(Reuters) -Swiss contract drug manufacturer Lonza reported a decline in its half-year profit on Thursday, hurt by lacklustre demand in its capsules and health ingredients businesses, but still beat market expectations.
Lonza reported adjusted core earnings before interest, taxes, depreciation and amortization (EBITDA) of 893 million Swiss francs ($976.4 million) for the first half of the year, down from 922 million Swiss francs a year earlier.
Analysts in a company-provided consensus, compiled by Vara Research, had forecast EBITDA of 802 million Swiss francs.
Demand for pharmaceutical supplies, such as hard capsules for pills, and lab equipment fell from peaks reached during the pandemic, weighing on Lonza’s sales.
Last week, its German peer Sartorius cut its annual profit margin forecast, citing lower demand for lab equipment during the second-half of the year.
Lonza retained its mid-term forecast for core EBITDA margin of 27%-29%.
($1 = 0.8828 Swiss francs)
(Reporting by Isabel Demetz and Andrey Sychev; Editing by Sonia Cheema)
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