Lonza Delivers Powerhouse 2025 Performance: Vacaville Integration Fuels 21% Surge

Global CDMO leader Lonza Group AG has reported exceptional full-year results for 2025, significantly outperforming market expectations. In an ad hoc announcement released today, the company revealed that its strategic pivot—marked by the integration of the massive Vacaville site and a new streamlined operating model—has driven record growth and a substantial dividend hike for shareholders.

2025 Financial Summary: Breaking Records

Lonza’s performance in 2025 was characterized by aggressive top-line expansion and disciplined margin management.

Key Metric	FY 2025 Result	*Growth (CER)**
Total Sales	CHF 6.5 Billion	+21.7%
CORE EBITDA	CHF 2.1 Billion	+24.9%
CORE EBITDA Margin	31.6%	+1.4 ppts
Proposed Dividend	CHF 5.00	+25%
*CER: Constant Exchange Rate

The Vacaville Factor: The acquisition of the large-scale mammalian facility in California contributed CHF 0.6 billion to 2025 sales. Lonza confirmed the site is now fully integrated, having secured a fifth major commercial contract and successfully passing its first FDA inspection under the new ownership.

“One Lonza”: A New Operating Blueprint

On April 1, 2025, Lonza launched its “One Lonza” operating model, which removed redundant business unit layers to create three lean, technology-focused platforms:

Integrated Biologics: Saw a massive 32.2% growth, led by high demand for large-scale mammalian assets.
Advanced Synthesis: Posted 22.4% growth, driven by a rapid ramp-up in Bioconjugates and Small Molecules.
Specialized Modalities: Faced a slight 3% decline due to softness in Cell & Gene, though recovery was noted in the second half of the year.

Strategic Exit: Divesting CHI

As part of its strategy to become a “pure-play” CDMO, Lonza has officially classified its Capsules & Health Ingredients (CHI) division as a discontinued operation.

The Performance: CHI grew 3.9% in 2025, reaching a margin of 25.9%.
The Sale: Management confirmed that divestment discussions are in advanced stages, with a potential deal value estimated at €2.5 billion ($2.9 billion). Investment firms like Lone Star and Altaris are reportedly among the top bidders.

2026 Outlook: Normalizing for the Future

While 2025 was a year of extraordinary acquisition-led growth, Lonza’s 2026 forecast points toward steady, high-quality organic expansion:

Sales Growth: Target of 11%–12% (CER).
Profitability: CORE EBITDA margins are expected to climb further to above 32%.
H1 vs H2: Growth is projected to be weighted toward the first half of the year.
Headwinds: A 2% currency headwind is anticipated due to the weakening of the US Dollar.

“2025 was a strong year for the One Lonza team… marked by revenue growth and tangible progress on our transformation journey. Our business model has once again proved resilient against geopolitical volatility.”

— Wolfgang Wienand, CEO of Lonza