Merck KGaA Q1 Net Profit Down

German company

reported a drop in its first-quarter net profit. Merck's quarterly net profit slipped 13 percent to 281.7 million euros ($318.58 million), or 0.65 euros per share, versus a year-ago profit of EUR325.2 million, or 0.75 euros per share. EPS, before one-time items, dropped to 1.12 euros from 1.15 euros. Its sales gained 15.7 percent to EUR3.04 billion from EUR2.63 billion, while EBITDA before one-time items climbed 5.7 percent to EUR853 million. Its adjusted EBITDA margin shrank 270 basis points year-over-year to 28.0 percent. Healthcare business net sales climbed 7.4 percent to 1.69 billion euros in the quarter, while Life Science business sales rose 12.4 percent to 738.0 million euros. Performance Materials business net sales jumped 53.4 percent to 617.0 million in the quarter. For the full year, the company projects net sales of EUR12.3 billion to EUR12.5 billion. It also expects 2015 adjusted core earnings to increase to 3.45 billion euros to 3.55 billion euros. Merck shares rose 1.08 percent to close at $38.53 yesterday.