Prime Highlights :
- Lonza raised its full-year core EBITDA margin forecast to 33–34% after a strong first-half performance.
- The company will expand antibody-drug conjugate production capacity at its Stein facility in Switzerland.
Key Facts :
- Lonza is the world’s largest contract drug manufacturer.
- The company expects full-year sales to grow 11% to 12% at constant exchange rates.
Background :
Lonza has increased the core profit margin forecast for the year on the back of impressive results during the first six months of 2026 due to increased efficiency and contributions from newly enhanced projects.
The Swiss contract drug manufacturer now expects its core EBITDA margin to reach between 33% and 34% for the year, compared with its earlier guidance of more than 32%.
The company’s core contract manufacturing business reported a 27.4% rise in core EBITDA at constant exchange rates, reaching 1.17 billion Swiss francs during the first half of the year. The result was higher than analysts’ expectations. Sales increased 11.2% at constant exchange rates to 3.37 billion Swiss francs during the same period.
Lonza said the strong first-half performance supports expectations for another solid year. However, it expects growth and profitability to slow in the second half because of business timing, particularly in its advanced synthesis unit, and tougher comparisons with the previous year.
The company also confirmed its full-year sales growth forecast of 11% to 12% at constant exchange rates.
Lonza is continuing its strategy of focusing entirely on contract drug manufacturing. As part of this strategy, it decided earlier this year to sell its capsule and health ingredient business.
The company also announced plans to expand its antibody-drug conjugate production capacity at its Stein facility in Switzerland. It will add a commercial-scale filling line under a long-term partnership with a major pharmaceutical company. The new production line is expected to become operational in 2030.
The expansion is expected to strengthen Lonza’s manufacturing capabilities and support rising demand for advanced biologic medicines.
