Novonesis delivered an 8% organic sales growth in the first half of 2026, prompting the company to raise its full-year organic sales growth outlook to 7-8%, up from the previous guidance of 5-7%. The Copenhagen-based biosolutions firm also announced an inaugural multi-year share buyback program totaling EUR 1 billion and approved an interim dividend of DKK 2.35 (EUR 0.31) per share.

The results reflect strong momentum across both developed and emerging markets, with profitability and cash flow remaining robust. Adjusted EBITDA margin stood at 37.7% in H1 2026, an expansion of 30 basis points year-over-year despite currency headwinds.

Financial Performance Highlights

Novonesis posted solid operational metrics for the first six months of 2026. Revenue synergies contributed approximately 1 percentage point to growth, while price effects added close to 2 percentage points. This performance occurred alongside a negative effect of roughly 1.5 percentage points from exiting certain countries.

Adjusted net profit excluding purchase price allocation (PPA) increased by 8% in the period. In the second quarter alone, organic sales growth accelerated to 9%, while adjusted net profit excl. PPA rose by 9%.

Segment and Regional Breakdown

Growth was consistent across Novonesis’s two main business areas:

• Food & Health Biosolutions: Grew organically by 9% in H1 2026 (Q2: 9%), driven primarily by the Food & Beverages segment. This figure includes a negative effect of approximately 3 percentage points from country exits.
• Planetary Health Biosolutions: Recorded 7% organic growth in H1 2026 (Q2: 9%), with strong performances in Household Care, Agriculture, Energy, and Tech.

Regionally, developed markets grew organically by 8% (Q2: 8%), matching the 8% growth seen in emerging markets (Q2: 11%). The emerging markets result included a significant negative effect of roughly 4 percentage points due to exits in certain countries.

What the Numbers Show

The divergence between Q1 and Q2 performance highlights accelerating momentum in the latter part of the half. While H1 organic sales growth was 8%, Q2 alone saw growth reach 9%. Similarly, adjusted net profit excl. PPA grew 8% for the half but accelerated to 9% in Q2. This suggests improving operational efficiency or volume realization in the second quarter compared to the first.

Additionally, the company’s capital return strategy is expanding significantly. The announcement of a EUR 1 billion share buyback program, to be initiated in H2 2026 and completed by end-2029, signals confidence in future cash flows, supported by a free cash flow conversion of 14% of sales in H1.

Outlook and Corporate Actions

For the full year 2026, Novonesis expects:

• Organic sales growth in the range of 7-8%, including a close to 1 percentage point negative effect from exiting certain countries.
• Adjusted EBITDA margin at the higher end of the 37-38% range.

The Board of Directors also approved the acquisition of the remaining 77% stake in MicroBioGen, as previously communicated on August 10, 2026.

Novonesis announced the launch of Optiva® Triticum on August 12, 2026, a new biosolution designed to help pasta manufacturers navigate wheat volatility while maintaining product quality. The solution allows producers to increase flexibility in wheat sourcing by enabling greater use of soft wheat flour, addressing challenges related to durum wheat availability and pricing fluctuations.

Product Performance and Quality Metrics

Optiva Triticum is engineered to strengthen and connect proteins within the pasta matrix, creating a more robust protein network that supports consistent quality across varying flour qualities and protein levels. This structural integrity helps manufacturers achieve formulation flexibility without compromising performance.

Pilot-scale evaluations provided specific performance data compared with control samples:

The reduction in cooking water turbidity suggests lower starch release during cooking, contributing to an improved cooking experience. Consumer research conducted by Novonesis identified firmness and stickiness as critical factors in evaluating pasta quality, attributes typically associated with durum wheat.

Market Context and Strategic Value

Ishan Gupta, Head of Baking at Novonesis, noted that flour millers, pasta producers, formulators, and distributors face increasing pressure from volatile raw material markets and growing demand for affordable, high-quality foods. Optiva Triticum provides a tool to reduce exposure to wheat price fluctuations, improve sourcing flexibility, and protect margins.

The launch reflects a broader shift in the food industry toward building resilience in sourcing and production. By enabling greater flexibility in flour sourcing, the solution supports the delivery of consistent consumer experiences for staple foods like pasta, which are valued for their affordability, versatility, and long shelf life.

What the Numbers Show

The pilot data reveals a divergence in performance gains between pasta formats. Spaghetti showed a maximum firmness improvement of 25%, significantly higher than the 11% gain observed in short-cut pasta. This suggests the protein-strengthening mechanism of Optiva Triticum may have a more pronounced impact on long-strand pasta structures, which rely heavily on continuous protein networks for structural integrity during cooking.