Euroapi S.A.

Net sales were EUR 848.2 million in 2025 versus EUR 911.9 million in 2024, down 7% reported and down 5.9% on a comparable basis. Core EBITDA was EUR 66.2 million, up 31% year over year, with a 7.8% margin versus 5.5% in 2024. EBITDA was close to EUR 10 million versus negative EUR 44 million in 2024. Operating income was negative EUR 130.6 million versus negative EUR 120.4 million in 2024, and the net loss widened to EUR 211.2 million from EUR 130.6 million. Net cash was EUR 68.2 million at year-end, up from EUR 24.6 million. For 2026, management expects comparable net sales to fall by around 10% and core EBITDA margin to remain broadly in line with FY2025. CapEx is expected to be around 8% of sales in 2026.

David Seignolle emphasized that the company is making progress on the parts it can control: cost discipline, working capital, footprint simplification, and portfolio rationalization. He repeatedly framed 2025 as evidence that Euroapi can execute operationally even in a tougher market, while also saying the environment has worsened faster than expected, with more Asian competition and slower-than-planned CDMO development. His tone was pragmatic and defensive, but he stressed that the long-term strategy remains focused on being a European supplier of complex APIs, a reliable CMO partner, and a trusted CDMO player.

Olivier Falut walked through the financial bridge behind the year. He cited EUR 66.2 million of core EBITDA, a 7.8% margin, EUR 56.3 million of nonrecurring items tied largely to FOCUS-27, and EUR 77 million of CapEx, of which 65% went to growth and performance projects and 21% to compliance. He also highlighted working capital gains, including months on hand of 7 and DSO of 36, plus EUR 128.5 million of operating cash flow and EUR 51.5 million of free cash flow before financing. Net cash rose to EUR 68.2 million, and debt financing costs fell to EUR 3 million after the 2024 refinancing.

Analysts focused on the 2026 top-line headwind, the EUR 77.8 million Vitamin B12 impairment, future impairment risk, restructuring costs, and whether lower CapEx reflected cash preservation or a lower growth outlook. Management said there is no further planned portfolio discontinuation, no plan for additional B12-related impairments in 2026, and that restructuring costs are cash amounts covering 2026-2027. On competition, management said Chinese and low-cost Asian pressure is strongest in commoditized APIs, while Euroapi believes it has an edge in prostaglandins, opiates, and corticosteroids through technology, integrated manufacturing, and European supply-chain sovereignty. Management also said CDMO has been slower than the IPO story implied because the company had to refocus on fewer, more strategic projects and build new customer-facing capabilities.