Company: CRL
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001100682-25-000043
Chunk: 30

Company: CHARLES RIVER LABORATORIES INTERNATIONAL, INC.
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 2
Chunk 30
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 the corresponding period of 2024. The decreases in operating income and operating income as a percentage of revenue for the nine months ended September 27, 2025 were primarily driven by the acceleration of amortization expense recognized as a result of a decrease in the remaining useful life of certain CDMO client relationships due to a loss of key customers, increased restructuring activities, including higher asset impairments and site consolidation charges, and higher third-party legal and advisory costs when compared to the corresponding period in 2024.

Net income available to Charles River Laboratories International, Inc., common shareholders decreased to $54.4 million in the three months ended September 27, 2025, from $68.7 million in the corresponding period of 2024. Net income available to Charles River Laboratories International, Inc., common shareholders decreased to $132.2 million in the nine months ended September 27, 2025, from $226.0 million in the corresponding period of 2024. The decrease in net income available to common shareholders for the three months ended September 27, 2025 was due principally to higher net losses and impairments on our venture capital and strategic equity investments; partially offset by the increase in operating income described above compared to the corresponding period in 2024. The decrease in net income available to common shareholders for the nine months ended September 27, 2025 was due principally to the decrease in operating income described above coupled with higher net losses and impairments on our venture capital and strategic equity investments compared to the corresponding period in 2024.

During the nine months ended September 27, 2025, our cash flows from operations were $590.1 million compared with $575.2 million for the same period in 2024. The increase was primarily driven by lower payments of variable compensation and favorable timing of payments to our suppliers and vendors, partially offset by higher purchases of inventory to support our DSA reportable segment.

28 

CHARLES RIVER LABORATORIES INTERNATIONAL, INC.

Three Months Ended September 27, 2025 Compared to the Three Months Ended September 28, 2024 

Revenue and Operating Income

The following tables present consolidated revenue by type and by reportable segment:

Three Months EndedSeptember 27, 2025September 28, 2024$ change% change(in thousands, except percentages)Service revenue$808,042 $832,463 $(24,421)(2.9)%Product revenue196,810 177,300 19