Can Companion Animal Group Drive IDEXX's (IDXX) Q3 Earnings?
Zacks Investment Research | Oct 22, 2017 09:07PM ET
We expect IDEXX Laboratories, Inc. (NASDAQ:IDXX) to beat expectations when it reports third-quarter 2017 results on Oct 31, before the opening bell. Last quarter, the company delivered a positive earnings surprise of 11.8%. It is worth noting that IDEXX has outperformed the Zacks Consensus Estimate in each of the preceding four quarters, at an average of 9.3%. Let’s take a look at how things are shaping up prior to this announcement.
Key Catalyst
Similar to the prior quarter, IDEXX is expected to gain from strong global growth in Companion Animal Group (CAG) Diagnostics recurring revenues. The growth in CAG Diagnostics was led by double-digit organic revenue gains across consumable, reference lab and rapid assay revenues, as well as continued expansion of IDEXX's premium instrument installed base.
We are upbeat about the 300% year-over-year rise in the uptake of SNAP Pro units in North America last quarter. Management expects the solid performance to continue in the to-be-reported quarter as well.
The Zacks Consensus Estimate for CAG Diagnostics revenues of $426 million reflects an increase of 10.6% from the year-ago quarter.
Here are the other factors that might influence IDEXX’s third-quarter results:
IDEXX Laboratories, Inc. Price and EPS Surprise
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.