Evotec (EVO) Stock News

Evotec SE has updated its guidance for fiscal year 2024, reflecting challenges in the first half of the year. The company now expects:

• Revenues of €790-820 million (low to mid-single-digit percentage growth)
• R&D expenditures of €50-60 million (low double-digit percentage reduction)
• Adjusted EBITDA of €15-35 million (mid-double-digit percentage reduction)

The Shared R&D segment faced a challenging environment, while Just - Evotec Biologics saw mid-double-digit revenue growth. The company is implementing measures to reset operational priorities, focusing on sustainable profitable growth and right-sizing its business. Annualized recurring benefits on adjusted EBITDA are expected to exceed €40 million. Evotec is evaluating additional strategic steps and developing a new mid-range plan.

Evotec SE (NASDAQ: EVO) has updated its fiscal year 2024 guidance. The company now expects:

• Group revenues of €790-820 million (low to mid-single-digit percentage growth, down from previous low double-digit growth)
• R&D expenditures of €50-60 million (low double-digit percentage reduction)
• Adjusted EBITDA of €15-35 million (mid double-digit percentage reduction, down from previous mid double-digit growth)

The guidance revision is due to slower sales order conversion and continued margin pressure from high fixed costs. Evotec is implementing actions to transform the business towards sustainable profitable growth.

Evotec SE has entered into a multi-year collaboration with Pfizer to advance early discovery research for metabolic and infectious diseases. The research will be conducted at Evotec's French facilities, including Campus Curie in Toulouse. Evotec will receive research support funding from Pfizer and may earn milestones and royalties based on the program's success. This partnership aims to leverage Evotec's extensive research capabilities and Pfizer's commitment to fostering new therapeutic approaches. Both companies highlight the strong biopharmaceutical ecosystem in France as a important factor in their collaboration.

Just - Evotec Biologics, a segment of Evotec, has expanded its strategic partnership with Sandoz, focusing on the development and commercial manufacturing of biosimilars. This agreement, announced on July 8, 2024, ensures long-term commercial supply security for Sandoz from Evotec's newly built J.POD® manufacturing facility in Toulouse, France. The extended partnership promises remuneration for early scientific validation and additional funding upon reaching development milestones from 2025. Since May 2023, the collaboration has leveraged Just - Evotec Biologics' data-driven design and continuous manufacturing technology to enhance product quality and cost efficiency. Dr. Matthias Evers, Evotec's Chief Business Officer, highlighted the potential to improve patient access to medicines and validate the strategic establishment of their second J.POD® facility.

Evotec SE's subsidiary, Just - Evotec Biologics, has been selected by the U.S. Department of Defense (DOD) to develop an accelerated monoclonal antibody (

Evotec has announced significant progress in its neuroscience collaboration with Bristol Myers Squibb, earning a $20 million payment as a result of the advancement. The partnership, established in December 2016, aims to discover disease-modifying treatments for neurodegenerative diseases. A target-based programme has now advanced to late pre-clinical development, contributing to an expanding pipeline. The collaboration saw its first success with the in-licensing of EVT8683, now BMS-986419, in September 2021. Following a successful Phase I study, Phase II is set to commence in 2024. In March 2023, the partnership was extended for another 8 years, showcasing their commitment to innovative treatments and patient care.

Evotec SE announced that the majority of proposals put forward at its 2024 Annual General Meeting (AGM) were approved by shareholders. Held on June 10, 2024, the AGM saw the election of Dr. Duncan McHale and Wesley Wheeler to the Supervisory Board, replacing Dr. Elaine Sullivan and Dr. Mario Polywka. Most agenda items, including the 2023 Remuneration Report, received majority approval, except the discharge of the former CEO, Dr. Werner Lanthaler, for the 2023 financial year, which was rejected. Shareholders also agreed to amendments to the Articles of Association and confirmed BDO AG Wirtschaftspruefungsgesellschaft as auditors for 2024. The AGM represented 58.18% of the registered share capital.

Evotec has entered a collaboration with Inserm, Lille University Hospital, and Inserm Transfert to identify new therapeutic targets and markers for obesity and metabolic diseases. This partnership will utilize Evotec's PanOmics technologies to analyze large omics datasets, including transcriptomics, proteomics, and metabolomics, from over 8,000 human samples. Evotec will support the recruitment of 200 additional subjects in the next two years. The data will be integrated into Evotec's E.MPD platform for analysis. The collaboration aims to better understand the molecular mechanisms of metabolic conditions and develop more effective treatments.

Evotec SE has extended its 20-year collaboration with CHDI Foundation, a nonprofit focused on Huntington's disease therapeutics. This alliance leverages Evotec's neuroscience platform and expertise in CNS drug discovery. Initiated in 2006, it remains one of Evotec's largest strategic drug discovery partnerships. The collaboration covers diverse services, including target validation, stem-cell research, and biomarker discovery. Evotec's COO, Dr. Craig Johnstone, expressed pride in their ongoing contributions, while CHDI's CSO, Dr. Robert Pacifici, praised Evotec's role in CHDI's preclinical research programs.