Charles River Laboratories announced significant divestiture plans, selling its CDMO and Cell Solutions businesses to GI Partners, and certain European Discovery Services assets to IQVIA Holdings. The divestitures will reduce 2026 revenue by over $200 million but are expected to improve adjusted operating margins by at least 100 basis points and add approximately 10 cents to adjusted EPS. The company raised its fiscal 2026 adjusted earnings guidance to $10.80-$11.30.

The global Adeno Associated Virus (AAV) vector manufacturing market is projected to grow from USD 2.84 billion in 2025 to USD 9.87 billion by 2035, at a CAGR of 13.4%. Growth is driven by increased clinical trials, regulatory approvals of AAV-based gene therapies, technological innovations in manufacturing processes, and rising demand from pharmaceutical companies and CDMOs. North America leads the market while Asia Pacific shows the fastest growth rate.

The global lead optimization services in drug discovery market is projected to grow from USD 4.26 billion in 2024 to USD 10.26 billion by 2034, driven by rising R&D activities, technological advancements, and increasing outsourcing trends in pharmaceutical research.

The global innovative drug CRO market is projected to grow from USD 59.63 billion in 2026 to USD 96.06 billion by 2035, with a 5.44% CAGR, driven by increasing R&D costs, clinical trial complexities, and technological advancements.

Charles River Laboratories reported Q3 2025 earnings beating expectations, with revenue of $1.01 billion, but lowered full-year guidance and announced strategic asset sales, causing stock to decline.

The global cell-based assays market is projected to grow from USD 17.11 billion in 2023 to USD 35.34 billion by 2032, driven by increasing demand in drug discovery, toxicity testing, and advanced biotechnology research.

The global cell and gene therapy quality control market is projected to grow from $2.87 billion in 2025 to $22.81 billion by 2034, with a 25.74% CAGR. North America currently leads the market, while Asia Pacific is expected to witness the fastest growth, driven by technological advancements and increasing demand for personalized therapies.

The global biologics safety testing market is projected to grow from $4.58 billion in 2025 to $14.45 billion by 2034, with a 13.64% CAGR. North America dominates the market, driven by biopharmaceutical R&D and technological advancements, while Asia-Pacific shows rapid growth potential.

The global pharmaceutical contract research organization (CRO) services market is projected to grow at a 10% CAGR, reaching USD 25 billion by 2035, driven by increasing outsourcing trends in drug discovery and development across North America and Europe.

The bioanalytical testing services market is experiencing substantial growth, driven by increasing chronic and infectious diseases, rising demand for biopharmaceuticals, and expanded R&D in biologics and advanced therapies. North America is expected to dominate the market, with significant technological advancements and strategic collaborations fueling expansion.

The global clinical trial biorepository and archiving solutions market is projected to grow from USD 4.76 billion in 2025 to USD 9.69 billion by 2034, with a CAGR of 8.21%. North America dominates the market, while Asia Pacific is expected to experience the fastest growth, driven by advancements in biobanking technologies and increasing demand for personalized medicine.

Charles River Laboratories reported Q2 2025 earnings with revenue of $1,032.1 million, slightly up 0.6% year-over-year. Non-GAAP EPS was $3.12, beating analyst expectations, but the company faced challenges with organic revenue decline and segment-specific performance issues.