Sartorius AG Shares Jump 11% After Surpassing Q3 Expectations and Lifting 2025 Forecast
Sartorius AG shares rose over 11% following strong Q3 results that exceeded expectations, prompting an upward revision of the company's 2025 forecast. The biotech segment, Sartorius Stedim Biotech, reported a 12% growth at constant exchange rates, contributing to an overall 10.6% growth for the quarter. The company now anticipates 9% revenue growth for the full year and has raised its EBITDA margin target to 31%. The positive market reaction reflects confidence in Sartorius's fundamentals and growth potential in the biotech sector.
Shares of Sartorius AG (XETRA: SRT) surged over 11% on Thursday, energised by better-than-expected Q3 results that pushed management to boost its outlook for the full year.
The company's biotech arm, Sartorius Stedim Biotech (XETRA: SRT), posted robust growth, clocking in a 12% increase at constant exchange rates-well above market consensus. That strength across its divisions helped paint a more optimistic picture for the year ahead.
Looking deeper, recurring revenues lifted growth in all regions, while equipment sales have found their footing after some volatility. EBITDA margin for the biotech segment hit 31.3%, surpassing estimates by nearly a percentage point. Management attributed margin gains to increased volume, a favorable product mix, and benefits from scale.
With such solid momentum, the group raised its full-year expectations, targeting 9% revenue growth at CER and EBITDA margin of 31%, pushing the top end of prior guidance. Previously, they forecast around 7% revenue uptick and margins between 30% to 31%. This upgrade signals confidence in sustaining current growth drivers.
On the whole, Sartorius AG achieved 10.6% growth at CER in Q3, again ahead of consensus by a couple of points. Both main segments contributed: Bioprocess Solutions led with 12.1% CER growth against a 10.5% forecast, and Lab Products & Services chipped in 4.4%, beating the 1.5% expected increase.
The group's overall EBITDA margin increased to 29.3%, a notable improvement compared to last year's figures and consistent with analyst forecasts. Bioprocess Solutions recorded a slight edge over consensus at 31.3%, while Lab Products lagged a bit, posting a 20.6% margin.
Looking beyond quarterly results, the company nudged its 2025 guidance upwards once more. Now it sees organic revenue growth of 7%, with Bioprocess Solutions expected to improve by 9%, while Lab Products will hold steady at zero growth, including a modest 1% contribution from acquisitions. Profit margins are projected to inch slightly higher than before, signaling steady operational leverage.
The share price reaction reflects the market's appetite for Sartorius's fundamentals, where solid top-line expansion pairs with margin improvement. With biotech demand far from fading, it seems the company is riding a wave of stability mixed with pockets of acceleration.
Whether this beat and guidance lift sets the tone for the rest of 2025 as shareholders surely hope-or simply captures a cyclical uptick-will be worth monitoring. For now, Sartorius AG's stock is the toddler having a growth spurt that turned some heads.
