Chapter 2: Introduction about IDEXX
Description of the organization/department/stakeholders
Company Overview
IDEXX started with poultry and only 5 employees in 1983 in Delaware, USA. Since then, IDEXX has grown into a multinational corporation with a global workforce of over 10,000 talented people. Headquartered in Westbrook, Maine - with the EMEA division based in Hoofddorp, the Netherlands, IDEXX develops, manufactures, and distributes products and provides services primarily for the companion animal veterinary, livestock and poultry, dairy and water testing industries. We also provide human medical point-of-care and laboratory diagnostics (IDEXX Annual report, 2024).
Primary products and services:
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Point-of-care veterinary diagnostic products, comprised of instruments, consumables, and rapid assay test kits;
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Veterinary reference laboratory diagnostic and consulting services;
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Practice management and diagnostic imaging systems and services used by veterinarians;
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Health monitoring, biological materials testing, laboratory diagnostic instruments, and services used by the biomedical research community;
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Diagnostic, health-monitoring products for livestock, poultry, and dairy;
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Products that test water for certain microbiological contaminants;
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Point-of-care electrolytes and blood gas analyzers.
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A global leader in each of our business segments
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A member of the S&P 500® Index, IDEXX is a global leader in pet healthcare innovation. Helping pets lead longer, fuller lives is at the heart of everything we do.
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Our innovations help ensure the safety of milk and water across the world and maintain the health and well-being of people and livestock.
→ Our diagnostic and software products and services create clarity in a complex and evolving world.
Our purpose
To be a great company that creates exceptional long-term value for our customers, employees, and shareholders by enhancing the health and well-being of pets, people, and livestock.
Our Business: What We Do
IDEXX promises confidence through clarity. Confidence is what our customers need in the face of uncertainty when making high-stake decisions. Clarity is how we help them attain it – with everything from the solutions we offer to our daily interactions.
Companion Animal Group (CAG)
IDEXX Companion Animal Group (CAG) is a global leader in pet healthcare innovation. CAG provides diagnostic and software products and services for the companion animal veterinary industry, including in-clinic diagnostic solutions, reference laboratory services, and veterinary software and services. In other words, our audiences are resilient healers (veterinary
professionals) who have the desire to evolve their practice to improve the lives of pets as well as their own. We believe that the breadth, quality, and integration of our complete CAG diagnostic and software product and service offering give our customers the tools and services to offer advanced medical care to their pet patients, improve staff efficiency, and build financially healthy veterinary practices.
Our in-clinic diagnostic solutions include the IDEXX VetLab suite of in-clinic chemistry, hematology, immunoassay, electrolyte, urinalysis, cytology, blood gas, and coagulation analyzers, such as the Catalyst One Chemistry analyzer, ProCyte One hematology analyzer, SediVue Dx Analyzer, and IDEXX inVue Dx Cellular Analyzer - along with related consumables that deliver real-time, reference lab-quality results, with several leveraging proprietary AI for advanced sample analysis.
Livestock, poultry, and dairy diagnostic tests (LPD)
IDEXX Livestock, Poultry, and Dairy (LPD) provides diagnostic tests and services to monitor the health of herd and flock animals worldwide, improve producer efficiency, and ensure the quality of milk. Our diagnostic solutions help livestock veterinarians and producers identify and manage disease for confidence in healthy herds and flocks. Over the last 10 years, over 1.1 billion IDEXX livestock diagnostic tests have been sold around the globe.
Our principal livestock and poultry diagnostic products include tests for Bovine Viral Diarrhea Virus (“BVDV”), Porcine Reproductive and Respiratory Syndrome (“PRRS”), Transmittable Spongiform Encephalopathies (“TSE”), and African Swine Fever (“ASFV”). We also sell our Alertys Milk Pregnancy Test, Alertys Ruminant Pregnancy Test, Alertys On-Farm Pregnancy Test, and Rapid Visual Pregnancy Test for cattle and other ruminants, plus herd health screening services. Our principal dairy products use our SNAP test platform to detect antibiotic drug residue in milk with key products like SNAP Beta-Lactam ST and SNAPduo ST Plus targeting beta-lactam and tetracycline residues.
→ This is the segment that I'm working in
Water
IDEXX Water is a global leader in water microbiology, providing tests that ensure the safety of drinking water and other water supplies for more than 2.5 billion people in over 100 countries around the world. Our innovative testing solutions provide easy, rapid, and accurate detection and quantification of bacterial indicators of fecal contamination, as well as common microbial pathogens, such as Legionella pneumophila and Pseudomonas aeruginosa. Our audiences are lab managers and technicians who are responsible for water quality tests that meet safety and regulatory standards for water, worldwide.
Our principal products are the Colilert, Colilert-18, and Colisure tests, which detect the presence of total coliforms and E. coli in water. Additionally, IDEXX water testing products include Enterolert, Pseudalert, Legiolert, Filta-Max, and Filta-Maxxpress for detecting contaminants like enterococci in drinking, waste, and recreational water, Pseudomonas aeruginosa a in pool, spa, and bottled water, Legionella pneumophila - the primary cause of Legionnaires’ disease, Cryptosporidium, and Giardia that can cause potentially fatal gastrointestinal illness if ingested. Quanti-Tray, SimPlate, and EasyDisc provide quantitative or total bacterial counts, while IDEXX Tecta Systems automate testing and enable remote result notifications.
OPTI Medical Systems
OPTI Medical Systems, Inc. specializes in the design and manufacturing of point-of-care and laboratory diagnostic solutions for human medicine, such as blood gas and electrolyte analyzers. Used in emergency rooms and intensive care units across the globe, OPTI analyzers combine accuracy with convenience and clinical flexibility to support time-critical diagnostic testing.
Through OPTIMedical, we offer point-of-care analyzers and consumables for hospitals and clinics, measuring electrolytes, blood gases, glucose, lactate, and other critical parameters. The OPTI CCA-TS2 Analyzer processes whole blood, plasma, and serum samples using single-use cassettes, primarily for use in emergency rooms, operating rooms, and cardiac monitoring areas. We previously provided COVID-19 testing solutions but discontinued them in early 2023.
*IDEXX Annual report, 2024
*Brand Strategy, 2024
Markets/customers/partners
We market, sell, and service our products worldwide through our marketing, customer service, sales, and technical service groups, as well as through independent distributors and other resellers. We maintain a sales presence in the U.S. and in major regions worldwide including Africa, Asia Pacific, Canada, Europe, and Latin America (IDEXX Annual report, 2024).
Distribution channel
Distribution channel selection is based on product type, technical service requirements, customer concentration, regulatory requirements, and other factors.
Companion animal diagnostic products:
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Sold directly to veterinarians in the U.S.
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Sold outside the U.S. through direct sales force and, in some countries, through distributors/resellers.
Veterinary reference laboratory diagnostic & consulting services:
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Sold worldwide, primarily through direct sales force.
Diagnostic imaging products:
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Marketed mainly through direct sales force in the U.S. and Canada.
Software products:
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Sold primarily through direct sales force in the U.S., Canada, Europe, and Australia.
Water and LPD products:
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Sold through direct sales force in the U.S. and Canada.
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Outside these regions, sold through direct sales force and selected independent distributors.
OPTI products & services:
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Sold both directly and through independent human medical product distributors.
*IDEXX Annual report, 2024
*IDEXX Corporate Responsibility Report, 2023
Stakeholders
Veterinary Clinics and Animal Hospitals Worldwide:
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IDEXX maintains partnerships with 92,000+ veterinary practices globally as of 2023.
Diagnostic Equipment Manufacturers:
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IDEXX collaborates with specialized medical device manufacturers to develop advanced diagnostic technologies.
Research Institutions and Universities
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IDEXX partners with 47 academic research institutions for veterinary diagnostic innovation.
Pharmaceutical Company
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IDEXX maintains strategic partnerships with pharmaceutical firms for integrated veterinary healthcare solutions.
Software and Technology Service Providers
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IDEXX invests in technological partnerships to enhance digital veterinary platforms.
*IDEXX Annual report, 2024
Partners
Financial situation and developments in the business
IDEXX Revenues Climb to Nearly $3.7 Billion (2023)
*IDEXX Corporate Overview Powerpoint
Diagnostic Instrument Sales
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In fiscal year 2023, IDEXX reported diagnostic instrument sales revenue of $891 million, representing a 7% year-over-year growth.
Consumable Diagnostic Test Kits
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Consumable diagnostic test kits generated $2.3 billion in revenue for IDEXX in 2023, accounting for 48% of total company revenue.
Laboratory Services
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IDEXX Reference Laboratories generated $1.5 billion in revenue during 2023, with a 12% growth rate
Veterinary Practice Management Software
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IDEXX software solutions generated $387 million in recurring revenue for 2023.
Subscription-Based Digital Solutions
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Digital subscription services reached $215 million in annual recurring revenue in 2023.
Most of the revenue (2023) is coming from CAG and it remains until 2025.
*IDEXX Corporate Overview Powerpoint
Research and Development
Our business focuses on developing and launching new products and services, potentially expanding into new areas. We have ongoing research and development programs across our three main business segments (CAG, LPD and Water). In 2024, our R&D expenses totaled $219.8 million, or 5.6% of consolidated revenue, compared to $191.0 million (5.2% of revenue) in 2023 and $254.8 million (7.6% of revenue) in 2022. These expenses cover salaries, employee benefits, licensing agreements, materials, and external consulting costs (IDEXX Annual Report, 2024).