Novonesis has raised its full-year 2026 outlook after delivering broad-based organic sales growth of 8% in the first half, with the biosolutions company also announcing its first-ever share buyback program worth EUR 1 billion.

 

The company now expects organic sales growth of 7-8% for 2026, up from its previous forecast of 5-7%. Adjusted EBITDA margin is expected to land at the higher end of the 37-38% range.

 

“We continue to deliver strong results with positive momentum across all sales areas and in both developed and emerging markets, also driving strong profitability and cash flow.

 

"Our sustained performance quarter after quarter underlines the growing need for biosolutions, the strength of our offering and the resilience of our broad market reach. On this basis, we raise the full-year outlook," Ester Baiget, President & CEO, said.

 

Novonesis posted 9% organic sales growth in the second quarter, helping drive the 8% increase for the first half despite a roughly 1.5 percentage-point drag from the company's decision to exit certain countries. Pricing contributed nearly 2 percentage points to growth, while revenue synergies added about 1 percentage point.

 

Food & Health Biosolutions grew 9% organically in the first half, driven by Food & Beverages, while Planetary Health Biosolutions increased 7%, with strong performances from Household Care and Agriculture, Energy & Tech.

 

Developed markets delivered 8% organic growth, while emerging markets also grew 8%, despite a roughly 4 percentage-point negative impact from exiting certain countries.

 

Profitability remained strong. Adjusted EBITDA margin reached 37.7%, up 30 basis points from the same period last year despite currency headwinds. Adjusted net profit excluding purchase price allocation (PPA) rose 8%.

 

Novonesis ended the period with net debt to EBITDA of 1.8x, while free cash flow before acquisitions amounted to 14% of sales. Capital expenditure stood at 9.7% of sales, in line with plan.

 

The company also approved an interim dividend of DKK 2.35 (EUR 0.31) per share for the first six months of 2026.

 

In a major capital-allocation move, Novonesis approved its inaugural multi-year share buyback program, with a total value of EUR 1 billion. The program is set to begin in the second half of 2026 and is expected to be completed by the end of 2029.

 

The company also confirmed that, following its August 10 announcement, it has signed an agreement to acquire the remaining 77% of MicroBioGen.

 

Novonesis said its upgraded full-year forecast includes a close to 1 percentage-point negative impact from exiting certain countries, underscoring the strength of the underlying growth momentum.