Labcorp Announces 2025 Fourth Quarter and Full Year Results

BURLINGTON, N.C., Feb. 17, 2026

In the fourth quarter of 2025, Labcorp advanced its position as a partner of choice for health systems and regional/local laboratories, expanding access to Labcorp's broad menu of routine and specialty tests and driving efficiencies for customers. In the quarter, Labcorp:

• Entered into an agreement to acquire select outreach laboratory services from Parkview Health.
• Completed the acquisition of select outreach assets from Community Health Systems.
• Completed the acquisition of select anatomic pathology assets from Incyte Diagnostics.
• Subsequent to quarter end, completed the acquisition of select assets of Empire City Laboratories.

Throughout fourth quarter and subsequent to quarter end, the company continued to harness the power of science, technology and innovation:

• Launched the first FDA-cleared blood test for Alzheimer's disease assessment in primary care settings, enabling wider access, improving early evaluation and supporting timely patient care.
• Expanded access to its molecular residual disease (MRD) testing for stage I–III breast cancer, stage I–IIIA non-small cell lung cancer and stage III colon cancer to help clinicians detect cancer recurrence earlier than traditional imaging.
• Launched several new consumer-initiated tests through Labcorp OnDemand, including tests for food allergies, micronutrients and thyroid health.
• Announced that it became the first U.S. commercial laboratory to enter an agreement to implement Roche's fully automated mass spectrometry solution.
• Announced a strategic investment to build a new state-of-the-art 500,000 square foot Central Laboratory facility in Indiana, with construction expected to begin later in 2026.

On January 14, 2026, the company announced a quarterly cash dividend of $0.72 per share of common stock, payable on March 12, 2026, to stockholders of record at the close of business on February 27, 2026. In the quarter, Labcorp repurchased $225 million of common stock, resulting in full year total share repurchase of $450 million.

Capital Allocation Summary

• At the end of the quarter, Labcorp's cash and cash equivalents balance was $532.3 million and total debt was $5.58 billion.
• During the quarter, the company invested $258.0 million in acquisitions, paid out $59.3 million in dividends, and repurchased $225.0 million of stock.
• During the year, the company invested $582.0 million in acquisitions, paid out $240.7 million in dividends, and repurchased $450.0 million million of stock.

Guidance for 2026

The following guidance assumes foreign exchange rates effective as of December 31, 2025, for the full year. Enterprise level guidance includes the estimated impact from currently anticipated capital allocation, including acquisitions, share repurchases and dividends.

Use of Adjusted Measures

The company has provided in this press release and accompanying tables "adjusted" financial information that has not been prepared in accordance with GAAP, including adjusted net income, adjusted EPS (or adjusted net income per share), adjusted operating income, adjusted operating margin, free cash flow, and certain segment information. The company believes these adjusted measures are useful to investors as a supplement to, but not as a substitute for, GAAP measures, in evaluating the company's operational performance. The company further believes that the use of these non-GAAP financial measures provides an additional tool for investors in evaluating operating results and trends, and growth and shareholder returns, as well as in comparing the company's financial results with the financial results of other companies. However, the company notes that these adjusted measures may be different from and not directly comparable to the measures presented by other companies. Reconciliations of these non-GAAP measures to the most comparable GAAP measures and an identification of the components that comprise "special items" used for certain adjusted financial information are included in the tables accompanying this press release.

The company today is providing an investor relations presentation with additional information on its business and operations, which is available in the investor relations section of the company's website at www.Labcorp.com. Analysts and investors are directed to the website to review this supplemental information.

A conference call discussing Labcorp's quarterly results will be held today at 9:00 a.m. ET and is available by registering at this link, which will provide a dial-in number and unique PIN to access the call. It is recommended that participants join 10 minutes prior to the start of the call, although participants may register and join at any time during the call. A live webcast of Labcorp's quarterly conference call on February 17, 2026, will be available at the Labcorp Investor Relations website beginning at 9:00 a.m. ET. This webcast will be archived and accessible through February 4, 2027.

About Labcorp

Labcorp (NYSE: LH) is a global leader of innovative and comprehensive laboratory services that helps doctors, hospitals, pharmaceutical companies, researchers and patients make clear and confident decisions. We provide insights and advance science to improve health and improve lives through our unparalleled diagnostics and drug development laboratory capabilities. The company's nearly 71,000 employees serve clients in approximately 100 countries, provided support for more than 85% of the new drugs and therapeutic products approved by the FDA in 2025 and performed more than 750 million tests for patients around the world. Learn more at www.labcorp.com.

Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements, including, but not limited to, statements with respect to (i) the estimated 2026 guidance and related assumptions, (ii) the impact of various factors on operating and financial results, including global economic and market conditions  on the company's businesses, operating results, cash flows and/or financial condition, (iii) future business  strategies, (iv) expected savings, synergies and other benefits to the company, customers or patients from acquisitions and other transactions and partnerships, and (v) opportunities for future growth.

Each of the forward-looking statements is subject to change based on various important factors, many of which are beyond the company's control, including without limitation: (i) the failure to receive tax-free treatment with respect to the spin-off of the company's former Clinical Development and Commercialization Services business for U.S. federal income purposes; (ii) the impact of spin-off related items; (iii) personnel costs and potential difficulties with employee relations and retention; (iv) the trading price of the company's stock, competitive actions and other unforeseen changes and general uncertainties in the marketplace; (v) the impact of changes to existing or adoption of new laws and regulations applicable to the company, including healthcare reform, or changes to the interpretation and application of such laws and regulations; (vi) customer purchasing decisions, including changes in payer regulations or policies; (vii) adverse actions of governmental and third-party payers; (viii) changes in testing guidelines or recommendations; (ix) the impact of global geopolitical events; (x) the effect of public opinion on the company's reputation; (xi) adverse results in material litigation matters; (xii) failure to maintain or develop customer relationships; (xiii) the company's ability to develop or acquire new products and adapt to technological changes; (xiv) failure of the company's information technology, systems, or data security; (xv) the impact of potential losses under repurchase agreements; (xvi) adverse weather conditions; (xviii) the number of revenue days in a financial period; (xiii) inflation; (xix) increased competition; and (xx) the effect of exchange rate fluctuations. These factors, in some cases, have affected and in the future (together with other factors) could affect the company's ability to implement the company's business strategy, and actual results could differ materially from those suggested by these forward-looking statements. As a result, readers are cautioned not to place undue reliance on any of the forward- looking statements.

The company has no obligation to provide any updates to these forward-looking statements even if its expectations change. All forward-looking statements are expressly qualified in their entirety by this cautionary statement. Further information on potential factors, risks and uncertainties that could affect operating and financial results is included in the company's most recent Annual Report on Form 10-K and subsequent Forms 10-Q, including in each case under the heading RISK FACTORS, and in the company's other filings with the SEC. The information in this press release should be read in conjunction with a review of the company's filings with the SEC including the information in the company's most recent Annual Report on Form 10-K, and subsequent Forms 10-Q, under the heading "MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS".

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- Tables to Follow -

The consolidated revenue and adjusted segment operating income are presented net of intercompany transaction eliminations and other amounts not used in determining segment performance. Adjusted operating income and adjusted operating margin are non-GAAP measures. See the subsequent reconciliation of non-GAAP financial measures.

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SOURCE Labcorp Holdings Inc