Overview

Galderma Group AG reported first‑half 2026 results that exceeded consensus on every tracked metric and subsequently raised its full‑year sales outlook. Shares initially rose after the release but later fell 1.1% as the session progressed.

Financial Performance

  • First‑half net sales were $3.13 billion, surpassing the $3.06 billion consensus, reflecting constant‑currency growth of 24.6% versus the 22.3% expected by analysts.
  • Second‑quarter net sales reached $1.66 billion, beating the $1.59 billion consensus and delivering a 23.8% constant‑currency increase against the 19% forecast.
  • Core EBITDA for the half‑year was $802 million, representing a 25.6% margin and an improvement of 328 basis points on a constant‑currency basis, aided by expense phasing and a one‑time tariff refund.
  • Core net income totaled $547 million, a 12% beat, supported by lower financing costs after a March Eurobond refinancing; core earnings per share (EPS) rose 68.5% to $2.34.

Segment Highlights

  • The injectable aesthetics franchise, led by the neuromodulator Nemluvio, contributed a 4% beat to the quarter and is gaining market share in the United States and internationally.
  • Fillers and biostimulators were 1% ahead of expectations, with Sculptra showing double‑digit growth that offset softness in the broader filler market.
  • Dermatological skincare performed roughly in line with forecasts, helped by Cetaphil and Alastin brands.
  • Nemluvio generated $248 million in Q2 sales, a 12% beat, and posted a 34% sequential increase from $185 million in Q1. H1 Nemluvio sales totaled $433 million, up from $131 million a year earlier, representing the first time the product accounted for more than half of Therapeutic Dermatology revenue.
  • In the United States, Nemluvio’s share of new patient starts from mid‑June to early July was about 42% for prurigo nodularis and 9% for atopic dermatitis.
  • Therapeutic Dermatology overall grew 65.2% on a constant‑currency basis, ahead of the 53.9% expected.

Regulatory Update

  • On 1 July, Galderma received a Complete Response Letter (CRL) from the U.S. Food and Drug Administration for RelabotulinumtoxinA (Relfydess) due to manufacturing‑site and analytical‑method observations. The company stated that the CRL is not expected to affect its 2023‑2027 mid‑term guidance, though the timeline for addressing the issue will be discussed in the upcoming earnings call.

Guidance Revision

  • The company raised its 2026 constant‑currency sales growth guidance to a range of 19‑21%, up from the prior 17‑20% range.
  • Galderma reaffirmed a core EBITDA margin of roughly 26% for the year.
  • Morgan Stanley noted that the midpoint of the new guidance aligns closely with consensus but expects estimates to settle toward the top end.
  • Mid‑term guidance beyond 2027 has been delayed to the first quarter of 2027 because of the CRL.

Management Commentary

  • CEO Flemming Ørnskov said Galderma “delivered a strong first half of 2026, with broad‑based growth across geographies and product categories.”