Nov 7 (Reuters) - Medical equipment maker Mettler-Toledo International MTD.N beat third-quarter profit estimates on Thursday, helped by increased demand for its laboratory instruments used in drug development and research.

The company also raised the lower end of its annual profit forecast to the range of $40.35 to $40.50 per share, compared to its previous estimate of $40.20 to $40.50 apiece.

However, it cautioned that market conditions are uncertain and could change quickly.

The Columbus, Ohio-based company reported third-quarter revenue of $954.54 million, beating estimates of $944.74 million, as per data compiled by LSEG.

Lifesciences firms, including Mettler-Toledo, have seen sluggish demand for their instruments used in drug development due to decreased spending in the biotech sector and weak demand from China, a key region for drug development.

"While China grew modestly this quarter, market conditions remain challenging, particularly in the industrial sector," said CEO Patrick Kaltenbach in a statement.

Some analysts are hopeful that recent interest rate cuts by the Federal Reserve could improve funding for small- and medium-sized biotechs, as borrowing costs might ease and boost demand.

On an adjusted basis, the company reported a profit of $10.21 per share, compared to estimates of $10.01 per share.

Peer Waters Corp WAT.N also raised its annual profit forecast after beating Wall Street estimates for third-quarter profit and revenue, on improved demand for its products and services used in drug development and research.

The medical equipment maker also forecast fourth-quarter profit to be in the range of $11.63 to $11.78, saying that it will benefit from the prior-year shipping delays in the fourth quarter.

(Reporting by Sneha S K in Bengaluru; editing by Alan Barona)

((Sneha.SK@thomsonreuters.com))