Euroapi (EAPI) H1 2025 earnings summary

Executive summary

• Net sales for H1 2025 were €412.1 million, down 8.2% year-over-year, with declines in both API Solutions and CDMO segments; Sanofi sales dropped 24.4% and other clients rose 4.3%.

• Core EBITDA reached €39.5 million (9.6% margin), down from €47.6 million (10.6%) in H1 2024, but improved from a loss in H1 2024.

• Net income loss narrowed to €28.5 million from €34.8 million year-over-year; basic EPS improved to €(0.30) from €(0.37).

• Execution of the FOCUS-27 plan included cost discipline, divestment of the Haverhill site, and progress on discontinuing non-differentiated APIs.

• A €140 million public aid agreement was signed with the French government for the IPCEI Med4Cure project.

Financial highlights

• Gross profit was €76.6 million (18.6% margin), down from €98.0 million (21.8%) in H1 2024.

• EBITDA improved to €5.0 million from €(1.4) million year-over-year.

• Free cash flow before financing was €(20.0) million; net cash position at end of June 2025 was €1.1 million, down from €25.2 million at end of December 2024.

• CapEx was €37.8 million (9.2% of sales), with 60% dedicated to growth projects.

• DSO stable year-over-year at 43 days, supported by a new factoring program.

Outlook and guidance

• Full-year 2025 net sales are expected to decline low single digits, revised from previous steady expectations.

• Core EBITDA margin target reaffirmed at 7–9%, aiming for the upper end of the range.

• H2 performance is anticipated to strengthen, supported by HP API sales, increased CMO activity, inventory buildup, and vitamin B12 catch-up.

• Full-year CAPEX expected between €80 and €90 million.