Medios (ILM1) investor relations material

Strategic direction and market positioning

• Transitioning to a Pharma Services Group with two operational segments: Compounding and Specialty Pharma Supply, integrating International Business and unifying Compounding management across Europe for a broader service offering and clearer structure.

• Compounding prioritized as the key driver of future earnings, with investments in new product development, European platform expansion, and leveraging synergies in procurement, knowledge, and market access.

• Discontinued advanced therapies and closed the Aschaffenburg site to optimize capital allocation and operational efficiency.

• Acquired Caelo to strengthen the pharmaceutical ingredients business, driving integration and synergies with operations in Germany, Belgium, and Spain.

• Emphasis on operational excellence, innovation (automation, digital, AI), and international expansion as key growth pillars.

Strategic context and market drivers

• Structural growth in specialty pharma and compounding driven by aging, chronic disease, and increasing demand for individualized therapies.

• Regulatory complexity and supply security are key differentiators, with specialized capabilities and early engagement turning regulation into opportunity.

• Market is shifting toward specialty pharma, with specialty drugs expected to reach 43% of global spend by 2028 and compounding markets growing at ~7% CAGR.

Business model and organizational transformation

• Two-segment structure: Specialty Pharma Supply (SPS) as a cash engine and Compounding as a growth engine, each with distinct economics and strategic priorities.

• Integration of compounding activities across Europe, including recent acquisitions (e.g., Caelo), to build a leading European platform.

• Focus on operational excellence, automation, and digitalization to drive cost leadership, scalability, and margin improvement.