TECH US S&P 500Russell 1000 Earnings call
Bio-Techne (TECH) · Q1 2026 results and valuation
Share price: $72.80 · 2026-11-11
Bio-Techne develops, manufactures, and sells life science reagents, instruments, and services for the research, diagnostics, and bioprocessing markets. The company provides products for drug discovery, clinical tests, and cellular therapies to customers in the academic and pharmaceutical industries. It operates globally with manufacturing and distribution locations across North America, Europe, and Asia. Source: 10-K annual report (2026-08-24)
Results Q1 2026 vs Q4 2025 · previous quarter · fiscal Q3 2026 · published 6 May 2026 and 4 Feb 2026
Net income up 34.3% on the previous quarter. Management sounded about as positive as a typical company call, in its script and in answers to analysts.
1 · Numbers
+34.3%
Net income vs Q4 2025
Outlook given
Net income 51.0M vs 38.0M
Revenue +5.3%
Against the same quarter last year (Q1 2025) it is +126.0%, so it is not just seasonal.
2 · How management spoke
Typical
More upbeat than 51% of company calls
Answers to analysts: typical, in line with the script.
Similar to last call.
3 · What stood out
Excluding the impact of two customers, Bio-Techne's GMP protein revenue grew nearly 50% year-over-year.
Valuation
Is Bio-Techne undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2026-06-30), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 2.2% growth a year (3-year revenue growth), the model's fair value is $22.86 a share — the stock trades 219% above it. Today's price assumes 18.2% growth a year.
Current price
$72.80
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+18.2% for 10 yrs
Fair value / share
$22.86
Buy below
$17.14
Price vs fair value
Overvalued >200%
Price vs buy-below price
Overvalued >200%
Read between the lines
-
Figure
Excluding the impact of two customers, GMP protein revenue grew nearly 50% year-over-year.
Source quote
“Excluding the impact of these 2 customers, GMP protein revenue grew nearly 50% year-over-year.”
-
Figure
Adjusted gross margin rose 190 basis points sequentially to 70.4%, even though it decreased from 71.6% last year.
Source quote
“Below the revenue line, adjusted gross margin was 70.4%, down from 71.6% last year, but up 190 basis points sequentially.”
-
Guidance
Operating leverage was impacted by the benefits of structural streamlining and disciplined expense management, which were partially offset by targeted investments in strategic growth initiatives.
-
Figure
TECH owns 20% of Wilson Wolf and is on track to acquire the remaining stake of the manufacturer of the G-Rex bioreactor line by the end of calendar 2027.
Source quote
“We currently own 20% of Wilson Wolf and remain on track to acquire the remainder of this manufacturer of the market-leading product line of single-use bioreactors called the G-Rex by the end of calendar 2027 or potentially earlier upon achievement of specific milestones.”
-
Figure
The neurology assay portfolio saw a 3-year CAGR of 50% due to strong adoption in neurodegeneration research.
Source quote
“These attributes are driving strong adoption in neurodegeneration research, which is reflected in a 3-year CAGR of 50% across our neurology assay portfolio.”
3 more
-
Figure
The COMET Multiomic Spatial Platform grew by more than 65% due to strong order momentum over recent quarters.
Source quote
“Strong order momentum over recent quarters translated into more than 65% growth for our COMET Multiomic Spatial Platform.”
-
Figure
TECH generated $86.7 million in operating cash flow with $9.1 million in net capital expenditures during Q3 2026.
Source quote
“We generated $86.7 million in operating cash flow with $9.1 million in net capital expenditures.”
-
Figure
These positives were partially offset by continued softness in emerging biotech spending, resulting in a 2% organic revenue decline for the quarter.
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q1 2026. Ring: Q4 2025.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“Spatial Biology grew mid-teens, including over 65% growth in our COMET platform, while our RNAscope portfolio increased high single digits.”
“Finally, our Diagnostics portfolio recently rebranded as Bio-Techne Diagnostics declined low single digits as order timing from certain large customers temporarily impacted our results.”
“From a customer perspective, AI adoption is accelerating the earliest stages of drug discovery, particularly target discovery, which is expected to expand the number of viable programs and improve probabilities...”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-03-31)
| Metric | Q1 2026period end 2026-03-31 | Q4 2025period end 2025-12-31 | Change | Q1 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 311.4M | 295.9M | +5.3% | 316.2M | −1.5% |
| Gross profit | 208.3M | 191.3M | +8.9% | 214.6M | −2.9% |
| Operating income | 75.5M | 54.5M | +38.6% | 38.7M | +95.0% |
| Net income | 51.0M | 38.0M | +34.3% | 22.6M | +126.0% |
| EPS | 0.32 | 0.24 | +33.3% | 0.14 | +128.6% |
| P/E today 66.2 | 74.7 | 111.0 | −36.3 | 70.6 | +4.1 |
Topics
Most discussed now
- Any incremental stabilization or improvement in emerging biotech spending could prove additive.
- Total revenue for Q3 was $311.4 million, decreasing 2% on both an organic and reported basis.
- New Bio-Techne is seeing it has seen a definite stabilization in the North American academic market.
- I'll remind everyone that put these company-specific items aside, which amounts to 3 customers, Bio-Techne would have been low…
- You're right, it did step down to negative high single digits instead.
Faded since Q4 2025
- Fading In summary, the team delivered strong second-quarter execution in a stable market, with improved biotech funding as well as further...
- Fading Cell therapy, excluding Bio-Techne's two largest FDA Fast Track customers, delivered strong sequential improvement in year-over-year growth.
- Fading Let's turn to Bio-Techne's Diagnostics and Spatial Biology segment, which delivered 3% organic growth.
- Fading This outlook tracks with the stabilization of Bio-Techne's end markets and improving customer sentiment.
Latest announcements
Official filings, newest first. Summaries are generated from each filing and its attachment; every figure is checked against the source.
- Other events · SEC 8-K
- Shareholder vote results; Regulation FD disclosure · SEC 8-K
Bio-Techne shareholders approved the acquisition by Merck KGaA, following the expiration of the Hart-Scott-Rodino antitrust waiting period on September 18, 2026, with the company reporting over $1.2 billion in net sales in fiscal year 2025.
- Other events · SEC 8-K
Bio-Techne Corporation entered into a merger agreement with Merck KGaA, Darmstadt, Germany, and filed a proxy statement for a shareholder meeting scheduled for September 23, 2026, despite a lawsuit filed on September 9, 2026.
- Results of operations; Other events · SEC 8-K
Bio-Techne reported fourth-quarter revenue of $321.2 million, a 1% increase, and full-year GAAP EPS of $1.16 compared to $0.46 in the previous year.
- Material agreement; Director or officer change · SEC 8-K
Bio-Techne Corporation entered into a merger agreement with Merck KGaA, where each share of common stock will be converted into $73.00 in cash.
- Regulation FD disclosure · SEC 8-K
Merck KGaA, Darmstadt, Germany, agreed to acquire Bio-Techne Corporation for US$73 per share in cash, representing an enterprise value of approximately US$11.3 billion.
- Results of operations; Other events · SEC 8-K
Bio-Techne reported revenue of $311.4 million, down 2% from the prior year, and GAAP EPS of $0.32 compared to $0.14 in the same quarter last year.
- Director or officer change; Other events · SEC 8-K
Bio-Techne announced that Steve Crouse will succeed Dr. Matt McManus as President of the Diagnostics and Spatial Biology Segment effective March 1, 2026, following a fiscal 2025 of over $1.2 billion in net sales.
Catalyst calendar
management-stated targets — from the latest earnings call; plans, not promises.
-
the coming weeks
participation in the Bank of America and Jefferies Healthcare Conferences
Source quote
“Separately, in the coming weeks, we will be participating in the Bank of America and Jefferies Healthcare Conferences.”
-
by the end of calendar 2027 or potentially earlier upon achievement of specific milestones
acquisition of the remainder of Wilson Wolf
Source quote
“We currently own 20% of Wilson Wolf and remain on track to acquire the remainder of this manufacturer of the market-leading product line of single-use bioreactors called the G-Rex by the end of calendar 2027 or potentially earlier upon achievement of specific milestones.”
-
as early as our June quarter
improvement in the biotech end market
Source quote
“While we can start to see improvement in the biotech end market as early as our June quarter, our base case is that we won't see a meaningful uptick in growth until the first half of our fiscal year 2027.”
-
fourth quarter
headwind moderates
Source quote
“This customer-specific headwind moderates in the fourth quarter, impacting growth by approximately 150 basis points year-over-year and will be fully out of our comparisons as we enter fiscal 2027.”
-
fourth quarter
organic growth to be approximately flat
Source quote
“Taking these market and customer-specific dynamics into account, we expect organic growth in the fourth quarter to be approximately flat.”