H. Lundbeck (LUN) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 21% CER to DKK 7,125 million, with underlying growth of 13% CER after adjusting for inventory build and phasing effects; all regions showed double-digit growth and strategic brands contributed 74% of total revenue.

• Strategic brands, especially Vyepti (+47% CER) and Rexulti (+22% CER), drove performance, leading to an upgrade in full-year guidance.

• The commercial model showed robust execution, with new partner markets outperforming expectations and a one-time inventory build boosting results.

• Pipeline advanced with significant progress in early, mid, and late-stage programs, including positive data for Lu AF28996, Amlenetug, and Bocunebart.

• EPS increased 48% to DKK 1.67, and adjusted EPS rose 41% to DKK 2.16, driven by EBIT growth and lower financial expenses.

Financial highlights

• Revenue reached DKK 7,125m, up 21% CER year-over-year; gross margin was 81.7%.

• Adjusted EBITDA grew 31% to DKK 2,783m, with margin expansion to 39.1%.

• EBIT increased 30% to DKK 2,155m, and net profit rose 48% to DKK 1,658m.

• Net debt/EBITDA improved to 1.2x from 2.3x year-over-year.

• Net profit margin was 23.3%; adjusted net profit up 41% to DKK 2,148m.

Outlook and guidance

• FY 2026 guidance raised: revenue growth of 7–9% CER and adjusted EBITDA growth of 8–14% CER, both excluding hedging effects.

• Upgrade driven by Vyepti momentum, delayed Abilify Maintena generic entry, and strong partner market contributions.

• R&D costs expected at DKK 5.6–5.9bn; effective tax rate 20–24%.

• Guidance assumes stable macroeconomic and currency conditions, and excludes major business development transactions.