Thermo Fisher Scientific (TMO) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue grew 10% to $11.99B, with 5% organic growth and 13% adjusted EPS growth to $6.03 per share, exceeding prior guidance.

• Customer activity and demand strengthened across all end markets, with broad-based momentum in pharma, biotech, academic, government, and industrial sectors, supporting continued share gains.

• Raised full-year 2026 revenue guidance to $47.4B–$48.1B and adjusted EPS to $24.93–$25.33, reflecting strong Q2 performance and improved outlook.

• Recent acquisitions, including Clario and filtration/separation businesses, are performing well and contributing to growth.

• Announced divestiture of microbiology business, with proceeds used for $1B share repurchase in Q2.

Financial highlights

• Q2 revenue grew 10% year-over-year to $11.99B, with 5% organic growth and a slight FX tailwind.

• Adjusted operating income rose 15% to $2.73B; adjusted operating margin expanded 90 bps to 22.8%.

• Adjusted EPS increased 13% to $6.03; GAAP EPS was $4.68, up 9% year-over-year.

• Free cash flow YTD was $2.5B after $800M in capex; $1.2B returned to shareholders in Q2 via buybacks and dividends.

• Ended Q2 with $4.1B cash and $42.5B total debt; leverage ratio at 3.6x gross debt/EBITDA.

Outlook and guidance

• Full-year 2026 revenue guidance raised to $47.4B–$48.1B (6–8% reported growth over 2025).

• Organic revenue growth expected at upper end of 3–4% range; adjusted EPS guidance raised to $24.93–$25.33 (9–11% growth).

• Acquisitions expected to contribute $1.6B revenue and $0.32 EPS for the year.

• Free cash flow expected at $6.9B–$7.4B; $4B in share buybacks and $700M in dividends planned for 2026.

• Q3 adjusted EPS expected to be $0.35–$0.40 higher than Q2.