Danaher drops after Q3 revenue miss amid CEO transition

Danaher (DHR) shares fell more than 4% in premarket trading on Wednesday after the life sciences giant missed Street forecasts with its Q3 2026 revenue, as the company undergoes a leadership transition.

The Washington, DC-based firm reported $6.55B in revenue for the quarter, with ~9% YoY growth, yet missed the consensus by $10M as its diagnostic and life sciences segments failed to offset weakness in its biotech segment.

Danaher’s (DHR) diagnostic and life sciences revenue reached $2.88B and $1.87B, exceeding the $2.85B and $1.85B projected by analysts, respectively, according to Bloomberg data, while its biotech unit added $1.80B compared with $1.87B in the consensus.

"We delivered better-than-expected third-quarter revenue, earnings, and cash flow and are encouraged by the improving trends we saw across our end markets,” said CEO Julie Sawyer Montgomery, who took over the company’s leadership on Oct. 7.

"Danaher has built a strong foundation, and the time I've spent with our teams and customers during my transition into the CEO role has only reinforced my conviction in the opportunities ahead,” Sawyer Montgomery added.

However, Danaher's (DHR) adjusted earnings per share grew ~12% YoY to $2.11, beating the consensus by $0.19 per share, as the adjusted operating profit margin stood at roughly 30%, beating the Street forecasts by more than 300 bps.

Looking ahead, the company raised its 2026 adjusted EPS guidance to $8.57 - $8.62 from $8.45 - $8.60, well ahead of $8.51 in the consensus.