Quest Diagnostics posted a strong third quarter, with revenue, profit and earnings all rising sharply from a year earlier, and it lifted its full-year outlook.
Third-quarter revenue increased 10.0% to $3.097 billion from $2.816 billion. For the first nine months of 2026, revenue rose 9.8% to $9.035 billion from $8.229 billion.
Operating income climbed 24.2% in the quarter to $479 million from $386 million, while net income attributable to Quest Diagnostics rose 27.6% to $312 million from $245 million. Diluted earnings per share increased 28.7% to $2.78 from $2.16.
On an adjusted basis, operating income advanced 13.0% to $517 million from $458 million, and adjusted diluted EPS rose 15.4% to $3.00 from $2.60.
Cash provided by operations increased 8.8% to $611 million from $563 million, while capital expenditures rose 15.0% to $166 million from $144 million.
The company’s diagnostics revenue reached $3.035 billion, up 10.2% from $2.755 billion a year earlier. Requisition volume increased 14.5%, while revenue per requisition fell 4.2%.
For the nine-month period, operating income increased 14.3% to $1.337 billion from $1.170 billion, net income rose 18.4% to $884 million from $747 million, and diluted EPS climbed 19.6% to $7.86 from $6.57. Adjusted diluted EPS for the nine months rose 16.0% to $8.62 from $7.43.
Quest raised its full-year 2026 revenue guidance to $12.065 billion to $12.105 billion, up from a prior range of $11.95 billion to $12.05 billion. It also increased its reported diluted EPS outlook to $10.21 to $10.31 from $9.97 to $10.17, and its adjusted diluted EPS forecast to $11.25 to $11.35 from $11.05 to $11.25.
The company now expects cash from operations of approximately $1.90 billion, up from about $1.80 billion previously, while keeping capital expenditures at approximately $550 million. Following these announcements, the company's shares moved 0.76%, and are now trading at a price of $238.93. If you want to know more, read the company's complete 8-K report here.
