Eckert & Ziegler (EUZ) Q4 2025 earnings summary

Executive summary

• Achieved record revenue exceeding €312.0 million in 2025, with a 5% year-over-year increase and strong EBIT growth, primarily driven by the Medical segment, which contributed 55% of revenue and 64% of adjusted EBIT.

• Medical segment growth was fueled by expanding GalliaPharm generator business, CMO/CDMO activities, licensing deals, and strategic partnerships, with significant milestones including Japanese approval and new production facilities in Berlin and China.

• EBIT adjusted rose 18% year-over-year to €77.7 million, with net income up 47% to €48.8 million (EPS: €0.78).

• Industry/Isotope Products segment remained a cash generator, though oil well logging (OWL) business normalized after an extraordinary 2024, impacting segment EBIT.

• Long-term agreements and strategic partnerships, including with Novartis, Actinium Pharmaceuticals, and Bicycle Therapeutics, secured future business opportunities.

Financial highlights

• Revenue: €312.0 million (+5% year-over-year, FX adjusted +7%).

• EBIT margin reached 25% for 2025, with adjusted EBIT up 18% year-over-year to €77.7 million; net sales in medical grew 15%, and adjusted EBIT in medical rose nearly 30%.

• Free cash flow margin at 10%; equity ratio at 55%; ROCE improved to 20% from 13% the prior year.

• Net income saw a strong increase due to the absence of IFRS 5 effects from the former Pentixapharm business.

• FX headwinds, particularly a weak US dollar, reduced reported sales growth by 2 percentage points; FX-adjusted sales growth would have been 7% higher.

Outlook and guidance

• 2026 guidance: Revenue €320 million (+3% year-over-year), EBIT adjusted €80 million (+3%), with license income expected to drop from €15 million to €5 million.

• Excluding license and FX effects, underlying top-line growth is 9% and adjusted EBIT growth is 21%.

• Medical EBIT expected to decrease by 4%, Isotope Products EBIT to increase by 17%.

• CapEx to remain elevated due to ongoing expansion projects in Berlin, China, South America, and Boston.

• Medical segment expected to continue growth, especially in GalliaPharm and CMO/CDMO, with new supply agreements anticipated but not yet announced.