By Adria Calatayud


Shares in Germany's Merck KGaA leapt after the company lifted its full-year sales and earnings guidance, citing strong momentum in its life-sciences business.

In European midday trading Wednesday, shares in Merck were up 8.2%, recovering from most of their year-to-date losses.

In its first quarterly update since Kai Beckmann became the group's chief executive, Merck raised its full-year guidance, saying it expects the performance of its life-science and healthcare businesses to be better than previously anticipated.

The company--with operations spanning lab equipment, pharmaceuticals and chemicals--forecast net sales to range from 20.4 billion to 21.4 billion euros ($23.95 billion to $25.13 billion) this year. This compares with its previous expectations of 20 billion to 21.1 billion euros.

Merck anticipates organic sales growth of up to 3%, against previous guidance that ranged from a 1% fall to a 2% rise.

Earnings before interest, taxes, depreciation and amortization excluding one-time items--the company's preferred profit metric--is forecast at between 5.7 billion and 6.1 billion euros, Merck said. This compares with a previous outlook of 5.5 billion to 6 billion euros.

The company said the change mainly reflected its expectations of stronger momentum in its life-sciences unit and greater resilience in its healthcare division amid challenges. Merck's pharma business has been hit by the U.S. patent expiration of multiple-sclerosis drug Mavenclad, which used to be the division's best-selling product.

For the first quarter, Merck posted an after-tax profit of 669 million euros, down 9.4% on year.

Sales were 5.13 billion euros, up 2.9% organically, and Ebitda before one-time items was broadly flat at 1.53 billion euros.

Analysts had forecast sales at 5.1 billion euros and Ebitda before one-time items at 1.46 billion euros, according to consensus estimates provided by the company.


Write to Adria Calatayud at adria.calatayud@wsj.com


(END) Dow Jones Newswires

05-13-26 0619ET