Bio-techne Stock Earnings Reports

Bio-Techne reported Q1 FY2026 revenue of $286.6M, a 1% year-over-year decline (organic -1%). The top-line softness was driven mainly by timing/lumpiness in the cell therapy GMP protein business tied to two large customers that received FDA Fast Track designation, combined with ongoing biotech funding pressure. Offsetting strengths included robust demand from large pharma, improving trends in China (second consecutive quarter of growth), momentum in ProteinSimple instruments (including cartridge consumable pull-through), stabilization in U.S. academic markets as the quarter progressed, and recovery in spatial biology. Adjusted operating margin expanded 90 bps to 29.9% (adjusted EPS $0.42), driven by productivity, the Exosome Diagnostics divestiture, and cost discipline. Cash flow was modest ($27.6M operating cash flow), bank debt was $300M, cash $145M, and leverage remained well below 1x EBITDA. Management expects the cell therapy timing headwind to deepen in Q2 (roughly a 400 bp drag) before moderating in H2; excluding the two customers the underlying business showed positive momentum (company ex-these customers would have grown ~1% in Q1 and is modeled to accelerate in H2). The company reiterates a target of low-single-digit organic growth for FY26 and plans at least 100 bps of full-year margin expansion, while prioritizing M&A and continued investment in strategic growth pillars (ProteinSimple, spatial biology, diagnostics, Wilson Wolf acquisition completion by end of 2027 contingent on milestones).