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Illumina, Inc. reported strong financial results for the fiscal year ended December 28, 2025, demonstrating a significant turnaround in profitability. Total revenue reached $4.34 billion, generating a gross profit of $2.87 billion and a gross margin of 66.1%. The company achieved net income of $850 million, a substantial improvement resulting in earnings per share of $5.00 on a diluted basis. Operating income stood at $807 million, supported by controlled operating expenses of $2.06 billion. A key highlight was the robust cash generation, with net cash provided by operating activities totaling $1.08 billion. The company actively managed its capital structure, repurchasing $742 million of common stock. The balance sheet reflects total assets of $6.64 billion against total stockholders' equity of $2.72 billion. The reversal of prior period impairments and strong operational execution were primary drivers of the return to profitability.
For the fiscal year ended December 28, 2025, Illumina, Inc. demonstrated a robust financial performance. The company reported total revenue of $4.34 billion. Gross profit totaled $2.87 billion, resulting in a gross margin of 66.1%. Operating income was reported at $807 million, reflecting an operating margin of 18.6%. Net income reached $850 million, translating to diluted earnings per share of $5.00. This performance marks a significant operational achievement, driven by $967 million in research and development and $1.09 billion in selling, general and administrative expenses. The effective tax rate resulted in a provision of $236 million.
The company reported aggregate revenue of $4.34 billion. The cost of revenue was $1.41 billion, inclusive of $66.0 million in amortization of acquired intangible assets. While the filing confirms the total revenue figure, detailed segment breakdowns or geographic revenue splits were not explicitly itemized in the provided financial data excerpts. Consequently, specific growth drivers by business unit cannot be quantified from the available text. Revenue generation supported a strong top-line contribution to the overall profitability recovery observed in the fiscal year.
Illumina achieved a gross margin of 66.1% for the fiscal year. Total operating expenses were controlled at $2.06 billion, which included a net benefit of $10 million from legal contingency and settlement reversals. The absence of goodwill and intangible impairment charges ($0 reported) in the income statement, compared to potential prior period charges, favorably impacted the operating margin, which stood at 18.6%. Other income, net, contributed positively with $279 million, bolstering the pre-tax income to $1.09 billion.
The company displayed strong liquidity with $1.08 billion in net cash provided by operating activities. After capital expenditures of $148 million, free cash flow approximated $932 million. The balance sheet shows total assets of $6.64 billion, including cash and cash equivalents of $1.42 billion. Total debt (current and long-term) stood at approximately $1.99 billion. The company returned significant capital to shareholders through $742 million in common stock repurchases. Total stockholders' equity was $2.72 billion.
The provided financial data does not contain specific forward-looking statements or management guidance regarding future fiscal years. The strategic priorities are implied by the financial actions taken, specifically the substantial investment in R&D ($967 million) and the aggressive share repurchase program ($742 million), indicating confidence in sustained cash flow generation. No specific risk factors were detailed in the provided excerpts.
EPS
$5.00
Revenue
$4.34B
Net Income
$850.0M
Gross Margin
66.1%
Gross Profit
$2.87B
free cash flow
$932.0M
Operating Income
$807.0M
operating margin
18.6%