SCHOTT Pharma (1SXP) Q4 2023 earnings summary

Executive summary

• FY23 revenue reached €899m, up 9% YoY, and EBITDA was €239m at a 26.6% margin; full-year revenue and profitability targets were achieved.

• High-value solutions (HVS) reached 48% of revenue, above ambitions, with strong demand supporting growth and margin expansion in drug delivery systems (DDS).

• Capacity expansion and innovation remained central to the growth strategy, supported by €176m of FY23 capex and FY24 capex guidance of €200m–€230m.

Financial highlights

• FY23 revenue was €899m, up 9% YoY; Q4 revenue was €229m, up 13% YoY.

• FY23 EBITDA was €239m, up 9% YoY; Q4 EBITDA was €52m, up 7% YoY.

• FY23 EPS was €1.01; capex excluding leasing was €176m, up €23m YoY.

• FY23 operating cash flow was €182m and investing cash flow was -€171m, producing free cash flow of €10m amid record growth investments.

Outlook and guidance

• FY24 organic revenue growth guidance is 9%–11%, excluding FX effects.

• FY24 EBITDA margin guidance is approximately the prior-year level, including €10m–€15m of ramp-up costs; both metrics exclude FX effects.

• Mid-term organic revenue growth target is above 10% CAGR, with EBITDA margin in the low 30s% and HVS share targeted above 60%.

• FY24 capex guidance is €200m–€230m; dividend payout ratio guidance is 10%–20%.