EQS-Adhoc: Capital Markets Day 2021: Lonza to Capture Market Demand and Ensure Sustainable Value Creation Through Long-Term Growth
Ad Hoc News Release Pursuant to Art. 53 Listing RulesAt its Capital Markets Day, Lonza outlined strategic priorities and innovation highlights with a clear focus on sustainable value creation Accelerated, de-risked, long-term investment program will drive sustainable business growth 2021 CAPEX anticipated at around 25% of sales, and remain elevated at current levels for the next few years, returning to high-teens by 2025 2024 Group Guidance: low-teens CER sales growth, CORE EBITDA margin of around 33% to 35% and double-digit ROIC
Basel, Switzerland, 12 October 2021 - At its Capital Markets Day hosted today, Lonza provided more details of the company's strategic priorities at a Group and divisional level. The following key priorities support the company's continuing commitment to sustainable value creation:
A de-risked long-term investment program Operational excellence to deliver customer value Differentiation through ongoing innovation Updated commitments to advance sustainability Ambitious recruitment and talent management
The favorable market dynamics across Lonza's businesses create attractive investment opportunities, reflected in the company's growth plans. Lonza is accelerating its de-risked long-term investment program to ensure it can capture increasing market demand and capitalize on future opportunities. These investments will allow Lonza to drive strong growth in the mid-to-long term. The company anticipates 2021 Full-Year CAPEX to reach around 25% of sales and remain elevated at current levels for the next few years, returning to high-teens by 2025.
During today's event, Lonza also outlined each division's strategic and innovation priorities. All Divisions are growing ahead of their reference markets, building on growth investments and innovation. The Biologics division remains the primary driver for growth with an increased focus on innovations across all businesses. Innovation priorities include next-generation modalities, manufacturing optimization and automation.
Driven by strong momentum across businesses, Lonza has updated its 2024 Group and divisional Mid-Term Guidance. At a Group level, the company anticipates:
Low-teens CER sales growth CORE EBITDA margin of around 33% to 35% Double-digit ROIC, reflecting positive sales growth and increased investments
At a divisional level, Lonza updated its Guidance as follows:
About Lonza Lonza is the preferred global partner to the pharmaceutical, biotech and nutrition markets. We work to enable a healthier world by supporting our customers to deliver new and innovative medicines that help treat a wide range of diseases. We achieve this by combining technological insight with world-class manufacturing, scientific expertise and process excellence. Our unparalleled breadth of offerings enables our customers to commercialize their discoveries and innovations in the healthcare sector.
Founded in 1897 in the Swiss Alps, today, Lonza operates across five continents. With approximately 15,000 employees, we comprise high-performing teams and individual talent that make a meaningful difference to our own business, as well as to the communities in which we operate. The company generated sales of CHF 2.5 billion with a CORE EBITDA of CHF 847 million in H1 2021. Find out more at www.lonza.com
Lonza Contact Details
Victoria Morgan Head of External Communications Lonza Group Ltd Tel +41 61 316 firstname.lastname@example.org
Dirk Oehlers Investor Relations Lonza Group Ltd Tel +41 61 316 email@example.comEnd of ad hoc announcement Language: English Company: Lonza Group AG M?nchensteinerstrasse 38 4052 Basel
Switzerland Phone: +4161 316 81 11 Internet: www.lonza.com ISIN: CH0013841017 Valor: 1384101 Listed: SIX Swiss Exchange EQS News ID: 1239959 ? End of Announcement EQS Group News Service