DHR · 10-Q · 2026Q2 · Full report

Diagnostics Demand and Pricing

DANAHER CORP /DE/ · 2026-07-21 · Importance 49 · Surprise 32 · No source text

Diagnostics sales increased 7.0% in the second quarter and 2.5% in the first half of 2026, but core sales excluding respiratory testing grew 5.0% and 4.0%, respectively. Clinical diagnostics demand increased, led by clinical laboratories and supported by acute-care and pathology diagnostics, while respiratory-test demand declined because the first-half 2026 respiratory season was less severe than the prior-year season. China pricing declined 1.5% in both periods, primarily due to the volume-based procurement program and healthcare reimbursement changes; the impact moderated as the company moved beyond the largest year-over-year effects that began in late 2024. Quarterly core-sales growth was led by North America, the Middle East and Western Europe but was partially offset by China, while first-half core sales declined in China, North America and Western Europe and increased in the Middle East.

Key facts

• Diagnostics segment sales for the three-month period ended June 26, 2026 were $2,466 million and $2,309 million for the comparable period in 2025. source
• Diagnostics segment sales for the six-month period ended June 26, 2026 were $4,883 million and $4,758 million for the comparable period in 2025. source
• Price decreases in the Diagnostics segment of 1.5% in both the three and six-month periods ended June 26, 2026 negatively impacted year-over-year change in sales and were primarily attributable to China’s volume-based procurement program and sales promotions. source
• Impact of respiratory testing contributed 3.0% in the three-month period and 5.0% in the six-month period to Diagnostics segment sales growth. source
• Diagnostics core sales growth (non-GAAP) was 2.0% for the three-month period ended June 26, 2026 and (1.0)% for the six-month period ended June 26, 2026. source
• The decreased demand for respiratory tests in the first half of 2026 was driven primarily by a less severe respiratory season in the first half of 2026 compared to the comparable period of 2025. source
• Core sales excluding respiratory testing in Diagnostics increased 5.0% in the three-month period and 4.0% in the six-month period ended June 26, 2026. source
• During both the three and six-month periods ended June 26, 2026, core sales in the molecular diagnostics business declined year-over-year as increased core sales of non-respiratory tests were more than offset by decreased core sales of respiratory tests. source

Impact estimates