Azenta (AZTA) Q3 2026 earnings summary

Executive summary

• Q3 revenue rose 12% year-over-year to $161 million, with 9% organic growth, driven by Sample Management Solutions and Multiomics, and supported by the UK Biocentre acquisition and favorable currency movements.

• Adjusted EBITDA margin was 11.4%, down 60 basis points year-over-year but up 610 basis points sequentially; non-GAAP EPS was $0.16.

• The sale of B Medical Systems was completed for $63 million, with $28 million in cash and a $35 million vendor loan; results are reported as discontinued operations.

• Over half of revenue is now recurring, providing greater stability and resilience.

• Net income for the quarter was $2.5 million, reflecting a $4 million gain from discontinued operations; a $149.1 million goodwill impairment was recorded in Q2 FY26.

Financial highlights

• Q3 revenue: $161 million, up 12% reported and 9% organic year-over-year.

• Adjusted EBITDA: $18.4 million for Q3; margin at 11.4%, down 60 bps year-over-year but up 610 bps sequentially.

• Non-GAAP EPS: $0.16; net income from continuing operations: $7.2 million.

• Free cash flow: -$5 million, impacted by working capital and lower deferred revenue.

• Ended Q3 with $529 million in cash, cash equivalents, and marketable securities; no debt.

Outlook and guidance

• FY26 revenue guidance raised to $613–$618 million, with organic revenue expected to be flat to up 1% year-over-year.

• Adjusted EBITDA for FY26 expected at $59–$62 million, including 30 bps margin dilution from UK Biocentre.

• Q4 organic revenue expected to decline low single digits due to tough comps, especially in Multiomics.

• Full-year free cash flow expected to improve 10–15% year-over-year.

• Interest income expected at $16–$18 million; tax rate at 27–29%.