Merck Kommanditgesellschaft Auf Aktien Stock Earnings Reports

Q1 2026 was a solid start for Merck: group organic sales grew ~2.9% and organic EBITDA pre rose ~5.3%, led by Life Science (+8.3% organic) and Electronics (+4.2% organic). Process Solutions delivered a standout quarter (+16%), topping EUR 1.0bn sales in a quarter for the first time since Q1 2023. Healthcare declined organically (~-3.4%), driven mainly by U.S. generic competition for Mavenclad, though rare-disease franchises (including SpringWorks assets) contributed positively. Electronics benefitted from double‑digit semiconductor materials growth and two one‑offs (OLED IP divestment gain and a supplier cost recovery) that added ~EUR 68m to profitability. FX translation was a meaningful headwind in Q1 (notably USD and Asian currencies) but is expected to ease through the year. Operating cash flow and working-capital dynamics improved (operating cash flow up significantly; net financial debt modestly down). Management raised 2026 guidance: sales EUR 20.4–21.4bn, EBITDA pre EUR 5.7–6.1bn, EPS pre EUR 7.50–8.20; Life Science organic growth guidance increased (to +4%–+7%), Healthcare guidance nudged up but still expected to see organic declines, and Electronics guidance was confirmed. Strategically, management outlined a mid/long‑term plan to prioritize high‑value growth drivers, push integrated workflow solutions, build cross‑group platform capabilities (including AI), and use disciplined M&A/in‑licensing to accelerate innovation. Healthcare R&D investment will trend toward ~25% of sales over time while targeting Healthcare EBITDA pre margin north of 30%.