Virbac Reports Flat Margin, Guides for 2026 Growth

Key 2025 Financial Highlights

Virbac SA announced its full-year 2025 results, reporting revenues of €1,464.7 million. This represents a 7.9% increase at constant exchange rates and scope, aligning with its guidance. The animal health company's adjusted EBITA was €234.4 million, with a margin of 16.3%, meeting its forecast despite operational challenges. Net income saw a 3.2% rise to €150.5 million compared to the previous year.

Operational Performance Overview

The company experienced a 0.7 percentage point decline in its gross margin. This was attributed to a temporary shutdown in antigen production and increased inventory write-offs. However, these negative impacts were partly mitigated by strategic pricing gains and a favorable product mix. Operating expenses improved by 0.2% as a ratio to revenues, reflecting successful cost control measures.

Financial Position and 2026 Outlook

Net debt at the end of the year was €172.8 million. The company plans to recommend a net dividend of €1.45 per share. For 2026, Virbac maintains its guidance for revenue growth between 5.5% and 7.5% at constant rates. It anticipates the Thyronorm acquisition will contribute 1% to this growth. The adjusted EBITA margin is projected to be around 17%, factoring in the acquisition and an estimated $4 million impact from U.S. tariffs.

Summary

Virbac demonstrated resilient revenue growth in its 2025 fiscal year while navigating operational headwinds that impacted margins. The company's outlook for 2026 remains positive, projecting continued growth in revenue and improved profitability, supported by strategic acquisitions and cost management.

FAQ

**Q:** What were Virbac's key financial results for 2025?
A:** Revenue reached €1,464.7m, up 7.9%, and net income grew 3.2% to €150.5m, with an adjusted EBITA margin of 16.3%.

**Q:** What is Virbac's outlook for 2026?
A:** Virbac expects revenue growth of 5.5% to 7.5% and an adjusted EBITA margin of around 17%, including the impact of its Thyronorm acquisition.

Source: Investing.com