Charles River Laboratories International(NYSE) CRL

Charles River Laboratories International, Inc. helps drug companies test new medicines. The company provides animals for essential medical research. It also tests if new treatments are safe.

Tools for Better Medicine

• Discovery and Safety: Laboratory support for identifying drug targets and testing safety; generated $606.5 million in revenue in the second quarter of 2026.
• Research Models: Supply of animals for medical experiments and facility management; accounted for $209.5 million in revenue in the second quarter of 2026.
• Manufacturing Solutions: Quality control testing for drug safety and biologics, which are medicines made from living organisms; contributed $188.1 million in revenue in the second quarter of 2026.

Reshaping the Business Portfolio

• Acquired certain assets of a Cambodian supplier of non-human primates (NHPs), which are monkeys used for research, for $507.3 million in Jan. 2026.
• Purchased an additional 79% equity interest in PathoQuest for $67.6 million in April 2026 to expand specialized testing capabilities.
• Sold European discovery services businesses to IQVIA for $125.2 million in May 2026.
• Divested the manufacturing and cell solutions businesses to GI Partners in May 2026 to focus on core operations.
• Completed a $60.1 million sale and leaseback of buildings in Wilmington, Massachusetts, in March 2026.

A Global Support Network

Charles River Laboratories serves as a contract research organization (CRO), which handles complex laboratory tasks that pharmaceutical companies outsource to save time and money. It operates a global network of facilities across the United States, Europe, Canada, and the Asia Pacific region to support drug development.

Recent Financial Performance

• Revenue was $1,004.1 million for the three-month period ended June 27, 2026, down 2.7% year over year.
• Operating income reached $119.9 million in the second quarter of 2026, up 19.7% year over year.
• The company recorded a net loss of $16.3 million for the first six months of 2026 due to costs from selling certain businesses.
• Operating cash flow was $220.8 million during the six-month period ended June 27, 2026.
• Backlog for the discovery and safety assessment segment rose to 2 billion by June 27, 2026.

Bottom Line

Charles River Laboratories has transitioned from a provider of research models into a full-service partner for drug discovery and safety testing. The company is currently streamlining its operations through strategic divestitures and efficiency initiatives to focus on its most profitable core segments.