- The adjusted Ebitda for 2024 predicted by Merck KGaA ranges from EU5.7 billion to EU6.3 billion, against an estimated EU5.96 billion.
- Net sales for the year are projected to fall between EU20.6 billion and EU22.1 billion, with an estimated figure of EU21.3 billion.
- Merk foresees an adjusted EPS (Earnings Per Share) of between EU8.05 and EU9.10.
- First quarter results showed an adjusted Ebitda of EU1.45 billion, reflecting a year-on-year decrease of 8.4%, which however outperformed the estimate of EU1.36 billion.
- Adjusted Ebitda for Healthcare, Life Science and Electronics divisions exceeded expectations at EU708 million, EU611 million and EU237 million respectively.
- Ebitda margin in the first quarter was at 28.4% against last year’s 30%, however it is higher than the estimated margin of 26.2%.
- Net sales in the first quarter were EU5.12 billion, a year-on-year decline of 3.3% but essentially in line with the estimated EU5.11 billion.
- Healthcare net sales saw a significant increase of 7.5% year-on-year, surpassing the estimated net sales.
- Life Science and Electronics net sales reported lower figures than the estimated sales, but Electronics saw an increase of 3% from the previous year.
- The Ebit for the first quarter was reported at EU931 million, a 10% year-on-year decrease, but above the estimated EU797.2 million.
- Adjusted EPS for the first quarter came in at EU2.06, lower than the EU2.36 seen in the comparable previous year quarter.
- Merck’s CEO Belén Garijo has indicated the expectation for the company to return to organic sales and earnings growth in 2024, particularly noting a projected acceleration in Life Sciences in the second half of the year.
A look at Merck KGaA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
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, seems to have a promising long-term outlook based on the Smartkarma Smart Scores analysis. The company received a solid score of 4 for Growth and Momentum, indicating positive prospects for expanding its business and maintaining strong market performance. With an equal rating of 3 for Value, Dividend, and Resilience, Merck KGaA appears to be balancing financial stability, shareholder returns, and overall business resilience effectively.
Overall, Merck KGaA‘s diversified operations in pharmaceuticals, chemicals, and various consumer products seem to provide a strong foundation for future growth. The company’s focus on researching drugs in key therapeutic areas such as oncology, neurodegenerative diseases, and autoimmune conditions positions it well for continued innovation and market relevance in the healthcare industry.
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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