- Merck KGaA forecasts its full-year adjusted EBITDA to range between €5.9 billion and €6.3 billion, with market estimates at €6.08 billion. This reflects an expected growth of 4% to 8%.
- Net sales for the full year are projected to be around €20.5 billion to €21.7 billion, aligning closely with the estimated €21.47 billion, and reflecting a growth of 2% to 5%.
- For the second quarter, adjusted EBITDA was reported at €1.46 billion, marking a 3.1% decrease year-over-year, missing the estimate of €1.53 billion.
- Healthcare adjusted EBITDA stood at €783 million, surpassing the estimated €768.8 million.
- Life Science adjusted EBITDA came in slightly below expectations at €646 million versus the estimate of €649.2 million.
- Electronics division reported an adjusted EBITDA of €134 million, significantly underperforming compared to the anticipated €241.6 million.
- The adjusted EBITDA margin decreased to 27.8% from 28.2% year-over-year, against an estimate of 28.7%.
- Second-quarter net sales totaled €5.26 billion, a 1.8% drop year-over-year, not meeting the forecasted €5.33 billion.
- Healthcare net sales were €2.10 billion, a 1.6% decrease from the previous year, slightly below the expected €2.12 billion.
- Bavencio sales were €158 million, down 15% year-over-year, aligning with the estimate of €158.8 million.
- Rebif sales fell 29% year-over-year to €119 million, missing the estimate of €132.5 million.
- Mavenclad sales increased by 15% year-over-year to €307 million, outperforming the estimate of €283.1 million.
- Life Science net sales reached €2.27 billion, a slight 0.4% increase year-over-year, meeting the estimate of €2.26 billion.
- Electronics net sales fell 7.4% year-over-year to €886 million, below the forecast of €945.8 million.
- Second-quarter EBIT increased by 13% year-over-year to €891 million, falling short of the expected €1.07 billion.
- Adjusted EPS for the quarter was €2.02, down from €2.20 year-over-year, missing the estimate of €2.14.
- For Life Science in 2025, Merck anticipates organic net sales growth of 3% to 6% and organic EBITDA pre growth of 3% to 7%.
- In the Healthcare sector, organic net sales growth for 2025 is expected to narrow to 3% to 5%, with EBITDA pre growth forecasted at 9% to 13%.
- The Electronics segment is expected to see a decline in organic net sales by –5% to -1% and organic EBITDA pre by –15% to –7% in 2025.
A look at Merck KGaA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Merck KGaA, a global pharmaceutical and chemicals company, is positioned for a positive long-term outlook based on its Smartkarma Smart Scores. With a solid overall score, the company demonstrates strengths across various factors. Merck KGaA shows promising potential for growth and resilience, with a notable focus on innovation in research areas such as oncology and neurodegenerative diseases. Additionally, its balanced scores in value and dividend highlight stability and investor returns. While there may be room for improvement in momentum, the company’s overall outlook appears favorable.
Merck KGaA‘s Smartkarma Smart Scores reflect a company with a diversified portfolio and a strategic focus on both pharmaceuticals and chemicals. The company’s strong emphasis on growth and resilience positions it well for long-term success in the competitive industry. With a broad range of products serving different sectors including healthcare, technology, and consumer goods, Merck KGaA demonstrates a robust business model. Despite slightly lower momentum, the company’s overall performance across key factors indicates a positive trajectory for future growth and value creation.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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