Siegfried (SFZN) H1 2025 earnings summary

Executive summary

• Delivered solid H1 2025 performance with net sales of CHF 619.5 million, up 1.6% in local currencies but down 0.1% in CHF, and confirmed full-year targets despite inflation, currency headwinds, and customer destocking.

• Core EBITDA increased to CHF 133.9 million, with a margin of 21.6%, up from 21.3% last year.

• Core net profit declined to CHF 65.7 million from CHF 71.7 million, mainly due to negative exchange rate differences.

• Significant progress in net working capital optimization released over CHF 35 million in cash.

• Secured new contracts, expanded manufacturing capabilities, and achieved 99% OTIF at the Malta site.

Financial highlights

• H1 2025 sales reached CHF 619.5 million, flat in CHF but up 1.6% in local currencies year-over-year.

• Drug substances contributed CHF 413.8 million; drug products CHF 205.8 million.

• Core gross profit rose to CHF 163.0 million, a 2.2% increase year-over-year.

• Operating cash flow improved significantly, rising to CHF 149.6 million from CHF 118.9 million in H1 2024.

• CapEx at CHF 100 million, focused on organic expansion and key projects like Minden.

Outlook and guidance

• Full-year 2025 guidance confirmed: mid-single-digit sales growth in local currencies and core EBITDA margin above 22%.

• Majority of H2 2025 revenue already at advanced manufacturing stages; seasonality expected to be stronger than prior years.

• Positive mid-term outlook with continued profitable growth above market, excluding M&A.