Business
Oxford Biomedica Business Update
Oxford Biomedica Business Update.
About this update from Oxford Biomedica Plc
[{"type":"text","content":"\n \n \n RNS Number : 5430G\n Oxford Biomedica PLC\n 18 March 2020\n \n \n \n \n \n \n \n Business Update \n \n \n Building the Group for future growth\n \n \n \n \n Oxford, UK\n - 18 March 2020: Oxford Biomedica plc (LSE:OXB) (\"Oxford Biomedica\" or \"the Group\"), a leading gene and cell therapy group, announces today an unaudited trading and business update to 31 December 2019 and post period end review. The Group expects to announce its preliminary results on 23 April 2020.\n \n \n Trading Update: Strong underlying growth as we build for the future\n \n \n · Revenues from the underlying bioprocessing and commercial development business were, as expected, stronger in the second half compared to the first half and continued to grow in the second half of 2019 over the second half of 2018. Despite the capacity constraints within the business growth in full year bioprocessing and commercial development revenues of c.20% was achieved driven by double digit growth across both activities\n \n · Revenues from milestones, licences and royalties are expected to decline c.36% on the prior year with the £11.5 million ($15 million) Axovant milestone and strongly growing royalties unable to compensate for the sizable licence income received on signing the Sanofi (Bioverativ) and Axovant agreements in 2018. The timing of receipt of milestone and licence revenues are, by nature, hard to predict especially when connected to the execution of new licence and supply agreements\n \n · Total revenues for the full year are excepted to be c.£65 million, a slight decline on the prior year due to lower milestone and licensing revenue\n \n · Overall operating EBITDA is expected to show a low single digit loss in the second half due to lower milestone and licensing revenues as indicated above. H1 2019 EBITDA loss was £1.4 million\n \n · Cash at 31 December was £16 million reflecting the continued capital expenditure in the second half on the planned new OxBox bioprocessing facility. Operating cash outflow for the year was c.£7 million\n \n · The Group strengthened its balance sheet through the repayment of the $55 million Oaktree loan following the £53.5 million equity investment by Novo Holdings A/S who are now a 10.1% shareholder\n \n \n Business Update: Capitalising on our marke...