Burgdorf - Ypsomed (SIX: YPSN) is consistently continuing its growth course and achieved consolidated sales of CHF 324.0 million in the first half of the 2024/25 financial year (previous year: CHF 255.4 million). Adjusted for the effect of the divestment of the pen needle and blood glucose monitoring systems (BGM) business as of 31 July 2024, sales from continuing operations amounted to CHF 308.1 million (previous year: CHF 237.2 million). This corresponds to growth from continuing operations of 29.9 %. This growth led to an EBIT from continuing operations of CHF 65.3 million (previous year: CHF 45.5 million). In the future, Ypsomed will concentrate on expanding its leading position in the Delivery Systems division and has decided to initiate the sale of the Diabetes Care business area.

Other important events in the first half of the year: 

• Sales growth of 30 % from deliveries with own pens and autoinjectors; 
• 60,000 active users by the end of September 2024 and a 64 % increase in commercial sales of the mylife YpsoPump system; 
• Opening of a new production hall in Schwerin, Germany; 
• Completion of the sale of the pen needle and BGM business; 
• Creation of 203 new jobs, 111 of them in Switzerland. 

Ypsomed focusses on injection systems 

As a preferred partner of pharmaceutical and biotech companies, Ypsomed is focussing on expanding its leading position in the dedicated B2B business of Delivery Systems.  

Our underlying growth drivers – simple self-medication and the increase in biologics and biosimilars – continue to offer enormous potential. Our automated and scalable processes enable us to capitalise on this growth. We are convinced that two independent, specialised companies are more focussed and therefore more successful. With this clear focus, we will concentrate on the many opportunities in the subcutaneous self-injection market in the future,

says CEO Simon Michel, explaining the decision to separate the business areas. 

Ypsomed confirms outlook 

Adjusted for the sale of the pen needle and BGM business, Ypsomed continues to expect sales growth of around 25 % for the 2024/25 financial year. At EBIT level, Ypsomed expects an operating result of around CHF 140 million, excluding one-off effects from the sale of the pen needle and BGM business. 

The pen and autoinjector business continues to grow significantly  

The Ypsomed Delivery Systems (YDS) business area once again grew strongly by 24.8 % or CHF 43.8 million in the first half of 2024/25 compared to the same period of the previous year. Sales for the reporting period totalled CHF 220.3 million (previous year: CHF 176.5 million).  

• Growth was driven by higher commercial deliveries of pens (12.6 %) and above all by a sharp rise in commercial deliveries of autoinjectors (46.8 %).  
• The strong growth of the project business by 25.2 % to a sales contribution of CHF 42.9 million is also encouraging. This increase underlines Ypsomed's full project pipeline. 

We continue to see a strong increase in customer demand for our injection systems. In order to prepare for the expected growth, we are expanding production at our established sites in Switzerland and Germany and building a new plant in China. The handover of pen needle production and the discontinuation of contract manufacturing will also free up additional production capacity at our production site in Solothurn for the future-oriented platforms and the doubling of capacity in toolmaking,

says Ulrike Bauer, Chief Business Officer Delivery Systems, who is delighted with the positive development. 

Growth with mylife YpsoPump  

The Ypsomed Diabetes Care (YDC) business area generated sales of CHF 98.1 million in the first half of 2024/25 (previous year: CHF 72.6 million). Adjusted for the sale of the pen needles and BGM business area, growth of CHF 27.9 million or 51.3 % was achieved in continuing operations. 

• The mylife Loop solution for automated insulin delivery with a self-learning algorithm on the smartphone reached around 60,000 active users by the end of September 2024. 
• This growth is primarily attributable to Germany, France, the United Kingdom, Australia and Spain.  

With mylife Loop, our innovative solution for automated insulin delivery, consisting of the mylife YpsoPump and the mylife CamAPS FX App, we have shown that we are able to achieve sustainable growth in insulin pump therapy. I look forward to realising the full potential for people with diabetes with a clear focus and a highly motivated team,

says Sébastien Delarive, Chief Business Officer Diabetes Care, welcoming the Ypsomed Group's strategic decision. 

Maximising the full potential of Diabetes Care 

Long-term success in diabetes care requires a clear patient- and marketing-orientated culture as well as specific competencies and processes. As an independent organisation, Ypsomed Diabetes Care will be able to expand geographically and further develop its innovative product range. Ypsomed expects the Diabetes Care business to break even in the fourth quarter of the current financial year. 

Increased earnings contribution from both segments  

The operating result (EBIT) from continuing operations increased significantly to CHF 65.3 million (previous year: CHF 45.5 million). EBIT from continuing operations thus increased by CHF 19.8 million, or 43.4 %.  

• The increase in sales and higher production capacity utilisation at Ypsomed Delivery Systems led to an additional profit contribution of CHF 14.1 million. 
• The operating loss with mylife YpsoPump was reduced by CHF 6.4 million and still burdened the result with CHF -12.4 million (previous year: CHF -18.8 million).  
• The decline in sales at Ypsotec led to a deterioration in EBIT of CHF -0.7 million. 

Sustained high growth investments  

At CHF 129.1 million, cash flow from investing activities was significantly higher than in the previous year due to growth investments (previous year: CHF 89.9 million). Of this amount, CHF 98.5 million (previous year: CHF 50.1 million) was invested in property, plant and equipment, in particular in the further expansion of capacities for autoinjectors and pens at the Swiss sites, in Schwerin, Germany, and in Changzhou, China. Investments in intangible assets totalling CHF 39.4 million (previous year: CHF 39.8 million) were made in the further development of the platforms for pen and autoinjector systems, in the further development of the mylife YpsoPump, the FDA approval process for the US pump market, and in digital services in the area of digital health.