Gedeon Richter (RICHTER) Q1 2026 earnings summary

Executive summary

• Q1 2026 saw 5.9% CER revenue growth, but reported revenues declined 1.3% YoY due to significant FX headwinds.

• Clean EBIT grew 15% CER, but only 1.5% reported, as FX weighed on results; Clean EBIT reached HUF 69.7bn.

• Free cash flow rose 29% YoY to HUF 77bn, driven by strong operating cash flows and stable net working capital.

• Net profit declined 4% YoY to HUF 65.3bn, reflecting flat operating profit and lower net financial income.

• AGM approved HUF 120bn total dividends from 2025 profits, including a special dividend.

Financial highlights

• Reported pharma revenues: HUF 217.3bn (-1.3% YoY); CER revenue growth: +5.9%.

• Gross profit fell 4.7% YoY to HUF 147bn; gross margin declined to 67.6% (-2.4ppt).

• Clean EBIT (pharma): HUF 69.7bn (+1.5% YoY reported, +15% CER).

• Free cash flow: HUF 77bn (+29% YoY).

• EPS: HUF 357 (-4.3% YoY); Return on Equity: 15.7% (-2.1ppt YoY).

Outlook and guidance

• Full-year guidance for high-single-digit CER revenue and Clean EBIT growth reiterated.

• FX volatility, especially USD/HUF, expected to remain a significant headwind.

• Some moderation in BIO revenue growth and continued price erosion in biosimilars anticipated.

• Management optimistic about new product launches and R&D collaborations.