Labcorp Reports 7% Revenue Growth in Q3 and Raises Full-Year Guidance
Labcorp (LH) reported third-quarter revenue of $3.8 billion, representing a 7% increase, and subsequently raised its full-year guidance. The company's growth is being driven by specialty testing in areas like oncology and neurology, which is currently expanding at three times the rate of the broader diagnostics market. This high-margin segment also creates a 'halo effect,' driving increased volume for Labcorp's core laboratory services. Despite strong performance, management identified a potential $125 million revenue headwind in 2027 due to proposed Medicare fee schedule changes under the Protecting Access to Medicare Act (PAMA). To mitigate this, Labcorp is focusing on volume growth, biopharma demand, and strategic 'tuck-in' acquisitions from companies like BioReference and Myriad Genetics. These acquisitions are expected to be accretive to adjusted earnings per share within their first year.
Topics: guidance raised Medicare reimbursement revenue growth specialty testing
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Part of the story Wolverine World Wide Reports Q3 2026 Revenue Growth and Raises Full-Year Guidance (10 articles)