The Darmstadt-based pharmaceutical and specialty chemicals group Merck continues to face challenges in the laboratory business but sees light at the end of the tunnel with an expected recovery in the second half of the year. Despite persistent difficulties in this segment, the company reported positive developments in the electronics and pharmaceutical sectors at the beginning of the year. However, this could not fully offset the decline in group sales: in the first quarter, sales fell by 3.3 percent to just over 5.1 billion euros. Adjusted for currency effects, particularly with the Chinese Yuan, the decline was 1.2 percent.

The adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) fell by 8.4 percent to 1.45 billion euros. Despite the declining revenue figures, these met the expectations of analysts, while the operating result exceeded forecasts. Merck has also specified and confirmed its revenue and profit expectations for the full year, expecting an organic increase in revenue and operating profit.

Before the stock market opening, the market reacted positively to the quarterly figures; the Merck stock increased by 0.83 percent to 158.75 euros in pre-market Tradegate trading. The group remains optimistic that the business situation will improve in the coming months, particularly in the laboratory business, which is currently still affected by inventory reduction.