Merck (MRK) Q2 2026 earnings summary

Executive summary

• Q2 2026 delivered robust organic sales and EBITDA pre growth, led by Life Science and Electronics, with resilience in Healthcare despite Specialty Care headwinds.

• Strategic milestones included the definitive agreement to acquire Bio-Techne, expansion in Rare Diseases, and investments in semiconductor manufacturing capacity.

• Focus remains on innovation, integration, and leveraging M&A and in-licensing to drive sustainable, profitable growth.

Financial highlights

• Q2 2026 net sales rose 3.4% year-over-year to €5,434 million; EBITDA pre increased 9.4% to €1,599 million, with margin expanding to 29.4%.

• EPS pre grew 6.9% to €2.16; operating cash flow up 6.7% to €605 million.

• Net financial debt increased 6.8% to €9,207 million, mainly due to dividend payments.

• Reported Q2 2026 EBIT fell 15.5% to €753 million; net income down 24.8% to €490 million due to higher R&D, M&S, and interest costs.

Outlook and guidance

• Full-year 2026 guidance: net sales €21.0–21.8 billion (organic +1% to +3%), EBITDA pre €5.9–6.3 billion (organic 0% to +3%), EPS pre €7.90–8.60.

• Life Science organic sales growth guidance raised to 5%-7%; Electronics to 6%-9%; Healthcare to -4% to -2%.

• Capex on PPE expected at €1.3–1.5 billion; effective tax rate 21–23%.