Gerresheimer AG

Gerresheimer reported Q1 2025 revenue of EUR520 million, up 11.6% from EUR466 million in Q1 2024, and adjusted EBITDA of nearly EUR92 million, up 13.1% from EUR81 million. On a pro forma basis, revenue was EUR520 million versus EUR553 million and adjusted EBITDA was EUR92 million versus EUR99 million; organically, revenue declined 6.5% and adjusted EBITDA declined 9.3%. Adjusted EPS was EUR0.46 versus EUR0.65 a year ago, while organic adjusted EBITDA margin was 17.6%, down 50 basis points. Full-year 2025 guidance was reaffirmed for 3% to 5% organic revenue growth versus combined pro forma 2024, an adjusted EBITDA margin of around 22%, and adjusted EPS growth in the high single-digit percentage range. Management also said free cash flow before M&A should end the year between minus EUR50 million and zero, with leverage targeted to move toward the mid-3s by year-end from 3.97x in Q1.

Dietmar Siemssen framed Bormioli Pharma as the key strategic shift, saying it takes Gerresheimer to a new revenue and EBITDA scale and supports the move toward a global molded glass powerhouse and a broader high-value solutions portfolio. He stressed that Q1 organic weakness was mainly timing-related, especially syringe phasing, and said the company should return to organic growth from Q2 onward. His tone was confident and explanatory, emphasizing order strength, new ramp-ups, and the ongoing shift toward high-value products like ready-to-fill vials and syringes.

Bernd Metzner focused on the quarter’s mechanics: pro forma revenue declined from EUR553 million to EUR520 million, adjusted EBITDA from EUR99 million to EUR92 million, and adjusted EPS from EUR0.65 to EUR0.46. He highlighted that organic margin held at 17.6%, that almost EUR10 million of EBITDA adjustments were mainly Bormioli acquisition-related, and that net financial debt rose to EUR1.930 billion with leverage at 3.97x after closing Bormioli. On cash, he said Q1 free cash flow before M&A was minus EUR141 million, net CapEx cash out was EUR113 million, and the company expects a significant working-capital release and lower CapEx than last year to support a full-year free cash flow target of minus EUR50 million to zero.

Analysts pressed on Bormioli profitability, tariff exposure, the strategic review/Capital Markets Day timing, organic growth phasing, order intake strength, GLP-1 revenue, and the free cash flow path. Management said Bormioli profitability was slightly improving in Q1 and should contribute nicely to margins, but they would not break out subsegment guidance. On tariffs, they argued Gerresheimer is largely insulated because it produces and sources regionally, with Mexico shipments covered by USMCA and minimal China exposure to the U.S.; they also said any shift of production into the U.S. could benefit them. They confirmed Capital Markets Day is planned for late summer or early fall, said GLP-1 revenue should probably exceed EUR200 million this year, and reiterated that Q2 should return to positive organic growth with a stronger second half.