Quest Diagnostics to Highlight Strategic Priorities to Drive Sustainable Growth and Deliver Long-term Shareholder Value at 2025 Investor Day
Provides long-term outlook beyond 2025: Revenues expected to grow at 4-5% compound annual growth rate (CAGR); adjusted diluted earnings per share (EPS) expected to grow at 7-9% CAGR
Reaffirms guidance for full year 2025
SECAUCUS, N.J., March 19, 2025 /PRNewswire/ -- At a meeting with analysts and investors at its 2025 Investor Day, members of the leadership team of Quest Diagnostics (NYSE: DGX), a leading provider of diagnostic information services, will discuss the company's strategies to drive sustainable growth and deliver long-term shareholder value.
"We are confident in Quest's ability to grow at above-market rates in our core physician and hospital channels driven by increased market access, double-digit growth in advanced diagnostics across five key clinical areas, and the contributions of strategic partnerships and acquisitions," said Jim Davis, Chairman, CEO and President. "We expect our continuous improvement initiatives, including investments in automation, robotics, and AI, to strengthen quality, customer and employee experiences, and productivity. Further, our new Project Nova IT initiative will modernize our systems architecture and lower IT costs over the long-term. These factors are reflected in the long-term outlook we are articulating today, which anticipates revenue growth at a 4-5% CAGR and adjusted EPS growth at a 7-9% CAGR beyond 2025."
At the meeting, members of the company's leadership team will highlight a range of strategic initiatives that are underway, including:
Driving growth in the physician channel by delivering comprehensive diagnostic innovation, capitalizing on expanded health plan network access, extending geographic reach, and becoming a partner of choice for large enterprise customers.
Growing in the hospital channel by serving hospitals through scaled and specialized reference testing, extending its range of collaborative lab solutions ("CoLab" previously Professional Laboratory Services) for helping hospitals manage their labs, and expanding in new geographies through accretive hospital lab outreach acquisitions.
Expanding the company's presence in high-growth areas by driving continued growth in demand for questhealth.com consumer-initiated testing, supporting life science partners with testing and services, and delivering insights through data analytics.
Generating double-digit growth from advanced diagnostics tests with a focus on five key clinical areas: oncology (including for the company's innovative Haystack MRD™ minimal residual disease test for early cancer recurrence), advanced cardiometabolic health, women's and reproductive health, brain health (featuring the company's AD-Detect™ blood-based Alzheimer's disease testing services), and autoimmune disorders.
Delivering 3% annual productivity and cost savings through the company's Invigorate initiative, which focuses on fostering engaged employees, leaning out processes, and deploying technology to improve quality, productivity, and customer and employee experiences.
Modernizing the company's IT systems architectures through Project Nova, which will enhance customer and employee experiences, reduce IT costs and improve productivity across order to cash processes.
Maintaining a disciplined capital deployment strategy that returns the majority of free cash flow to shareholders and drives growth through strategic investments and acquisitions.
Guidance for Full Year 2025 The company today reaffirmed its guidance ...
