Sweden's EQL Pharma Q4 revenue rises

EQL Pharma AB

08/05/2026 06:09

Overview

Sweden generic drug developer's Q4 revenue rose 6% yr/yr to a record SEK 120.2 mln

Q4 gross margin dropped to 28% from 41% due to one-off items impacting profit

Company forecasts lower sales growth next yr due to launch delays; long-term outlook unchanged

Outlook

EQL Pharma forecasts 2026/27 sales growth of around 15%, lower than previously expected

Company expects leverage to remain above target through much of 2026/27 before declining

Long-term five-year growth plan and targets remain unchanged despite launch delays

Result Drivers

ONE-OFF COSTS - Gross margin fell due to SEK 13 mln in one-off items, including product impairments, inventory destruction, higher logistics costs and acquisition expenses

LOGISTICS DISRUPTIONS - Ongoing logistics challenges, especially from the Iran conflict, increased freight and insurance costs and contributed to supply shortages

PORTFOLIO STREAMLINING - Company removed underperforming products from portfolio and pipeline to improve scalability and cash flow predictability

Company press release: ID:nWkrhX4WH

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
SEK 120.20 mln
SEK 117 mln (1 Analyst)
Q4 EBIT
SEK 5.10 mln


Analyst Coverage

Wall Street's median 12-month price target for EQL Pharma AB is SEK75.00, about 41% above its May 7 closing price of SEK53.20

The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 28 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)