(Reuters) – Medical equipment maker Revvity forecast full-year profit and revenue for 2025 below Wall Street estimates on Friday, as it expects soft demand for its products and services used in drug research.
The company has faced challenges from reduced spending from biotech clients and smaller drug developers amid higher-for-longer interest rates.
The diagnostic products and scientific tools manufacturer forecast 2025 adjusted profit to be in the range of $4.90 to $5.00 per share, the mid-point of which is below analysts’ estimates of $4.99, as per data compiled by LSEG.
Revvity expects 2025 revenue to be in the range of $2.80 billion to $2.85 billion, compared with estimates of $2.87 billion.
The company, however, beat fourth-quarter profit and revenue estimates, on the back of strong sales in its life sciences and diagnostics units.
On an adjusted basis, Revvity earned a profit of $1.42 per share, topping analysts’ estimates of $1.37.
The Massachusetts-based company reported fourth-quarter revenue of $729.4 million, compared with estimates of $727.9 million.
The company’s life sciences unit, which provides reagents and instruments for drug discovery, brought in revenue of $336.3 million during the quarter, compared with estimates of $327.9 million.
Sales in its diagnostic unit, which provides testing tools for processes such as genetic screening, rose 4% to $393.2 million.
Formerly known as PerkinElmer, the company divested three of its businesses in 2022 to focus on life sciences and diagnostics units.
(Reporting by Sneha S K in Bengaluru; Editing by Krishna Chandra Eluri)
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