Evotec Results for the First Half-year 2023 and Corporate Updates

 

• NEW AND EXTENDED ALLIANCES UNDERLINE PIPELINE VALUE POTENTIAL
• NEW GUIDANCE FOR FULL-YEAR 2023 CONFIRMED

 Evotec SE (Frankfurt Stock Exchange:EVT, MDAX/TecDAX, ISIN: DE0005664809; NASDAQ:EVO) today announced its financial results and corporate updates for the first half-year of 2023.

HIGHLIGHTS

Q2 CYBER-INCIDENT TEMPORARILY REDUNCING STRONG ORGANIC REVENUE GROWTH

• Group revenues increased by 14% to € 383.8 m (H1 2022: € 336.9 m) driven by strong demand for base business and successful partnering activities; like-for-like revenue growth (excluding fx-effects and M&A effects) 14%
• Total EVT Execute revenues (incl. intersegment revenues) up 2% to € 356.6 m (H1 2022: € 351.0 m), strongly affected by cyber-incident; EVT Innovate revenues up 66% to € 129.7 m (H1 2022: € 78.0 m)
• Adjusted Group EBITDA totalled € 26.1 m (H1 2022: € 33.6 m); delivery of Sandoz work packages and Bristol Myers Squibb ("BMS") collaboration yield excellent gross margin, partially compensating for underutilised capacities as a result of the cyber-attack in Q2

NEW AND EXTENDED ALLIANCES REFLECT SUCCESS OF GROWTH STRATEGY "ACTION PLAN 2025"

• New significant collaboration announced with Janssen
• Extensions and expansion of strategic neurodegeneration partnership with BMS, and strong progress in strategic targeted protein degradation partnership with BMS
• Commercial validation of Just - Evotec Biologics' strategy, new agreements with Sandoz and the U.S. Department of Defense (after period-end)
• Milestone payment received with first patient dosed in Phase I study of Bayer kidney disease programme

BUSINESS OUTLOOK FOR FULL-YEAR 2023 AND MID-TERM GOALS 2025 CONFIRMED

• Group revenues expected to be in a range of € 750 - 790 m (€ 765 - 805 m at constant exchange rates) (2022: € 751 m) in FY 2023
• Adjusted Group EBITDA guidance range between € 60 - 80 m (€ 70 - 90 m at constant exchange rates) (2022: € 102 m)
• Unpartnered research and development expenses expected to be in a range of € 60 - 70 m (2022: € 70 m)

	Guidance 2023	Guidance 2023 at constant fx 1)	Actual 31 December 2022 2)
Group revenues	€ 750 - 790 m	€ 765 - 805 m	€ 751 m
Unpartnered R&D expenses	€ 60 - 70 m	-	€ 70 m
Adjusted Group EBITDA	€ 60 - 80 m	€ 70 - 90 m	€ 102 m

¹⁾ Average exchange rate euro vs. US Dollar for 2023: 1.0530
²⁾ Including effects related the M&A (Rigenerand, Central Glass Germany)

• Mid-term goals target revenue growth to > € 1,000 m and adjusted EBITDA of ≥ € 300 m and unpartnered research and development expenses of > € 100 m

Due to the discovery of a criminal cyber-attack on 6 April 2023, productivity was affected throughout the entire second quarter. In response to the criminal cyber-attack, Evotec took immediate action to contain and remediate the attack by taking its systems offline. This was deemed necessary to protect all the Company's partners and stakeholders and Evotec could ensure that integrity of scientific data remained unaffected. The Company re-started operations over the course of April with productivity reaching approx. 50% in May and more than 80% in June.

https://www.biospace.com/article/releases/evotec-se-reports-results-for-the-first-half-year-2023-and-provides-corporate-updates/