Skip to main content
Premium Trial:

Request an Annual Quote

LabCorp Posts 1 Percent Q2 Revenue Growth

NEW YORK (GenomeWeb News) – Laboratory Corporation of America today reported revenue growth of 1 percent for the second quarter of 2012, missing analysts' consensus estimate on the top line.

The Burlington, NC-based clinical lab firm reported total revenues of $1.42 billion for the three-month period ended June 30, compared to $1.40 billion for the second quarter of 2011. It fell short of Wall Street's consensus revenues estimate of $1.44 billion.

LabCorp said that testing volume in the quarter was essentially flat, while revenue-per-requisition increased 1.5 percent.

In a statement accompanying the results, LabCorp Chairman and CEO David King said that the firm continues to face a "low-volume-growth environment."

LabCorp's net income for the quarter was $153.8 million, or $1.77 per share on an adjusted basis, compared to $126.7 million, or $1.64 per share on an adjusted basis, for Q2 2011. It met analysts' expectations for the bottom line.

The firm finished the quarter with $124.4 million in cash and short-term investments.

LabCorp also lowered the top end of its revenue guidance. It now expects FY 2012 revenue growth of 2 to 3 percent. Its previous guidance was for revenue growth of between 2 percent and 3.5 percent. The firm expects to report adjusted EPS excluding amortization in the range of $6.80 to $7.00.

It expects the acquisition of Genzyme Genetics, which it purchased in late 2010 for $925 million, to be slightly accretive to its 2012 earnings.

In early Thursday trade on the New York Stock Exchange, shares of LabCorp were down 7 percent at $87.11.

The Scan

Genetic Risk Factors for Hypertension Can Help Identify Those at Risk for Cardiovascular Disease

Genetically predicted high blood pressure risk is also associated with increased cardiovascular disease risk, a new JAMA Cardiology study says.

Circulating Tumor DNA Linked to Post-Treatment Relapse in Breast Cancer

Post-treatment detection of circulating tumor DNA may identify breast cancer patients who are more likely to relapse, a new JCO Precision Oncology study finds.

Genetics Influence Level of Depression Tied to Trauma Exposure, Study Finds

Researchers examine the interplay of trauma, genetics, and major depressive disorder in JAMA Psychiatry.

UCLA Team Reports Cost-Effective Liquid Biopsy Approach for Cancer Detection

The researchers report in Nature Communications that their liquid biopsy approach has high specificity in detecting all- and early-stage cancers.