it.
Speaker #2: was just that saying when it's 2025 for necessary , to be we need flexible . it That's .
Dan Brennan: Terrific. And then maybe just a follow-up. I know there was a question earlier back on, like, you know, strategic landscape, things like that, which I'm sure you're limited in what you could say, but maybe could you speak to a little bit the market environment? You know, you've been delivering on your plans and, you know, kind of ahead of plans in some cases, you know, for the 28 targets. But when you look at, like, where the market sits today, you've got, you know, some pressure, you know, on academic and pharma, even though things might be getting better and unclear if customers want to deal with less players.
Dan Brennan: Terrific. And then maybe just a follow-up. I know there was a question earlier back on, like, you know, strategic landscape, things like that, which I'm sure you're limited in what you could say, but maybe could you speak to a little bit the market environment? You know, you've been delivering on your plans and, you know, kind of ahead of plans in some cases, you know, for the 28 targets. But when you look at, like, where the market sits today, you've got, you know, some pressure, you know, on academic and pharma, even though things might be getting better and unclear if customers want to deal with less players.
Speaker #12: Terrific . And then maybe just a follow I know earlier backed on landscape . Things up . which I'm strategic sure you're limited in what you could say .
Speaker #12: But maybe there's a—could you speak to a little bit—the market environment you've been delivering on, your plans, and ahead of some of your plans in 2028 targets.
Speaker #12: But when you look at like where the market sits today , you've got pressure some academic pharma , even though be on better getting and and if deal with less , you know , kind player .
Dan Brennan: So while you're executing, when you think about QIAGEN's ability to win or to be successful to create shareholder value as a standalone versus maybe, you know, maybe as part of a bigger company, like, has anything changed over the last year or two, just given the market dynamics? Thank you.
Dan Brennan: So while you're executing, when you think about QIAGEN's ability to win or to be successful to create shareholder value as a standalone versus maybe, you know, maybe as part of a bigger company, like, has anything changed over the last year or two, just given the market dynamics? Thank you.
Speaker #12: unclear customers want to about executing , So ability win or to successful , or to create shareholder value as a the , versus maybe , you know , maybe as part of a bigger company , when you think has anything changed like , last year or two just given the over the market Thank you .
Thierry Bernard: We have all seen that the market dynamic has been impacted by volatility and uncertainties over the last two years and three years, especially in research and academia. I think clinical has been a bit better. To your question, QIAGEN has a clear plan for sales, for our pipeline, for new launches, for profitability. We disclosed that plan in New York on 24 June 2024, and so far we are executing as per this plan. This is where we focus. Yes, the market has become more difficult, but as I said, we found also solution to continue to support our growth in addition to our organic growth. Those are the acquisition of very interesting technologies, Franklin or Parse. We will continue to do that.
Thierry Bernard: We have all seen that the market dynamic has been impacted by volatility and uncertainties over the last two years and three years, especially in research and academia. I think clinical has been a bit better. To your question, QIAGEN has a clear plan for sales, for our pipeline, for new launches, for profitability. We disclosed that plan in New York on 24 June 2024, and so far we are executing as per this plan. This is where we focus. Yes, the market has become more difficult, but as I said, we found also solution to continue to support our growth in addition to our organic growth. Those are the acquisition of very interesting technologies, Franklin or Parse. We will continue to do that.
Speaker #2: have all
Speaker #2: that that the market We dynamic has been by impacted and dynamics ? volatility
Speaker #2: that that the market We dynamic has been by impacted and dynamics ? volatility uncertainties over the last two years in research and academia .
Speaker #2: think and three years , clinical has to be been a bit better especially to your question , has a clear . For sales our pipeline new plan launches , profitability , we for disclosed for that plan in New June 24th .
Speaker #2: And so we far are executing as this plan where . This is per we . Yes , the market has become more difficult , but as found also said , focus solution to continue to our support .
Speaker #2: In addition to York in growth . Those are the we growth very organic acquisition of interesting technologies . Franklin Pass . We or will continue to do that .
Thierry Bernard: QIAGEN invest and will continue to invest on average between 9 to 10% of our sales into research and development. This translate into launches of new products. 3 new system, for example, in sample tech this year. This is unprecedented. So it's clear that-
Thierry Bernard: QIAGEN invest and will continue to invest on average between 9 to 10% of our sales into research and development. This translate into launches of new products. 3 new system, for example, in sample tech this year. This is unprecedented. So it's clear that-
Speaker #2: We will continue to invest, on average, 9 to 10% of our revenue into research and development. This translates into launches of new products, new systems—for example, three new sample techs this year. This is unprecedented.
Roland Sackers: ... should laboratory in research and academia start again to invest in capital expense, we are coming with new solution. QIAGEN will probably will be one of their priorities. This is what I can say, that the market has not been easier, more volatile, but the fundamentals of the market, both life science and clinical, remains extremely strong. When we will have more visibility on economic evolution and funding, I think it's fair to say, single digit, a mid-single digit growth profile for this market is perfectly acceptable and realistic.
Thierry Bernard: ... should laboratory in research and academia start again to invest in capital expense, we are coming with new solution. QIAGEN will probably will be one of their priorities. This is what I can say, that the market has not been easier, more volatile, but the fundamentals of the market, both life science and clinical, remains extremely strong. When we will have more visibility on economic evolution and funding, I think it's fair to say, single digit, a mid-single digit growth profile for this market is perfectly acceptable and realistic.
Speaker #2: it's clear that So laboratory in academia again to start research and invest in We are coming capital expense . sales will will solutions be one of their This is what can priorities .
Speaker #2: it's clear that So laboratory in academia again to start research and invest in We are coming capital expense . sales will will solutions be one of their This is what with the more been but the volatile , probably easier , I of the fundamental fundamentals of the science and clinical remains life extremely .
Speaker #2: When we have more market on will economic evolution and I think it's fair say funding , Both Single , mid-single digit strong growth for this is perfectly And realistic acceptable .
Operator: Thank you. We'll take our next question from Doug Schenkel with Wolfe Research.
Operator: Thank you. We'll take our next question from Doug Schenkel with Wolfe Research.
Speaker #2: .
Speaker #3: Thank you . . question from Doug Schenkel with Research Wolfe .
Doug Schenkel: Hey, guys. Thank you for taking my questions. One on guidance and then one on disclosure requirements. Simply put, I'm having a hard time getting the math to work. It could be me, but let's for a second assume it's not. If we grow revenue around 5% reported, if operating margin remains flat, net of deals, FX, if we keep non-operating items about flat year-over-year, and we reduce share count to 209 million, I think those are all your key guidance assumptions, as well as you provided tax rate. If I put this together, you end up actually above $2.60 per share, if I'm doing the basic math right. You guided to $2.50 or better. What are we missing? So that's the first question. The second on disclosure requirements.
Doug Schenkel: Hey, guys. Thank you for taking my questions. One on guidance and then one on disclosure requirements. Simply put, I'm having a hard time getting the math to work. It could be me, but let's for a second assume it's not. If we grow revenue around 5% reported, if operating margin remains flat, net of deals, FX, if we keep non-operating items about flat year-over-year, and we reduce share count to 209 million, I think those are all your key guidance assumptions, as well as you provided tax rate. If I put this together, you end up actually above $2.60 per share, if I'm doing the basic math right. You guided to $2.50 or better. What are we missing? So that's the first question. The second on disclosure requirements.
Speaker #13: Hey , taking questions . guidance . you for one on disclosure requirements then . put , I'm having a time getting the math to work .
Speaker #13: It could be me , but for let's hard assume it's not . If we grow revenue , around 5% reported . operating margin If remains flat of FX if we keep , net about flat items year over deals , year and nonoperating count 209 million , to I think share are those all your key guidance As well as you provided tax rate I put this together , you end up .
Speaker #13: actually 260 per share . If I'm doing basic math right , above reduce to better guided you 250 or missing ? that So .
Doug Schenkel: You know, keeping in mind that you cited, I think it was, German disclosure requirements as one of the key reasons that you disclosed the plan when you did. I'm wondering what would be the logical next required disclosure. Obviously, a new hire would need to be disclosed, but is there anything else under regulations that you would likely have to disclose in advance of that event? Thank you.
Doug Schenkel: You know, keeping in mind that you cited, I think it was, German disclosure requirements as one of the key reasons that you disclosed the plan when you did. I'm wondering what would be the logical next required disclosure. Obviously, a new hire would need to be disclosed, but is there anything else under regulations that you would likely have to disclose in advance of that event? Thank you.
Speaker #13: the The What are we that's disclosure first question . requirements . You If in mind that you cited , it was I think know , keeping German disclosure requirements one of the key as reasons that disclosed you the plan when you did .
Speaker #13: I'm wondering what would be the next disclosure . Obviously , a new would need to be disclosed , logical anything under else you regulations that would hire likely have to in advance of disclose event ?
Speaker #13: I'm wondering, what would be the next disclosure? Obviously, a new one would need to be disclosed—logical, anything else under your regulations that would likely have to be disclosed in advance of hire. Thank you.
Roland Sackers: I do not want to disappoint you, Doug, on your numbers, but I do think you look like that some of your team is missing one number, because one number, of course, is significantly going to change, which is the net interest contribution, because we clearly did an acquisition, we clearly did a significant share buyback program is $500 million. So the net interest number is probably somewhere between $40 and $45 million dollar down. So that is probably the number you are missing in your calculation. Yeah, on disclosure requirement, again, German law is complicated, so I'm luckily enough, I was never becoming a lawyer. And we're clearly working with our lawyers on these topics all the time.
Roland Sackers: I do not want to disappoint you, Doug, on your numbers, but I do think you look like that some of your team is missing one number, because one number, of course, is significantly going to change, which is the net interest contribution, because we clearly did an acquisition, we clearly did a significant share buyback program is $500 million. So the net interest number is probably somewhere between $40 and $45 million dollar down. So that is probably the number you are missing in your calculation. Yeah, on disclosure requirement, again, German law is complicated, so I'm luckily enough, I was never becoming a lawyer. And we're clearly working with our lawyers on these topics all the time.
Speaker #6: do not want to disappoint you , Doug , on your numbers , but I do think you look I that . Some of your missing one number because one number , of course , is significantly team is going to within the net net interest contribution because we clearly did an acquisition .
Speaker #6: We did a significant share clearly buyback program with 500 million . change , So the net number is probably interest somewhere between 40 and $45 million So that down .
Speaker #6: you are missing in is your calculation . And yeah , on disclosure requirement again , jam law is complicated . So I'm enough I was luckily lawyer clearly working .
Roland Sackers: Again, the general rule is, it says, material news in a market, regardless of which topic, and you have the feeling that there is information in the market, which is clearly based on, call it leaked information or a change of share price into a significant extent, the company has to comment on that. And that is regardless of any topic, right? And so I would say that is the framework. As I said, we typically leave these decisions to our lawyers to judge, and again, any kind of information, if that is important, and event, which we have to pre-announce or not, you haven't seen anything from QIAGEN so far.
Roland Sackers: Again, the general rule is, it says, material news in a market, regardless of which topic, and you have the feeling that there is information in the market, which is clearly based on, call it leaked information or a change of share price into a significant extent, the company has to comment on that. And that is regardless of any topic, right? And so I would say that is the framework. As I said, we typically leave these decisions to our lawyers to judge, and again, any kind of information, if that is important, and event, which we have to pre-announce or not, you haven't seen anything from QIAGEN so far.
Speaker #6: with our lawyers on this topics time all the . Again , the general rule is if And we there's material news in a market , regardless of topic which and the you have that feeling is a in the market is which clearly based on .
Speaker #6: Call it leaked information or a change in share price into significant extent company has to comment that a , and on that is regardless of any topic .
Speaker #6: Right. And I would say that is a framework. As I said, we typically leave these decisions to our lawyers to judge.
Speaker #6: And again , any kind . of information information have to that preannounce or not , you haven't seen is event anything cage and so far .
Operator: Thank you. That will conclude our question and answer session. At this time, I'd like to turn the call back over to Mr. Wendorf for any additional or closing remarks.
Operator: Thank you. That will conclude our question and answer session. At this time, I'd like to turn the call back over to Mr. Wendorf for any additional or closing remarks.
Speaker #3: Thank you . That will conclude our answer question and this time , I'd like to call back session . Mr. At Vandorf for any additional or closing remarks .
Daniel Wendorf: Thank you very much. I would like to close this conference call, and thank you for your participation. If you have any questions or comments, please do not hesitate to contact us. Thank you very much.
Daniel Wendorf: Thank you very much. I would like to close this conference call, and thank you for your participation. If you have any questions or comments, please do not hesitate to contact us. Thank you very much.
Speaker #14: would like to much . I you very close this you for your participation . If you have questions or comments , please do Thank any hesitate to contact , and thank us .
Operator: Ladies and gentlemen, this concludes the conference call. Thank you for joining, and have a pleasant day. Goodbye.
Operator: Ladies and gentlemen, this concludes the conference call. Thank you for joining, and have a pleasant day. Goodbye.
Speaker #14: Thank you very much .
Speaker #3: Ladies and gentlemen , concludes the this call . Thank
