Illumina (NASDAQ:ILMN) reported third-quarter earnings that exceeded analyst expectations, however the fourth-quarter revenue guidance disappointed investors.

The genetic sequencing company posted adjusted earnings per share of $1.14, well above the Street estimate of $0.88, with quarterly revenue of $1.08 billion meeting projections.

Despite the earnings beat, Illumina’s fourth-quarter outlook weighed on investor sentiment. The company forecasted Q4 revenue at approximately $1.07 billion, falling short of analysts’ expectations of $1.15 billion.

For the full year 2024, Illumina adjusted its revenue guidance downward, now anticipating a 3% decline in Core Illumina revenue compared to fiscal 2023, citing a challenging macroeconomic environment.

On a positive note, Illumina raised its full-year adjusted earnings per share guidance to a range of $4.05 to $4.15, exceeding the Street consensus estimate of $3.91. CEO Jacob Thaysen expressed optimism, highlighting strong demand for Illumina’s products and progress in improving margins and earnings despite economic constraints.