PPD to Clario: $38.9 Billion of Deals Since 2021Narrow moat

Thermo Fisher Scientific (TMO) — moat facet

Thermo Fisher has spent about $38.9 billion on nine acquisitions since 2021, and buying is now how it grows.

Since 2021 Thermo Fisher has booked about $38.9 billion of acquisitions1. The largest were PPD at $16,036 million and PeproTech at $1,864 million in 20212, The Binding Site at $2,699 million and CorEvitas at $910 million in 20233, Olink at $3,146 million in 2024 and the filtration and separation business at $3,870 million in 20254, and Clario at $9,098 million in 20265. The European viral vector business and Mesa Biotech added $830 million and $472 million in 20216.

Acquisitions since 2021, booked price ($M)PPD 202116,036Clario 20269,098Filtration 20253,870Olink 20243,146Binding Site 20232,699PeproTech 20211,864Thermo Fisher Forms 10-K FY2021, FY2023, FY2025 and Form 10-Q Q2 2026
The six largest of nine.

The pace has not slowed. In 2025 the company said it deployed approximately $16.5 billion, including $13 billion committed to M&A7. In the first half of 2026 it spent $8,872 million on acquisitions net of cash8.

The purchases are Thermo Fisher's way of buying growth in the segments it wants. The deals move the mix toward services and specialised consumables, and each comes with a customer base.

The cost is visible on the balance sheet, where goodwill and intangible assets now make up most of the total, as the next pages show.

The habit predates the pandemic. Thermo Fisher bought FEI for $4,082 million and Affymetrix for $1,342 million in 20169, Patheon for $7,358 million in 201710 and Brammer Bio for $1,674 million in 201911. The company has been assembled from acquisitions for a decade; the difference since 2021 is the size of the cheques.

The approach works if the acquired businesses grow faster than the company would have without them. The next check is organic growth: 4% guided for 202612.

Moat trajectory: Holding steady

About $16.5bn deployed in 2025; $8,872M of acquisitions in H1 2026.

The number that tests this moat
Reported
Acquisitions net of cash, first half 2026
$8,872M (H1 2026)

The pace of buying; spending that outruns organic growth would mean the company is paying for growth it cannot make.

Source: Thermo Fisher Q2 2026 results release ↗
⚠ Threats to the moat
⚠ THREAT 01
Revenue Was Lower in 2025 Than in 2022
Thermo Fisher bought about $38.9 billion of businesses since 2021 and its 2025 revenue was still below 2022's.
References
  1. Moat Explorer calcSince 2021 Thermo Fisher has booked about $38.9 billion of acquisitions.
    Moat Explorer calculation from Thermo Fisher's reported financial statements, results releases, earnings calls and market data ($ millions unless stated). Revenue by type: consumables + services share (18,664 + 18,592) / 44,556 = 83.6% (2025); (12,576 + 5,490) / 24,358 = 74.2% (2018); (13,109 + 6,046) / 25,542 = 75.0% (2019); (18,527 + 6,912) / 32,218 = 79.0% (2020); (22,608 + 8,850) / 39,211 = 80.2% (2021); (20,624 + 16,367) / 44,915 = 82.4% (2022); (17,597 + 17,614) / 42,857 = 82.2% (2023); (17,587 + 17,845) / 42,879 = 82.6% (2024); H1 2026 (9,794 + 9,899) / 22,999 = 85.6%. Instruments 7,301 / 7,924 - 1 = -7.9% (2022-2025), a fall of 623. Consumables 18,664 / 17,587 - 1 = 6.1%. Services 18,592 / 17,845 - 1 = 4.2%. Gross margin by type 2025: products (25,965 - 13,405) / 25,965 = 48.4%; services (18,592 - 12,913) / 18,592 = 30.5%; total (44,556 - 13,405 - 12,913) / 44,556 = 40.9%. Businesses: BioProduction 2,652 / 2,923 - 1 = -9.3% (2024), 3,200 / 2,652 - 1 = 20.7% (2025), Q2 2026 941 / 745 - 1 = 26.3%. Biosciences 4,169 / 4,238 - 1 = -1.6%. Transplant 492 / 393 - 1 = 25.2%, Q2 134 / 124 - 1 = 8.1%. ImmunoDiagnostics 912 / 802 - 1 = 13.7%, Q2 248 / 234 - 1 = 6.0%. Clinical diagnostics 1,115 / 1,104 - 1 = 1.0%. Microbiology 645 / 618 - 1 = 4.4% (about 2.2% a year); sale price 1,075 / 645 = 1.7 times; microbiology / Specialty Diagnostics 645 / 4,676 = 13.8%. Research and safety channel 7,440 / 6,841 - 1 = 8.8%, Q2 2,036 / 1,883 - 1 = 8.1%, 7,440 - 6,841 = 599. Healthcare channel 1,788 / 1,712 - 1 = 4.4%, 1,788 / 1,764 - 1 = 1.4% (2025), Q2 442 / 407 - 1 = 8.6%. Laboratory products 2,407 / 2,613 - 1 = -7.9%. Channels (7,440 + 1,788) / 44,556 = 9,228 / 44,556 = 20.7%. Revenue growth: 44,556 / 42,879 - 1 = 3.9% (2025), increase 44,556 - 42,879 = 1,677; 44,556 / 42,857 - 1 = 4.0% (2023-2025); 44,556 / 16,965 = 2.6 times (2015-2025). Research channel share of the increase 422 / 1,677 = 25%. Eliminations / revenue 633 / 16,965 = 3.7% (2015), 2,033 / 44,556 = 4.6% (2025). Life Sciences Solutions sold to other segments 1,593 / 10,374 = 15.4%; external revenue 8,781 / 8,160 - 1 = 7.6%. Pharma services 7,142 / 6,685 - 1 = 6.8%; clinical research 7,915 / 7,836 - 1 = 1.0%; Q2 2026 clinical research 2,396 / 1,955 - 1 = 22.6%. Clinical research + pharma services 7,915 + 7,142 = 15,057, / 44,556 = 33.8% (2025); (7,836 + 6,685) / 42,879 = 33.9% (2024); (7,691 + 6,806) / 42,857 = 33.8% (2023); Q2 2026 2,396 + 1,893 = 4,289, / 11,994 = 35.8%; Q2 2025 1,955 + 1,794 = 3,749. Patheon + PPD + Clario 7,358 + 16,036 + 9,098 = 32,492. Clario price / 2025 revenue 9,098 / 1,500 = 6.1 times; 9,098 / 1,250 = 7.3 times; goodwill 5,934 / 9,098 = 65%. Filtration 3,870 / 750 = 5.2 times. LPBS capital expenditure 1,005 / 1,525 = 65.9%. Revenue per employee 32,218 / 80,000 = about $403,000 (2020); 44,556 / 125,000 = about $356,000 (2025); 356 / 403 - 1 = -12%. Remaining performance obligations 24.61 / 28.30 - 1 = -13.0% (2021-2024); 29.70 / 46.336 = 64% of trailing revenue. 2019 backlog 4,577 / 7,768 = 59%. Trailing twelve months to June 2026: revenue 44,556 - 21,219 + 22,999 = 46,336; net income 6,704 - 3,124 + 3,387 = 6,967. COVID: Life Sciences Solutions segment income 3,420 / 7,817 - 1 = -56%; testing 0.33 / 7.26 = 4.5% remaining. Tax rate 547 / 7,308 = 7.5% (2025); 657 / 7,037 = 9.3% (2024); 284 / 6,298 = 4.5% (2023). R&D 1,397 / 44,556 = 3.1%. Adjusted less GAAP EPS 22.87 - 17.74 = 5.13. Acquisitions booked since 2021: PPD 16,036 + PeproTech 1,864 + European viral vector 830 + Mesa Biotech 472 + The Binding Site 2,699 + CorEvitas 910 + Olink 3,146 + filtration and separation 3,870 + Clario 9,098 = 38,925. Goodwill and intangibles / total assets (54,832 + 18,606) / 113,174 = 73,438 / 113,174 = 65% (June 2026); (49,362 + 15,838) / 110,343 = 59% (end 2025). Genetic sciences 2,870 / 2,787 - 1 = 3.0%. Analytical Instruments 7,554 / 63,400 = 11.9% of the MarketsandMarkets estimate; revenue 7,463 / 7,263 - 1 = 2.8% (2024), 7,554 / 7,463 - 1 = 1.2% (2025), Q2 1,847 / 1,728 - 1 = 6.9%. Market value against Danaher 249.58 / 157.81 - 1 = 58%. China share of revenue 2,060 / 20,918 = 9.8% (2017), 2,752 / 25,542 = 10.8% (2019), 3,444 / 39,211 = 8.8% (2021), 3,793 / 44,915 = 8.4% (2022). Year-end P/E = market value / net income: 56.61 / 1.975 = 28.7 (2015), 55.74 / 2.022 = 27.6 (2016), 76.14 / 2.225 = 34.2 (2017), 90.09 / 2.938 = 30.7 (2018), 130.27 / 3.696 = 35.2 (2019), 184.61 / 6.375 = 29.0 (2020), 262.92 / 7.725 = 34.0 (2021), 215.98 / 6.950 = 31.1 (2022), 205.08 / 5.995 = 34.2 (2023), 198.99 / 6.335 = 31.4 (2024), 217.70 / 6.704 = 32.5 (2025), trailing 249.58 / 6.967 = 35.8. Segment margins = segment income / segment revenue: Life Sciences Solutions 1,414 / 4,774 = 29.6% (2015), 2,446 / 6,856 = 35.7% (2019), 7,817 / 15,631 = 50.0% (2021), 3,420 / 9,977 = 34.3% (2023), 3,503 / 9,631 = 36.4% (2024); Analytical Instruments 613 / 3,208 = 19.1% (2015), 1,027 / 4,821 = 21.3% (2017), 1,273 / 5,522 = 23.1% (2019), 808 / 5,124 = 15.8% (2020), 1,908 / 7,263 = 26.3% (2023); Specialty Diagnostics 873 / 3,244 = 26.9% (2015), 1,024 / 4,763 = 21.5% (2022); LPBS 922 / 6,372 = 14.5% (2015), 1,271 / 12,245 = 10.4% (2020), 1,844 / 14,862 = 12.4% (2021), 2,872 / 22,511 = 12.8% (2022), 3,358 / 23,041 = 14.6% (2023), 3,090 / 23,157 = 13.3% (2024). Segment shares 2025: Life Sciences Solutions income 3,768 / 10,109 = 37.3%, revenue 10,374 / 46,589 = 22.3%; LPBS external revenue 23,818 / 44,556 = 53.5%. Combined segment margin 10,109 / (44,556 + 2,033) = 10,109 / 46,589 = 21.7%. Segment growth: Life Sciences Solutions 10,374 / 9,631 - 1 = 7.7% (2025), Q2 2026 2,815 / 2,499 - 1 = 12.6%; Specialty Diagnostics 4,676 / 4,512 - 1 = 3.6% (2025), Q2 1,205 / 1,134 - 1 = 6.3%; LPBS 23,984 / 23,157 - 1 = 3.6% (2025), Q2 6,693 / 5,995 - 1 = 11.6%. Ten-year compound growth 2015-2025: Life Sciences Solutions (10,374 / 4,774)^(1/10) - 1 = 8.1%; Specialty Diagnostics (4,676 / 3,244)^(1/10) - 1 = 3.7%; LPBS (23,984 / 6,372)^(1/10) - 1 = 14.2%. Additional: return on equity 6,704 / ((53,407 + 49,584) / 2) = 13.0% (2025). Instruments share 6,292 / 24,358 = 25.8% (2018), 3,305 / 22,999 = 14.4% (H1 2026). Life Sciences Solutions segment income Q2 1,041 / 919 - 1 = 13.3%. Services share 2,297 / 16,965 = 13.5% (2015), 18,592 / 44,556 = 41.7% (2025). Service gross margin (17,614 - 12,589) / 17,614 = 28.5% (2023), (17,845 - 12,654) / 17,845 = 29.1% (2024); product (25,034 - 12,523) / 25,034 = 50.0% (2024). LPBS growth 23,984 - 23,157 = 827 = 457 + 422 - 118 (laboratory products) + 79 (clinical research) - 13 (eliminations). Eliminations 3,010 / 39,211 = 7.7% (2021). Europe 11,826 / 10,741 - 1 = 10.1%; North America 23,033 / 22,764 - 1 = 1.2% (2023-2025). Headcount 125,000 / 122,000 - 1 = 2.5%. Electron microscopy 2,957 / 2,564 - 1 = 15.3%. Net debt end 2025 39,380 - 9,852 - 253 = 29,275. Goodwill added 54,832 - 45,853 = 8,979 (end 2024 to June 2026). Specialty Diagnostics best annual margin 910 / 3,339 = 27.3% (2016). Intersegment shares 2025: 201 / 7,554 = 2.7%, 72 / 4,676 = 1.5%, 167 / 23,984 = 0.7%. COVID response less testing 2021: 9.23 - 7.26 = 1.97 billion. Buyback gain 675.00 / 482.66 - 1 = 40%. Olink goodwill 2,301 / 3,146 = 73%. Life Sciences acquisitions 1,342 + 1,864 + 3,146 + 3,870 = 10,222; segment revenue 10,374 - 4,774 = 5,600. Instrumentation market (92.53 / 63.4)^(1/6) - 1 = 6.5%. Healthcare channel 1,788 / 4,676 = 38%. LPBS segment income Q2 936 / 825 - 1 = 13.5%. Interest cover 7,746 / 1,419 = 5.5 times. EPS 17.74 / 4.92 = 3.6 times. One-point price cut 7,440 x 1% = 74, / 3,350 = 2.2%. Laboratory products 2,407 - 2,525 = -118. Clinical diagnostics Q2 290 / 276 - 1 = 5.1%. Revenue 44,556 - 32,218 = 12,338 (2020-2025). Healthcare channel 1,764 / 1,712 - 1 = 3.0% (2024). Tax at 11.5% instead of 7.5%: 7,308 x 4% = 292. Microbiology Q2 166 / 159 - 1 = 4.4%. Pharma services 6,685 / 6,806 - 1 = -1.8% (2024). Clinical diagnostics 1,115 / 4,676 = 23.8%. Revenue per employee 20,918 / 70,000 = about $299,000 (2017); 25,542 / 75,000 = about $341,000 (2019). Research and safety channel 7,019 / 6,841 - 1 = 2.6% (2024), 7,440 / 7,019 - 1 = 6.0% (2025). Backlog 7,768 / 5,087 - 1 = 52.7% (2019). Restructuring 362 / 7,746 = 4.7%. Laboratory products Q2 608 / 601 - 1 = 1.2%. Services 18,592 / 17,614 - 1 = 5.6%, cost of services 12,913 / 12,589 - 1 = 2.6% (2023-2025). Life Sciences Solutions internal share (9,977 - 8,545) / 9,977 = 14.4% (2023). Biosciences 4,169 / 10,374 = 40.2%. COVID share 6.63 / 32.218 = 20.6% (2020), 9.23 / 39.211 = 23.5% (2021). R&D 1,397 / 1,337 - 1 = 4.5%. Segment income / total assets 10,109 / 110,343 = 9.2%. ImmunoDiagnostics 912 - 802 = 110; clinical diagnostics 1,115 - 1,104 = 11. Restructuring 459 / 6,859 = 6.7% (2023). Microbiology 645 / 44,556 = 1.4%. Laboratory products 2,613 / 23,041 = 11.3% (2023), 2,407 / 23,984 = 10.0% (2025). Clario 0.45 x 371.5 = about 167, / 9,098 = 1.8%. LPBS capex / segment income 1,005 / 3,350 = 30%; Life Sciences Solutions 152 / 3,768 = 4.0%. Equity / assets 52,686 / 113,174 = 46.6%. Clinical research 7,915 / 44,556 = 17.8%. Eliminations Q2 565 / 501 - 1 = 12.8%. Instruments 7,301 / 6,292 - 1 = 16.0%. Revenue per employee 18,274 / 55,000 = about $332,000 (2016). Healthcare channel 1,788 / 44,556 = 4.0%. China 2,797 / 32,218 = 8.7% (2020). RPO 29.70 - 27.92 = 1.78 billion - acquisitions, capital and valuation. — 2015-2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in Thermo Fisher's Forms 10-K and 10-Q, results releases, earnings calls, MarketsandMarkets and market data; operands shown in the source line.
  2. ReportedThe largest were PPD at $16,036 million and PeproTech at $1,864 million in 2021, The Binding Site at $2,699 million and CorEvitas at $910 million in 2023, Olink at $3,146 million in 2024 and the filtration and separation business at $3,870 million in 2025, and Clario at $9,098 million in 2026.
    Thermo Fisher Scientific Form 10-K for fiscal 2021 - the PPD, PeproTech, Brammer Bio, European viral vector and Mesa Biotech acquisitions, the Anatomical Pathology sale, COVID-19 response revenue, headcount and remaining performance obligations. — FY2021 · publ. February 2022 · source ↗
  3. ReportedThe largest were PPD at $16,036 million and PeproTech at $1,864 million in 2021, The Binding Site at $2,699 million and CorEvitas at $910 million in 2023, Olink at $3,146 million in 2024 and the filtration and separation business at $3,870 million in 2025, and Clario at $9,098 million in 2026.
    Thermo Fisher Scientific Form 10-K for fiscal 2023 - segment revenue and income for 2021-2023, COVID-19 testing revenue, remaining performance obligations, the geographic table without a China line, and the Binding Site and CorEvitas acquisitions. — FY2023 · publ. February 2024 · source ↗
  4. ReportedThe largest were PPD at $16,036 million and PeproTech at $1,864 million in 2021, The Binding Site at $2,699 million and CorEvitas at $910 million in 2023, Olink at $3,146 million in 2024 and the filtration and separation business at $3,870 million in 2025, and Clario at $9,098 million in 2026.
    Thermo Fisher Scientific Form 10-K for fiscal 2025 - acquisitions notes: purchase prices, goodwill and intangible assets. — FY2025 · publ. 26 February 2026 · source ↗
  5. ReportedThe largest were PPD at $16,036 million and PeproTech at $1,864 million in 2021, The Binding Site at $2,699 million and CorEvitas at $910 million in 2023, Olink at $3,146 million in 2024 and the filtration and separation business at $3,870 million in 2025, and Clario at $9,098 million in 2026.
    Thermo Fisher Scientific Form 10-Q for the quarter ended 27 June 2026 - revenue by business and by type, the Clario purchase price, the microbiology sale, share repurchases, dividends and the balance sheet. — Q2 2026 · publ. 31 July 2026 · source ↗
  6. ReportedThe European viral vector business and Mesa Biotech added $830 million and $472 million in 2021.
    Thermo Fisher Scientific Form 10-K for fiscal 2021 - the PPD, PeproTech, Brammer Bio, European viral vector and Mesa Biotech acquisitions, the Anatomical Pathology sale, COVID-19 response revenue, headcount and remaining performance obligations. — FY2021 · publ. February 2022 · source ↗
  7. ReportedIn 2025 the company said it deployed approximately $16.5 billion, including $13 billion committed to M&A. In the first half of 2026 it spent $8,872 million on acquisitions net of cash.
    Thermo Fisher Scientific fourth-quarter and full-year 2025 results, Form 8-K exhibit 99.1 - adjusted EPS, free cash flow, capital deployment, the Accelerator offering and the OpenAI collaboration. — FY2025 · publ. 29 January 2026 · source ↗
  8. ReportedIn 2025 the company said it deployed approximately $16.5 billion, including $13 billion committed to M&A. In the first half of 2026 it spent $8,872 million on acquisitions net of cash.
    Thermo Fisher Scientific second-quarter 2026 results, Form 8-K exhibit 99.1 - revenue, organic growth, segment income and margins, free cash flow and the balance sheet. — Q2 2026 · publ. 23 July 2026 · source ↗
  9. ReportedThermo Fisher bought FEI for $4,082 million and Affymetrix for $1,342 million in 2016, Patheon for $7,358 million in 2017 and Brammer Bio for $1,674 million in 2019.
    Thermo Fisher Scientific Form 10-K for fiscal 2017 - segment revenue and income for 2015-2017, net income and EPS, service revenue, headcount and the FEI, Affymetrix and Patheon acquisitions. — FY2017 · publ. February 2018 · source ↗
  10. ReportedThermo Fisher bought FEI for $4,082 million and Affymetrix for $1,342 million in 2016, Patheon for $7,358 million in 2017 and Brammer Bio for $1,674 million in 2019.
    Thermo Fisher Scientific Form 10-K for fiscal 2017 - segment revenue and income for 2015-2017, net income and EPS, service revenue, headcount and the FEI, Affymetrix and Patheon acquisitions. — FY2017 · publ. February 2018 · source ↗
  11. ReportedThermo Fisher bought FEI for $4,082 million and Affymetrix for $1,342 million in 2016, Patheon for $7,358 million in 2017 and Brammer Bio for $1,674 million in 2019.
    Thermo Fisher Scientific Form 10-K for fiscal 2021 - the PPD, PeproTech, Brammer Bio, European viral vector and Mesa Biotech acquisitions, the Anatomical Pathology sale, COVID-19 response revenue, headcount and remaining performance obligations. — FY2021 · publ. February 2022 · source ↗
  12. ReportedThe next check is organic growth: 4% guided for 2026.
    Thermo Fisher Scientific second-quarter 2026 earnings call transcript (Motley Fool) - organic growth by segment and market, China, the raised 2026 guidance, leverage, adjusted ROIC and the microbiology sale. Figures from the transcript body, not the summary block - 2026 guidance, capital deployment, leverage and adjusted ROIC. — Q2 2026 · publ. 23 July 2026 · source ↗
Sources
Generated September 28, 2026