Thermo Fisher to Invest $2 Billion in US Biotech Manufacturing, R&D
Investment includes $1.5 billion in capital expenditures to expand manufacturing and $500 million dedicated to R&D focused on high-impact innovations.
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Thermo Fisher Scientific announced a $2 billion investment in US operations over the next four years to bolster domestic innovation and manufacturing capabilities in the life sciences sector. According to the company, the investment consists of $1.5 billion in capital expenditures to expand manufacturing and $500 million towards R&D aimed at supporting high-impact innovations.1
“Thermo Fisher’s commitment to US manufacturing reflects our confidence that America will continue to lead the world in science and innovation. Thermo Fisher is proud to serve as a growth engine for the American economy,” said Marc N. Casper, chairman, president, CEO, Thermo Fisher Scientific, in a press release. “By expanding our US operations, we ensure that life-saving medicines and therapies will continue to be developed and produced in America for decades to come.”
According to Thermo Fisher, the investment builds on its US network of 64 manufacturing facilities across 37 states. Since 2017, the company has increased its workforce from 28,000 to over 50,000 and has doubled its revenue from $21 billion to $43 billion. The company stated that it currently invests $1 billion annually in US-based R&D and plans to further expand its domestic footprint by creating jobs, increasing manufacturing and lab services capacity, and sustaining research initiatives over the next four years.1
The investment follows announcements made earlier this week by Regeneron and Roche, both of whom revealed multi-billion dollar investments to significantly expand manufacturing and R&D infrastructure in the United States over the next ten years. Within the past month, Novartis, Biogen, and Johnson & Johnson made similar announcements for new US manufacturing sites amid the ongoing threat of tariffs on the pharma industry by the Trump administration.2
On Wednesday, Thermo Fisher released its 2025 Q1 earnings report. According to the report, company revenue was $10.36 billion, essentially flat compared to the same period in 2024, with organic revenue growth of 1%. GAAP diluted earnings per share rose 15% year-over-year to $3.98, while adjusted EPS increased slightly to $5.15. Despite a modest decline in adjusted operating income and margin, the company emphasized strong overall performance amid macroeconomic uncertainty, supported by its PPI Business System.3
“We delivered very strong performance in the first quarter in a more uncertain macroeconomic environment, and I’m incredibly proud of our team's execution,” said Casper, in a press release. “Our team leveraged the PPI Business System to drive operational excellence and enable our customers’ success.”
The company launched several new products, including the Vulcan Automated Lab for semiconductor analysis, Olink Reveal proteomics kits for precision medicine, and energy-efficient centrifuges. The company also expanded its CorEvitas platform with new clinical registries for lupus and adolescent alopecia to support real-world evidence generation. Additionally, the company agreed to acquire Solventum’s Purification & Filtration Business for $4.1 billion in cash, a move expected to enhance its bioproduction capabilities. Further, Thermo Fisher repurchased $2 billion in shares and raised its quarterly dividend by 10%.3
“Thermo Fisher is incredibly well-positioned,” continued Casper, in the press release. “Our experienced management team has a proven track record, and as the trusted partner to our customers, we will help them manage the current environment, identifying new opportunities and ultimately creating value for all our stakeholders.”
References
1. Thermo Fisher Scientific Invests to Enhance U.S. Innovation and Support Customers’ Manufacturing. Business Wire. April 24, 2025. Accessed April 25, 2025. https://www.businesswire.com/news/home/20250424389005/en/Thermo-Fisher-Scientific-Invests-to-Enhance-U.S.-Innovation-and-Support-Customers-Manufacturing
2. Regeneron, Roche Launch Major US Expansion Plans to Meet Growing Demand for Biologics and Innovation. PharmExec. April 22, 2025. Accessed April 25, 2025. https://www.pharmexec.com/view/regeneron-roche-launch-major-us-expansion-plans-meet-growing-demand-biologics-innovation
3. Thermo Fisher Scientific Reports First Quarter 2025 Results. Thermo Fisher. April 23, 2025. Accessed April 25, 2025. https://newsroom.thermofisher.com/newsroom/press-releases/press-release-details/2025/Thermo-Fisher-Scientific-Reports-First-Quarter-2025-Results/default.aspx
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