Merck Raises 2026 Profit Guidance Amid Strong Demand for Semiconductors and Drug Supplies

German pharmaceutical and chemical company Merck KGaA has raised its 2026 profit guidance, exceeding quarterly estimates. The diversified group expects adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) to range between €5.9 billion and €6.3 billion in 2026, up from previous guidance of between €5.7 billion and €6.1 billion.

The company reported a 9.4% increase in quarterly adjusted EBITDA to €1.60 billion, surpassing analysts' average estimate of €1.53 billion. Merck's CEO, Kai Beckmann, attributed the growth to strong demand for semiconductor materials and drug production supplies, driven by increasing AI-related spending.

Bio-Techne, a key player in the Life Science unit, is set to become part of Merck after an $11.3 billion deal announced in June. The acquisition aims to enhance Merck's capabilities across research, bioprocessing, and advanced therapeutics.