Lonza has reported 2020 strong sales of CHF 4.5 billion, sales growth of 12% and CHF 1.4 billion CORE EBITDA, resulting in a margin of 31.2%.

The results mainly reflect the Pharma Biotech & Nutrition segment (LPBN) which delivered 12.2% sales growth and a CORE EBITDA margin of 32.1%. The LSI segment, reported as a discontinued operation, delivered a strong performance with 3.4% sales growth alongside an improved 20.3% CORE EBITDA margin.

Throughout 2020, Lonza maintained business continuity during the COVID-19 pandemic with minimal impacts to operations and supply. Lonza’s sustained contribution to controlling the pandemic saw agreements signed with many customers to manufacture vaccine candidates, treatments and therapies related to COVID-19. Production of the drug substance for Moderna’s COVID-19 Vaccine is underway at both Lonza Portsmouth (USA) and Lonza Visp (CH) sites.

Pierre-Alain Ruffieux, CEO, Lonza Group said, "Double-digit sales growth for Lonza is a testament to the exceptional commitment of our employees in these extraordinary times. It also demonstrates the resilience of the business during a year of unprecedented change."

"Looking to the longer term, we are maintaining our focus on strategic CAPEX investments to support our growth momentum, while redoubling our focus on sustainability,” added Ruffieux.

Progress has been made in the divestment of the LSI segment. Following initial expressions of interest from potential buyers in 2020, a shortlist of bidders has been selected and a deal is expected to be signed in Q1 2021. The sale will allow Lonza to focus on its core healthcare business while delivering value to shareholders.

A new organizational design came into effect on 1 January 2021, in which Lonza’s businesses are organized into four main divisions and five functions. Financial reporting will be updated to include divisional performance in the future. Alongside this, effective 1 April 2021, three new members (Claude Dartiguelongue, Gordon Bates and Jean-Christophe Hyvert) have been appointed to Lonza’s Executive Committee to reflect the new structure of the business and ensure divisional representation.