Gerresheimer AG reported first-quarter 2026 results that missed analyst expectations, with adjusted earnings per share declining and revenue falling short despite gains in cash flow. The Düsseldorf-based specialty packaging and drug delivery company posted adjusted EPS of negative $0.1203, missing the consensus estimate of $0.41 by $0.5303 per share. Revenue totaled EUR 524 million, down 2.9% from EUR 520 million a year earlier and below the $514 million forecast.
Adjusted EBITDA decreased to EUR 66 million from EUR 81 million in the prior-year period, reflecting weaker performance in Moulded Glass and Primary Injectable Solutions segments. Containment & Delivery Systems was the standout performer, with adjusted EBITDA rising to EUR 61 million from EUR 51 million. Organic revenue growth in the segment reached 8.8%, driven by higher demand for drug delivery solutions.
Cash flow metrics showed improvement, with operating cash flow of EUR 25 million and free cash flow before M&A turning positive at EUR 32 million—an improvement of EUR 110 million year-on-year. Capital expenditures were cut to EUR 57 million from EUR 130 million, with two-thirds allocated to growth projects. Inventory levels fell by EUR 41 million, while receivables and payables declined by EUR 46 million and EUR 54 million, respectively. Net financial debt remained near EUR 2.0 billion, with gross debt at EUR 2.2 billion and liquidity at EUR 342 million.
The company reiterated its portfolio optimization strategy, with the sale of Centor and Primary Packaging Plastics (PPP) expected to close by November 2026 and the first half of 2027, respectively. The PPP divestiture includes 15 production sites across nine countries and is valued at approximately EUR 1.5 billion. Management also confirmed plans to close the Chicago Heights plant in the fourth quarter of 2026 as part of its operational transformation program.
CFO Wolf Lehmann emphasized debt reduction and portfolio transactions as priorities, stating the company aims to bring its net debt-to-EBITDA ratio sustainably below 3 times. The GTO transformation program targets annualized EBITDA improvements of EUR 50 million to EUR 70 million, with savings split between 2026 and 2027 and full benefits realized by 2028. Final Q1 financial statements are scheduled for publication in September 2026.
