WAT · Earnings call · 2026Q2T · Full report

Market Demand Trends

WATERS CORP /DE/ · 2026-08-04 · Importance 48 · Surprise 40

Waters reported broadening recovery across previously lagging customer segments, with orders again outpacing sales in the legacy business. Analytical Sciences grew double digits in pharma and academic and government for the second consecutive quarter, while U.S. biotech and CRO activity improved over the past two quarters. Pharma demand was supported by robust capital spending from large pharmaceutical companies, contract organizations and generics, as well as GLP-1 testing, India and biologics. The instrument replacement cycle remains in its middle innings because the recovery since mid-2024 has extended the typical two- to three-year replacement duration.

Key facts

• Q2 2026 Analytical Sciences growth was led by pharma, academic & government, and industrial end markets with PFAS growing double digits year-to-date