The stock dropped 7.6% following earnings as investors were disappointed by lower-than-expected guidance driven by a sharp deceleration in respiratory revenue amid a significantly softer flu season and margin pressures from evolving pricing regulations in China.

• Total reported revenue was $620 million with labs revenue down 8%, weighed by termination of a joint business agreement and ongoing macroeconomic headwinds in China.
• Respiratory revenue declined sharply to $68 million due to approximately 30% fewer ILI visits versus Q1 2025, reflecting a milder and shorter respiratory season.
• Chinese sales slowed in March with ongoing cautious distributor inventory management ahead of pending IVD pricing guideline changes anticipated mid-2027, impacting near-term revenue and margins.
• Immunohematology showed a modest 3% growth driven by North America, China, and JPAC despite broader pressures.
• The company is preparing mitigation actions for the pricing impact in China but anticipates these headwinds will weigh on full-year guidance and margins.