By Sabela Ojea
Shares of Bio-Rad Laboratories dropped to the lowest level in seven months a day after the company said it would cut about 5% of its workforce and logged lower-than-expected fourth-quarter sales.
The stock was down 8%, to $282.82, in late Friday trading. Shares have slid 14% year to date.
The manufacturer of products for the life-science-research and clinical-diagnostic markets said its restructuring plan, expected to be completed by the end of fiscal 2025, would mainly hit its U.S. operations and includes moving certain operations to lower cost locations.
The company expects to book $45 million to $50 million in total costs for the restructuring, of which $30 million to $35 million will be charged in the first quarter of the year.
Bio-Rad Laboratories' cost-cutting plans come as the company swung to a loss in the fourth quarter amid lower sales across its life-science segment.
The company posted a net loss of $715.8 million, or $25.57 a share, compared with a profit of $349.7 million, or $12.14 a share, for the same period a year earlier.
Stripping out one-time items, the company's earnings per share came in at $2.90. Analysts polled by FactSet had forecast adjusted earnings of $2.87.
Revenue fell 2%, to $667.5 million, falling short of Wall Street expectations of $679.3 million, according to FactSet.
Write to Sabela Ojea at sabela.ojea@wsj.com
(END) Dow Jones Newswires
February 14, 2025 14:59 ET (19:59 GMT)
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