Illumina Cites Clinical NGS Momentum, SomaLogic Deal in $4.5–$4.6B 2026 Guidance

Illumina leans on clinical NGS momentum and SomaLogic deal

Guidance and acquisition shape 2026 growth plan

Illumina is positioning revenue growth for fiscal 2026 around expanding clinical uptake of next‑generation sequencing (NGS) and the recent acquisition of SomaLogic, guiding to $4.5 billion–$4.6 billion in total revenue. The company says that forecast implies reported growth of 4%–6% and includes a 1.5%–2.0% revenue benefit from SomaLogic, while ex‑China organic revenue is expected to expand 2%–4% excluding currency and acquisition effects.

Management frames the SomaLogic purchase as complementary to Illumina’s diagnostics and clinical pipelines even as it acknowledges near‑term integration costs. Illumina projects a non‑GAAP operating margin of 23.3%–23.5% for 2026 but flags a roughly 100 basis‑point negative impact from SomaLogic and $0.18 of non‑GAAP EPS dilution. CEO Jacob Thaysen is citing momentum in the second half of 2025, particularly in clinical markets, as driving broader adoption of NGS‑based testing that underpins the outlook.

The guidance therefore balances modest organic growth with strategic inorganic lift, reflecting Illumina’s move to leverage assay and proteomics capabilities alongside its sequencing platforms to capture more clinical diagnostic workflows.

Quarterly and full‑year operating performance

Illumina posts a strong finish to fiscal 2025, reporting fourth‑quarter revenue of $1.159 billion, up 5% year‑over‑year (4% on a constant‑currency basis) and ex‑China revenue of $1.10 billion, up 8% (7% constant currency). For the full year, revenue totals $4.34 billion, roughly flat with the prior year while ex‑China revenue rises 2%.

Margins and expense details show a Q4 GAAP gross margin of 65.5% (67.0% non‑GAAP), GAAP operating margin of 17.4% (23.7% non‑GAAP), and GAAP operating profit of $202 million ($275 million non‑GAAP). Q4 GAAP diluted EPS is $2.16 and non‑GAAP diluted EPS is $1.35; fiscal 2025 GAAP diluted EPS is $5.45 and non‑GAAP diluted EPS is $4.84. R&D stands at $239 million GAAP in Q4, SG&A at $310 million GAAP, and an $8 million legal contingency and settlement is recorded.