Agilent Lifts Full-Year Revenue Outlook to $7.51 Billion
The lab-equipment maker posted $1.88 billion in third-quarter sales and raised non-GAAP earnings guidance to $6.18 to $6.21 a share.
Agilent Technologies (A) raised its fiscal 2026 revenue outlook to a range of $7.49 billion to $7.51 billion after third-quarter sales of $1.88 billion, and lifted non-GAAP earnings guidance to $6.18 to $6.21 a share, a 15-cent increase at the midpoint from its prior range.
The analytical and clinical laboratory-technology company said the higher full-year plan represents 7.8% to 8.1% reported growth and 5.8% to 6.0% core growth, a 65-basis-point lift at the midpoint versus the $7.39 billion to $7.49 billion range it had issued after the second quarter. Non-GAAP operating-margin expansion at the midpoint of core revenue growth is now expected to be over 130 basis points, including about 30 basis points of net tariff-refund benefit in the third quarter, versus a prior expectation of 85 basis points.
Third-quarter revenue rose 8.1% reported and 7.3% core versus the year-ago quarter. Reported growth slowed from 10.0% in the second quarter, when sales were $1.83 billion; core growth accelerated to 7.3% from 6.3%. GAAP net income was $362 million, or $1.28 a share, up 8% from a year earlier. Non-GAAP net income was $459 million, or $1.62 a share, including a $17 million net benefit from tariff refunds, up 18% from the year-ago quarter.
GAAP operating margin expanded to 23.6%, up 290 basis points year-over-year and 190 basis points sequentially from 21.7% in the second quarter. Non-GAAP operating margin was 28.3%, including an approximately 110-basis-point net benefit from tariff refunds, expanding 320 basis points year-over-year and 190 basis points sequentially from 26.4%.
Chief executive Padraig McDonnell said the quarter reflected “the sustained momentum created by our strategy, our execution discipline, and the compounding impact of the Ignite Operating System,” and cited improving end markets, stronger demand in key regions, and customer response to product launches.
The Life Sciences and Diagnostics Markets Group reported $746 million of revenue, up 11% reported and 10% core year-over-year, with operating margin of 23.5%. Reported growth slowed from 12% in the second quarter; core growth accelerated to 10% from 9%. Operating margin rose from 22.0%.
The Agilent CrossLab Group reported $786 million of revenue, up 6% reported and 5% core year-over-year, with operating margin of 34.3%. Core growth accelerated to 5% from 2% in the second quarter; operating margin rose from 32.0%.
The Applied Markets Group reported $346 million of revenue, up 7% reported and 7% core year-over-year, with operating margin of 24.9%. Reported growth slowed from 14% in the second quarter, and core growth slowed from 11%; operating margin rose from 23.3%.
Fourth-quarter 2026 revenue is expected in the range of $1.98 billion to $2.0 billion, growth of 6.4% to 7.4% reported and 5.2% to 6.2% core. Non-GAAP EPS is expected in the range of $1.71 to $1.74 a share. The company said that fourth-quarter guidance does not include any future benefit from tariff refunds.