Dermapharm (DMP) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue rose 1.2% year-over-year to €302.4m, driven by branded pharmaceuticals and parallel import business, offsetting declines in vaccine and Arkopharma segments.

• Adjusted EBITDA declined 8.3% to €81.3m, with margin at 26.9% versus 29.7% last year, mainly due to lower vaccine business and higher personnel expenses.

• Net profit fell to €33.2m from €43.1m, with EPS at €0.62 compared to €0.81.

• Net debt reduction since Sep 2023 demonstrates robust cash generation, though Q1 2025 saw a net debt increase due to higher tax payments and working capital.

Financial highlights

• Revenue: €302.4m (+1.2% YoY); Adjusted EBITDA: €81.3m (-8.3% YoY); EAT: €33.2m (-22.9% YoY).

• EBT margin at 16.4%, with EBT down 22.2% to €49.7m, mainly due to lower vaccine revenues and higher net interest expenses.

• Free cash flow negative at -€5.1m (Q1 2024: €26.4m) due to lower earnings and increased tax payments.

• Net working capital rose 7.2% YoY, driven by higher inventory and lower trade payables.

• Cash and cash equivalents: €115.2m (31 Dec 2024: €121.3m).

Outlook and guidance

• 2025 revenue guidance: €1,160m–1,200m (2024: €1,180.8m); adjusted EBITDA: €322m–332m (2024: €315.6m).

• Current trading aligns with budget; management expects to meet full-year targets.