Galenica Investor Day: Updated mid-term guidance and strategy update

Galenica is raising its mid-term growth forecast and now expects net sales to grow by 3% to 5% in the next years. To date, Galenica had expected sales to grow faster than the expected market growth of 1% to 2%.

Galenica is confirming its mid-term targets for return on sales (ROS)¹ at over 9.5% in the Products & Care segment and up to 2% in the Logistics & IT segment. Galenica aims to achieve these targets in its centenary year 2027 with an EBIT² of over CHF 250 million. Due to an intensive final phase of the ERP project in the Logistics & IT segment, scheduled to be completed in 2025, ongoing investments in the digital Omni-Channel infrastructure as well as further investments in staff as a basis for the Group’s successful further development, Galenica expects a stable development of its return on sales (ROS)¹ up to 2025.

Galenica assumes that the level of investments³ will remain stable over the next years and continues to aim for net debt² of around +/-2× EBITDA². Galenica continues to pursue a policy of at least stable dividends that grow in line with results.

The current guidance for the 2023 financial year, with sales growth of between 3% and 6% and EBIT² at roughly prior year level (based on the restated figures from the previous year) remains unchanged.