PolyPeptide delivers +24% growth in H1 2025, successful ramp-up at its Belgian site, 2025 full-year guidance revised towards the upper end of the range

H1 2025 performance highlights

In the first half of 2025, PolyPeptide generated EUR 167.1 million in revenue, driven mainly by metabolic therapeutics and representing a 23.7% increase versus H1 2024 while continuing to further advance its capacity expansion strategy:

• In H1, revenue from metabolic therapeutics grew by 98.2%, reaching 56.0% of 2025 H1 revenues. As we deliver on large contracts, commercial revenue continued to accelerate (+37.9% vs H1 2024), accounting for nearly two thirds of PolyPeptide’s total revenues.
• EBITDA was EUR 4.4 million versus EUR 2.9 million in H1 2024, driven by higher sales, partially offset by investments made to support PolyPeptide’s growth.
• Net cash flows from operating activities reached EUR 49.7 million versus EUR 0.5 million in H1 2024. Further customer prepayments (net inflows of EUR 27.7 million in H1 2025), as well as disciplined working capital management, offset the buildup of inventory to support the planned growth in H2 2025.
• Capital expenditures reached EUR 46.1 million, or 27.6% of revenue, for key projects in Belgium, Sweden and France. In H1, commercial production at the large-scale SPPS capacity in Braine-l’Alleud, Belgium, progressed to plan, in line to achieve target utilization rate by end 2025. The construction work to double SPPS capacity in Malmö, Sweden, is on track.
• In H1, PolyPeptide announced the expansion of its revolving credit facility by additional capital commitments of EUR 40 million to EUR 151 million, further enhancing the Group’s financial flexibility.

Strengthening our organization and capabilities

• As we expand our commercial business and with the continued importance of large-pharma customers, we maintain our focus on our talent agenda.
• In H1 2025, we enhanced our capabilities in production, operational excellence, engineering, ERP, development, supply chain and quality management, by strengthening our organization, further deepening our CDMO and peptide manufacturing expertise at global and local level.
• We are especially pleased to announce the appointment of Raoul Bernhardt as Chief Manufacturing and Supply Chain Officer and as member of the Executive Committee, succeeding Jens Fricke. Mr. Bernhardt brings with him 30+ years of international experience in various senior roles in operations and supply chain management, including as former Vice President at Catalent Pharma Solutions, a CDMO. He will continue to drive PolyPeptide’s operations and supply chain excellence agenda. Jens Fricke will remain with the Group and will oversee the multi-site capacity expansion programs.

Revised guidance for full-year 2025

On the back of the operational progress made in H1 2025 and robust customer demand, PolyPeptide revises its guidance for the full-year 2025 towards the upper end of the range. It now expects annual revenue growth of 13-20% at constant currency rates, with an EBITDA margin in the high single-digit / low double-digit range, and capital expenditures of around EUR 100 million.

PolyPeptide’s priorities for 2025 remain to ramp up its new large-scale facility in Braine-l’Alleud to its target utilization rate by the end of the year, execute its operational and quality excellence programs, and advance customer contractual partnerships, while executing on the capacity expansions across PolyPeptide’s multi-site network.

Operating in an attractive market

According to Evaluate Pharma (accessed June 2025), the global peptide therapeutics market has been valued at approximately USD 59 billion in 2024 and is projected to reach approximately USD 162 billion by 2030 with a compound annual growth rate (CAGR) of above 15% from 2024 to 2030.

PolyPeptide believes that the main growth driver is the increasing demand for peptide-based therapies for metabolic disorders, in particular for the treatment of diabetes, obesity, and other co-morbidities. During the first half of 2025, pharmaceutical companies announced significant investments in the form of external agreements (e.g., collaboration, licensing) to diversify their portfolio, while supporting trials for new-generation molecules targeting metabolic diseases and their related co-morbidities. We observe efforts, supported by both completed and ongoing studies and trials, focused on differentiation, particularly through indications expansion, enhanced efficacy, alternative delivery routes and extended dosing intervals aimed at meeting market demand, improving patients’ convenience and adherence, thus generating opportunities for peptide CDMO players.

With a history of over 70 years and a strong manufacturing track record with over 1,000 distinct therapeutic peptides manufactured for customers, we are convinced that PolyPeptide is well positioned to successfully compete in this market. PolyPeptide’s customer proximity, driven by its multi-site network and a culture of agility and responsiveness are reflected in its rich pipeline of active custom and commercial projects with large exposure to GLP-1 and the metabolic opportunity.

Sharpened growth strategy

In H1 2025, we continued to focus on the execution of our growth strategy across our global multi-site network. Our vision is to be the most innovative peptide CDMO by shaping the future of peptide drug manufacturing and contributing to the health of millions of patients across the world. Polypeptide’s strategy aims to strengthen both its foundations and competitive advantages:

1. The foundation consists of operational and quality excellence, industrial-scale capabilities, talent and working culture with a commitment to meeting the Group’s corporate responsibilities and sustainability objectives.
2. The competitive advantages center around innovation, with a focus on green chemistry and process intensification, superior pipeline development capabilities, and rapid and flexible capacity expansion that leverages the potential for modularity.

As part of its strategy, PolyPeptide is advancing its capacity expansion roadmap with continued and targeted investments. In H1, commercial production at the new large-scale SPPS capacity in Braine l’Alleud, Belgium progressed according to plan, in line to achieve target utilization rate by end of 2025. In Malmö, Sweden, the construction work to double SPPS capacity announced in January 2025 remains on track. The large-scale capacity expansion with the deployment of a modular approach is intended to accelerate time to market, while enhancing flexibility to ensure high utilization, and supports a large commercial GLP-1 contract previously communicated by PolyPeptide. In addition, PolyPeptide continued to advance the doubling of the SPPS capacity in Strasbourg, France, for a large commercial contract.

We believe the execution of this strategy will enable PolyPeptide to offer its customers a distinctive value proposition that further differentiates it from the competition. The Group’s strategy includes transformational elements to adapt to evolving customer needs and to enhance its industrial-scale capabilities. As a result, PolyPeptide strives to advance its peptide manufacturing practices through efficient and sustainable ways of working and new proprietary technologies.

Mid-term outlook

Our target is to double revenue reported for 2023 by 2028. Revenue growth projections are supported by commercial contracts and supply forecasts of existing customers.

Profitability is expected to approach an EBITDA margin of 25% by 2028, driven by our growth initiatives, improving profitability in the existing base business with higher asset utilization and efficiency, as well as operating leverage.

Capital expenditures of 15% to 20% of revenue are required to ensure capacity beyond 2028. We plan to expand manufacturing capacity in an efficient way, capitalizing on our existing multi-site network and proprietary technology to maximize manufacturing throughput. Our plan is to build additional capacity in phases in line with specific customer projects and their growth trajectory.

Continuing to deliver on our customer promise

With a promising start to the first half of 2025, we believe we are well-positioned to meet our revised guidance and mid-term outlook. We are excited to contribute to a continually expanding global peptide market and deliver on our customer promise: Creating the future in peptides. The drivers that make this happen are our now more than 1,400 colleagues across six cGMP sites who continue to deliver on a daily basis, contributing towards our growth strategy, by driving quality excellence standards and enhancing PolyPeptide’s industrial-scale capabilities.

Speaking on behalf of the Board of Directors and the Executive Committee, we are especially grateful to all our employees, our customers who are at the center of our growth strategy, and our shareholders for their ongoing support and trust.

Baar, 8 August 2025

Sincerely,

Peter Wilden

Chair of the Board of Directors

Juan José González

Chief Executive Officer