IDEXX can identify what's wrong with Fluffy, Fido, Flossie, or
Flicka. A leading animal health care company, IDEXX makes
diagnostic testing kits and machines for cats and dogs as well as
cows and horses. Veterinarians use the company's VetTest analyzers
for blood and urine chemistry and its SNAP in-office test kits to
detect heartworms, feline leukemia, and other diseases. The company
also provides lab testing services and practice management
software. In addition, IDEXX makes diagnostic products to detect
livestock and poultry diseases and to test for contaminants in
water and milk. The company sells its products worldwide.
Products and services for companion animals (aka: pets) account
for more than 80% of IDEXX's sales. Most of that revenue comes from
diagnostic products and services, including chemistry analyzers,
rapid test kits, and laboratory services. The company operates a
network of laboratories, to which vets can send patient samples for
After companion animals, livestock and poultry (horses, cows,
pigs, and chickens) are the company's second-largest market.
IDEXX's Livestock and Poultry Diagnostics business includes
products to test for Bovine Spongiform Encephalopathy (BSE or "mad
cow" disease) as well as porcine illnesses and poultry diseases.
Equine products make up a smaller portion of the company's
IDEXX's water testing segment produces tests to detect E. coli,
enterococci, and Cryptosporidia. Water utilities and government
laboratories are the primary customers for these products -- half
of sales are outside of the US. The company's dairy testing unit
produces a SNAP test to measure antibiotic residues in milk, which
are highly regulated in markets outside of the US. The company also
sells OPTI Medical Systems which measure human electrolyte, blood
gases, and glucose levels. The systems and consumables are sold to
hospitals and clinics.
More than half of the company's sales are made in the US, but it
also maintains sales offices in 15 countries in Asia, Europe, and
the Pacific. While many of its products and materials are
manufactured by third parties, it also maintains manufacturing and
assembly facilities in Georgia and Maine and in Bern, Switzerland
and Montpellier, France.
Sales and Marketing
IDEXX distributes its products through its own marketing and
sales force and through independent distributors and resellers.
Although IDEXX's revenue growth had been slowed by the economic
recession, the company reported modest revenue increases in the
last two years. It also saw net income increases, by about 15% and
10%, respectively, in 2011 and 2012. While the Livestock and
Poultry Diagnostics business grew more than 15% as a result of a
jump in sales of bovine tests to government agencies in Germany in
2011, that same segment began to soften in 2012 as government
IDEXX continues to grow by focusing on launching new products
and consumables for its instruments and test kits. It has also
expanded into software by introducing web-based practice management
tools for veterinarians.
Mergers and Acquisitions
In 2012 the company purchased the assets of Sneakers Software,
which had been selling its practice management software.