By Isabel Demetz (Reuters) - German packaging and medical equipment maker Gerresheimer, which makes pens used to inject weight loss drugs such as Novo Nordisk's Wegovy, halved its revenue guidance for
Gerresheimer slashes revenue guidance for 2025 in half
By Isabel Demetz
(Reuters) - German packaging and medical equipment maker Gerresheimer, which makes pens used to inject weight loss drugs such as Novo Nordisk's Wegovy, halved its revenue guidance for 2025 on Wednesday.
The company now expects organic revenue growth in the range of 3% to 5% in 2025, down from the previous range of 7% to 10%. It, however, confirmed the guidance for adjusted core profit margin of around 22%.
The outlook includes the contribution from Bormioli Pharma, whose acquisition was finalised in December and is part of Gerresheimer's plans to create a new moulded glass business unit.
"The forecast was also influenced by the fact that we are seeing somewhat subdued demand in the cosmetics and food and beverage segments," a spokesperson told Reuters.
Additionally, Gerresheimer's customer SQ Innovation will be able to market a combination product with their body-worn drug pump only from October, shifting sales there as well, they added.
The company also cut its mid-term guidance for revenue, now expecting the figure to grow in a range of 8% to 10% at compounded annual growth rate, down from a previous projection for growth of equal or above 10%.
Gerresheimer also reported fourth-quarter results broadly in line with market expectations, driven by its plastics and devices division.
Adjusted core profit for the last quarter of 2024 came in at 126.7 million euros ($132.98 million), in line with analysts' expectation of 126.8 million euros in a company provided poll.
The primary packaging glass division showed first signs of recovery in the glass vial market in the fourth quarter, but destocking effects at pharmaceutical customers still weighed on the full year, the company said.
($1 = 0.9527 euros)
(Reporting by Isabel Demetz; Editing by Jacqueline Wong, Subhranshu Sahu and Louise Heavens)
