German science and tech giant Merck confirms full-year guidance

German science and technology giant Merck on Thursday said it is confident of returning to medium-term growth after a significant drop in profits in 2023.

At an investment day at its headquarters in the western city of Darmstadt, the company confirmed its guidance for 2024, with sales expected between €20.7 billion ($22.5 billion) and €22.1 billion.

Earnings before interest, tax, depreciation and amortization (EBITDA) are set to remain between €5.8 billion and €6.4 billion, with organic growth of 4% to 10%.

"We committed to return to growth in 2024 and this is materializing already," said chief executive Belén Garijo.

"Furthermore, we are well positioned to deliver sustainable growth through innovation and our high-performing global talent," she added.

The company is scaling back ambitions for its health care business after two major drug developments to tackle cancer and multiple sclerosis failed.

However, Merck's recently acquired electronics division is expected to grow by an average of 5% to 10% annually.

The company said it benefits "from its unique position as a supplier of semiconductor solutions," which are in high demand due to the ever-increasing use of artificial intelligence.