Restructuring Costs

6 Months Ended

Jun. 30, 2025

14. RESTRUCTURING COSTS

In February 2025, management approved a new restructuring plan in furtherance of our ongoing program to improve operating performance. The restructuring plan primarily impacts our operations in the U.S. and includes the elimination of certain positions, the consolidation of certain functions, and the relocation of certain operations to lower cost locations. Our February 2025 restructuring plan is expected to be substantially completed by the end of 2025. In addition to the below restructuring plan reserve activity, management recorded $4.1 million of restructuring expense related to facility exit costs, primarily impacting the Clinical Diagnostics segment. From February 2025 to June 30, 2025, total restructuring-related expenses for our February 2025 restructuring plan was $37.4 million, primarily representing estimated termination benefits to employees.

The adjustments to expense recorded during the six months ended June 30, 2025 were primarily due to changes in the estimates of employee termination benefits of our previously announced restructuring plans, and the timing of the remaining employee termination benefit payments is in accordance with statutory requirements.

The following table summarizes the activity of our total restructuring reserves (in millions):


	Life Science		Clinical Diagnostics		Total
Balances as of December 31, 2024:	$	2.0	$	13.0	$	15.0
Charged to expense - employee termination benefits	15.4		16.0		31.4
Adjustments to expense	0.6		(0.5)		0.1
Cash payments	(13.8)		(14.4)		(28.2)
Foreign currency adjustments	0.2		1.7		1.9
Balances as of June 30, 2025:	$	4.4	$	15.8	$	20.2

The accrued restructuring plan reserve of $20.2 million as of June 30, 2025 was recorded in Accrued payroll and employee benefits in the condensed consolidated balance sheets. Restructuring-related expense is allocated in the condensed consolidated statements of income (loss) as follows (in millions):


	Three Months Ended				Six Months Ended
	June 30				June 30
	2025		2024		2025		2024
Cost of goods sold	$	0.1	$	0.6	$	4.7	$	1.1
Selling, general and administrative expense	2.6		(1.4)		17.9		3.1
Research and development expense	(0.3)		(0.6)		13.0		1.5
Total restructuring expense	$	2.4	$	(1.4)	$	35.6	$	5.7

BIO-RAD LABORATORIES, INC. 10-Q