Lonza sets new mid-term targets, confirms 2026 outlook

FILE PHOTO: The logo of Swiss contract drug maker Lonza is seen at its headquarters in Basel, Switzerland October 1, 2020.

FILE PHOTO: The logo of Swiss contract drug maker Lonza is seen at its headquarters in Basel, Switzerland October 1, 2020. (REUTERS/Arnd Wiegmann/File Photo)


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Oct 14 — Swiss contract drug manufacturer Lonza set new mid-term ​targets and confirmed its 2026 outlook on Wednesday ahead of its capital markets day, while saying third-quarter ‌performance was in line with expectations across its business areas.

Lonza ⁠is seeking to become ​a pure-play drug manufacturer ⁠once it finalizes the planned sale of its ‌Capsules & Health Ingredients ‌business. Closing of the $3 billion deal, agreed with ⁠Lone Star Funds in March, ⁠is expected by the end of 2026.

• Lonza continues to guide for a 2026 core EBITDA margin of 33% to 34%, having lifted the guidance in July

• For the medium-term, it targets ‌constant-currency organic sales growth ​of 10% to 13%, core EBITDA growth ahead of sales growth, and a core EBITDA margin in a high thirties percentage

• "We are ready to double down on bolt-on acquisitions in line with the One Lonza strategy," Lonza said in a ​presentation

• Lonza said its key biologics site in Vacaville could reach ‌peak sales of ‌up ⁠to 2 billion Swiss francs ($2.4 billion) in the early 2030s at constant exchange rates

• CFO Philippe Deecke said in July that Vacaville sales would remain broadly ‌flat through 2028, ​with more meaningful growth expected ‌after that

($1 = 0.8317 ⁠Swiss ​francs)

(Reporting by Kira Britten and Marleen Kaesebier, editing by ​Milla Nissi-Prussak)

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