Quest Diagnostics Incorporated (NYSE: DGX) reported a 40% dip in earnings for the first quarter of 2020 due to lower revenue and higher costs and expenses. The company has withdrawn its guidance for the full year 2020 due to the impact of the COVID-19 pandemic.
The pandemic is likely to impact the company’s ability to comply with applicable financial covenants, beginning as early as the end of the second quarter. The company has been in advanced discussions with its lead lender regarding an amendment to certain financial covenants of its unsecured revolving credit facility.