Dan Arias's questions to THERMO FISHER SCIENTIFIC (TMO) leadership • Q3 2025
Question
Dan Arias inquired about the demand from small and emerging biotech companies, asking if spending is loosening up and referencing the BTK index performance. He also asked about China's pricing initiatives on the research and industrial side, whether this introduces additional risk, and if the pricing dynamic is expected to remain stable into year-end or early 2026.
Answer
Marc Casper, Chairman, President, and CEO, noted a strong quarter for biotech, with nice momentum in clinical research and promising early activities in pharma services. He suggested that M&A transactions by large pharma acquiring biotech are helping the broader ecosystem. Regarding China, Mr. Casper stated it's a smaller percentage of total revenue. He observed that academic and government benefited from stimulus but faced pressure from economic challenges, while pharma and biotech grew modestly. He indicated that the mid-single-digit decline in Q3 was an improvement over Q2 due to the absence of April trade activity secession. He expects China's full-year performance to be down mid to high single digits, with pricing dynamics in the industrial and pharma/biotech sectors being more manageable than in diagnostics due to less government influence.