Merck Kgaa · XETR:MRK

Merck Kgaa — Q1 2026 Earnings Presentation

39 slides from Merck Kgaa's earnings presentation, May 13, 2026

1. Slide 1: Solid start to 2026

   Solid start to 2026 Merck KGaA, Darmstadt, Germany Q1 2026 results Kai Beckmann, CEO Helene von Roeder, CFO May 13, 2026

2. Slide 2: Disclaimer

   Disclaimer Publication of Merck KGaA, Darmstadt, Germany. In the United States and Canada the group of companies affiliated with Merck KGaA, Darmstadt, Germany operates under individual business names (EMD Serono, Millipore Sigma, EMD Performance Materials). To reflect such fact and to avoid any mis

3. Slide 3: Agenda

   Agenda Executive Summary Financial Overview Outlook & Guidance Strategic Update 3 Merck KGaA, Darmstadt, Germany, Q1 2026 Results Presentation | May 13, 2026

4. Slide 4: Executive summary

   01 Executive summary

5. Slide 5: Highlights: Process Solutions and Semi Materials Driving Growth

   Highlights: Process Solutions and Semi Materials Driving Growth Operations Group Financials Q1 YoY organic sales growth Life Science: Q1 organic sales: +2.9%  Accelerated PS growth (+16%) fuels LS performance (+8%)  AS up 4%, slight growth in DS despite continued headwinds Q1 organic EBITDA pre: +

6. Slide 6: Driving Organic Growth Amid Disproportionate FX Headwinds in Q1

   Driving Organic Growth Amid Disproportionate FX Headwinds in Q1 Q1 YoY Net Sales Q1 YoY EBITDA pre Organic Currency Portfolio Total €1,535 m 5.3% 0.1% €1,530 m Life Science 8.3% -6.0% -0.1% 2.2% -5.7% Healthcare -3.4% -4.0% 4.4% -3.0% Electronics 4.2% -7.5% -10.6% -13.9% Group 2.9% -5.5% -0.2% -2.8%

7. Slide 7: Financial overview

   02 Financial overview

8. Slide 8: Q1 2026: Overview

   Q1 2026: Overview Key figures Comments [€m] Q1 2025 Q1 2026 Δ  Sales down -3% as organic growth of 3% is negated by elevated FX headwinds Net sales 5,280 5,134 -2.8% (mainly USD and in Asia) EBITDA pre 1,535 1,530 -0.3%  EBITDA pre org. up +5% driven by LS Margin (in % of net sales) 29.1% 29.8% 0.

9. Slide 9: Life Science: Strong Organic Growth Fueled by Acceleration in PS

   Life Science: Strong Organic Growth Fueled by Acceleration in PS Life Science P&L Net sales bridge [€m] IFRS Pre €2,218 m 8.3% €2,266 m Q1 2025 Q1 2026 Q1 2025 Q1 2026 -6.0% -0.1% Net sales 2,218 2,266 2,218 2,266 M&S -555 -551 -554 -551 +0.0% Q1 2025 Organic Currency Portfolio Q1 2026 Admin -107 -1

10. Slide 10: Healthcare: CM&E and Rare Diseases Cushion N&I and Oncology

    Healthcare: CM&E and Rare Diseases Cushion N&I and Oncology Healthcare P&L Net sales bridge [€m] IFRS Pre €2,114 m 4.4% €2,052 m Q1 2025 Q1 2026 Q1 2025 Q1 2026 -3.4% -4.0% Net sales 2,114 2,052 2,114 2,052 M&S -411 -433 -411 -419 Q1 2025 Organic Currency Portfolio Q1 2026 Admin -73 -98 -71 -85 R&D

11. Slide 11: Electronics: Solid Organic Growth Driven by Semi Materials

    Electronics: Solid Organic Growth Driven by Semi Materials Electronics P&L Net sales bridge [€m] IFRS Pre €948 m 4.2% €817 m Q1 2025 Q1 2026 Q1 2025 Q1 2026 -7.5% -10.6% Net sales 948 817 948 817 M&S -142 -117 -139 -117 Admin -48 -41 -36 -34 Q1 2025 Organic Currency Portfolio Q1 2026 R&D -76 -69 -76

12. Slide 12: Balance Sheet

    Balance Sheet Assets [€bn] Liabilities [€bn] 51.5 53.1 53.1 51.5 Cash & cash equivalents 2.7 2.7 3.9 4.3 Receivables 4.6 4.8 Inventories 29.8 28.7 Net equity Intangible assets 25.6 26.0 12.0 12.0 Financial debt Property, plant Payables/refund liabilities 9.9 10.0 3.2 3.1 & equipment 1.6 1.6 Provisio

13. Slide 13: Cash flow statement

    Cash flow statement Q1 2026 – cash flow statement Cash flow drivers [€m] Q1 2025 Q1 2026 Δ Profit after tax 738 669 -69  Profit after tax in-line with lower reported EBIT, driven by exceptionally D&A 473 497 23 strong FX headwinds  D&A slightly up due to amortisation of Changes in provisions -45 -

14. Slide 14: Outlook & Guidance

    03 Outlook & Guidance

15. Slide 15: Group Full-year 2026 guidance

    Group Full-year 2026 guidance1 Net sales: Organic: 0% to +3% YoY FX: -3% to -1% YoY ~€20.4 – €21.4 bn EBITDA pre: Organic: -2% to +2% YoY FX: -5% to -2% YoY ~€5.7 – €6.1 bn EPS pre: ~€7.50 - €8.20 1 Excluding potential Pergoveris launch in US and assuming full generic erosion of Mavenclad in US as o

16. Slide 16: 2026 business sector guidance

    2026 business sector guidance1 Net sales EBITDA pre Life Science  Organic: +4% to +7% YoY  Organic: +4% to +8% YoY  FX: -3% to -1% YoY  PF: ~+1% (~€20 m) YoY  ~€9.1 bn to €9.5 bn  FX: -4% to -1% YoY  ~€2.6 bn to €2.8 bn Net sales EBITDA pre 2 Healthcare  Organic: -6% to -3% YoY  Organic: -1

17. Slide 17: Strategic update

    04 Strategic update

18. Slide 18: Setting course for value creation and growth

    Setting course for value creation and growth Where We Are Today The Opportunity How We Win Our Ambition A strong Differentiated value Develop portfolio and Unlock value creation foundation via convergence and AI increase company velocity and growth • A trusted brand with leading • Customer and patie

19. Slide 19: Four streams to develop our portfolio and increase company velocity

    Four streams to develop our portfolio and increase company velocity 1 Focus on high growth value drivers 2 Shift selected product portfolio toward integrated workflow solutions 3 Leverage platformed capabilities across businesses 4 Scale and source innovation via M&A and in-licensing Acronym(s): M&A

20. Slide 20: Integrated solutions

    Shift toward integrated, end-to-end offerings in select high-value areas, enabled by platformed capabilities Existing Workflow Solutions examples Value chain of life science-related industries Heterogeneous Bioprocessing Integration Services Integrated solutions Single use Advanced Materials Single-

21. Slide 21: How we will invest in the opportunities ahead of us

    How we will invest in the opportunities ahead of us 1 M&A as a growth lever critical for programmatic innovation 2 Strengthen portfolio across the Group aligned to high growth value drivers 3 Driving external innovation to build a risk-balanced early/mid stage pharma pipeline Financial Criteria Fina

22. Slide 22: Creating sustainable value & growth

    From lab to customers and patients, we make complex science real Focus on Shift selected product 1 2 Creating high growth value drivers portfolio toward integrated workflow solutions sustainable Convergence value & growth of biology, chemistry, physics • by combining biology, chemistry, physics, wit

23. Slide 23: Appendix

    Appendix

24. Slide 24: Additional Financial Guidance 2026

    Additional Financial Guidance 2026 Further financial details Corporate & Other EBITDA pre ~ -€450 m Interest result ~ -€270 m to -€320 m Effective tax rate ~ 21% to 23% Capex on PPE1 ~ €1.3 to 1.5 bn FY 2026 overall hedge ratio ~ 40% Hedging at Corporate & Other line2 EUR/USD hedging @ ~ 1.15 2026 Ø

25. Slide 25: Asia-Pacific and Europe Drive Organic Growth, North America Stable

    Asia-Pacific and Europe Drive Organic Growth, North America Stable Regional breakdown of net sales [€m] Regional organic development Europe +4.8% org.  APAC: solid growth due to LS (PS) and EL 32% (Semi Solutions), supported by HC (Pergoveris®, CM&E)  Europe: solid growth driven by LS (PS), North

26. Slide 26: Q1 2026: Reported Figures

    Q1 2026: Reported Figures Reported results Comments  EBIT down due to FX headwinds and [€m] Q1 2025 Q1 2026 Δ portfolio effects, organically up EBIT 1,006 937 -6.8%  Change in financial result reflects higher interest costs following Financial result -50 -68 37.6% SpringWorks M&A Profit before tax

27. Slide 27: Credit Details

    Credit Details Bond maturity profile as of March 31, 2026 Credit rating information Coupon [EUR m/USD m] 3.750% Last LT 0.875% LT ST 4.125% 4.375% Rating Outlook Rating Rating 0.500% 3.875% 2.375% Change 2.875% 5.000% 850 A3 21.10.21 Stable P-2 750 4.625% 1.625% 800 1,000 1.875% 0.375% 271 1,250 A 2

28. Slide 28: Process Solutions: Organic Sales at low teens %, boosted by exceptional items

    Process Solutions: Organic Sales at low teens %, boosted by exceptional items Sales development [€m] - org. growth [%] YoY 1,011  Organic sales up 16% year-over-year, driven by volume across all portfolios and regions 973  Sequential reported sales growth continues 949 despite significant FX headw

29. Slide 29: Discovery Solutions: Continued resilience in challenging environment

    Discovery Solutions: Continued resilience in challenging environment Sales development [€m] - org. growth [%] YoY 721 719 701 688 692  Continued slight organic sales growth year- over-year in third consecutive quarter amid strong FX headwinds  Gradually improving funding environment partially tran

30. Slide 30: Advanced Solutions: Recovering demand in quality-critical end-markets

    Advanced Solutions: Recovering demand in quality-critical end-markets Sales development [€m] - org. growth [%] YoY 603 591 593 578 563  Organic sales growing by 4% year-over-year after challenging 2025  The product businesses showed moderate growth  Strong growth in service businesses 4% 3%  All

31. Slide 31: Rare Diseases: Sequential Decline as Expected, Underlying Trends Intact

    Rare Diseases: Sequential Decline as Expected, Underlying Trends Intact ® Sales development Rare Diseases, [€m] Gomekli net sales, [€m] ®  Gomekli up >5x YoY and stable 40 [€m] Not Consolidated till Q3’251 31 30 QoQ as expected amid stocking 30 23 effects in US 110 20 Not Consolidated till Q3’251 1

32. Slide 32: CM&E: Slight Growth Against Tough Comps; Positive Phasing in China

    CM&E: Slight Growth Against Tough Comps; Positive Phasing in China Offsetting Negative Phasing in Middle East amid Geopolitical Tensions ® Sales development CM&E, [€m] YoY Glucophage net sales, [€m]  Glucophage® sales +6% org. org. org. org. org. org. [€m] 10.6% 4.7% 7.2% 6.8% 1.2% 300 against toug

33. Slide 33: Fertility: Organic Decline in Q1 as Expected Amid Near-Term Headwinds

    Fertility: Organic Decline in Q1 as Expected Amid Remaining Near-Term Headwinds for Gonal-F; Pergoveris® continues Double-Digit Organic Growth ® Sales development Fertility, [€m] YoY Gonal-f net sales, [€m] 206 186 179  Sales -16% org. amid negative net org. org. org. org. org. 165 [€m] -0.4% -3.4%

34. Slide 34: N&I: Organic Decline in Q1 Despite Continued Mavenclad Growth Outside NA

    N&I: Organic Decline in Q1 Despite Continued Mavenclad® Growth Outside NA ® Sales development N&I, [€m] YoY Mavenclad net sales, [€m] org. org. org. org. org. 350 287 307 305 295  -7% org. driven by Europe [€m] -3.7% 2.6% 5.6% 3.1% -9.2% 300 255 (+11%) and NA (-26%) 250 200  Initial impact from ge

35. Slide 35: Oncology: Organic Decline in Q1 Reflecting Continued Competition

    Oncology: Organic Decline in Q1 Reflecting Continued Competition for Erbitux® and Bavencio® ® Sales development Oncology, [€m] YoY Bavencio net sales, [€m] org. org. org. org. org. 200  Sales Sales -15% -14% org., org., mainly mainly due due to to [€m] 157 158 -1.9% 3.9% 3.1% -3.9% -4.9% 150 149 1

36. Slide 36: Group pipeline

    Group pipeline May 13, 2026 Healthcare pipeline Phase 1 Phase 2 Phase 3 Registration pimicotinib (CSF-1R inhibitor) Tenosynovial giant cell tumor (TGCT)1,2 cladribine capsules (Immune reconstitution3) Generalized myasthenia gravis enpatoran (TLR7/8 antagonist) Lupus rash4 precemtabart tocentecan (an

37. Slide 37: Semiconductor Solutions: Continued Strong Semiconductor Materials Growth

    Semiconductor Solutions: Continued Strong Semiconductor Materials Growth Sales development [€m]* - org. growth [%] YoY 650 640 631 604 611  Overall, structural growth is intact with the Semi Materials growth engine performing well  Semi Materials org. sales up low double digit % YoY, with another

38. Slide 38: Adjustments in Q1 2026

    Adjustments in Q1 2026 Adjustments in EBIT [€m] Q1 2025 Q1 2026 Adjustments thereof D&A Adjustments thereof D&A Life Science 32 0 41 0 Healthcare -5 0 32 3 Electronics 26 2 13 3 Corporate & Other 4 0 17 0 Total 58 2 102 6 Totals may not add up due to rounding 38 Merck KGaA, Darmstadt, Germany, Q1 20

39. Slide 39: Meet the team

    FLORIAN SCHRAEDER NADJA GROSSCHMIDT ALICIA ECKEL eet the team Head of Investor Relations Assistant Investor Relations Assistant Investor Relations +49 6151 72-5271 +49 6151 72-3321 +49 6151 72-3744 florian.schraeder@emdgroup.com nadja.grosschmidt@emdgroup.com alicia.eckel@emdgroup.com DATE EVENT May

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