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QuidelOrtho's Financial Performance in Q3 2025

QuidelOrtho Corporation (NASDAQ: QDEL), a prominent player in in vitro diagnostics, has recently released its financial results for the third quarter of 2025. The company demonstrated resilience and performance amid shifting market dynamics. The reported revenue stands at $700 million, revealing a 4% decline compared to the previous year. However, when excluding revenues from COVID-19 and Donor Screening, potential revenue growth rises to a commendable mid-single digits growth rate.

Revenue Breakdown

In more detail, the revenue sources can be categorized as follows:

• - Non-respiratory revenue: This segment reported $588 million, marking a 5% increase against the prior year's figures. Notably, if the Donor Screening contribution is excluded, this revenue category reflects a 6% rise in constant currency terms.
• - Labs revenue: Contributing to the non-respiratory figure, labs generated $373.8 million, an increase of 5% year-over-year.
• - Respiratory revenue: This sector faced challenges and decreased to $112 million—a 63% decline driven largely by the reduction in COVID-19 testing demand.

Cost Management and Operational Highlights

QuidelOrtho reported a significant success in operational efficiency, showcased by a 6% reduction in GAAP operating expenses and a 7% decrease in non-GAAP operating expenses. These reductions were primarily attributed to robust cost-savings initiatives.

However, despite these earnings improvements, the company did report substantial non-cash challenges. A $701 million goodwill impairment charge negatively impacted financial margins, resulting in a GAAP net loss of $733 million and a GAAP diluted loss per share of $10.78.

Yet, the adjusted earnings reflect the company's operational strength, with adjusted diluted EPS at $0.80, although slightly less than the $0.85 reported last year. The adjusted EBITDA reached $177 million, marking a rise from $171 million in the previous year, with an EBITDA margin of 25%.

Looking Ahead

For the full fiscal year 2025, QuidelOrtho has refined its financial projections, now estimating total revenues between $2.68 billion and $2.74 billion. Adjusted EBITDA is projected to fall within the range of $585 million to $605 million, underscoring the company's confidence in achieving operational goals going forward.

In a statement issued by CEO Brian J. Blaser, he emphasized the company’s strategy focusing on high-growth areas, which he believes will lead to sustainable growth and enhanced value for stakeholders. This strategic execution is bolstered by the recent addition of a high-sensitivity Troponin assay to their VITROS diagnostics platform.

Overall, QuidelOrtho's current developments reflect a forward-looking approach aimed at thriving in the diagnostic industry amidst evolving health demands.

Conclusion

As QuidelOrtho continues with its strategic execution and operational improvements, the Q3 2025 financial results provide a pathway towards understanding the company's adaptability in the diagnostics market, making it an influential entity in advancing healthcare and diagnostics technology. Stakeholders can anticipate further developments as the company positions itself for future growth following the defined strategies and initiatives.