CPH Group (CPHN) H2 2025 earnings summary

Executive summary

• 2025 was the first full year without the paper division, focusing on specialty chemicals and pharmaceutical packaging, and saw global expansion through the acquisitions of SiliCycle and LOG Pharma, strengthening product portfolios and market positions.

• Chromatography gels and deuterated products segments delivered strong, profitable growth, with Zeochem benefiting from robust Asian demand.

• Business performance slowed in the second half due to global economic headwinds, currency effects, and overcapacity in key markets.

• Blister packaging profitability was temporarily impacted by product mix, overcapacity, and new market capacities.

• Continued investment in capacity, efficiency, and product development, with a focus on sustainability and decarbonization.

Financial highlights

• Net sales rose 3.3% year-over-year to CHF 334.1 million, with 8.1% growth from acquisitions and a 3.8% FX headwind; organic sales declined 1.0% after adjustments.

• EBITDA decreased 6.5% to CHF 50.3 million, with a margin of 15%, below the 16–18% target range.

• Net result dropped 32% to CHF 23.4 million, mainly due to lower EBIT and absence of prior year one-time gains.

• Free cash flow declined to CHF 16.4 million, below the 8-10% target margin.

• Equity ratio decreased to 55% from 63% due to acquisition financing; net debt increased to CHF 26.2 million.

Outlook and guidance

• 2026 expected to see sales, EBITDA, EBIT, and net income above 2025 levels, with both divisions forecasting higher net sales and EBITDA.

• Both Zeochem and Perlen Packaging divisions are forecasted to return to profitable growth, with full integration of recent acquisitions.

• Mid-term targets remain: 5-8% annual sales growth, 16-18% EBITDA margin, 8-10% free cash flow margin, equity ratio >50%, and 25-50% dividend payout.