Charles River Laboratories International (CRL) 10-K Summary — Year Ended Dec 28, 2024
Charles River Laboratories reported a decline in revenue and a significant drop in net income for the latest fiscal year. Operating cash flow increased, but the company faces ongoing legal and regulatory risks related to its non-human primate supply chain.
Key takeaway
Year ended Dec 28, 2024 · FY2025 10-K
Charles River Laboratories reported a decline in revenue and a significant drop in net income for the latest fiscal year. Operating cash flow increased, but the company faces ongoing legal and regulatory risks related to its non-human primate supply chain.
Financial snapshot
Selected annual figures reported with the filing, shown separately from the narrative summary.
Annual revenue
$4B
Revenue reported for the fiscal year.
Operating income
$227.3M
Income from operations reported for the year.
Net income
$22.2M
Net income reported for the year.
Operating cash flow
$734.6M
Cash generated by operating activities.
Annual revenue trend
Reported annual revenue and its change from the preceding fiscal year.
| Period ended | Revenue | Year-over-year change |
|---|---|---|
| Dec 25, 2021 | $3.5B | n/a |
| Dec 31, 2022 | $4B | +12.3% |
| Dec 30, 2023 | $4.1B | +3.9% |
| Dec 28, 2024 | $4B | -1.9% |
Business overview
Charles River Laboratories provides research models and services to support drug discovery and development. The company operates through segments including research models, discovery and safety assessment, and manufacturing support. Its business relies on a global supply chain, including non-human primates used in preclinical research.
Financial performance
Revenue for the period was approximately four billion dollars, a slight decrease from the prior year. Operating income and net income both declined, with net income falling substantially. Operating cash flow improved compared to the previous year.
Material risks
The company faces material risks from U.S. government investigations and inquiries related to its non-human primate supply chain, including shipments from Cambodia. It is also subject to securities class action and derivative lawsuits. These legal proceedings could result in significant liabilities or reputational harm.
Liquidity and capital
The company funds operations through cash from operations and long-term borrowings. It believes existing funds and cash generation are sufficient for foreseeable needs, including working capital, capital expansion, and debt payments.
What to watch
Investors should monitor the outcome of the U.S. government investigations into the non-human primate supply chain and any related legal proceedings.