8-K: Agilent Exceeds Q4 Revenue, Projects Strong FY26 Growth

Agilent Technologies reported strong fourth-quarter and full fiscal year 2025 financial results, exceeding revenue guidance and initiating optimistic fiscal year 2026 outlook.

Summary

• Fourth-quarter fiscal year 2025 revenue reached $1.86 billion, exceeding revenue guidance and representing a growth of 9.4% reported and 7.2% on a core basis compared to Q4 2024.
• GAAP net income for Q4 2025 was $434 million, with earnings per share (EPS) of $1.53, marking a 25% increase from Q4 2024.
• Non-GAAP net income for Q4 2025 was $452 million, with EPS of $1.59, up 9% from Q4 2024.
• Full fiscal year 2025 revenue was $6.95 billion, exceeding guidance and growing 6.7% reported and 4.9% on a core basis compared to FY 2024.
• Full fiscal year 2025 GAAP net income was $1.303 billion, with EPS of $4.57, up 3% from FY 2024.
• Full fiscal year 2025 Non-GAAP net income was $1.592 billion, with EPS of $5.59, up 6% from FY 2024.
• Fiscal year 2026 revenue is projected to be in the range of $7.3 billion to $7.4 billion, representing 5% to 7% reported growth and 4% to 6% core growth.
• Non-GAAP EPS for fiscal year 2026 is expected in the range of $5.86 to $6.00.
• Fiscal first-quarter 2026 revenue guidance is set between $1.79 billion and $1.82 billion, an increase of 6% to 8% reported and 4% to 6% core.
• Non-GAAP EPS for fiscal first-quarter 2026 is expected in the range of $1.35 to $1.38 per share.
• The Life Sciences and Diagnostics Markets Group (LDG) reported Q4 revenue of $755 million, an increase of 15% reported and 11% core year-over-year, with an operating margin of 22.7%.
• The Agilent CrossLab Group (ACG) reported Q4 revenue of $755 million, an increase of 7% reported and 6% core year-over-year, with an operating margin of 32.5%.
• The Applied Markets Group (AMG) reported Q4 revenue of $351 million, an increase of 4% reported and 3% core year-over-year, with an operating margin of 24.7%.

Sentiment

Score: 8

Explanation: The company delivered solid financial results for Q4 and the full fiscal year 2025, exceeding revenue guidance. The outlook for fiscal year 2026 is positive with projected revenue and EPS growth, indicating strong momentum and confidence from management.

Positives

• Q4 FY25 revenue of $1.86 billion exceeded the company's revenue guidance.
• Strong Q4 FY25 reported revenue growth of 9.4% and core growth of 7.2% year-over-year.
• Significant 25% increase in Q4 FY25 GAAP EPS to $1.53.
• Solid full FY25 reported revenue growth of 6.7% and core growth of 4.9%, also exceeding guidance.
• Positive and confident outlook for FY26, projecting revenue growth of 5-7% reported and 4-6% core, and Non-GAAP EPS growth.
• Life Sciences and Diagnostics Markets Group (LDG) demonstrated robust Q4 revenue growth of 15% reported and 11% core.
• Agilent CrossLab Group (ACG) maintained a high operating margin of 32.5% in Q4.
• Cash and cash equivalents increased to $1,789 million at October 31, 2025, from $1,329 million at October 31, 2024.
• Net cash provided by operating activities for FY25 was $1,559 million.

Negatives

• Operating margins for all segments (LDG, ACG, AMG) experienced slight year-over-year decreases in Q4 2025.
• Full fiscal year 2025 operating margins for LDG, ACG, and AMG also showed slight decreases compared to FY 2024.
• Net cash provided by operating activities decreased from $1,751 million in FY24 to $1,559 million in FY25.
• Short-term debt increased significantly from $45 million in FY24 to $304 million in FY25.

Risks

• Unforeseen changes in the strength of customers' businesses.
• Unforeseen changes in the demand for current and new products, technologies, and services.
• Unforeseen changes in the currency markets.
• Customer purchasing decisions and timing.
• Risk that Agilent is not able to realize the savings expected from integration and restructuring activities.
• Ability to execute successfully through business cycles.
• Ability to meet and achieve the benefits of its operational transformation, market-focused strategy, and cost-reduction goals and otherwise successfully adapt its cost structures to continuing changes in business conditions.
• Ongoing competitive, pricing, and gross-margin pressures.
• Risk that cost-cutting initiatives will impair its ability to develop products and remain competitive and to operate effectively.
• The impact of geopolitical uncertainties and global economic conditions on its operations, its markets, and its ability to conduct business.
• Ability to improve asset performance to adapt to changes in demand.
• The impact relating to or arising from changes to tariffs, import/export or trade policies.
• The ability of its supply chain to adapt to changes in demand.
• The ability to successfully introduce new products at the right time, price, and mix.
• The ability of Agilent to successfully integrate recent acquisitions.
• The ability of Agilent to successfully comply with certain complex regulations.

Future Outlook

Agilent expects fiscal year 2026 revenue to be between $7.3 billion and $7.4 billion, representing 5% to 7% reported growth and 4% to 6% core growth. Non-GAAP EPS for FY26 is projected to be in the range of $5.86 to $6.00. For the first fiscal quarter of 2026, revenue is guided between $1.79 billion and $1.82 billion, with non-GAAP EPS between $1.35 and $1.38 per share. This outlook is based on forecasted currency exchange rates.

Management Comments

• "We enter FY26 with confidence and momentum." Padraig McDonnell, President and CEO.
• "Agilent is uniquely positioned to lead in life-sciences and diagnostics for years to come." Padraig McDonnell.
• "Our progress this year reflects innovation built on a customer-focused approach that creates real value and extraordinary customer intimacy through a unified commercial organization that delivers a seamless end-to-end experience." Padraig McDonnell.
• "Powered by our expanded Ignite Operating System, these strengths continue to unlock operating efficiencies, fuel innovation, enhance commercial execution, and create long-term value for customers and shareholders." Padraig McDonnell.

Industry Context

Agilent operates in the analytical and clinical laboratory technologies sector, providing instruments, software, services, and expertise. The strong performance in the Life Sciences and Diagnostics Markets Group suggests robust demand in these areas, aligning with broader trends of increased investment in healthcare, biotechnology, and pharmaceutical research. The company's focus on innovation and customer intimacy, coupled with its 'Ignite Operating System,' positions it well within a competitive landscape driven by technological advancements and evolving scientific needs, aiming to enhance commercial execution and create long-term value.

Corporate Governance

Stakeholder Impact

• Shareholders: Positive impact due to strong financial performance, exceeding guidance, and optimistic future outlook, potentially leading to increased share value and continued dividends.
• Employees: Positive impact from a growing company with a focus on operational efficiencies and innovation, potentially leading to job stability and opportunities.
• Customers: Positive impact from continued innovation, customer-focused approach, and a unified commercial organization aiming to deliver a seamless end-to-end experience and real value.
• Creditors: Stable outlook due to strong cash generation and healthy financial position, though short-term debt increased.

Next Steps

• Agilent's management will present additional details regarding the company's fourth-quarter 2025 financial results on a conference call with investors on November 24, 2025, at 1:30 p.m. PT.

Key Dates

Recommendation

The company has demonstrated robust financial performance, consistently exceeding revenue guidance and delivering strong growth in both GAAP and non-GAAP metrics for Q4 and the full fiscal year 2025. The initiated FY26 guidance projects continued solid revenue and EPS growth, indicating strong underlying business momentum and effective strategic execution. The CEO's comments reflect confidence in Agilent's market position and operational capabilities. While operating margins saw slight decreases, the overall growth trajectory, healthy cash flow from operations, and strategic focus on life sciences and diagnostics markets suggest a compelling investment opportunity with significant upside potential. The increase in cash and cash equivalents further strengthens the balance sheet.

Keywords

Agilent Technologies, A, financial results, Q4 2025, FY 2025, FY 2026 guidance, revenue, EPS, GAAP, non-GAAP, life sciences, diagnostics, analytical instruments, laboratory technologies, Agilent CrossLab, Applied Markets Group, corporate earnings, investor relations