Merck shares fall after FY outlook cut

Shares in Merck MRCG.DE fall 2.9% in early Frankfurt trade after the German science and technology company cut its FY guidance, due to current macro-economic and geopolitical environment

Merck now expects FY net sales of between 20.9 billion euros to 22.4 billion euros ($23.39-$25.07 billion), having previously forecast of 21.5 billion to 22.9 billion euros

It expects FY EBITDA pre of between 5.8 billion and 6.4 billion euros, compared to 6.1-6.6 billion euros previously targeted

J.P. Morgan says Merck's Q1 results came in broadly in line with market expectations

"However, there is weakness in Science and Lab Solutions due to U.S. policy changes and funding uncertainty together with continued uncertainty around the semiconductor outlook, which offset this positive development," it adds

The stock, which has lost 11.4% YTD, is seen among the worst performers of Germany's blue-chip index .GDAXI

($1 = 0.8937 euros)