Company: CRL
Filing Date: 2025-01-14
Form Type: 8-K
Source: 0001100682-25-000003
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Company: CHARLES RIVER LABORATORIES INTERNATIONAL, INC.
Filing Date: 2025-01-14
Form: 8-K
Item: Item 7.01
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Item 7.01 Regulation FD Disclosure

The following information shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Charles River Laboratories International, Inc. ("Charles River", the "Company", or the “ Registrant”) will be presenting at the 43rd Annual J. P. Morgan Healthcare Conference on January 14, 2025, at approximately 5:15 p. m. Eastern time. Management of the Company intends to present an overview of the Company’s strategic focus, business developments, and recent trends. Included in this presentation will be statements addressing the Company’s perspective on its preliminary 2025 financial outlook and business trends. In advance of the conference presentation, the Company has posted a slide presentation on the Registrant’s Investor Relations section of its website at http://ir. criver. com which includes the following statements as to (1) the Company’s preliminary assessment of its 2025 financial outlook and recent trends (particularly in the areas of revenue and non-GAAP operating margin), (2) recent Discovery and Safety Assessment ("DSA") Segment trends, and (3) an update regarding the Company’s contract development and manufacturing organization ("CDMO") business.

Preliminary 2025 Outlook and Recent Trends

•Expect 2025 revenue will decline organically in a similar range as estimated in 2024

◦ DSA client demand is expected to remain relatively consistent with trends in the second half of 2024

◦ Constrained spending from global biopharma clients due to impact of restructuring programs and pipeline reprioritization efforts

◦Expect stable to slight improvement in demand trends from biotech clients, similar to 2024 trends

▪DSA pricing expected to be a headwind to revenue for 2025

▪Lower commercial CDMO revenue expected to reduce consolidated revenue growth by approximately 1% in 2025

▪Ongoing site consolidation actions will result in a revenue headwind of approximately 0.5% in 2025

▪FX expected to be >1% headwind to 2025 reported revenue

◦Expect 2025 non-GAAP operating margin will be modestly below estimated 2024 level

▪ Cost savings from restructuring