UCB SA (UCBJF) (H1 2026) Earnings Call Highlights: Record Sales and Strategic Expansion Drive ...

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Total Net Sales: Grew 23% to EUR4.1 billion in H1 2026. Total Revenue: Increased 22% (27% at constant rate) to EUR4.3 billion. Adjusted Gross Profit: Reached EUR3.5 billion, up 27% (33% at constant exchange rate), with gross margin improving to 82%. Adjusted EBITDA: Rose 68% (79% at constant rates) to EUR1.7 billion, with EBITDA margin at 40.7%. Group Profits: Increased to EUR1.1 billion, up from EUR475 million last year. Core EPS: Reached EUR6.84, almost doubling year-on-year. Operating Expenses: Increased a limited 2% to EUR1.9 billion. Marketing and Selling Expenses: Increased 6% to EUR1.2 billion. R&D Expenses: Increased 6% to EUR903 million. G&A Expenses: Increased 20%, reflecting digital transformation programs and phasing effects. BIMZELX Net Sales: EUR1.5 billion for the half year, doubling from last year. CIMZIA Net Sales: EUR954 million, down 1% but growing 4% at constant rate. BRIVIACT Net Sales: EUR327 million, down 13% due to US generic entry. EVENITY Net Contribution: EUR379 million from partner, with UCB net sales above EUR88 million, up 34%. MG Portfolio Net Sales: EUR330 million, up 38% year-on-year. FINTEPLA Net Sales: EUR239 million, up 18%. Net Financial Debt: EUR2.8 billion at end of period. Effective Tax Rate: 15%.

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Release Date: July 30, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

UCB SA (UCBJF) delivered strong first-half 2026 results with total net sales up 23% to EUR4.1 billion, driven by its five growth drivers which now account for over 50% of revenue. BIMZELX continues to outperform, with net sales doubling to EUR1.5 billion in H1 2026 and peak sales potential raised to at least EUR7 billion, supported by four head-to-head superiority trials including the recent BE BOLD study in psoriatic arthritis. The company upgraded its full-year 2026 guidance, expecting low-teens to mid-teens revenue growth and mid-teens to low-20s EBITDA growth at constant exchange rates, reflecting strong operating leverage. Strategic acquisitions (Candid Therapeutics, Neurona, IMIDomics, and in-licensing from Antengene) position UCB SA (UCBJF) for long-term growth in immunology and neurology, with promising early data for cizutamig and rezanecel. The company maintains a strong financial position with adjusted EBITDA up 68% to EUR1.7 billion and core EPS nearly doubling to EUR6.84, while continuing to invest in pipeline and life-cycle management. UCB SA (UCBJF) has a unique long-term growth runway with no major loss of exclusivity until 2033 (FINTEPLA) and BIMZELX protected until 2037, providing 10+ years of growth visibility.

Story Continues

Negative Points

BIMZELX faces net price pressure in H2 2026 due to improved access (first-line coverage with a major PBM effective June 1), which will weigh on revenue growth before volume benefits materialize. BRIVIACT is experiencing significant sales decline due to US generic entry in February 2026 and expected European loss of exclusivity in August, with an anticipated 80% US and 50% Europe sales drop over 12 months. The company's R&D expenses are expected to rise to around 25% of net sales for the full year, reflecting increased investment in pipeline and integration of recent acquisitions, which may pressure margins. Bepranemab, the Alzheimer's candidate, failed its primary endpoint in the proof-of-concept study, and the decision to move to a confirmatory Phase 2 is based on a subpopulation signal, carrying clinical and financial risk. The myasthenia gravis portfolio showed softer-than-expected H1 performance, and the market is becoming increasingly competitive, which may limit growth potential. The company faces potential headwinds from emerging competition in hidradenitis suppurativa (e.g., oral remibrutinib and lutikizumab), which could impact pricing and market share.

Q & A Highlights

Q: Can you describe your level of comfort with consensus expectations of EUR3.5 billion for BIMZELX in 2026, and what impact will the BE BOLD data have on trends?A: Sandrine Dufour (CFO) confirmed that while the company does not guide for individual product net sales, they are comfortable with the Visible Alpha consensus for 2026. Fiona du Monceau (Chief Commercial Officer) added that it is still early days for BE BOLD, but the response from physicians is very positive, reinforcing the drug's strong efficacy and long-term impact in psoriatic arthritis. She noted that one-third of PSO patients progress to PsA, so the data has a broader impact beyond just rheumatology.

Q: How are you thinking about emerging competition in HS, particularly Novartis' oral remibrutinib and AbbVie's lutikizumab, and the potential headwind on pricing?A: Emmanuel Caeymaex (EVP, Patient Evidence) stated that BIMZELX's dual IL-17A and F blockade is very central in HS, and no mid-stage data from oral or antibody products suggests stronger efficacy. He acknowledged that an oral mode of action might represent an advantage and that HS is a heterogeneous disease where patients will benefit from different approaches. Regarding anti-IL-1, the mode of action is promising, but mid-stage results do not suggest deeper broad-based efficacy, though there are likely segments of patients who will benefit.

Q: Can you provide any indicative change in the net price you are expecting for BIMZELX in the second half, and is the high-20s R&D rate a sensible exit rate for 2027?A: Sandrine Dufour (CFO) explained that the net price reflects the access coverage mix, ranging from double step edit to first line. The improved contract for first-line access came from a position where there was no first line previously, so the net price difference is significant. On R&D, she stated the midterm view is around 25% of net sales, with phasing between H1 and H2. For 2026, there are many life cycle and new phases starting plus acquisitions, but she would not give elements for 2027, though 25% is a good directional indicator.

Q: What is your appetite and capacity for further business development after the recent M&A activity?A: Jean-Christophe Tellier (CEO) explained that the focus on early-stage assets was driven by the ability to execute on current growth drivers and the timing of additional growth needed. He noted that the company has a busy pipeline to develop clinically and must monitor its ability to manage that through the P&L. Despite recent acquisitions, UCB still has strategic flexibility and the ability to execute on others, but they will not say no to something significant if it strengthens the long-term view.

Q: Can you provide additional color on the key assumptions behind the EUR7 billion BIMZELX peak sales guidance and what could drive upside?A: Fiona du Monceau (Chief Commercial Officer) cited three key drivers: execution across all channels and improving access strategically; key data including BE BOLD and enhanced real-world evidence; and life cycle expansion including PPP and adolescent indications. She emphasized that BIMZELX is still sometimes held as "best for last" and that the combination of IL-17A and F makes a difference, with these diseases needing early treatment with effective options.

Q: How much of the EUR7 billion peak sales guidance for BIMZELX comes from new indications like PPP and pediatric expansion?A: Fiona du Monceau (Chief Commercial Officer) stated that the guidance is a mix of current indications, market growth potential, further penetration, and the adolescent and PPP opportunities. She did not speculate on exact splits but noted that in HS, a significant number of patients have their first symptoms during adolescence, so market awareness and treatment progression will have increasing impact over time.

Q: What is the rationale for choosing myasthenia gravis and interstitial lung disease as the first indications for cizutamig, and are there expansion opportunities?A: Emmanuel Caeymaex (EVP, Patient Evidence) explained that the decisions are based on data quality and the transformative potential of the molecule in gMG and SARD-ILD. He noted there are many sizable opportunities that UCB is continuing to study, and the company will remain data-driven, keeping an eye on the quality of the opportunity and the unmet need.

Q: Can you clarify the payer dynamics for BIMZELX, particularly the HS third payer situation and the favorable gross-to-net dynamics?A: Fiona du Monceau (Chief Commercial Officer) stated that the HS situation hasn't changed, but the strong efficacy of the drug generates many medical exceptions and the bridge program ensures patient access. She noted negotiations are constant, and UCB is focused on finding the right balance between price and volume trade-offs in a cost-mindful way. She declined to provide details on gross-to-net by PBM or indication.

Q: What is your thinking on taking the tau antibody bepranemab forward in the context of recent Biogen data?A: Emmanuel Caeymaex (EVP, Patient Evidence) stated that the Alzheimer's space is moving toward precision therapies, with tau becoming a target of choice alongside anti-amyloid products. The recent Biogen results are supportive of the tau hypothesis but raise dose-response questions. UCB's decision to take bepranemab into Phase 2 was made independently, after aligning with four large regulators worldwide on program features and CMC aspects over the last six months.

Q: What is the long-term sustainable margin level for UCB, and how will the MG portfolio grow in an increasingly competitive market?A: Sandrine Dufour (CFO) stated that the strong H1 margin should be read as phasing-related rather than a new run rate, and while UCB doesn't provide long-term margin guidance, the ambition is to continue growing top line and improving margins gradually. Fiona du Monceau (Chief Commercial Officer) noted the MG portfolio grew 38% year-on-year, with two differentiated therapies in the FcRn and C5 classes uniquely positioned to address patient heterogeneity, with an intent to serve 20,000 patients annually over time.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

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