Almirall (ALM) Q1 2026 earnings summary

Executive summary

• Q1 2026 performance was steady and aligned with expectations, with guidance for 2026 reiterated and market consensus met despite a high comparative base from Q1 2025.

• Net sales reached €291.0 million, up 2.2% year-over-year, driven by strong European dermatology growth and robust biologics sales, especially Ilumetri and Ebglyss.

• Ebglyss sales more than doubled year-over-year, while Ilumetri maintained double-digit growth.

• Continued strong presence in medical dermatology, with significant data presentations and ongoing innovation in pipeline and lifecycle management, including new collaborations.

• Reiterated midterm ambitions for double-digit net sales growth through 2030 and ~25% EBITDA margin by 2028.

Financial highlights

• Net sales increased 2.2% year-over-year to €291.0 million in Q1 2026, with European dermatology up 19.3% year-over-year.

• Gross margin reached 64.2%, slightly above prior quarters but below Q1 2025, with minor pressure from higher royalty tiers on Ilumetri.

• EBITDA was €67.5 million (23.2% of net sales), up from 21% at year-end 2025.

• SG&A declined by 1% year-over-year to €121.6 million, expected to pick up in coming quarters due to marketing phasing.

• R&D investment at 12% of net sales, with €34.8 million spent and 12.5% projected for the full year.

• Net debt-to-EBITDA ratio at 0.1, reflecting strong financial flexibility and a solid balance sheet.

• Cash flow from operating activities was €47.9 million, up €21 million year-over-year, but free cash flow for Q1 2026 was negative at €-24.0 million due to milestone payments and investments.

• Net income was €15.3 million, down 29.2% year-over-year; normalized net income €16.1 million.

Outlook and guidance

• 2026 guidance reiterated, with growth expected to be driven by biologics and core dermatology, supported by consistent biologics uptake.

• Confident in exceeding €450 million peak sales for Ebglyss and over €300 million for Ilumetri.

• SG&A growth for the full year expected to be lower than net sales growth, supporting EBITDA margin expansion.

• Targeting double-digit net sales growth through 2030 and ~25% EBITDA margin by 2028.