Compared to Estimates, Labcorp (LH) Q4 Earnings: A Look at Key Metrics
Labcorp (LH) reported $3.03 billion in revenue for the quarter ended December 2023, representing a year-over-year decline of 17.4%. EPS of $3.30 for the same period compares to $4.14 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $3.01 billion, representing a surprise of +0.86%. The company delivered an EPS surprise of +0.30%, with the consensus EPS estimate being $3.29.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Labcorp performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net book-to-bill Ratio: 1% versus the two-analyst average estimate of 1.2%.
Ending backlog: 8.25 billion compared to the 12.38 billion average estimate based on two analysts.
Revenues- Biopharma Laboratory Services: $694.80 million compared to the $713.90 million average estimate based on three analysts. The reported number represents a change of -50.1% year over year.
Revenues- Diagnostics Laboratories: $2.35 billion versus $2.30 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +2.7% change.
Adjusted Operating Income- Biopharma Laboratory Services: $109 million versus the three-analyst average estimate of $110.50 million.
Adjusted Operating Income- Diagnostics Laboratories: $353.70 million compared to the $369.33 million average estimate based on three analysts.
View all Key Company Metrics for Labcorp here>>>
Shares of Labcorp have returned +2.3% over the past month versus the Zacks S&P 500 composite's +4.6% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
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