Labcorp CEO Adam Schechter talks as Pharmaceuticals industry executives and government Health officials meet with Vice President Mike Pence on the Coronavirus crisis at the White House on March 4, 2020 in Washington,DC.
Eric Baradat | AFP | Getty Images
LabCorp reported Wednesday a net loss for the first quarter as the coronavirus pandemic drove up costs and cut demand, prompting the company to withdraw 2020 guidance.
The Burlington, Vermont-based company reported total revenue of $2.82 billion, up 1% compared to the same time last year. However, the company posted a net loss of $317.2 million, compared to earnings of $185.6 million over the same period last year.
The company, which manufactures diagnostic testing, said the coronavirus outbreak drove a 50% to 55% plummet in demand for testing services at the end of the quarter compared to the same period last year. That hit to demand was “marginally offset by an increase in demand for COVID-19 tests,” the company said.
“During the quarter we delivered solid performance across the company, especially considering the challenges associated with the COVID-19 pandemic,” CEO Adam Schechter said in a statement.
LabCorp said it expects to make up for the hit to testing demand by ramping up its capacity to conduct Covid-19 antibody testing to more than 200,000 tests per day by mid-May.
The company began to offer antibody testing, which can determine whether someone has been exposed to and already recovered from the virus, at some Walgreens stores on Monday. The drugstore chain now has the blood tests at more than 100 LabCorp centers within its stores.
This is breaking news. Check back here for updates.