Krka (KRK) Q2 2026 earnings summary

Executive summary

• Achieved record H1 2026 sales of €1,119.4 million, up 7% year-over-year, with EBIT up 20% and net profit up 5%, driven by prescription pharmaceuticals and strong demand across most regions.

• EBITDA rose 18% to €357.5 million (margin 31.9%), and over 100 million people use the company's medicines daily.

• Seven new products launched, including six prescription pharmaceuticals and one animal health product; R&D spending reached €100 million.

• Investments totaled €52.8 million, up 29% year-over-year, with major capacity expansion projects underway in Slovenia, China, India, and Croatia.

• Share price rose 23% in H1 2026; dividend of €9.10 per share paid, marking the 27th consecutive annual increase.

Financial highlights

• Revenue grew 7% year-over-year to €1,119.3 million; gross profit up 12% to €682.3 million, with gross margin improving to 61.0%.

• EBITDA margin at 31.9% (€357.5 million); EBIT margin at 27.6% (€309.2 million); net profit margin at 23.2% (€260.2 million).

• Earnings per share increased 7% to €8.59.

• Equity increased 11% to €2,629.2 million; cash and cash equivalents up 12% to €388.1 million.

• Market capitalization reached €8.2 billion as of June 30, 2026.

Outlook and guidance

• Full-year 2026 revenue projected at €2,144 million (+5% vs. 2025), with net profit expected at €405 million.

• Targeting ≥5% average annual sales growth and maintaining EBITDA margin above 25%.

• Over €140 million planned for investments, mainly in production expansion and modernization.

• Dividend payout policy allocates ≥50% of net profit to shareholders.

• Next guidance revision scheduled for November 2026.