Revvity (RVTY), formerly PerkinElmer, presented at the 2026 Global Healthcare Conference on Tuesday, painting a picture of a company repositioning around artificial intelligence while delivering upgraded guidance for its diagnostics unit and reporting strong free-cash-flow generation.
Shares were trading near their 52-week high of $133, giving the stock a 53% return over the past year and a 33% gain year-to-date. It was priced at a P/E ratio of roughly 60.
Steve Willoughby, senior vice president of investor relations, said Revvity believes it is among the best-positioned companies to benefit from how AI is reshaping biological research. "How you do science today is different than it was 12 months ago," he said, noting that AI generates hypotheses and drug ideas, but those concepts still require laboratory testing — a task at the core of Revvity's business.
The company pointed to a series of product launches over the past year designed to integrate its data and instrument platforms with emerging AI tools, including Signals BioDesign in April, Signals AI in June, the Anthropic Connector and Signals for Startups in July, Signals Xynthetica earlier in the year, and a lab-gistics platform expected before the end of 2025. An acquisition of Human Cell Design was announced late last week, building on a smaller ACD software tuck-in deal completed earlier in 2025.
On the financial side, Revvity raised full-year diagnostics guidance to high-single-digit organic growth after the unit accelerated to 11% in the second quarter, up from 9% in the first. The lift included roughly 500 basis points from the Genomics England program, which ran from mid-2024 through mid-2025; excluding that contribution, diagnostics still grew 10%. Reproductive-health revenue grew at a double-digit rate year-to-date, while immunodiagnostics posted mid-to-high-single-digit growth, consistent with a long-range target of 9% to 11%.
The life-sciences segment, however, gave a more mixed signal. Organic growth dropped to negative 3% in the second quarter from positive 3% in the first. Software fell 20% organically against a 35%-positive comparison a year earlier, though annualized portfolio value grew about 12%, and management expects a rebound to the high teens in the third quarter and mid-to-high teens by the fourth.
Revenue mix remains heavily tilted toward life sciences, which accounts for roughly half of total revenue. Academic and government customers represent about 25% of the life-sciences business and 12% of total revenue. Medium and large pharmaceutical firms make up more than 85% of pharma and biotech revenue. Software currently represents about 9% to 10% of revenue, with roughly one-third recognized as SaaS and two-thirds from legacy on-premise licenses. China-based life-science revenue is approximately 7% of the total, or about 8.5% excluding the impact of the earlier diagnostics divestiture.
Management highlighted operational and balance-sheet improvements. Free-cash-flow conversion topped 100% year-to-date, and Revvity repurchased 15% of its shares across 2024 and 2025. A major bond was paid off in July 2025. Willoughby acknowledged that the company's biggest immediate need is simply stronger organic growth: "We've made a ton of improvements operationally and on the balance sheet from a cash-flow perspective. What we need now is just a little bit better organic growth."
