Thermo Fisher Scientific Inc (NYSE:TMO) stock rose 0.64% (As on April 25, 6:17:13 AM UTC-4, Source: Google Finance) after the company reported first-quarter results that topped analyst expectations on both top and bottom line. Adjusted operating income climbed 6% from a year earlier to $2.40 billion, with adjusted operating margin coming in at 21.8%, roughly in line with the 21.9% recorded in the same period last year. Performance was driven by strength in the bioproduction business, the clinical research business and the research and safety market channel. In academic and government, revenue declined low single digits driven by muted macro conditions in the U.S. and China. In Industrial and Applied, growth was flat during the quarter. Growth was led by the chromatography and mass spectrometry business as well as the research and safety market channel. Q1 cash flow from operations was $1.2 billion and free cash flow was $830 million after investing $370 million of net capital expenditures.

Moreover, during the quarter, the company announced a strategic collaboration with NVIDIA, combining our leadership in laboratory technologies with NVIDIA’s AI capabilities to advance scientific instrumentation, improve laboratory performance and accelerate scientific breakthroughs. The company also announced a strategic collaboration with SHL Medical to deliver fully integrated sterile fill-finish and device assembly solutions, advancing the U.S. drug product manufacturing capabilities and helping pharma and biotech customers accelerate development and commercialization of important medicines. Life-sciences tools and services companies have been contending with cautious post-pandemic funding for smaller biotechs and weak academic research funding. The Trump administration has been slashing funding and freezing grants for universities and research bodies to which Thermo Fisher provides its products and services. In addition, the Middle-East conflict is expected to create some modest level of inflationary pressure.

TMO in the first quarter of FY 26 has reported the adjusted earnings per share of $5.44, beating the analysts’ estimates for the adjusted earnings per share of $5.24. The company had reported the adjusted revenue growth of 6 percent to $11.01 billion in the first quarter of FY 26, beating the analysts’ estimates for revenue of $10.87 billion. Organic revenue growth was 1%. In Q1, North America grew low single digits Europe was flat and Asia Pacific was flat, with China declining low single digits.

For full year, the company is raising revenue guidance from a range of $46.3 billion to $47.2 billion to a new range of $47.3 billion to $48.1 billion, which represents 6% to 8% reported revenue growth over 2025 and continues to assume 3% to 4% organic revenue growth for the year. The company expects adjusted earnings per share to be in the range of $24.64 to $25.12 which represents 8% to 10% growth over 2025, an increase from the original guidance of $24.22 to $24.80.