(News Bulletin 247) – The specialist in key technologies for the manufacture of vaccines and medicines is now targeting the high end of its objectives for the current year, after the publication of robust accounts for the first nine months of 2025.

Sartorius Stedim Biotech Group publications never leave the market indifferent. At the end of July, the specialist in key technologies for the manufacture of vaccines and drugs had fallen by more than 10% on the Paris Stock Exchange, despite a clear improvement in its half-yearly accounts. The market then only retained the prospects that it considered a little short.

This time, Sartorius Stedim Biotech’s announcements on Thursday October 16 found a favorable response to the Parisian market. The Aubagne-based group has published nine-month results showing clear improvement, which allows it to be much more confident for the year as a whole.

On the Paris Stock Exchange, the stock jumped another 9.3%, around 12:00 p.m., returning to the threshold of 200 euros, which allows it to post positive gains of 7.8% since the start of the year.

In the third quarter, Sartorius Stedim Biotech’s revenues amounted to 706 million euros, an increase of 7.7% on a reported basis and 12% at constant exchange rate. The difference is explained by negative exchange rate effects, in this case the depreciation of the US dollar. At constant exchange rates, Sartorius Stedim Biotech’s growth accelerates compared to the first half (+9.4%).

The group exceeds expectations, growth was expected at 10.2% for a turnover of 702 million euros according to the consensus cited by Oddo BHF.

Strong demand for consumables

Over nine months, Sartorius Stedim Biotech’s revenues increased by 8.2% based on published data and 10.2% at constant exchange rates to reach 2.195 billion euros.

The company explains that its growth has been driven by strong demand for its consumables intended for the manufacture of biopharmaceutical products which are higher margins. Meanwhile, activity linked to bioprocess equipment and systems is stabilizing while its customers are still reluctant to invest in the sector as a whole.

This strong demand for consumables had a positive effect on the group’s profitability. Over nine months, current gross operating income (Ebitda) has in fact increased faster than turnover, by 21% over one year, to reach 683 million euros. Sartorius Stedim Biotech attributes this improvement in profitability to increased volumes, as well as an expansion of its product range and economies of scale.

At the end of September, net profit followed the same trend, increasing by 34.3% to 320 million euros compared to 238 million euros over the same period the previous year.

“The group communicates robust 9-month results with margins above expectations,” says Invest Securities.

More confident for 2025

Regarding its outlook, Sartorius Stedim Biotech has refined its forecasts for the whole year and places them in the high range of forecasts. The company now expects revenue growth of around 9%, where it forecast an increase of around 7% for the 2025 financial year. This objective is understood with a forecast range of plus or minus two percentage points (i.e. between 7 and 11%).

This new forecast “confirms the continued recovery in demand and growth in the bioprocess market,” notes Oddo BHF.

In terms of profitability, management now expects a current Ebitda margin of around 31%, compared to a previous forecast of between around 30 to 31% and after 28% the previous year. Which is more than the forecasts of Oddo BHF and the consensus, both at 30.8%.

“The financial results exceeded consensus forecasts, which confirms the positive trend”, appreciates the research office Invest Securities which anticipates “upward revisions of the consensus on the margin”.

“We appreciate the strong momentum, but the upward narrowing of forecasts leaves some questions. The bioprocess market has returned to strong growth, which is clearly positive and constitutes a major element of our investment argument,” concludes Oddo BHF which, after this publication, is confirmed in its Outperformance opinion and its price target of 238 euros.