Key figures |
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Change |
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€ million |
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2024 |
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2023 |
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€ million |
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% |
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Net sales |
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8,916 |
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9,281 |
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-365 |
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-3.9% |
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Operating result (EBIT)1 |
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1,507 |
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1,850 |
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-343 |
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-18.6% |
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Margin (% of net sales)1 |
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16.9% |
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19.9% |
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EBITDA2 |
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2,455 |
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2,731 |
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-276 |
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-10.1% |
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Margin (% of net sales)1 |
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27.5% |
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29.4% |
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EBITDA pre1 |
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2,589 |
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2,820 |
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-230 |
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-8.2% |
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Margin (% of net sales)1 |
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29.0% |
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30.4% |
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Development of sales and results of operations
The development of net sales in the individual quarters in comparison with 2023 as well as the respective organic growth rates are presented in the following graph:
Life Science
Net sales and organic growth1 by quarter2
€ million/organic growth in %
2 Quarterly breakdown unaudited.
Net sales by business unit |
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€ million |
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2024 |
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Share |
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Organic growth1 |
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Exchange rate effects1 |
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Acquisitions/ |
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Total change |
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2023 |
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Share |
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|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Science & Lab Solutions |
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4,671 |
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52% |
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0.2% |
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-0.9% |
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– |
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-0.7% |
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4,706 |
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51% |
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Process Solutions |
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3,523 |
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40% |
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-6.4% |
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-0.6% |
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0.2% |
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-6.9% |
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3,782 |
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41% |
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Life Science Services |
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722 |
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8% |
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-9.4% |
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0.6% |
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– |
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-8.9% |
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792 |
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8% |
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Life Science |
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8,916 |
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100% |
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-3.3% |
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-0.7% |
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0.1% |
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-3.9% |
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9,281 |
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100% |
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- The Science & Lab Solutions business unit, which provides products and services to support life science research for pharmaceutical, biotechnology and academic research laboratories and researchers as well as scientific and industrial laboratories, saw organic growth of 0.2% in fiscal 2024. In general, the year-on-year comparison is impacted by a base effect, as the first half of 2023 was still driven by higher Covid-19-related sales and a more favorable economic environment, leading to an overall organic sales decline in the first half of 2024. However, the second half of 2024 showed an organic increase impacted by, among other things, a base effect in the year-earlier period that was driven by the roll-out of an ERP system. The Latin America region made the strongest organic growth contribution. However, unfavorable foreign exchange effects led to a sales decrease to € 4,671 million (2023: € 4,706 million).
- The Process Solutions business unit, which markets products and services for the entire pharmaceutical production value chain, saw an organic decrease of -6.4% in 2024 due to the continued presence of pandemic-related sales in the year-earlier period as well as the ongoing effects of destocking by key customers. These factors contributed to the organic decline in sales in the first half of 2024. After the phasing out of these factors, Process Solutions saw a recovery in the second half of 2024 and made a favorable contribution in this period. The decline in net sales impacted all core regions (North America, Europe, Asia-Pacific).
- The Life Science Services business unit, which offers services for fully integrated contract development and manufacturing as well as contract testing services, recorded an organic sales decline of -9.4% in fiscal 2024. This was mainly driven by one of the customers of our contract development and manufacturing organization (CDMO) adjusting its supply chain. In addition, sales from our CDMO activities declined organically due to the loss of pandemic-related sales that still positively affected the previous year. Including a favorable foreign exchange effect, sales decreased to € 722 million in fiscal 2024 (2023: € 792 million). The decrease in sales was mainly attributable to Europe and North America.
Net sales of the business sector by region developed as follows:
Net sales by region |
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€ million |
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2024 |
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Share |
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Organic growth1 |
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Exchange rate effects1 |
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Acquisitions/ |
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Total change |
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2023 |
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Share |
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|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Europe |
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3,136 |
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35% |
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-1.8% |
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0.5% |
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– |
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-1.3% |
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3,178 |
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34% |
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North America |
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3,146 |
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35% |
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-6.8% |
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0.0% |
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0.2% |
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-6.7% |
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3,372 |
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36% |
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Asia-Pacific (APAC) |
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2,143 |
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24% |
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-2.8% |
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-2.5% |
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– |
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-5.3% |
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2,263 |
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25% |
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Latin America |
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382 |
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4% |
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13.5% |
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-5.0% |
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– |
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8.6% |
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352 |
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4% |
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Middle East and Africa (MEA) |
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109 |
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1% |
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-6.1% |
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-0.1% |
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– |
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-6.2% |
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116 |
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1% |
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Life Science |
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8,916 |
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100% |
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-3.3% |
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-0.7% |
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0.1% |
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-3.9% |
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9,281 |
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100% |
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The following table presents the composition of EBITDA pre for 2024 in comparison with 2023. The International Financial Reporting Standards (IFRS) figures have been modified to reflect the elimination of adjustments included in the respective functional costs.
Reconciliation EBITDA pre1 |
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2024 |
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2023 |
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Change |
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€ million |
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IFRS |
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Elimination of adjustments |
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Pre1 |
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IFRS |
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Elimination of adjustments |
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Pre1 |
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Pre1 |
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Net sales |
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8,916 |
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– |
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8,916 |
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9,281 |
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– |
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9,281 |
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-3.9% |
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Cost of sales |
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-4,150 |
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25 |
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-4,125 |
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-4,236 |
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6 |
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-4,230 |
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-2.5% |
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Gross profit |
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4,766 |
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25 |
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4,791 |
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5,044 |
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6 |
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5,050 |
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-5.1% |
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Marketing and selling expenses |
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-2,238 |
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25 |
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-2,213 |
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-2,245 |
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12 |
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-2,232 |
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-0.9% |
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Administration expenses |
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-441 |
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58 |
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-382 |
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-425 |
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53 |
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-372 |
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2.7% |
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Research and development costs |
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-388 |
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1 |
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-387 |
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-396 |
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3 |
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-393 |
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-1.6% |
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Impairment losses and reversals of impairment losses on financial assets (net) |
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-7 |
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– |
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-7 |
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-2 |
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– |
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-2 |
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>100.0% |
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Other operating income and expenses |
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-186 |
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111 |
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-75 |
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-126 |
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48 |
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-78 |
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-4.5% |
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Operating result (EBIT)1 |
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1,507 |
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1,850 |
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Depreciation/amortization/impairment losses/reversals of impairment losses |
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948 |
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-86 |
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863 |
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881 |
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-34 |
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848 |
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1.8% |
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EBITDA2 |
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2,455 |
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2,731 |
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Restructuring expenses |
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73 |
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-73 |
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– |
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30 |
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-30 |
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– |
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Integration expenses/IT expenses |
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46 |
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-46 |
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– |
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53 |
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-53 |
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– |
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Gains (-)/losses (+) on the divestment of businesses |
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1 |
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-1 |
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– |
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– |
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– |
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– |
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Acquisition-related adjustments |
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14 |
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-14 |
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– |
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6 |
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-6 |
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– |
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Other adjustments |
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– |
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– |
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– |
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– |
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– |
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– |
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EBITDA pre2 |
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2,589 |
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– |
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2,589 |
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2,820 |
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– |
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2,820 |
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-8.2% |
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of which: organic growth1 |
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-6.3% |
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of which: exchange rate effects |
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-1.7% |
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of which: acquisitions/divestments |
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-0.2% |
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- The adjusted gross profit for the Life Science business sector was lower in 2024 in comparison with fiscal 2023. This was mainly attributable to the sales decline due to the effects of destocking by key customers in Process Solutions and the decrease in both pandemic-related sales and fixed plant costs. At 53.7%, the adjusted gross margin in fiscal 2024 was slightly below the previous year (2023: 54.4%).
- The reduction in gross profit was partly offset by slightly lower adjusted operational expenses. The decrease in marketing and selling expenses in 2024 was mainly driven by cost saving and efficiency programs as well as lower logistics costs resulting from the lower sales volume and efficiencies.
- Administration expenses increased as a result of higher personnel costs, especially as a result of regular annual salary increases; however, these were partially offset by saving measures. Research and development costs after eliminating adjustments and the net position of other operating income and expenses remained largely stable in 2024 compared with fiscal 2023; this also was due to saving measures offsetting regular annual salary increases.
- In 2024, EBITDA pre declined organically compared with fiscal 2023, resulting in an EBITDA pre margin of 29.0% (2023: 30.4%).
The development of EBITDA pre in the individual quarters in comparison with 2023 is presented in the following overview:
Life Science
EBITDA pre1 and change by quarter2
€ million/change in %
2 Quarterly breakdown unaudited.