Eurofins Scientific SE Q2 2025 Earnings Call Highlights: Strong Performance, Guidance Revised

Eurofins Scientific SE has reported Q2 2025 earnings, with Gilles Martin, CEO, stating that the company has achieved its objectives in the first half of the year. The company's performance was driven by strong growth in all segments, particularly in the food and environmental testing business. Eurofins' revenue increased by 11% year-over-year, with a 14% increase in adjusted EBITDA. The company's management expects the growth momentum to continue in the second half of the year.

Luxembourg, July 2, 2025 — Eurofins Scientific SE (ERF), a global leader in scientific services, has reported its Q2 2025 earnings, with CEO Gilles Martin noting that the company has achieved its objectives in the first half of the year. The company's performance was driven by strong growth across all segments, particularly in the food and environmental testing business.

Eurofins' revenue increased by 11% year-over-year (YoY) in Q2 2025, reaching €1,806 million. This growth was supported by a 14% increase in adjusted EBITDA, demonstrating the company's ability to maintain profitability amidst challenging macroeconomic conditions. The company's management expects the growth momentum to continue in the second half of the year.

The company's strategic investments in digitalization, automation, and sustainability are paying off. Eurofins' focus on non-cyclical markets, such as food and feed testing, environment testing, and biopharma product testing, has proven resilient. These segments accounted for over 70% of the company's revenue in Q1 2025 and continue to drive growth [1].

Eurofins' financial leverage remains within its target range of 1.5-2.5x, with a net debt-to-EBITDA ratio of 2.1x at the end of H1 2025. The company's solid balance sheet provides ample capacity to continue its strategic investment plans, including the acquisition of related party-owned sites in the second half of 2025 [3].

However, the company faces stiff competition from giants like Thermo Fisher Scientific and Merck KGaA, as well as nimble innovators like Twist Biosciences and Ginkgo Bioworks. Eurofins differentiates itself through a diversified portfolio and rapid M&A execution. Its 2025 Q1 results—€1,767 million in revenue, driven by 8.8% growth in the Rest of the World—demonstrate geographic diversification as a growth lever [1].

Investors should monitor Eurofins' ability to maintain its 2.6% organic growth rate while absorbing acquisition costs and manage inflationary pressures. The company's stock faces headwinds, with a forward P/E of 30x trading at a premium to peers like Intertek (18x P/E) but a discount to Thermo Fisher (35x P/E) [1].

Conclusion: Eurofins Scientific SE's Q2 2025 earnings report underscores the company's resilience and growth potential. While the company faces competitive challenges and macroeconomic uncertainties, its strategic investments and focus on non-cyclical markets position it well for continued success. Investors with a long-term horizon may find value in Eurofins, provided the company can demonstrate consistent free cash flow generation and margin expansion.

References:
[1] https://www.ainvest.com/news/eurofins-scientific-high-stakes-bet-life-sciences-growth-2507/
[2] https://www.marketscreener.com/news/eurofins-scientific-se-provides-earnings-guidance-for-fiscal-year-2025-and-for-the-mid-term-to-fisca-ce7c5cddd080f020
[3] https://finance.yahoo.com/news/eurofins-generates-record-revenues-h1-051500913.html