Waters Corporation (NYSE:WAT) reported second-quarter 2026 results that came in ahead of Wall Street expectations, supported by strong organic growth across its pharmaceutical and industrial businesses.
The analytical instruments and diagnostics company’s shares were little changed in pre-market trading, edging up 0.07% following the earnings release.
Earnings and Revenue Beat Estimates
Waters posted adjusted earnings of $3.05 per share for the second quarter, slightly ahead of the analyst consensus estimate of $3.01.
Revenue increased to $1.645 billion, exceeding market expectations of approximately $1.62 billion.
Organic revenue grew 9% on a constant-currency basis, reflecting continued demand across the company’s key end markets.
Acquisition Drives Significant Revenue Growth
Total reported revenue more than doubled from $771 million in the second quarter of 2025, largely due to the acquisition of Becton Dickinson’s Biosciences and Diagnostic Solutions businesses.
Organic revenue reached $828 million, representing reported growth of 7% compared with the same period last year.
The acquired businesses contributed $817 million in revenue during the quarter and delivered comparable growth of 4%.
CEO Highlights Strong Execution
President and Chief Executive Officer Udit Batra said the company continued to outperform its own expectations.
“Thanks to the hard work of our teams, we delivered industry-leading growth again this quarter, executing ahead of guidance across all four divisions,” said Udit Batra, President and Chief Executive Officer. “Organic revenue grew 9% in constant currency, and our newly acquired businesses grew mid-single-digits in their first full quarter under Waters ownership.”
Company Raises Full-Year Earnings Guidance
Waters increased its full-year 2026 adjusted earnings per share guidance to between $14.45 and $14.65.
The midpoint of the revised range, $14.55 per share, is slightly above the analyst consensus estimate of $14.51.
Management expects full-year revenue of between $6.415 billion and $6.476 billion. The midpoint of $6.446 billion is broadly in line with market expectations of approximately $6.44 billion.
Third-Quarter Outlook Meets Expectations
For the third quarter, Waters expects adjusted earnings per share of between $3.95 and $4.05, with the midpoint of $4.00 closely matching the analyst consensus.
Revenue is forecast to range from $1.745 billion to $1.762 billion, with the midpoint of $1.754 billion also broadly aligned with market estimates.
The company reported a GAAP loss of $1.39 per share for the quarter, compared with earnings of $2.47 per share a year earlier, reflecting acquisition-related expenses, including the amortisation of acquired intangible assets and inventory step-up costs.
Waters Corporation stock price
