Shares of Bio-Techne Corporation (TECH) surged 8.91% on October 30, 2024, after the life sciences company reported better-than-expected financial results for the first quarter of fiscal 2025, driven by robust demand for its diagnostics and spatial biology products.

For the three months ended September 30, 2024, Bio-Techne posted adjusted earnings per share (EPS) of $0.42, surpassing analysts' consensus estimate of $0.38. However, the company's GAAP EPS of $0.21 fell short of the projected $0.23, impacted by restructuring charges.

Net sales for the quarter rose 5% year-over-year to $289.5 million, exceeding the forecasted $280.3 million. The company's Diagnostics & Spatial Biology (DSS) segment, formerly known as Diagnostics and Genomics, emerged as the growth driver, recording a 14% increase in organic revenue. In contrast, the Protein Sciences segment remained flat, reflecting challenges in product mix and reinstatement of incentive compensation accruals.

Bio-Techne's President and CEO, Kim Kelderman, expressed optimism about the company's future prospects, stating, "The strength in cell and gene therapy, combined with favorable year-to-date funding dynamics, gives us increased confidence in the forthcoming recovery in our biotech end market."

Despite the decline in GAAP operating income, Bio-Techne's adjusted operating margin remained resilient at 29%, compared to 31.4% in the prior-year quarter. The company's diversified portfolio and strategic focus on high-growth areas like DSS and cell and gene therapy solutions position it well for future growth and value creation.