Sartorius cuts annual profit margin outlook on lower lab equipment demand
adds company comments, context, sales outlook, H1 profit; paragraphs 3-7
GDANSK, July 18 (Reuters) -Pharmaceuticals supplier Sartorius SATG.DE, STDM.PA cut its 2024 profit margin outlook late on Thursday as it sees lower demand for lab equipment in the second half of the year.
The German-French company now expects its underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) margin to be between 27% and 29%, down from the 30% expected earlier.
"The life science industry continues to show a mixed picture with no stable positive momentum," it said in a statement after the market close.
Demand for lab equipment is stabilising following the pandemic boom and customers are reducing inventories and are reluctant to invest, it added.
The firm expects 2024 sales to be at the previous year's level of 3.4 billion euros.
Its net profit more than halved to 104 million euros ($113.50 million) in the first six months of 2024.
Sartorius said it has achieved its targets for the year's first half.
($1 = 0.9163 euros)
Reporting by Andrey Sychev; Editing by Kirsten Donovan
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