| Laboratory Corp. of America Holdings | (NY: LH) |
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May 22, 2013
Laboratory Corporation of America (LH) is the second-largest medical testing company in the United States by revenue. As of the end of 2007, the company had a nationwide network of labs and patient centers which perform routine and specialty diagnostic testing; the most commonly requested tests include bloodwork, urine analysis, and HIV tests.[1]
LH's revenue grows with the market for advanced diagnostic testing, which uses genetic and molecular techniques to detect disease. Such specialty testing is more profitable than routine testing, which is often performed in-house by hospitals and managed care organizations. The company's revenue from specialty testing was $1.40 billion in 2007, up 12.3 percent from $1.24 billion in 2006. LH's specialty tests include prenatal genetic screening tests for Down syndrome and other developmental disorders, as well as genetic identity tests used in forensic science and paternity testing used in child support court proceedings.[2]
(Read more at Wikinvest
) - Company Overview
- Business & Financial Metrics
- Business Segments
- Trends & Forces
- Shift Towards Personalized Medicine and More Profitable Specialty Testing Increases LH's Testing Volume and Operating Income
- Difficulty Collecting Charges Billed Directly to Patients Reduces LH's Revenue
- Pricing Pressure from Managed Care Organizations and Hospitals Looking to Cut Health Care Costs Reduces LH's Profit Margins
- Competition
- References

