Uniphar Reports Record 2025 Performance with Fastest Organic Growth Since IPO

Uniphar’s 2025: fastest organic growth since IPO – what drove it

Uniphar has posted a strong 2025, with organic Gross Profit up 8.9% – the fastest since IPO – and Adjusted EPS up 21% to 24.8 cent. All three divisions grew organically, led by Pharma at 15.5% and Medtech at 10.5%, while Supply Chain & Retail delivered 4.2%. Leverage sits at a comfortable 1.55x, cash generation was excellent at 99.1%, and the dividend was lifted 5.2% per share alongside a completed €35 million buyback.

There are moving parts under the bonnet: margins mixed slightly lower at Group level (14.9% vs 15.4%), Supply Chain & Retail EBITDA eased as Uniphar invested ahead of a major facility go-live, and free cash flow benefited from favourable working capital timing that is expected to unwind. Still, momentum into 2026 is described as strong and the €200 million EBITDA-by-2028 ambition remains intact with at least 80% organic growth.

Key numbers that matter for investors

Metric	2025	2024	Change
Revenue	€3,074.7 million	€2,770.4 million	+11.0%
Gross Profit	€457.7 million	€427.6 million	+7.0%
Gross Profit Margin	14.9%	15.4%	-50 bps
EBITDA	€130.9 million	€123.5 million	+6.0%
EBITDA margin	4.3%	4.5%	-20 bps
Operating Profit	€76.9 million	€82.0 million	-6.2%
Adjusted EPS (cent)	24.8	20.5	+21.0%
Basic EPS (cent)	19.5	23.5	-17.0%
Net bank debt	€171.1 million	€147.7 million	€23.5m higher
Leverage (net bank debt/Adjusted EBITDA)	1.55x	1.47x	+0.08x
Free cash flow conversion	99.1%	105.5%	-640 bps
ROCE	16.3%	15.2%	+110 bps

Notes: Organic growth excludes acquisitions/disposals to give a like-for-like view. EBITDA is earnings before interest, tax, depreciation and amortisation. Adjusted EPS excludes exceptional/non-cash items. Leverage is net bank debt divided by Adjusted EBITDA.

Division-by-division: where the growth came from

Pharma: double-digit organic growth and rising margins

• Gross Profit rose to €131.9 million (+8.5% reported, +15.5% organic) with margin up to 19.1% (2024: 18.5%).
• EBITDA jumped 20.5% to €30.6 million as the business scaled.
• Drivers: standout performance in Global Sourcing and notable growth in clinical trial supply; continued strength in Expanded Access Programmes within Pharma Services.
• Capacity and reach being expanded via new hubs in the UK, the Netherlands and New Zealand, going fully operational during 2026.

Opinion: This is the star of the show. High-value services, mix shift into better-margin work and geographic expansion are doing exactly what they should. The disposal of Inspired Health in 2024 clouds the reported vs organic comparison, but the underlying engine looks very healthy.

Medtech: broad-based, organic and margin-accretive

• Gross Profit up to €120.4 million (+10.5%, all organic), with margin up to 41.1% (2024: 40.6%).
• EBITDA grew 8.9% to €49.1 million; margin steady at 16.8%.
• Drivers: sustained growth in core markets, roll-out of new suppliers and extension with existing partners across Europe; favourable product mix.

Opinion: Textbook execution. Exclusive partnerships, clinical know-how at the point of sale, and a growing European footprint continue to compound. High single-digit organic Gross Profit growth guidance here looks credible.

Supply Chain & Retail: volume gains, margin softer as it invests

• Revenue increased 13.4% to €2,091.1 million; Gross Profit up 4.2% to €205.4 million, with margin at 9.8% (2024: 10.7%).
• EBITDA dipped 3.3% to €51.2 million; margin 2.5% (2024: 2.9%).
• Wholesale volumes grew 4.7%, ahead of the market; retail network expanded by 37 to 482 pharmacies.
• TouchStore acquired to strengthen dispensing and retail software; major new Dublin distribution facility and integrated IT due to go live on a phased basis in 2026.

Opinion: Strategically positive, tactically a bit sticky. The division is taking near-term margin pain as it invests ahead of the new facility. With capacity set to more than double and enhanced cold-chain capability, the pay-off could be attractive, but the margin trajectory is the watch-out for 2026.

Cash, balance sheet and capital allocation

• Free cash flow conversion of 99.1% benefited from favourable working capital timing in Pharma that is expected to unwind.
• Net bank debt closed at €171.1 million; leverage 1.55x remains comfortably within typical lender thresholds.
• Banking firepower reinforced: €400 million revolving credit facility extended to August 2029 and a new €150 million five-year term loan (with two one-year extension options) added.
• €35 million share buyback completed (13.4 million shares repurchased), adding 1.0 cent to Adjusted EPS; total dividend €5.2 million (€0.0202 per share), up 5.2% per share.

Opinion: Sensible balance of investment and returns. The enlarged facility and modest leverage give Uniphar room to execute its pipeline and strategic projects while still returning capital.

Strategy, sustainability and the 2028 target

• On track for the medium-term ambition of €200 million EBITDA by 2028, with at least 80% organic. 2025 Adjusted EBITDA (post IFRS 16 adjustment) was €110.6 million.
• Strategic platform investments advancing: state-of-the-art Irish distribution facility due mid-2026; infrastructure build-out in the UK, the Netherlands and APAC.
• Sustainability progress: 29.9% reduction in Scope 1 and 2 emissions since 2019; ratings maintained/improved with MSCI at ‘AAA’, Sustainalytics risk rating in the second percentile for healthcare, and a CDP ‘B’.

Opinion: The operational scaffolding for the next phase of growth is nearly in place. Execution risk on the Irish facility is called out by the company itself, but the phased deployment approach should help manage it.

What could dent the story

• Margins: Group Gross Profit Margin fell to 14.9% on mix; Supply Chain & Retail EBITDA margin slipped to 2.5% as investment ramps. Rebuild here would be a key positive in 2026.
• Exceptional items: 2025 carried a total exceptional charge of €7.1 million (vs a credit in 2024). The company flags higher transformation costs in 2026 as the major facility becomes operational.
• Working capital: 2025 cash benefited from prepayments in Pharma – these are expected to unwind, so headline cash conversion may normalise.
• Integration and project delivery: the Irish distribution facility and other hubs must land cleanly to unlock the intended capacity and efficiency gains.

Outlook: guidance intact, momentum into 2026

Uniphar says it has entered 2026 with strong trading momentum and is trading in line with expectations. It expects continued organic Gross Profit growth in each division, consistent with medium-term targets: double-digit in Pharma, high single-digit in Medtech and low single-digit in Supply Chain & Retail. The €200 million EBITDA target for 2028 remains the north star, with M&A still a disciplined complement to predominantly organic growth.

Bottom line: a net positive year. Pharma and Medtech are delivering high-quality organic growth and improved mix, while Supply Chain & Retail is investing to future-proof capacity and capability. If margins in that division stabilise as the new facility comes online and cash conversion holds up post the working capital unwind, the equity story strengthens further.

Quick jargon check

• Organic growth: growth from the existing business, excluding acquisitions and disposals.
• EBITDA: earnings before interest, tax, depreciation and amortisation – a proxy for operating cash generation.
• Adjusted EPS: earnings per share excluding exceptional/non-cash items – a cleaner view of underlying profitability.
• Leverage: net bank debt divided by Adjusted EBITDA – a measure of balance sheet risk.
• ROCE: return on capital employed – how efficiently the business generates profit from its capital base.