SCHOTT Pharma (1SXP) H1 2024 earnings summary

Executive summary

• Q2 2024 revenue reached EUR 247m at constant currencies, up 11% year-over-year, with EBITDA margin at 27.0% and HVS share at 53% in H1 2024.

• H1 2024 revenue grew 9.1% year-over-year at constant currencies to EUR 489m, driven by high-value syringes (HVS) now making up 53% of revenue.

• DDS segment saw strong demand for prefillable syringes and ongoing capacity expansion, while DCS segment faced temporary destocking in vials.

• Company remains on track to meet full-year guidance, supported by innovation and expansion projects.

• EBITDA margin at constant currencies was 27.4%, with profit for the period at EUR 69.7m and EPS at EUR 0.46.

Financial highlights

• Q2 2024 revenues: EUR 247m (constant currencies), EUR 234m (reported), up 11% and 5% respectively year-over-year.

• H1 2024 reported revenue: EUR 466.5m, up 3.9% year-over-year; constant currency growth: 9.1%.

• Q2 EBITDA: EUR 67m (constant currencies), EUR 44m (reported); margin 27.0% (constant), 18.9% (reported).

• Free cash flow in H1 2024: EUR 34m.

• EPS for Q2: EUR 0.17; H1 profit for the period: EUR 69.7m, EPS EUR 0.46.

Outlook and guidance

• Fiscal 2024 organic revenue growth expected at 9–11% at constant currencies.

• EBITDA margin for FY24 guided to be approximately at prior year's level, including ramp-up costs.

• Mid-term targets: above 10% CAGR revenue growth, low 30s% EBITDA margin, HVS share above 60%.

• CAPEX for FY24 revised to EUR 165–185m.

• Temporary impact on revenue growth and EBITDA margin expected in FY 2024/2025 due to reduced syringe demand from a major customer.