Siegfried (SFZN) H2 2025 earnings summary

Executive summary

• Achieved net sales of CHF 1,327.8 million in 2025, up 4.3% in local currencies and 2.6% in CHF year-over-year, with record profitability and margin expansion driven by operational excellence and disciplined execution.

• Core EBITDA rose 9.3% to CHF 312.3 million, with margin expanding to 23.5% from 22.1% prior year.

• Strategic acquisitions in the US and Australia (Noramco and Extractas) significantly expanded drug substance capacity and are expected to boost top and bottom lines upon closing.

• Sustainability leadership recognized by top ESG ratings, SBTi validation of net zero targets, and nearly 50% reduction in carbon emissions since 2020.

• Strong commercial momentum with a 30% increase in project wins and Requests For Proposals in 2025 versus 2024.

Financial highlights

• Net sales reached CHF 1,327.8 million (+2.6% in CHF, +4.3% in local currencies); core EBITDA margin improved to 23.5%; core EBITDA CHF 312.3 million (+9.3%).

• Core gross profit CHF 354.0 million (margin 26.7%); core EBIT CHF 217.5 million (margin 16.4%); core net profit CHF 162.1 million (margin 12.2%).

• Operating cash flow CHF 228.2 million (+35%); free cash flow CHF -3.1 million due to high strategic investments.

• Net debt to core EBITDA at 1.5x at year-end, improving to 1.0x post-year-end; equity ratio 52.4%.

• Investments in property, plant, and equipment totaled CHF 231.5 million (17.4% of net sales).

Outlook and guidance

• For 2026, expects high single-digit growth in Drug Products, low single-digit in Drug Substances and Group net sales (in local currencies), with core EBITDA margin projected above 23%.

• Guidance will be updated post-acquisition closing, with significant top and bottom line uplift anticipated.

• Positive mid-term outlook for profitable growth above market, supported by strong project inflow and new product wins.

• Capital expenditures expected in the low teens percentage of sales.