Core Insights - Bio-Techne Corporation's Ella benchtop immunoassay platform has received CE-IVD marking, allowing it to be sold in the European Union, which enhances its usability in clinical settings [1][1][1] Product Features - The Ella platform is a compact, cartridge-based immunoassay system that provides accurate biomarker results in under 90 minutes with minimal hands-on time, reducing operator variability and ensuring high-quality, reproducible data [1][1][1] - It is compatible with Simple Plex™ assays, which are for research use only, and includes over 390 analytes across various fields such as neuroscience, immunology, oncology, and cell and gene therapy [1][1][1] Strategic Importance - The CE-IVD certification signifies compliance with the European Union's In Vitro Diagnostic Regulation, confirming the platform's safety, performance, and reliability for clinical use [1][1][1] - This certification allows hospitals and clinical laboratories in Europe to utilize Ella for in-house test development and clinical trials, supporting Bio-Techne's goal of advancing precision medicine [1][1][1] Company Overview - Bio-Techne Corporation generated over $1.2 billion in net sales in fiscal 2025 and employs approximately 3,100 people globally, providing innovative tools and bioactive reagents for research and clinical diagnostics [1][1][1]

Minneapolis, Minnesota-based Bio-Techne Corporation (TECH) develops, manufactures, and sells life science reagents, instruments, and services for the research, diagnostics, and bioprocessing markets. It is valued at a market cap of $10.1 billion. This healthcare company has trailed the broader market over the past 52 weeks. Shares of TECH have declined 7.7% over this time frame, while the broader S&P 500 Index ($SPX) has surged 14.4%. However, on a YTD basis, the stock is up 7.3%, outpacing SPX’s 1.4% upt ...

Bio-Techne Announces Changes to its Leadership Team [Accessibility Statement] Skip Navigation- Steve Crouse, Senior Vice President of Bio-Techne's Analytical Solutions Division, has been appointed President, Diagnostics and Spatial Biology Segment, effective March 1, 2026- Dr. Matt McManus to transition from his role as President, Diagnostics and Spatial Biology Segment, effective March 1, 2026MINNEAPOLIS, Feb. 11, 2026 /PRNewswire/ -- Bio-Techne Corporation (NASDAQ: TECH) today announced that Dr. Matt McMa ...

Core Viewpoint - Bio-Techne Corporation is a significant entity in the biotechnology sector, focusing on innovative tools and solutions for life sciences research and clinical diagnostics, competing with major players like Thermo Fisher Scientific and Danaher Corporation [1] Financial Performance - On February 4, 2026, Citigroup upgraded Bio-Techne's stock to a "Buy" rating at approximately $68.89, raising the price target from $70 to $80, indicating confidence in the company's growth potential [2] - Bio-Techne recently held its Q2 2026 earnings call, providing insights into its financial performance, revenue, profit margins, and strategic initiatives, which are crucial for understanding the company's current position and future outlook [3] Stock Performance - Currently, Bio-Techne's stock (TECH) is priced at $68.77, reflecting a 6.41% increase or $4.14, with a daily trading range between $61.70 and $69.92 [4] - Over the past year, the stock has fluctuated, reaching a high of $79.28 and a low of $46.01, indicating the dynamic nature of the stock market [4] Market Capitalization and Trading Volume - Bio-Techne's market capitalization is approximately $10.72 billion, with a trading volume of 3.59 million shares, reflecting the company's size and investor interest in its stock [5]

Financial Performance - Consolidated net sales for the quarter ended December 31, 2025 were $295.9 million, remaining flat compared to the same prior year period, with a 1% decrease for the six months ended December 31, 2025 at $582.4 million [115]. - Organic revenue for the quarter ended December 31, 2025 remained flat, with a favorable foreign currency exchange impact of 2% and an unfavorable impact of 2% from non-recurring prior year revenue from a business held-for-sale [115]. - Consolidated gross margins for the quarter and six months ended December 31, 2025 were 64.6% and 65.1%, respectively, compared to 65.3% and 64.3% for the same prior year periods [116]. - Non-GAAP adjusted net earnings for the quarter ended December 31, 2025 were $72.1 million, with diluted earnings per share of $0.46, compared to $68.1 million and $0.42 in the prior year [127]. Expenses and Cost Management - Selling, general and administrative expenses decreased by 6% to $113.7 million for the quarter and by 4% to $229.9 million for the six months ended December 31, 2025, primarily due to ongoing cost management initiatives [119]. - Research and development expenses decreased by 8% to $23.1 million for the quarter and by 3% to $47.4 million for the six months ended December 31, 2025, while continuing to make strategic growth investments [120]. Segment Performance - Protein Sciences segment net sales for the quarter ended December 31, 2025 were $215.1 million, a 2% increase, while remaining flat for the six months at $417.3 million [121]. - Diagnostics and Spatial Biology segment net sales for the quarter ended December 31, 2025 were $81.2 million, a 4% decrease, with an operating margin of 10.4% compared to 3.9% in the prior year [123]. Taxation - The effective income tax rate for the quarter and six months ended December 31, 2025 was 25.2% and 22.9%, respectively, compared to 18.6% and 17.5% for the same prior year periods [125]. - The forecasted tax rate for the remainder of fiscal 2026 is expected to range from 25% to 29% [126]. - The non-GAAP adjusted tax rate for the quarter ended December 31, 2025, was 22.3%, compared to 21.5% in the same quarter of 2024 [129]. Cash Flow and Capital Management - As of December 31, 2025, cash and cash equivalents were $172.9 million, an increase from $162.2 million as of June 30, 2025 [130]. - The company generated $110.0 million from operating activities in the six months ended December 31, 2025, down from $148.2 million in the same period of 2024, primarily due to changes in cash payment timing [133]. - Capital expenditures for fixed assets for the six months ended December 31, 2025, were $11.3 million, compared to $16.0 million in 2024, with an expected $18 million for the remainder of fiscal 2026 [135]. - The company paid cash dividends of $24.9 million during the six months ended December 31, 2025, slightly down from $25.4 million in 2024 [138]. - The company made repayments of $86.0 million on its long-term debt during the six months ended December 31, 2025, compared to $19.0 million in the same period of 2024 [140]. - The company has a line-of-credit of $740 million available as of December 31, 2025, governed by a Credit Agreement maturing on August 31, 2027 [130]. - The company expects to meet its cash and working capital requirements for at least the next 12 months through available cash and generated cash from operations [132]. Acquisitions - The company acquired 19.9% of Wilson Wolf for $232 million in fiscal 2023, with a future obligation to acquire the remaining 80.1% by December 31, 2027, contingent on financial milestones [131]. Asset Management - The company received $4.6 million for assets held-for-sale during the six months ended December 31, 2025, compared to $1.8 million in 2024 [137].

Core Insights - Bio-Techne reported second-quarter fiscal 2026 results that were largely in line with internal expectations, with organic revenue flat due to strength from large pharmaceutical customers offset by softness in emerging biotech and U.S. academia [4][6] - Adjusted EPS was $0.46, reflecting a 10% year-over-year increase, while GAAP EPS was $0.24, up from $0.22 a year earlier [1][4] - The company expects Q3 organic growth to mirror Q2, with specific headwinds from cell therapy timing and an OEM order shift [4][22] Financial Performance - Total revenue for the quarter was $295.9 million, flat year over year on both a reported and organic basis, with foreign exchange providing a 2% tailwind [6] - Adjusted operating margin expanded approximately 100 basis points to 31.1%, despite a decline in adjusted gross margin to 68.5% due to unfavorable product and customer mix [5][7] - Profitability improved, with adjusted EPS increasing to $0.46 and operating margin expansion expected to continue for the full fiscal year [5][16] Segment Performance - Protein Sciences reported sales of $215.1 million, up 2% year over year, but organic revenue declined 1% [8] - Diagnostics and Spatial Biology posted Q2 sales of $81.2 million, down 4% year over year, with organic growth of 3% after accounting for the Exosome Diagnostics divestiture [10][11] - The cell therapy business experienced a decline of over 30%, including a 50% drop in GMP reagents, due to a purchasing pause related to FDA Fast Track designations [9] Geographic Trends - China and broader APAC regions showed strong growth, with China growing mid-single digits and APAC approaching 20% [12] - The Americas experienced a decline in high single digits, though adjusting for cell therapy order timing, the region grew low single digits [13] - EMEA was flat compared to a strong prior year, with diagnostics strength offset by order timing dynamics [13] Market Dynamics - Large pharma revenue increased low double digits for the fourth consecutive quarter, while emerging biotech declined mid-single digits, indicating a split in market performance [14] - U.S. academic revenue reported a low single-digit decline overall, with some stability noted in Europe [14] - Management highlighted constructive developments in U.S. federal funding proposals, including a budget increase and maintained indirect funding rates [14] Future Outlook - The company anticipates Q3 organic growth to be consistent with Q2, with underlying trends expected to improve [15][16] - Management expects mid-single-digit underlying growth for the remainder of the business, with sequential improvement anticipated as revenue increases seasonally [16] - Strategic themes discussed included investments in cell therapy, proteomic analysis instruments, and spatial biology, positioning the company for gradual end-market improvement [19][18]

Core Insights - Bio-Techne Corporation (TECH) reported second-quarter fiscal 2026 adjusted earnings per share (EPS) of 46 cents, exceeding the Zacks Consensus Estimate by 8.2% and reflecting a year-over-year increase of 9.5% [1] - The company's net sales for the quarter were $295.9 million, showing a slight decline of 0.4% year over year, but surpassing the Zacks Consensus Estimate by 1.3% [2] - The operating profit for the quarter was $54.5 million, an increase from $47.4 million in the prior year, with the operating margin expanding by 244 basis points to 18.4% [6][8] Revenue Breakdown - In the Protein Sciences segment, Bio-Techne recorded revenues of $215.1 million, a 2% increase year over year, although it was down 1% on an organic basis [3] - The Diagnostics and Spatial Biology segment saw a revenue decrease of 4% year over year to $81.2 million, but it increased by 3% on an organic basis [4] Margin Analysis - Gross profit fell by 1.3% to $191.3 million, with the gross margin contracting by 63 basis points to 64.6% due to a 1.4% rise in the cost of sales [5] - Selling, general and administrative expenses decreased by 6.4% to $113.7 million, while research and development expenses totaled $23.1 million, down 7.6% year over year [5] Financial Position - At the end of the fiscal second quarter, Bio-Techne had cash and equivalents of $172.9 million, up from $145 million at the end of the previous quarter, while long-term debt obligations decreased to $260 million from $300 million [7] Overall Performance - Despite a quarterly revenue decline and gross margin contraction, there are signs of stabilization in the U.S. academic market, improving performance in biotech, ongoing growth in Asia, and continued strength among large pharmaceutical customers [10]

Core Insights - Techne (TECH) reported revenue of $295.88 million for the quarter ended December 2025, reflecting a slight decline of 0.4% year-over-year, while EPS increased to $0.46 from $0.42 in the previous year [1] - The revenue exceeded the Zacks Consensus Estimate of $292.03 million by 1.32%, and the EPS surpassed the consensus estimate of $0.43 by 8.24% [1] Financial Performance - Organic Growth in Diagnostics and Spatial Biology was reported at 3%, slightly below the average estimate of 3.9% from two analysts [4] - Organic Growth in Protein Sciences showed a decline of 1%, outperforming the estimated decline of 2.2% [4] - Net Sales for Diagnostics and Spatial Biology reached $81.18 million, close to the average estimate of $81.4 million from three analysts [4] - Net Sales for Protein Sciences amounted to $215.08 million, exceeding the average estimate of $207.1 million, representing a year-over-year increase of 1.7% [4] - Intersegment revenue reported a loss of $0.39 million, better than the average estimate of a loss of $0.45 million, but showed a significant year-over-year decline of 23.2% [4] Market Performance - Over the past month, Techne's shares returned -1%, contrasting with the Zacks S&P 500 composite's increase of 0.9% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Financial Data and Key Metrics Changes - Adjusted EPS for Q2 was $0.46, up 10% year-over-year, while GAAP EPS increased to $0.24 from $0.22 in the prior year [19] - Total revenue for Q2 was $295.9 million, flat year-over-year on both an organic and reported basis, with foreign currency exchange contributing a 2% tailwind [19][20] - Adjusted gross margin was 68.5%, down from 70.5% last year, driven by unfavorable product and customer mix [21] - Adjusted operating margin reached 31.1%, up 100 basis points year-over-year, reflecting productivity gains and cost management [21][22] Business Line Data and Key Metrics Changes - Protein Sciences segment reported sales of $215.1 million, an increase of 2% year-over-year, but organic revenue declined 1% [23] - Diagnostics and spatial biology segment sales were $81.2 million, down 4% year-over-year, with organic growth of 3% after accounting for divestitures [25] - Core reagents and assays, proteomic analysis instruments, and diagnostic kits all saw modest growth in Q2 compared to Q1 [5][6] Market Data and Key Metrics Changes - Revenue from large pharma customers increased low double digits for the fourth consecutive quarter, while emerging biotech declined mid-single digits [9] - U.S. academic business experienced a modest decline, partially offset by stable growth in Europe, resulting in a low single-digit decline overall for this end market [10] - China grew mid-single digits, marking its third consecutive quarter of growth, supported by R&D investments from CDMO, CRO, and biotech customers [10] Company Strategy and Development Direction - The company focuses on four strategically important growth verticals: cell therapy, proteomic analytical instrumentation, spatial biology, and precision diagnostic tools, which now represent 47% of total revenue [7] - The company is committed to maintaining a strong profitability profile while investing in strategic growth initiatives [6][18] - The upcoming fiscal year 2027 is expected to see normalization in growth as headwinds from key customers dissipate [26][66] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stabilization of end markets, particularly in biotech funding and U.S. academic budgets, which are expected to improve gradually [18][60] - The company anticipates that the headwinds from FDA Fast Track designations for key customers will moderate, allowing for improved growth in the future [26][66] - Management highlighted the importance of AI as a driver for demand in biotech, suggesting it will enhance productivity and specificity in R&D [44][45] Other Important Information - The company is actively pursuing M&A opportunities to enhance its portfolio, particularly in novel antibodies and cell therapy [80] - The acquisition of Wilson Wolf is on track, with expectations to complete it by the end of calendar year 2027 [13][81] - The company launched Cultrex Synthetic Hydrogel to support organoid development, aligning with trends towards reduced use of animal models [78] Q&A Session Summary Question: Growth cadence and expectations for fiscal year 2026 - Management confirmed expectations for mid-single-digit growth in Q4, primarily driven by normalization from key customers and continued strength in pharma [30][32] Question: Drivers of gross margin changes - Management indicated that unfavorable product mix and customer profiles impacted gross margins, but improvements are expected in the latter half of the year [34][36] Question: Impact of AI on biotech demand - Management believes AI will enhance customer capabilities and drive demand for more complex materials, benefiting the company [44][45] Question: Biotech funding and timing of revenue impact - Management noted a typical six-month lag for funding improvements to translate into revenue, with positive trends observed in funding activity [61][62] Question: Cell therapy customer impact on GMP business - Management expects normalization in the GMP business as headwinds from key customers dissipate, with underlying growth previously observed at 30% [65][66]

Financial Data and Key Metrics Changes - Adjusted EPS for Q2 was $0.46, up 10% year-over-year, while GAAP EPS increased to $0.24 from $0.22 in the prior year [19] - Total revenue for Q2 was $295.9 million, flat year-over-year on both an organic and reported basis, with foreign currency exchange contributing a 2% tailwind [19][20] - Adjusted gross margin was 68.5%, down from 70.5% last year, driven by unfavorable product and customer mix [21] - Adjusted operating margin reached 31.1%, up 100 basis points year-over-year, reflecting productivity gains and cost management [21][22] Business Line Data and Key Metrics Changes - Protein Sciences segment reported sales of $215.1 million, with organic revenue declining 1% but benefiting from foreign exchange [23] - Diagnostics and spatial biology segment sales were $81.2 million, down 4% year-over-year, with organic growth of 3% after accounting for divestitures [25] - Core reagents and assays delivered low double-digit growth, while proteomic analytical tools grew upper single digits [15][24] Market Data and Key Metrics Changes - Revenue from large pharma customers increased low double digits for the fourth consecutive quarter, while emerging biotech declined mid-single digits [9][20] - U.S. academic business saw a modest decline, partially offset by stable growth in Europe, resulting in a low single-digit decline overall for this end market [10] - China experienced mid-single-digit growth, marking its third consecutive quarter of growth, supported by R&D investments [10][20] Company Strategy and Development Direction - The company focuses on four strategic growth verticals: cell therapy, proteomic analytical instrumentation, spatial biology, and precision diagnostic tools, which now represent 47% of total revenue [7] - The company is committed to maintaining a strong profitability profile while investing in strategic growth initiatives [6][18] - The upcoming fiscal year 2026 is significant as the company celebrates its 50th anniversary, with plans for various events [7] Management's Comments on Operating Environment and Future Outlook - Management noted that the operating environment is stabilizing but still challenging, with funding uncertainty affecting customer behavior in emerging biotech and U.S. academia [18] - There is optimism regarding the rebound in biotech funding and favorable U.S. appropriation bills, which are expected to support gradual improvement in end markets [18][19] - The company anticipates that headwinds from FDA Fast Track designations will moderate, allowing for improved growth in the future [26] Other Important Information - The company is actively pursuing M&A opportunities, with a focus on enhancing capabilities in cell therapy and proteomic analysis [81] - The acquisition of Wilson Wolf is on track, with expectations to complete it by the end of calendar year 2027 [13][81] Q&A Session Summary Question: Growth cadence and expectations for fiscal year 2026 - Management confirmed that underlying growth, excluding specific customer impacts, is expected to be mid-single digits for the year [30][32] Question: Drivers of gross margin trends - Management explained that gross margin pressures were due to unfavorable product mix and customer profiles, but improvements are expected in the latter half of the year [34][41] Question: Impact of AI on biotech demand - Management believes AI will enhance customer capabilities and drive demand for more complex materials, benefiting the company [42][45] Question: Biotech funding and timing of revenue impact - Management indicated that funding improvements typically show a six-month lag in revenue impact, with positive trends expected to continue [60][62] Question: Cell therapy customer impacts on GMP business - Management noted that the two large customers' Fast Track designations have created a temporary headwind, but underlying growth in the cell therapy business remains strong [64][66]