Quest Diagnostics Reports Strong Q2 Performance

Quest Diagnostic has posted an increase in the net revenues to $1.9 billion for the second quarter of 2009, as compared to $1.8 billion for the same period in 2008. The company’s income from continuing operations rose to $188 million or $1 per diluted share, from $162 million or $0.83 per diluted share, for the second quarter of 2008. The operating income increased to $359 million.

For the first six months of 2009, income from continuing operations increased to $357 million or $1.89 per diluted share, from $303 million or $1.54 per diluted share for the first half of 2008. Revenues increased 2.4% to $3.7 billion, whereas operating income for the first half of 2009 increased to $680 million.

Surya Mohapatra, chairman and chief executive officer of Quest Diagnostic, said: Our focus on esoteric and gene-based testing and providing superior service to patients and customers helped us accelerate revenue growth, improve our operating margin, and increase earnings per share 20% during the second quarter. Quest Diagnostics’ growth is being driven by increased demand in testing for cancer, sexually transmitted diseases and allergies. In addition, we added several important new tests during the quarter that will help drive future growth. Based on the strong performance in the first half, we are raising earnings guidance for the full year.