Bachem Holding AG has announced a strong financial performance, driven by significant growth in demand for peptides and oligonucleotides. The company reported increased sales and profits, leading to a proposed hike in its dividend payout. This success is underpinned by substantial investments in expanding its manufacturing capacity to meet the escalating needs of the pharmaceutical and biotechnology sectors.
Key Takeaways
- Bachem achieved robust growth in 2025 with higher sales, improved margins, and an increased dividend proposal.
- Significant investments in new and modernized facilities are expanding peptide capacity to meet strong market demand.
- The company is strategically positioning itself as a key global supplier in the peptides and oligonucleotides market.
Financial Performance and Dividend Increase
Bachem reported a robust 2025 fiscal year, with sales climbing by 14.8% to CHF 695.1 million. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) saw a substantial increase of 21.8%, reaching CHF 214.7 million. This performance boosted the EBITDA margin to 30.9%. Consequently, the company’s board has proposed an increased dividend of CHF 0.90 per share.
The growth was broad-based, encompassing commercial Active Pharmaceutical Ingredients (APIs), clinical development projects, and research specialties. While one-off real estate gains provided a modest boost to margins, the core business performance was strong.
Strategic Capacity Expansion
To capitalize on the burgeoning demand, Bachem accelerated its multi-year capacity expansion strategy. In 2025, the company invested CHF 332.6 million in new and upgraded facilities. A key development was the successful inspection and upcoming ramp-up of commercial production at its strategically important Building K in Switzerland, slated for 2026.
Further investments were made at U.S. and Swiss sites, alongside land acquisitions for the planned Sisslerfeld facility. With a capital expenditure plan exceeding CHF 400 million for 2026, Bachem is reinforcing its commitment to meeting market demand and solidifying its position as a leading supplier in the global peptides and oligonucleotides market.
Market Position and Outlook
Bachem, a Switzerland-based manufacturer, specializes in peptides and oligonucleotides for the pharmaceutical and biotechnology industries. The company’s operations span research, clinical development, and commercial-scale API production across Europe, the U.S., and Asia. The company’s strategic investments and strong financial results indicate a positive outlook, driven by the increasing importance of peptide-based therapeutics.
