Avantor Reports Fourth Quarter and Full-Year 2025 Financial Results
Avantor, Inc. (NYSE: AVTR), a global provider of mission-critical products and services for the life sciences and advanced technology industries, announced its financial performance for the fourth quarter and full year ended December 31, 2025. The company highlighted ongoing operational changes driven by its Revival program, aimed at improving agility, strengthening customer alignment, and positioning the business for long-term shareholder value creation.
President and Chief Executive Officer Emmanuel Ligner emphasized that the organization is moving quickly to execute strategic priorities, including optimization of the go-to-market approach, relaunch of the VWR brand, operational improvements, and enhancements to the company’s e-commerce platform. He noted that 2026 will represent a transition year focused on purposeful investment and renewed top-line growth.
Fourth Quarter 2025 Overview
Revenue and Profitability
During the fourth quarter of 2025, Avantor generated net sales of approximately $1.66 billion, representing a 1% decline compared with the same period in 2024. Favorable foreign currency translation contributed positively, while acquisitions and divestitures slightly reduced reported performance. On an organic basis, sales declined by just over 4%.
Quarterly net income totaled $52 million, a significant decrease from $500 million reported in the fourth quarter of the prior year. Adjusted net income reached $146 million, compared with $184 million in the comparable period. Net income margin for the quarter was 3.1%.
Adjusted EBITDA for the quarter was $252 million, producing an Adjusted EBITDA margin of 15.2%. Adjusted operating income reached $225 million, with an operating margin of 13.5%.
Earnings Per Share and Cash Flow
Diluted earnings per share on a GAAP basis were $0.08, while adjusted EPS came in at $0.22.
Cash generation remained solid. Operating cash flow totaled $153 million, and free cash flow reached $117 million, reflecting disciplined capital management despite lower profitability.
Full-Year 2025 Performance
Sales and Earnings
For the full fiscal year, Avantor reported net sales of approximately $6.55 billion, a 3% decline compared with 2024. Currency effects provided a modest benefit, while portfolio changes weighed on reported results. Organic sales declined by roughly 3%.
The company recorded a net loss of $530 million, compared with net income of $712 million in the prior year. Despite the GAAP loss, adjusted net income totaled $614 million, down from $678 million in 2024. The net loss margin for the year was 8.1%.
Adjusted EBITDA reached $1.07 billion, representing an Adjusted EBITDA margin of 16.3%. Adjusted operating income was $958 million, corresponding to a 14.6% operating margin.
Earnings Per Share and Cash Flow
Avantor posted a diluted GAAP loss per share of $0.78, while adjusted EPS remained positive at $0.90.
Cash flow generation remained a key strength. Operating cash flow for the year totaled $624 million, and free cash flow reached $496 million. As of December 31, 2025, adjusted net leverage stood at 3.2×, indicating a manageable balance sheet position.
Fourth Quarter 2025 Segment Performance
Laboratory Solutions
The Laboratory Solutions segment reported net sales of $1.12 billion, reflecting a slight decline of about 1% year over year. Currency tailwinds partially offset portfolio impacts, but organic sales declined by just over 4%.
Adjusted operating income for the segment was $114 million, compared with $147 million in the prior-year quarter. The adjusted operating margin was 10.2%, reflecting lower volumes and ongoing cost pressures.
Bioscience Production
Within Bioscience Production, fourth-quarter net sales totaled $548 million, down roughly 2% from the same period in 2024. After accounting for favorable currency translation, organic sales declined by approximately 4%.
Adjusted operating income reached $127 million, compared with $149 million in the prior-year quarter. Despite the decline, the segment maintained a strong adjusted operating margin of 23.2%, highlighting continued profitability in higher-value production offerings.
Full-Year 2025 Segment Performance
Laboratory Solutions
For the full year, Laboratory Solutions generated $4.40 billion in net sales, representing a mid-single-digit decline compared with 2024. Currency provided a modest benefit, while portfolio changes weighed on reported growth. Organic sales declined by just over 3%.
Adjusted operating income for the segment was $510 million, down from $598 million in the prior year. The adjusted operating margin was 11.6%, reflecting softer demand and cost dynamics across end markets.
Bioscience Production
The Bioscience Production segment recorded annual net sales of approximately $2.15 billion, a slight decrease of about 1% year over year. After currency effects, organic sales declined by less than 2%, demonstrating relative resilience compared with other areas of the business.
Adjusted operating income totaled $518 million, compared with $558 million in 2024. Even with the decline, the segment maintained a strong adjusted operating margin of 24.1%, underscoring the profitability of its specialized production solutions.
Strategic Outlook
Avantor’s leadership believes the Revival transformation program will play a central role in restoring growth and improving execution. Key initiatives include:
- Enhancing customer engagement and commercial strategy
- Revitalizing the VWR brand
- Driving operational efficiency and process improvements
- Expanding and upgrading digital commerce capabilities
Management expects 2026 to be a transition year, marked by targeted investments and a renewed emphasis on top-line growth. The company remains confident that these strategic actions will strengthen competitive positioning and support sustainable long-term shareholder value.
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