On November 8, 2022 Evotec SE (Frankfurt Stock Exchange: EVT, MDAX/TecDAX, ISIN: DE0005664809; NASDAQ: EVO) reported the financial results and corporate updates for the first nine months 2022 (Press release, Evotec, NOV 8, 2022, View Source [SID1234623522]).

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HIGHLIGHTS
EVOTEC’S TOPLINE SUCCESS REFLECTS STRONG OVERALL DEMAND
Group revenues increased by 19% (13% excluding fx-effects) to € 510.8 m (9M 2021: € 431.0 m), despite significantly lower milestones, upfronts and license payments compared to a very strong comparable basis in 2021 (9M 2022: € 8.1 m vs. € 36.5 m in 9M 2021); base business at € 502.7 m continued to show very strong growth of 27% (9M 2021: € 394.5 m).
Strong progress in both segments: Total EVT Execute revenues (incl. intersegment revenues) up 23% to € 526.7 m (9M 2021: € 429.8 m); EVT Innovate revenues up 20% to € 121.9 m (9M 2021: € 101.9 m), against a very high comparable basis.
Other non-operating result of € (119.6) m (9M 2021: € 228.8 m), mainly driven by the non-cash fair value adjustments of the equity investment in publicly listed Exscientia plc.
Adjusted Group EBITDA totalled € 44.6 m (9M 2021: € 70.1 m); influenced by high expenses for capacity expansion to support the overall growth of Evotec, significantly inflated energy costs as well as lower contribution from milestones, upfronts and licenses, partially offset by positive fx-effects (€ 12.4 m); Just – Evotec Biologics is in its planned ramp up phase; Adjusted EBITDA excluding Just – Evotec Biologics at € 84.6 m (9M 2021: € 74.0 m).

SHARED R&D PLATFORMS FOR HIGHER PROBABILITIES OF SUCCESS (POS)
Multiple new and extended integrated drug discovery and development agreements all along the drug discovery & development value chain (e.g., integrated drug discovery agreement with Viotika, commercial manufacturing with Zogenix, ADME Tox agreements with UCB …)
Successful achievement of four performance-based milestones within existing partnerships; one IND submission, one preclinical development candidate nomination and one lead optimisation start
Significant progress within neuroscience collaboration with Bristol Myers Squibb ("BMS")
Expansion of E.MPD molecular patient database into autoimmune diseases through partnership with Hannover Medical School ("MHH") (after period-end)
Paradigm shift in biologics with Just – Evotec Biologics: Foundation laid for accelerated revenue growth through multiple new development and manufacturing agreements, e.g., with Alpine Immune Sciences; ground-breaking for second new biologics facility J.POD Toulouse, France, on 16 September
J.POD Redmond, Washington (US) joined the U.S. Department of Defense’s ("DOD") Advanced Development and Manufacturing network of facilities and wins a first contract worth up to $ 49.9 m; second award with the U.S. Department of Defense ("DOD") granted after period end.
Commercial launch of proprietary next-generation multi-omics data analysis platform PanHunter (after period-end).
Expansion of BRIDGE LAB150 to include Amgen as a strategic partner (after period-end)

CORPORATE
Expansion of clinical and commercial drug substance manufacturing capacities through acquisition of Central Glass Germany, operating as Evotec Drug Substance (Germany) GmbH ("Evotec DS").

BUSINESS OUTLOOK FOR FULL-YEAR 2022 UNCHANGED AND MID-TERM TARGETS 2025 CONFIRMED
Group revenues expected to be in a range of € 715 – 735 m or € 690 – 710 m at constant exchange rates (2021: € 618 m).
Adjusted Group EBITDA expected to be unchanged in the range of € 105 – 120 m, translating into € 85 – 100 m at constant exchange rates (2021: € 107 m).
Unpartnered research and development expenses expected to be in a range of € 70 – 80 m (2021: € 58 m).
Mid-term goals target revenue growth to > € 1,000 m, adjusted EBITDA of ≥ € 300 m and unpartnered research and development expenses of > € 100 m.

The forecast takes in account – as far as possible – the current increased global uncertainties related to e.g., the COVID-19 pandemic and the war in Ukraine, resulting in uncertainty around the global price and supply situation for energy, other raw materials and supplies as well as logistics relevant to the business. M&A related costs have not been part of the initial guidance and will therefore be excluded.

More detailed information and financial tables are available in our nine-month report published on the Evotec website under the following link: View Source

WEBCAST / CONFERENCE CALL
The Company is going to hold a conference call to discuss the results as well as to provide an update on its performance. The conference call will be held in English.

You will then receive a confirmation email with dedicated dial-in details such as telephone number, access code and PIN to access the call.

A simultaneous slide presentation for participants dialling in via phone is available at View Source

Webcast details

To join the audio webcast and to access the presentation slides you will find a link on our homepage shortly before the event.

The on-demand version of the webcast will be available on our website: View Source.