Sartorius Stedim Biotech (DIM) Q1 2026 earnings summary

Executive summary

• Q1 2026 saw strong sales growth, driven by robust recurring business and high consumables demand across both divisions, with equipment sales starting soft but expected to improve later in the year.

• All regions contributed positively, with notable growth in EMEA and Asia-Pacific for Bioprocess Solutions and strong expansion in the Americas for Lab Products & Services.

• Innovations in cell therapy and cell line development platforms, including the Eveo platform and new CHO host cell line, are gaining high customer interest and supporting future growth.

• Management confirmed full-year 2026 guidance, expecting stronger performance in the second half.

Financial highlights

• Group sales revenue rose 7.5% in constant currencies (1.8% reported) to EUR 899 million in Q1 2026; Bioprocess Solutions up 8.1% to EUR 735 million; Lab Products & Services up 4.9% to EUR 164 million.

• Underlying EBITDA increased 1.6% to EUR 267 million; margin was 29.7% for the group, 31.8% for Bioprocess Solutions, and 20.7% for Lab Products & Services.

• Reported net profit grew 16% year-over-year to EUR 56 million, while underlying net profit slightly decreased due to higher depreciation.

• Free cash flow rose sharply by 84.6% to EUR 113 million, supported by higher operating cash flow and stable capex.

• CapEx ratio was 8.6%, with full-year CapEx expected at 12.5% of sales.

Outlook and guidance

• Full-year 2026 group sales revenue growth expected at 5%-9% in constant currencies; Bioprocess Solutions at 6%-10%, Lab Products & Services at 2%-6%.

• Underlying EBITDA margin guidance: slightly above 30% for group, above 32% for Bioprocess Solutions, below 21% for Lab Products & Services.

• CapEx ratio to remain around prior year; net debt/EBITDA to decrease to slightly above 3x by year-end.

• Guidance reflects ongoing industry volatility and excludes potential changes in U.S. tariffs.

• Second half of 2026 expected to be stronger than first half, supported by order book and market trends.