At its Capital Markets Day in Vacaville, California, Lonza reports progress of its One Lonza Strategy to deliver long-term, profitable, above-market growth. In less than two years, Lonza has completed its transformation into a pure-play CDMO, following the exit6 of the Capsules & Health Ingredients business and further divestments. Based on stronger operational and financial performance, successful execution of growth projects and attractive future market opportunities, Lonza upgrades its Organic Growth Model.
Wolfgang Wienand, CEO, Lonza, commented: “Lonza performed well in Q3 2026 and we continued to successfully execute our One Lonza Strategy. The transformation into a pure-play CDMO has created a stronger, more integrated global organization that is delivering for our customers across all Business Platforms. The power of the Lonza Engine and the improvements we are bringing to the business further strengthen our confidence in our Organic Growth Model and our ability to improve margin faster over time. We continue to significantly grow, expand profit margins and returns, increase cash generation, and allocate capital with discipline. It is this highly differentiated model that will drive sustainable long-term value creation for our customers and their patients, our shareholders and our people at One Lonza.”
Lonza’s Organic Growth Model
As a structural growth compounder, Lonza delivers resilient and repeatable above-market organic sales growth, high and further increasing profit margins and improving cash generation which funds investments into future growth at high returns to deliver sustainable long-term value to its shareholders.
Maturing high-return growth projects, improvements in operational, commercial and CapEx7 performance, and continued discipline in overhead costs are progressing well. Based on this, Lonza upgrades its Organic Growth Model of low-teens organic CER sales growth on average over time with an acceleration of the CORE EBITDA margin expansion, now reaching high thirties in the mid-term. It also expands the model to include a mid-term ROIC ambition of two to three times today’s WACC and an improving FCF conversion on average over time, reflecting its disciplined investment approach and overall greater capital efficiency. Unchanged, organic CapEx is expected to fluctuate around mid-to-high teens percentage of sales, while Lonza remains committed to a progressive8 dividend distribution, all in line with its Capital Allocation Framework first shared in 2024.
Q3 2026 qualitative business update
In Q3 2026, Lonza continued to perform well, in line with expectations across all Business Platforms. Lonza reiterates its Full-Year 2026 Outlook, as upgraded after H1 2026, of 11–12% CER sales growth and a CORE EBITDA margin of 33–34%. The company also reiterates its expectation of a negative FX impact of approximately 2% to 3% on 2026 sales growth.
Q3 performance in Capsules & Health Ingredients was also in line with expectations, with Lonza continuing to expect mid-single-digit CER sales growth and further CORE EBITDA margin expansion for Full-Year 2026.
About Vacaville
The Capital Markets Day is being held at Lonza’s Vacaville facility, acquired in 2024 from Roche. It is the company’s largest Integrated Biologics site for the commercial manufacture of complex biologics. During the investor event, management will share insights into Lonza’s Integrated Biologics Business Platform, which combines scientific, technological and manufacturing capabilities in an industry-leading end-to-end9 offering.
The Capital Markets Day 2026 presentation is available to download here. To join the live webcast on 14 October 2026 at 09:00 PT / 18:00 CEST, please register here.
1 Contract Development and Manufacturing Organization.
2 For Lonza’s continuing CDMO business, excluding Capsules & Health Ingredients.
3 Return on Invested Capital.
4 Weighted Average Cost of Capital as of 2026.
5 Free cash flow as % of EBITDA.
6 In March 2026, Lonza agreed to divest 60% of its Capsules & Health Ingredients business to Lone Star Funds. The transaction is expected to close before the end of 2026.
7 Capital expenditures.
8 Maintaining or increasing dividend per share each year.
9 From early-stage development to commercial manufacturing.
