Podravka (PODR) Q2 2026 earnings summary

Executive summary

• Operating revenues increased by 1.7% year-over-year to EUR 520.7m, driven by growth in Food (+1.1%) and Pharma (+7.1%), while Agri was stable (+0.5%).

• Own brands and other sales contributed to revenue growth, with notable increases in Pharma and stable performance in Food and Agri.

• Regional performance was strongest in Eastern Europe (+9.3%) and Southeastern Europe (+7.7%), while Central and Western Europe/Overseas saw declines.

• Normalised EBITDA was EUR 89.6m, down 1.0% year-over-year; Pharmaceuticals up 5.7%, Food up 0.3%, Agri down 10.7% due to lower pig and milk prices.

• Significant one-off items included EUR 16.7m in tax incentives for Pharma and prior-year gains from the Fortenova Agri acquisition.

Financial highlights

• Sales revenues increased 1.5% to EUR 505.6m; other operating revenues up 6.7%.

• Gross profit decreased by 1.1% to EUR 174.5m, with a gross margin of 33.5%.

• Normalised EBIT margin fell to 11.3%; normalised EBITDA margin at 17.2%.

• Reported net profit after minorities fell 40.2% due to the absence of prior year one-off gains.

• Return on average equity was 9.8%; return on average assets 5.5%.

Outlook and guidance

• Process improvements and operational efficiency initiatives are expected to support future profitability, especially in Food and Agri.

• Capital expenditures for 2026 are expected to reach approximately EUR 78m, focused on agricultural and production efficiency projects.

• Market and regulatory challenges in Central and Southeastern Europe remain a focus.