Bio-Techne 2025 Q3 Earnings Net Income Declines 54%

Bio-Techne (TECH) reported its fiscal 2025 Q3 earnings on May 7th, 2025. The total revenue of bio-techne increased by 4.2% to $316.18 million in 2025 Q3, up from $303.43 million in 2024 Q3. Despite the revenue increase, the company's net income fell by 54.0% to $22.59 million. Bio-Techne's EPS also declined significantly by 54.8% to $0.14, compared to $0.31 in 2024 Q3. The company did not provide explicit forward-looking guidance.

Bio-Techne's revenue for Q3 saw growth across its segments. The Protein Sciences segment generated $227.69 million, showcasing its strong contribution. Meanwhile, the Diagnostics and Spatial Biology segment contributed $89.23 million to the total revenue. Intersegment revenue experienced a minor deduction of $737,000, leading to a consolidated revenue figure of $316.18 million. This performance highlights the diversified strength across Bio-Techne's business units.

Bio-Techne's EPS declined 54.8% to $0.14 in 2025 Q3 from $0.31 in 2024 Q3. Meanwhile, the company's net income declined to $22.59 million in 2025 Q3, down 54.0% from $49.06 million reported in 2024 Q3. Remarkably, the company has sustained profitability for more than 20 years over the corresponding fiscal quarter, underscoring strong operational resilience. The significant drop in EPS suggests a challenging financial period for the company.

The strategy of investing in Bio-Techne (TECH) shares after a quarterly revenue increase yielded a 7.41% return over the past five years, underperforming the benchmark by 76.68%. This approach resulted in a compound annual growth rate of 1.45%, while the maximum drawdown reached -14.05%. The Sharpe ratio stood at 0.17, indicating modest risk-adjusted returns. Despite the revenue growth, the strategy's performance suggests a need for cautious evaluation of investment approaches, as returns have not met broader market benchmarks.

CEO Commentary
"Despite a dynamic macroenvironment, the Bio-Techne team once again executed at a high level and delivered strong third quarter results," said Kim Kelderman, President and Chief Executive Officer of Bio-Techne. The improvement in pharma end market conditions, particularly from large pharma partners, contributed to solid performance in cell therapy and protein analysis instrumentation. The Company's focus on profitability resulted in a 34.9% adjusted operating margin, an increase of 190 basis points year-over-year. Kelderman emphasized that the Company remains well-positioned geographically and by end market, leveraging an experienced leadership team to navigate the current operating environment successfully.

Guidance
Bio-Techne did not provide explicit forward-looking guidance in the provided text. There are no statements indicating expectations for future performance, such as revenue or EPS targets, or commentary on anticipated market conditions beyond the current quarter. The Company’s optimistic positioning suggests confidence in navigating the macroenvironment, but specific quantitative guidance was not included.

Additional News
Recent activities surrounding Bio-Techne have drawn attention. On April 23, 2025, the company announced its participation in the 2025 American Association for Cancer Research (AACR) Annual Meeting. During this event, Bio-Techne unveiled new cancer research technologies and showcased a comprehensive portfolio, highlighting advancements in spatial multiomics and biomarker detection. Furthermore, on May 7, 2025, Brown Advisory Inc. increased its stake in Bio-Techne, indicating continued investor interest and confidence in the company's prospects. These developments underscore Bio-Techne's ongoing efforts to innovate and capture market opportunities in the life sciences sector.

Ask Aime: Why did Bio-Techne's earnings fall despite revenue growth?