By Dean Seal
Avantor lowered its revenue outlook for the year after waning demand in the government- and education-related end markets for one of its segments cut into first-quarter sales.
The Radnor, Pa., biopharma supplier posted a profit of $64.5 million, or 9 cents a share, compared with $60.4 million, or 9 cents a share, in the same period a year earlier.
Stripping out one-time items, adjusted earnings were 23 cents a share, in line with the consensus estimate of analysts polled by FactSet.
Revenue slid 6% to $1.58 billion, below analyst projections for $1.61 billion, according to FactSet.
The company said its lab-solutions business saw a drop in demand, particularly for its education and government end markets, due to policy changes from the new presidential administration.
As a result, the company is lowering its guidance. It now expects organic revenue to come in either up 1%, down 1% or somewhere in between. It previously guided for a 1%-to-3% gain.
"We are implementing a comprehensive strategy to strengthen our lab solutions segment and are committed to moving with urgency to improve performance across the business," Chief Executive Michael Stubblefield said.
The company also said Friday that Stubblefield intends to step down and will resign from his CEO position whenever his successor is found.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
April 25, 2025 06:47 ET (10:47 GMT)
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