Virbac: +7.7% Organic Growth in Q1, but Currency Exchange Weighs Heavily

Regional Performance and Strategic Platforms

The group recorded a 7.7% growth on a like-for-like and constant currency basis in the first quarter of 2026, amounting to 384 million euros in consolidated revenue. The growth dynamics vary across regions: North America shows the strongest performance with a 20.7% increase on a like-for-like and constant currency basis, while the International region grew by 9.1%. The group's priority platforms, named 'Supercharge' which include segments such as petfood, reproduction, dental, mobility, otology, endocrinology, and ruminants, have grown by approximately 15%, significantly outperforming the group's average. Paul Martingell, the CEO, emphasized that 'our priority platforms are growing by about +15%, in line with our Growing Together strategy'. The integration of Thyronorm has strengthened the group's position in North America, Latin America, and the IMEA region, particularly in endocrinology.

Currency Exchange Impact and Competitive Pressures

The 7.7% growth on a like-for-like and constant currency basis is reduced to 2.2% at actual exchange rates, illustrating the significant impact of currency movements on the group's reported results. The press release explicitly acknowledges that the group is navigating through 'significant global uncertainties and unfavorable currency effects'. The group is also 'actively managing competitive pressures in the Pacific'. Despite these challenges, the management believes that the performance in the first quarter 'reinforces our ability to achieve our ambitious outlook for 2026'. Thyronorm, consolidated according to the group's reporting standards, contributes approximately 1 point to the total revenue growth and 0.5 point to the adjusted EBIT outlook for 2026.

2026 Outlook Confirmed Amid Geopolitical Risks

Virbac has confirmed its outlook for the fiscal year 2026 without any revisions. The group indicates that its exposure to countries directly at risk due to the evolving geopolitical situation in the Middle East represents less than 0.5% of its global revenue. Supply chain disruptions remain limited and manageable within the framework of the current inventory management policy. Regarding inflationary pressures, Virbac does not anticipate at this stage any significant impact that would require a revision of the outlook, stating it remains 'confident in our ability to absorb these pressures through proactive management'.