Bayer Raises Annual Profit Outlook on Drug Demand
The German drugmaker lifted its adjusted EBITDA forecast as newer pharmaceuticals outpaced expectations.
Updated on Nov. 3, 2026 in Healthcare
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Bayer AG raised its annual adjusted EBITDA outlook to €9.8 billion–€10.3 billion, slightly above the previous range. Third-quarter earnings reached €1.62 billion, beating the average analyst estimate surveyed by Bloomberg.
Why it matters
Stronger sales of newer drugs are helping Bayer offset generic competition for Xarelto and Eylea. The company is also working to contain legal exposure tied to Roundup claims, which has weighed on its shares.
Nubeqa sales reached about €1 billion in the third quarter and exceeded expectations, while Xarelto sales fell 30%. Bayer has paid more than US$11 billion to resolve Roundup claims, and a proposed US$7.25 billion settlement is pending.
The players
Bayer AG
A German multinational pharmaceutical and life sciences company headquartered in Leverkusen, known for products including Xarelto, Eylea, and Nubeqa.
The details
Bayer's pharmaceutical unit posted sales and profit growth in the third quarter, driven by demand for Nubeqa and Kerendia, which both exceeded expectations. The crop science division's earnings fell 41% in the quarter, partly due to higher costs and weaker crop-protection sales. Earlier this year, Bayer separated its US glyphosate business into a unit called Ruveon.
Timeline
June: The US Supreme Court issued a ruling favourable to Bayer on Roundup.
Earlier this year: Bayer separated its US glyphosate business into Ruveon.
Third quarter: The pharmaceutical division reported sales and profit growth.
November 3, 2026: Bayer raised its annual profit outlook.
End of this year: Bayer aims to significantly contain its legal overhang.
Market Landscape
Bayer's Roundup exposure traces back to the wave of US jury verdicts that followed the 2018 cases against Monsanto, which Bayer acquired. Its current settlement push and favourable Supreme Court ruling are the latest steps in a multi-year effort to cap that liability.
For patients relying on Xarelto, Eylea, Nubeqa, or Kerendia, the company's stronger newer-drug sales signal continued availability of those products. The ongoing Roundup settlement effort could affect the company's long-term financial stability and its pricing decisions.
The takeaway
Growth in newer drugs is helping Bayer absorb losses from patent expirations and litigation costs. Investors and patients alike should watch whether the company meets its pledge to contain the Roundup overhang by year-end.
What happens next
Bayer is expected to continue work on containing its legal overhang by the end of this year, though no specific dated milestone was given in the source.
Further reading
For more on the sector, see the Healthcare section, where drugmakers' earnings and pipeline news are tracked.
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