Thermo Fisher Q3 Revenue Rises 9% as Adjusted EPS Gains 15%

Thermo Fisher Scientific (TMO ) on October 21, 2026, reported financial results for the third quarter ended September 26, 2026, with revenue rising 9% to $12.14 billion from $11.12 billion in the same quarter of 2025. GAAP diluted earnings per share grew 9% to $4.64, and adjusted EPS, a non-GAAP measure, grew 15% to $6.68.

“We are very pleased to deliver another excellent quarter, with outstanding financial performance on both the top and bottom line,” said Marc N. Casper, chairman and chief executive officer of Thermo Fisher Scientific. Casper said the company is advancing its proven growth strategy, which is resonating strongly with customers, and that its PPI Business System is enabling outstanding execution across the company. He added that Thermo Fisher is “well positioned to deliver an excellent 2026.”

GAAP operating income was $2.26 billion, 17% higher than the year-ago quarter, for a GAAP operating margin of 18.6% compared with 17.4% in the third quarter of 2025. Adjusted operating income was $2.97 billion, 15% higher, with an adjusted operating margin of 24.5% versus 23.3% a year earlier. Net income attributable to Thermo Fisher was $1.721 billion, versus $1.616 billion in the prior-year quarter.

The company’s unaudited condensed consolidated statements of income show cost of revenues of $6.945 billion, selling, general and administrative expenses of $1.863 billion, research and development expenses of $348 million, restructuring and other costs of $199 million and amortization of acquisition-related intangible assets of $519 million. Interest expense was $417 million against interest income of $252 million, and diluted weighted average shares were 371 million versus 378 million a year earlier.

The 9% reported revenue growth in the quarter consisted of 6% organic revenue growth, 3% from acquisitions and divestitures and 0% from currency translation, according to the company’s non-GAAP reconciliation. Organic revenue growth excludes acquisition, divestiture and currency-translation effects.

For the nine months ended September 26, 2026, revenue was $35.136 billion versus $32.341 billion in the same period of 2025. GAAP diluted EPS was $13.75 versus $12.53, and adjusted EPS was $18.15 versus $16.30. GAAP operating income was $6.213 billion, a 17.7% margin, and adjusted operating income was $8.102 billion, a 23.1% margin. Reported revenue growth of 9% for the nine-month period comprised 4% organic growth, 4% from acquisitions and divestitures and 1% from currency translation.

Segment Results

Life Sciences Solutions revenue was $2.719 billion versus $2.588 billion a year earlier, with segment income of $1.022 billion and a 37.6% margin, versus $968 million and 37.4% in the third quarter of 2025. Analytical Instruments revenue was $2.002 billion versus $1.893 billion, with segment income of $538 million and a 26.9% margin, versus $429 million and 22.6%. Specialty Diagnostics revenue was $1.098 billion versus $1.174 billion, with segment income of $341 million at a 31.0% margin, versus $321 million at 27.4%.

Laboratory Products and Biopharma Services, which accounted for 56.5% of consolidated revenues in the quarter, recorded revenue of $6.863 billion versus $5.970 billion, with segment income of $1.067 billion at a 15.5% margin, versus $868 million at 14.5%. Eliminations were negative $546 million. Subtotal reportable segment income of $2.968 billion, a 24.5% margin, reconciles to consolidated GAAP operating income of $2.263 billion after the cost-of-revenue, SG&A, restructuring and amortization adjustments itemized in the release.

Cash Flow and Capital Deployment

Third-quarter net cash provided by operating activities was $2.551 billion, and purchases of property, plant and equipment were $437 million. Free cash flow, a non-GAAP measure the company defines as operating cash flow less net capital expenditures, was $2.115 billion versus $1.84 billion in the year-ago quarter.

Cash and cash equivalents stood at $5.461 billion on September 26, 2026, versus $9.852 billion on December 31, 2025. Total assets were $114.233 billion, including goodwill of $54.263 billion, and long-term obligations were $39.108 billion versus $35.852 billion at the end of 2025.

Over the nine-month period, acquisitions net of cash acquired totaled $8.877 billion, and proceeds from the sale of a business were $1.021 billion. Financing activities included $5.238 billion of net proceeds from debt issuance, $2.519 billion of debt repayment, $4.0 billion in purchases of company common stock and $511 million of dividends paid. Nine-month operating cash flow was $5.867 billion and free cash flow was $4.618 billion.

During the quarter, Thermo Fisher completed its previously announced divestiture of its microbiology business. The company’s 2026 adjusted results exclude a $72 million gain on the sale of a business and a $244 million held-for-sale loss recorded within restructuring and other costs.

Product launches in the quarter included the Thermo Scientific Orbitrap Isora mass spectrometer, which the company described as the first Orbitrap system designed for isotope ratio analysis; the Thermo Scientific EMPAD G2 electron detector for electron microscopy characterization of advanced materials; the FDA-cleared EliA CTD 13 Screen in the US, an autoimmune test for systemic connective tissue diseases including lupus; and the Ion 560 Chip, which the company called the highest-throughput sequencing chip for its Ion GeneStudio S5 platform, with nearly twice the sequencing capacity of the prior offering.

In partnership with Mayo Clinic, Thermo Fisher launched Precure, an initiative the company said will combine data from more than one million patient samples with its proteomics ecosystem, including Orbitrap mass spectrometry and Olink technologies, to generate insights into disease progression, enable earlier detection and advance precision medicine. The company also opened its first AI-Automation Innovation Center in South Korea and a highly automated distribution center in Kentucky serving customers across North America.

Thermo Fisher said it would provide updated 2026 financial guidance during its earnings conference call at 7:00 a.m. Eastern Time on October 21, 2026. The company states that it does not provide GAAP financial measures on a forward-looking basis, citing its inability to predict with reasonable certainty items such as the timing and amount of future restructuring actions and transaction-related charges.