QuidelOrtho narrows 2026 guidance, launches restructuring program after Q3 revenue drop

QuidelOrtho announced third quarter 2026 results on November 3, 2026, for the period ended September 27, 2026. Total revenue was $619 million, a decrease of 12% both as reported and in constant currency.¹ Excluding respiratory, China, and the U.S. Donor Screening business, total revenue grew 2% as reported and 3% in constant currency.¹

Labs revenue of $353 million declined 6%, primarily due to lower sales in China related to recently announced changes to In Vitro Diagnostics pricing, though Labs revenue outside China grew 3% as reported and 4% in constant currency.¹ Point of Care revenue of $120 million declined 27% both as reported and in constant currency due to a softer respiratory season.¹

The company said it has initiated a new operational overhaul. The program is designed to further improve the cost structure and evolve the operating model around two focused businesses, Core Diagnostics and Point of Care Diagnostics, aiming to increase customer focus and align technology investment with each business's needs.¹ The company expects the program to deliver over $80 million in annual savings in 2027 and to record approximately $30 to $35 million in one-time restructuring charges in the fourth quarter of 2026.¹

Tied to the restructuring, leadership changes take effect November 9, 2026. The Board appointed Jonathan Siegrist, PhD to the newly created role of Head of Point of Care Diagnostics and Bryan Hanson to the newly created role of Head of Core Diagnostics.¹ The Board also approved elimination of the Chief Operations Officer role, and Phil McLellan's employment in that position will terminate effective that date.¹

The company updated its full-year outlook. Full-year 2026 total revenue guidance narrowed to $2.52 to $2.54 billion from a prior range of $2.52 to $2.60 billion, adjusted EBITDA guidance narrowed to $540 to $545 million from $540 to $560 million, and adjusted diluted EPS guidance narrowed to $0.65 to $0.70 from $0.65 to $0.90.¹

On cash flow, operating cash flow was $20 million and free cash flow was $0.3 million for the quarter.¹