Merck KGaA raises 2026 profit outlook after beating quarterly expectations

Darmstadt-based Merck KGaA raised its 2026 earnings forecast range after quarterly results beat expectations, with life science and electronics driving the improvement. The company now expects full-year net sales of €21 billion to €21.8 billion, and it lifted sales and underlying earnings guidance for the group and for each of its three divisions: life sciences, healthcare and electronics.

It was the second quarter in a row that Merck raised its outlook, a sign that the German group’s mix of laboratory supplies, drug-manufacturing inputs and specialty electronics is holding up better than many investors expected. The quarter brought 4.1% organic sales growth, helped by demand for lab tools and chip-making materials, both of which tie directly to research spending and to the semiconductor supply chain.

That makes Merck more than a one-company story. Life science serves biotech, pharmaceutical and research customers, while electronics supplies advanced materials used in chip production and other high-tech manufacturing. In a year when semiconductor demand is normalizing rather than surging, Merck’s higher guidance suggests that orders for specialized materials are still strong enough to support growth, even as conditions across Europe and China remain uneven.

There was still a clear currency drag in the numbers. Second-quarter adjusted EBITDA slipped 3% to €1.46 billion as a weak U.S. dollar reduced the euro value of overseas revenue. Chief executive Kai Beckmann said the quarter showed “accelerating organic sales growth and even stronger organic EBITDA pre growth.”

Merck had already lifted its 2026 profit outlook on May 13 on demand for lab supplies. The latest increase points to sustained momentum in the parts of European industry that depend on research, precision manufacturing and semiconductor-related demand, rather than a one-off quarter of outperformance.