Merck KGaA's ( OTCPK:MKGAF ) ( OTCPK:MKKGY ) Q3 revenue was driven by its Life Science and Healthcare businesses, and the company confirmed its FY22 revenue outlook.
Q3 EPS rose +21.1% Y/Y to €2.12, while EPS pre increased +19.6% Y/Y to €2.68.
Group net sales grew +16.8% Y/Y to €5.81B. EBITDA increased +16.7% to €1.81B.
“Despite the ongoing turbulence in our external operating environment, we’ve demonstrated our resilience and delivered strong organic growth in sales and EBITDA pre in the third quarter of 2022,” said Merck KGaA's Chair of the Executive Board and CEO Belén Garijo.
"In Life Science, the core business delivered double-digit growth, more than offsetting the expected decline in pandemic-related sales," added Garijo.
Net sales from Life Science segment increased by +19.2% Y/Y to ~€2.68B. Science & Lab Solutions business grew +16.7% to ~€1.25B.
Process Solutions business grew +19.9% Y/Y to ~€1.19B. Life Science Services increased 29.5% to €244M.
Healthcare segment's net sales grew +16.9% Y/Y to ~€2.89B.
Oncology product sales increased +30% Y/Y to €453M with sales of urothelial cancer drug Bavencio growing +59.9% Y/Y to €166M. Sales of colorectal/head and neck cancer drug Erbitux grew +17.5%% Y/Y to €274M.
Sales of the Neurology & Immunology franchise increased +12.3% Y/Y to €484M. Multiple sclerosis (MS) drug Mavenclad sales grew +18.9% Y/Y to €234M. and another MS drug Rebif revenue grew +6.8% Y/Y to €249M.
Fertility business sales grew 9.9% Y/Y to €373M, while Cardiovascular/Metabolism/Endocrinology business sales saw a growth of +14.8% Y/Y to €730M.
Sales of Electronics business sector grew +10.6% Y/Y to ~€1.04B. Net sales of Semiconductor Solutions business unit increased +27.3% Y/Y to €729M. However, net sales of the Display Solutions business unit declined -24.9% Y/Y to €200M.
Outlook :
The company expects Group net sales to be between ~€22B and €22.90 ( prior outlook in Q2 results was €21.9B to €23.0B).
Merck expects EPS pre between €9.90 and €10.70 (previously €9.85 to €10.75).
EBITDA pre expected between €6.80B and €7.20B.
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Merck KGaA Q3 sales grow on back of Life Science business, confirms FY22 outlook