On February 5, 2026 Illumina, Inc. (Nasdaq: ILMN) ("Illumina" or the "company") reported its financial results for the fourth quarter and fiscal year 2025.
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"The Illumina team delivered a strong finish to 2025, marking a return to growth through disciplined execution against our strategy," said Jacob Thaysen, Chief Executive Officer of Illumina. "Momentum built in the second half of the year – especially in clinical markets, where adoption of NGS-based testing is expanding – reinforces our confidence as we enter 2026."
Fourth quarter results
GAAP Non-GAAP (a)
Dollars in millions, except per share amounts
Q4 2025
Q4 2024
Q4 2025
Q4 2024
Revenue
$ 1,159 $ 1,104 $ 1,159 $ 1,104
Gross margin
65.5 % 65.9 % 67.0 % 67.4 %
Research and development (R&D) expense $ 239 $ 256 $ 238 $ 255
Selling, general and administrative (SG&A) expense $ 310 $ 279 $ 264 $ 271
Legal contingency and settlement $ 8 $ 18 $ — $ —
Operating profit
$ 202 $ 175 $ 275 $ 218
Operating margin 17.4 % 15.8 % 23.7 % 19.7 %
Tax provision $ 44 $ 70 $ 50 $ 47
Tax rate 11.6 % 37.9 % 19.5 % 23.7 %
Net income $ 334 $ 117 $ 208 $ 152
Diluted EPS $ 2.16 $ 0.73 $ 1.35 $ 0.95
(a)See tables in "Results of Operations – Non-GAAP" section below for GAAP and non-GAAP reconciliations.
Capital expenditures for free cash flow purposes were $54 million for Q4 2025. Cash flow provided by operations was $321 million, compared to $364 million in the prior year period. Free cash flow (cash flow provided by operations less capital expenditures) was $267 million for the quarter, compared to $322 million in the prior year period. Depreciation and amortization expense was $67 million for Q4 2025. At the close of the quarter, the company held $1.63 billion in cash, cash equivalents and short-term investments.
Fiscal year results
GAAP Non-GAAP (a)
Dollars in millions, except per share amounts
2025 2024 2025 2024
Revenue (b) $ 4,343 $ 4,332 $ 4,343 $ 4,332
Gross margin
66.1 % 67.1 % 68.2 % 68.6 %
R&D expense
$ 967 $ 988 $ 950 $ 982
SG&A expense
$ 1,086 $ 900 $ 1,009 $ 1,069
Goodwill and intangible impairment $ — $ 3 $ — $ —
Legal contingency and settlement $ 10 $ (456) $ — $ —
Operating profit
$ 807 $ 1,473 $ 1,004 $ 922
Operating margin 18.6 % 34.0 % 23.1 % 21.3 %
Tax provision $ 236 $ 229 $ 194 $ 204
Tax rate 21.7 % 20.4 % 20.5 % 23.6 %
Net income $ 850 $ 894 $ 756 $ 663
Diluted EPS $ 5.45 $ 5.61 $ 4.84 $ 4.16
(a)See tables in "Results of Operations – Non-GAAP" section below for GAAP and non-GAAP reconciliations.
(b)Core Illumina revenue for 2024 included intercompany revenue of $15 million, which, prior to the spin-off of GRAIL in Q2 2024, was eliminated in consolidation.
Capital expenditures for free cash flow purposes were $148 million for fiscal year 2025. Cash flow provided by operations was $1.1 billion and free cash flow was $931 million. Depreciation and amortization was $270 million.
Key announcements since our last earnings release
•Completed the acquisition of SomaLogic, expanding Illumina’s multiomics portfolio and strengthening its position in scalable, NGS-enabled proteomics
•Introduced the Billion Cell Atlas, the first data product of the BioInsight business, to support AI-enabled drug discovery; AstraZeneca, Merck, and Eli Lilly are the first pharmaceutical partners
•Announced appointment of veteran genomics leader Eric Green, MD, PhD, as Chief Medical Officer to advance clinical genomics and expand access to precision medicine
•Achieved progress in China, where the Chinese Ministry of Commerce (MOFCOM) lifted the export ban on Illumina sequencers; the company remains on the Unreliable Entities List (UEL) in China, requiring approvals for instrument purchases
A full list of recent announcements can be found in the company’s News Center.
Financial outlook and guidance
The company provides forward-looking guidance on a non-GAAP basis, including on a constant currency basis for revenue and revenue growth rates. The company is unable to provide a reconciliation of forward-looking non-GAAP financial measures to the most directly comparable GAAP reported financial measures because it is unable to predict with reasonable certainty the impact of items such as acquisition-related expenses, fair value adjustments to contingent consideration, gains and losses from strategic investments, potential future asset impairments, restructuring activities, the ultimate outcome of pending litigation, and currency exchange rate fluctuations without unreasonable effort. These items are uncertain, inherently difficult to predict, depend on various factors, and could have a material impact on GAAP reported results for the guidance period. For the same reasons, the company is unable to address the significance of the unavailable information, which could be material to future results.
Conference call information
The conference call will begin at 1:30 pm Pacific Time (4:30 pm Eastern Time) on Thursday, February 5, 2026. Interested parties may access the live webcast via the Investor Info section of Illumina’s website or directly through the following link – View Source To ensure timely connection, please join at least ten minutes before the scheduled start of the call. A replay of the conference call will be posted on Illumina’s website after the event and will be available for at least 30 days following.
(Press release, Illumina, FEB 5, 2026, View Source [SID1234662506])