ALK-Abelló (ALK) Q1 2026 earnings summary

Executive summary

• Achieved 18% year-over-year revenue growth in Q1 2026 to DKK 1,771 million, driven by strong tablet sales and favorable product mix across all regions, especially Europe and North America.

• EBIT increased by 22% to DKK 570 million, with EBIT margin improving to 32% from 31% last year, supported by sales growth, improved gross margin, and scale benefits.

• Free cash flow doubled to DKK 671 million, driven by higher earnings and working capital changes.

• Upgraded full-year 2026 outlook due to robust tablet sales, improved risk profile, and reduced risks from price/rebate adjustments.

• Successful phase 2 trial for peanut allergy tablet, with plans for phase 3 trial in late 2026.

Financial highlights

• Q1 2026 revenue reached DKK 1,771 million, up 18% year-over-year; EBIT was DKK 570 million, up 22%; net profit DKK 437 million, up 23%.

• Gross profit rose to DKK 1,228 million, with gross margin improving to 69% from 67% last year.

• EBIT margin at 32% (from 31%); EPS rose to 2.0 (from 1.6); equity ratio improved to 71% (from 69%).

• Free cash flow increased to DKK 671 million; cash flow from operating activities was DKK 761 million.

• Return on invested capital (ROIC) reached 35% (from 28%); NIBD/EBITDA improved to -0.5 (from 0.2).

Outlook and guidance

• 2026 revenue growth expected at 13-16% in local currencies (previously 11-15%), with double-digit tablet sales growth.

• EBIT margin forecast raised to around 26% (from 25%).

• SCIT/SLIT-drops sales projected to grow single digits; anaphylaxis and other products to grow low double digits.

• Gross margin expected to remain on par with last year; R&D costs to stay around 10% of revenue; S&M expenses to rise to support market shaping.

• CAPEX projected at DKK 400-500 million; free cash flow expected around DKK 1,000 million.