EQS-News: Stable earnings despite portfolio adjustment - 2025 guidance confirmed, strong growth in branded pharmaceuticals

Stable earnings despite portfolio adjustment – 2025 guidance confirmed, strong growth in branded pharmaceuticals

• Strong organic revenue growth and robust earnings trend in high-margin "Branded pharmaceuticals" segment
• Efforts proceeding as planned to restructure parallel imports product portfolio with focus on contribution margins and to reorganise business model at Arkopharma
• Adjusted EBITDA (excluding vaccine business) and adjusted EBITDA margin stable at prior-year level
• Board of Management confirms full-year guidance for 2025

Grünwald, 13 November 2025 – Dermapharm Holding SE ("Dermapharm"), a rapidly growing manufacturer of branded pharmaceuticals and other healthcare products, today publishes its results for the first nine months of 2025.

Dermapharm Holding SE performed in line with expectations in the first nine months of 2025. Consolidated revenue decreased slightly by 2.3% to EUR 869.4 million as compared to the prior-year period (prior-year period: EUR 890.1 million). Adjusted for the remaining vaccine business, which is in the low double-digit million range, consolidated revenue declined by 1.7%. This was mainly down to the efforts to restructure the product portfolio in the "Parallel import business" segment to focus on contribution margins. Revenue was buoyed by the strong organic growth of 5.8% in the "Branded pharmaceuticals" segment (adjusted for the vaccine business), which however was unable to fully offset the revenue decline, primarily in the "Parallel import business".

EBITDA adjusted for non-recurring items decreased by 1.8% to EUR 236.0 million in the first nine months of 2025 (prior-year period: EUR 240.3 million). Excluding the vaccine business, adjusted EBITDA improved by 0.8% year on year. Viewed in isolation, the third quarter of 2025 saw adjusted EBITDA grow slightly by 0.8%. Unadjusted EBITDA declined to EUR 230.8 million (prior-year period: EUR 234.1 million). The adjusted and unadjusted EBITDA margins remained virtually stable at 27.1% and 26.5%, respectively (prior-year period: 27.0% and 26.3%), not least due to the declining share of low-margin parallel imports in consolidated revenue.

"Despite a challenging market environment, we maintained a stable level of profitability in the first nine months of 2025 and set a key strategic course. We are particularly pleased with the continued strong growth in our high-margin 'Branded pharmaceuticals' segment. The planned restructuring of our portfolio and business model in individual areas lays a foundation for their sustainable, profitable growth, and we are confident about the rest of the year," said Dr Hans-Georg Feldmeier, CEO of Dermapharm Holding SE.

Branded pharmaceuticals

In the "Branded pharmaceuticals" segment, strong organic growth in the existing business, in particular the Allergopharma Group and the international companies, translated to a 4.2% rise in revenue from EUR 431.6 million in the previous year to EUR 449.8 million. Adjusted for the remaining vaccine business, revenue grew by a notable 5.8%.

Unadjusted EBITDA rose by 3.1% to EUR 198.3 million (prior-year period: EUR 192.3 million), due primarily to organic growth in the existing business. This corresponds to an EBITDA margin of 44.1% (prior-year period: 44.6%). The segment's adjusted EBITDA likewise rose, increasing by 1.2% to EUR 199.6 million (prior-year period: EUR 197.3 million). Adjusted non-recurring expenses declined significantly from EUR 5.0 million to EUR 1.3 million, and related primarily to restructuring measures.

Other healthcare products

In the "Other healthcare products" segment, Dermapharm generated EUR 269.0 million in revenue in the first nine months of 2025 (prior-year period: EUR 271.7 million). The slight decline in revenue was due primarily to the ongoing reorganisation of Arkopharma's business model. The organic growth in the rest of the existing business did not fully offset the decline. 

The segment's adjusted EBITDA amounted to EUR 42.1 million (prior-year period: EUR 45.8 million) and reflected the corresponding revenue trend. Earnings were also impacted by the weaker US dollar and the resulting currency losses. The adjusted non-recurring expenses amounted to EUR 2.8 million (prior-year period: EUR 1.2 million) and were likewise primarily connected with restructuring measures. Unadjusted EBITDA amounted to EUR 39.3 million (prior-year period: 44.6 million), corresponding to an EBITDA margin of 14.6% (prior-year period: 16.4%).

Parallel import business

In the "Parallel import business" segment, there was no let-up in the strategic realignment concentrated on portfolio optimisation with a focus on contribution margins. As expected, the targeted focus on higher-margin products went hand-in-hand with a decline in revenue to EUR 150.6 million (prior-year period: EUR 186.9 million).

The segment's adjusted EBITDA amounted to EUR -1.6 million (prior-year period: EUR 1.1 million) and is due primarily to the initial decline in the absolute contribution margin as a result of falling product sales. The adjusted non-recurring expenses amounted to EUR 1.2 million (prior-year period: EUR 0.0 million) and were likewise due to restructuring measures. Unadjusted EBITDA amounted to EUR -2.8 million (prior-year period: 1.1 million), and the EBITDA margin amounted to -1.9% (prior-year period: 0.6%). The segment's earnings continue to develop in line with expectations in the current 2025 financial year as the absolute contribution margins rise.

Board of Management confirms outlook for 2025 overall

Given that the Company performed in line with projections in the first nine months of the current financial year 2025, and in light of the positive outlook for the final quarter, the Board of Management confirms that both consolidated revenue and adjusted EBITDA will be in line with the published forecast range of between EUR 1,160–1,200 million and EUR 322–332 million, respectively.

The full interim statement for Q3 2025 can now be downloaded from https://ir.dermapharm.de/en.

IFRS figures for 9M 2025 and the prior-year period

(excluding segment reconciliation/Group holding company)

*   9M 2025 EBITDA was adjusted for non-recurring items amounting to EUR 5.2 million.
    9M 2024 EBITDA was adjusted for non-recurring items amounting to EUR 6.2 million.

Company profile

Dermapharm – Pharmaceutical Excellence "Made in Europe"

Dermapharm is an innovative and rapidly growing manufacturer of branded pharmaceuticals and other healthcare products. Founded in 1991, the Company is based in Grünwald near Munich. In addition to its main location in Brehna near Leipzig, Dermapharm also operates other production, development and distribution locations, including in Germany, the rest of Europe and the United States.

In the "Branded pharmaceuticals" segment, Dermapharm has more than 1,300 marketing authorisations with more than 390 active pharmaceutical ingredients. Dermapharm's portfolio of pharmaceuticals is tailored to selected therapeutic areas in which the Company is a market leader, especially in Germany. The Company's integrated business model extends from in-house product development and production through quality management and logistics to the distribution of branded pharmaceuticals by a trained pharmaceutical sales force.

Dermapharm bundles food supplements, herbal pharmaceuticals, cosmetics, medical devices, herbal extracts and medicinal cannabis in its "Other healthcare products" segment. In this segment, Dermapharm can tap the expertise of Arkopharma, the market leader for phytotherapeutic food supplements in France, and the Spanish company Euromed S.A., a leading global manufacturer of herbal extracts and plant-based active ingredients for the pharmaceuticals, nutraceuticals, foodstuffs and cosmetics industries.

Dermapharm also operates the "Parallel import business" segment under the axicorp brand. axicorp imports originator pharmaceuticals from other EU Member States and resells them to pharmaceuticals wholesalers and pharmacies in Germany. This enables axicorp to benefit from the different pricing structures in the individual EU member states. Based on revenue, axicorp is currently the seventh largest parallel importer in Germany.

With a consistent R&D strategy and numerous successful product and company acquisitions and by stepping up its internationalisation efforts, the Group is continuously optimising its business activities and seeks external growth opportunities in addition to organic growth.

Contact

Investor Relations & Corporate Communications
Britta Hamberger
Tel.: +49 (0)89 64186-233
E-mail: ir@dermapharm.com