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• Revenue: Increased by 11.6% from EUR466 million in Q1 2024 to EUR520 million in Q1 2025.

• Adjusted EBITDA: Grew by 13.1% from EUR81 million to nearly EUR92 million.

• Organic Revenue Decline: Down by 6.5% on a pro forma basis.

• Organic Adjusted EBITDA Decline: Decreased by 9.3% on a pro forma basis.

• Adjusted EBITDA Margin: Declined by 50 basis points to 17.6% organically.

• Adjusted EPS: Decreased from EUR0.65 to EUR0.46, a decline of 36.6% FX neutral.

• Free Cash Flow: Declined from minus EUR79 million to minus EUR141 million before M&A.

• Net Financial Debt: Increased from EUR948 million to EUR1.930 million.

• Leverage Ratio: Increased from 2.32 times to 3.97 times.

• Liquidity: Stands at EUR764 million, including cash position of EUR151 million and undrawn revolving credit facility of EUR613 million.

• Warning! GuruFocus has detected 3 Warning Signs with GRRMF.

Release Date: April 11, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Gerresheimer AG (GRRMF) reported a significant revenue increase due to the acquisition of Bormioli Pharma, marking the largest acquisition in the company's history.

• The integration of Bormioli Pharma is expected to create a global moulded glass powerhouse, enhancing Gerresheimer's position in the pharma and biotech industry.

• The company projects sustainable profitable growth of 8% to 10% in the midterm, supported by new product lines and a shift to high-value products.

• Gerresheimer AG (GRRMF) is making significant investments in eco-friendly technology, such as the new hybrid furnace in Lohr, Germany, which reduces carbon emissions by 40%.

• The company has a strong order book and expects to return to organic growth from Q2 onwards, supporting its 2025 guidance.

Negative Points

• Gerresheimer AG (GRRMF) experienced an organic revenue decline of 6.5% and an EBITDA decline of 9.3% in Q1 2025.

• The company faced softer demand in its moulded glass business, particularly in the cosmetics market.

• The Morganton facility in the US is still recovering from flooding, impacting production capacity.

• The adjusted EPS declined by 36.6% on an FX-neutral basis, reflecting challenges in the current financial environment.

• Free cash flow was negative in Q1, and the company expects to end the year with a free cash flow figure between minus EUR50 million and 0.

Q & A Highlights

Q: Can you provide an indication of Bormioli's profitability in Q1 and its contribution to your full-year margin of around 22%? A: Bernd Metzner, CFO: We don't comment on subsegment performance, but Bormioli's profitability slightly increased in Q1. We expect a positive contribution to margin accretion in the coming quarters.