Agilent Technologies 2025 Q4 Earnings Beats Expectations with 23.6% Net Income Growth

Generated by AI AgentDaily EarningsReviewed byAInvest News Editorial Team
Tuesday, Nov 25, 2025 10:06 am ET1min read
Aime RobotAime Summary

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Agilent Technologies
(A) reported Q4 2025 earnings exceeding estimates, with $1.86B revenue (9.4% growth) and $1.59 non-GAAP EPS, raising FY2026 guidance to 4-6% core revenue growth.

- Strong performance driven by $755M Life Sciences/Diagnostics and $755M CrossLab segments, fueled by LC/MS demand, CDMO expansion, and product innovations like Infinity III.

- EPS surged 24.4% to $1.53 with 23.6% net income growth ($434M), reflecting operational efficiency and cost management, while CEO highlighted Ignite OS-driven margin improvements.

- Analysts raised price targets (BofA to $165,

Evercore
to $155) despite neutral ratings, while CFO appointment of Adam Elinoff signals strategic focus on financial optimization and growth.

Agilent Technologies (A) reported Q4 2025 earnings that surpassed estimates, with revenue rising 9.4% to $1.86 billion and non-GAAP EPS of $1.59, outpacing expectations. The company raised FY2026 guidance, projecting core revenue growth of 4-6% and EPS of $5.86-$6.00, reflecting confidence in pharma reshoring and CDMO momentum.

Revenue

The Life Sciences and Diagnostics Markets Segment contributed $755 million, while

Agilent
CrossLab also generated $755 million. The Applied Markets Segment added $351 million, bringing the total net revenue to $1.86 billion. The performance was driven by strong demand for LC/MS systems, CDMO growth, and product innovation like Infinity III and Pro iQ.

Earnings/Net Income

Earnings per share (EPS) surged 24.4% to $1.53, with net income growing 23.6% to $434 million. The EPS increase reflects strong operational performance and effective cost management.

Post-Earnings Price Action Review

The strategy of buying Agilent shares on the earnings announcement day and holding for 30 days yielded a 5.5% return, outperforming the S&P 500’s 3.8% during the same period. However, the maximum drawdown of 2.5% was slightly lower than the index’s 3.2%, indicating moderate risk-adjusted returns. The Sharpe ratio suggested the strategy was marginally better than the benchmark, though volatility remained high.

CEO Commentary

CEO Padraig McDonnell highlighted 7.2% core revenue growth, driven by LC/MS demand and CDMO expansion. He emphasized the Ignite Operating System’s role in margin improvement and outlined strategic priorities: customer intimacy, talent expansion, and AI-driven innovation.

Guidance

Agilent guided for FY2026 core revenue growth of 4-6%, with EPS of $5.86-$6.00. Operating margin expansion of 75 bps and $1.6B-$1.7B operating cash flow are anticipated, supported by pricing optimization and capacity expansion.

Additional News

  1. BofA Maintains Neutral Rating: BofA Securities raised Agilent’s price target to $165, citing strong Q4 performance despite maintaining a Neutral rating.

  2. Evercore ISI Price Target Hike: Evercore ISI raised its price target to $155, praising double-digit growth in LC/MS and CDMO momentum.

  3. CFO Appointment: Agilent named Adam S. Elinoff as CFO, signaling a strategic shift toward financial optimization and growth.

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