Corbion N.V.

Corbion reported H1 2026 sales of EUR 631.1 million versus EUR 645.6 million in H1 2025, a reported decline of 2.2%. Organic sales increased 2.1% in H1, driven by 4.0% volume/mix and offset by 1.9% pricing; currency was a negative 4.3%. Q2 sales were EUR 337.4 million versus EUR 315.9 million a year ago, with organic growth of 8.5% from 10.7% volume/mix and -2.0% pricing. Adjusted EBITDA was EUR 88.8 million in H1 versus EUR 106.6 million last year, a reported decline of 16.7% and an organic decline of 8%; Q2 adjusted EBITDA was EUR 51.0 million versus EUR 52.2 million last year, and on an organic basis Q2 EBITDA grew 4.2%. Operating profit was EUR 42.1 million in H1 versus EUR 63.5 million last year. Full-year guidance remains organic sales growth of 3% to 6% and free cash flow of EUR 85 million to EUR 90 million; adjusted EBITDA margin guidance was refined to above 16% from around 17%. In Health & Nutrition, management now expects margins around 30% for the full year, and said the business would be mildly higher than 30% under its current assumptions. In FIS, management said the full-year margin outlook is unchanged in principle, with H1 margin at 10.3% versus 11.9% last year and Q2 showing a 250 bps sequential improvement. Free cash flow was negative EUR 4 million in H1, while operating working capital increased by EUR 37 million and CapEx was approximately EUR 27 million in H1, including EUR 17 million maintenance and EUR 10 million expansion CapEx.

Olivier Rigaud framed the quarter as a turning point, saying Q2 was a 'step change in momentum' and that H2 already has multiple levers visible in Q3. He emphasized that FIS is seeing real food wins and margin recovery, while Health & Nutrition is benefiting from tighter omega-3 supply and stronger demand. His tone was constructive and confident, but still measured: he said the company is taking a prudent view on full-year margin while expecting a clear second-half step-up.

Peter Kazius focused on the mechanics behind the numbers: H1 sales of EUR 631.1 million, H1 adjusted EBITDA of EUR 88.8 million, Q2 EBITDA of EUR 51.0 million, and a 220 bps sequential EBITDA margin improvement. He said the H1 free cash flow of negative EUR 4 million was mainly a seasonal working-capital issue, especially accounts receivable, and noted that receivables improved in July. On capital allocation, he pointed to disciplined CapEx of about EUR 27 million in H1, and reiterated full-year free cash flow guidance of EUR 85 million to EUR 90 million, with an effective tax rate expected at 23% to 25% for the full year. He also said the EBITDA margin guidance move to above 16% was driven mainly by Middle East-related sulfuric acid costs, which he now pegs at a gross impact of EUR 15 million to EUR 20 million, partly offset by pricing and cost discipline.

Analysts focused on three areas: how much of FIS growth came from lactic acid to PLA versus core food/biochemicals, how much omega-3 pricing upside is embedded in H2, and why the EBITDA margin outlook was cut to above 16% from around 17%. Management said PLA demand is being helped by stronger industrial 3D printing demand in China and that the growth looks sustainable, though price in the JV was still depressed in H1 and should recover in H2. On omega-3, management said H1 margins of 27.5% should move to around 30% in H2 as prices reset, but most of the second-half order book is already fixed; longer-term contracts running to December 2026 were previously in the $4,000 to $5,000 range and renewals for 2027 are now being negotiated. On the margin cut, Peter Kazius said Middle East-related sulfuric acid costs are the main reason, with a gross annualized impact of EUR 15 million to EUR 20 million, only partly offset by pricing and productivity.