Illumina (ILMN) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue reached $1.16 billion, up 5% year-over-year, with ex-China revenue up 8% and strong clinical consumables growth; over 100 NovaSeq X instruments were placed, now representing 55% of high-throughput consumables revenue.

• 2025 marked a return to growth, with ex-China revenue up 2% for the year and 7% in Q4, and significant progress in high-throughput transitions and multi-omics expansion.

• The acquisition of SomaLogic was completed in January 2026 for $350 million upfront, enhancing the multiomics and proteomics portfolio and expected to be accretive to profitability by 2027.

• Strategic focus on core sequencing, scaling multi-omics, and expanding data/software capabilities drove results and positions the business for continued growth.

• Q4 2025 GAAP operating margin was 17.4% and non-GAAP operating margin was 23.7%; Q4 GAAP diluted EPS was $2.16, non-GAAP EPS was $1.35.

Financial highlights

• Q4 2025 revenue was $1.16 billion, up 5% year-over-year reported and 4% constant currency; ex-China revenue up 7%.

• Sequencing consumables revenue reached $755 million, up 8% year-over-year and 11% ex-China; clinical segment up 20% in Q4.

• Non-GAAP operating margin for Q4 was 23.7%, expanding 400 basis points year-over-year; non-GAAP EPS for Q4 was $1.35, up 42% year-over-year; full-year 2025 EPS was $4.84, up 16%.

• Free cash flow for Q4 was $267 million; $931 million for the year; cash and short-term investments at year-end totaled $1.63 billion.

• Americas and Europe revenue each grew 8%, AMEA 3%, while Greater China declined 30% year-over-year.

Outlook and guidance

• 2026 organic revenue growth ex-China expected at 2%-4%; total reported revenue guidance is $4.5-$4.6 billion, up 4%-6%, including 1.5%-2.0% from SomaLogic.

• Clinical consumables expected to grow double-digit to mid-teens in 2026; research and applied consumables to decline mid-to-high single digits.

• Operating margin guidance for 2026 is 23.3%-23.5%, up 130 basis points excluding SomaLogic impact; 100bps negative impact from SomaLogic.

• 2026 EPS guidance is $5.05-$5.20, including $0.18 dilution from SomaLogic; excluding dilution, EPS growth is 10%.

• Instrument sales expected to be flat to slightly down; China sales projected at $210-$220 million.