Pivot rows to columns without aggregate

The PIVOT function requires an aggregation to get it to work. It appears that your VAL column is a varchar so you will have to use either the MAX or MIN aggregate functions.

If the number of tests is limited, then you can hard-code the values:

select sbno, Test1, Test2, Test3
from
(
  select test_name, sbno, val
  from yourtable
) d
pivot
(
  max(val)
  for test_name in (Test1, Test2, Test3)
) piv;

See SQL Fiddle with Demo.

In your OP, you stated that you will have an larger number of rows to turn into columns. If that is the case, then you can use dynamic SQL:

DECLARE @cols AS NVARCHAR(MAX),
    @query  AS NVARCHAR(MAX)

select @cols = STUFF((SELECT distinct ',' + QUOTENAME(TEST_NAME) 
                    from yourtable
            FOR XML PATH(''), TYPE
            ).value('.', 'NVARCHAR(MAX)') 
        ,1,1,'')

set @query = 'SELECT sbno,' + @cols + '
             from 
             (
                select test_name, sbno, val
                from yourtable
            ) x
            pivot 
            (
                max(val)
                for test_name in (' + @cols + ')
            ) p '

execute(@query)

See SQL Fiddle with Demo.

Both versions will give the same result:

| SBNO | TEST1 | TEST2 |  TEST3 |
---------------------------------
|    1 | 0.304 |   2.3 |   PASS |
|    2 |  0.31 |   2.5 |   PASS |
|    3 | 0.306 |   2.4 | (null) |