Company: CRL
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001100682-25-000043
Chunk: 29

Company: CHARLES RIVER LABORATORIES INTERNATIONAL, INC.
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 2
Chunk 29
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 provide information, subsequently augmented with a document subpoena and additional inquiries, primarily related to the sourcing of non-human primates and related disclosures, and we are cooperating with the requests. Our Audit Committee has retained counsel to conduct an independent investigation into certain issues raised in the investigations, and that work is ongoing. We are not able to predict what action, if any, might be taken in the future by the SEC. The SEC has not provided us with any specific timeline or indication as to when the investigation will be concluded or 

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CHARLES RIVER LABORATORIES INTERNATIONAL, INC.

resolved. We cannot predict the timing, outcome or possible impact of the investigation, including without limitation any potential fines, penalties or liabilities.

Results of Operations

Consolidated Results of Operations and Liquidity

Revenue for three months ended September 27, 2025 decreased $4.9 million, or 0.5%, to $1,004.9 million compared to $1,009.8 million in the corresponding period in 2024. Revenue for nine months ended September 27, 2025 decreased $26.3 million, or 0.9%, to $3,021.2 million compared to $3,047.4 million in the corresponding period in 2024. The decreases in revenue for the three and nine months ended September 27, 2025 was primarily attributable to declines in our DSA and Manufacturing businesses, which experienced lower volume driven by continued cautious client spending as a result of the demand environment; partially offset by higher revenue in our RMS business, primarily driven by Noveprim, when compared to the corresponding periods in 2024.

For the three months ended September 27, 2025, our operating income and operating income as a percentage of revenue were $133.8 million and 13.3% respectively, compared to $117.4 million and 11.6% respectively, in the corresponding period of 2024. The increases in operating income and operating income as a percentage of revenue for the three months ended September 27, 2025 were primarily driven by lower severance costs, coupled with lower unallocated corporate employee compensation and benefits related costs when compared to the corresponding period in 2024.

For the nine months ended September 27, 2025, our operating income and operating income as a percentage of revenue were $308.6 million and 10.2% respectively, compared to $395.0 million and 13.0% respectively, in