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Investing.com -- Lonza Group AG (SWX:LONN) today unveiled its comparative financials for its newly implemented operating model, ’One Lonza’, for the fiscal year 2024 and the first half of 2024, ahead of its first-half results for 2025, which are due on July 23.
The ’One Lonza’ model, which became effective from April 1, 2025, includes three Contract Development and Manufacturing Organization (CDMO) business segments and the soon-to-be-divested Capsules business.
The Integrated Biologics segment includes the Mammalian and Drug Product Services technologies, along with the Licensing business. The Advanced Synthesis segment comprises the Small Molecules and Bioconjugates technologies business. Specialized Modalities includes the Cell & Gene, mRNA, Microbial technologies, and Bioscience products. The Capsules segment remains unchanged.
According to the released financials, Bioconjugates had a margin in line with Small Molecules, indicating no change in the Advanced Synthesis division margin. Moreover, Bioconjugates accounted for approximately 10% of Biologics revenues.
However, the capital expenditures (Capex) for Bioconjugates were reported to be CHF151 million, making up 18% of Biologics Capex allocation. This suggests a clear investment in the future growth of this particular segment.
The Microbial and mRNA segments have a combined implied margin of 20%, which is accretive to the Cell & Gene Therapies (CGT) division margin, but dilutive to the Biologics margin. These two segments were allocated less Capex, 8% of Biologics Capex spend, compared to their contribution of 11% to Biologics Revenues.
The financials provide a comprehensive view of the new ’One Lonza’ structure and its financial performance in the fiscal year 2024 and the first half of 2024. This information comes ahead of the company’s first-half results for 2025, which will be released on July 23.
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