Bio-Techne Misses Q3 Revenue, EPS Estimates on Academic Funding Cuts
TECH sits 23% above its 52-week low of $46.05.
Summary
Bio-Techne reported a miss on its third-quarter revenue and adjusted EPS estimates, with sales reaching $311.4 million against an expected $317.1 million, and adjusted EPS of 53 cents compared to 54 cents anticipated. This underperformance is primarily attributed to cuts in U.S. academic funding, which significantly impacted demand for its drug-development products, alongside broader concerns related to tariffs. This marks a notable shift from the company's previous 10-Q, which showed increased net earnings despite flat sales. The miss affected both its largest protein sciences unit and the diagnostics and genomics unit, both of which saw sales declines and missed analyst expectations. While CEO Kim Kelderman indicated that broad demand has yet to recover, he noted early signs of a more constructive outlook as funding and purchasing begin to realign. Traders will closely monitor future reports for evidence of a rebound in academic funding and its translation into improved demand for Bio-Techne's product portfolio.
At the time of this announcement, TECH was trading at $56.68 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $8.9B. The 52-week trading range was $46.05 to $72.16. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.