Waters Q2 Revenue Rises 9% on Strong Instrument Sales and Strategic Execution

Waters Corporation (NYSE: WAT) delivered a strong second-quarter performance in 2025, exceeding market expectations with reported revenue of $771 million, representing a 9% year-over-year increase in reported terms and 8% in constant currency [1]. This outperformed the $748.04 million forecasted by analysts [1]. The company also reported a non-GAAP earnings per share (EPS) of $2.95, surpassing the anticipated $2.94 [2]. GAAP EPS came in at $2.47, reflecting a slight increase compared to the prior-year quarter [1]. The performance was driven by mid-single-digit growth in instruments, particularly in liquid chromatography and mass spectrometry, with key contributions from large pharmaceutical and CDMO customers [1]. Recurring revenue increased by 11% in constant currency, supported by strong service and chemistry segments [1].

Pharmaceutical sales grew by 11% in constant currency, while industrial sales rose by 6% [1]. The academic and government sector, despite a 3% decline, performed better than expected [1]. This broad-based strength across segments demonstrated the company’s resilience and strategic execution. The company’s robust performance has been attributed to successful execution of its commercial growth initiatives and the rapid adoption of new product offerings [1].

Based on its strong performance, Waters Corporation raised its full-year 2025 guidance. It now expects constant currency sales growth of 5.5% to 7.5%, up from previous estimates [2]. Reported sales growth is projected to be in the range of 5.0% to 7.0%, factoring in currency translation impacts [2]. The company also increased its full-year non-GAAP EPS guidance to $12.95 to $13.05, representing year-over-year growth of approximately 9% to 10% [2]. For the third quarter, it anticipates constant currency sales growth of 5.0% to 7.0% and non-GAAP EPS in the range of $3.15 to $3.25 [2]. These revised targets reflect Waters’ confidence in maintaining its growth trajectory amid favorable market conditions [4].

The company is also focused on leveraging its core competencies in analytical instrumentation and expanding into high-growth areas [2]. The recent combination with BD Biosciences & Diagnostic Solutions is expected to enhance Waters’ market reach and accelerate its strategic objectives [2]. Integration planning is already underway, and the company remains confident in its ability to create long-term shareholder value through operational efficiencies and synergies [2].

Waters’ improved guidance and strong Q2 results have been well-received by investors, with the stock rising 3% in the days following the announcement [3]. The performance highlights the company’s leadership in the analytical instrumentation sector, particularly in pharmaceutical and life sciences applications [3]. As the company continues to execute on its strategic priorities, investors will be closely watching for further evidence of sustained momentum in the coming quarters [5].