Slide 1: Evotec FY 2019 - Opening new doors
Evotec FY 2019 Opening new doors Evotec SE, Full-year 2019 results, 26 March 2020
Slide 2: Forward-looking statement
Forward-looking statement Information set forth in this presentation contains forward-looking statements, which involve a number of risks and uncertainties. The forward-looking statements contained herein represent the judgement of Evotec as of the date of this presentation. Such forward-looking sta
Slide 3: Welcome to FY 2019 - The Management Team
Welcome to FY 2019 The Management Team Werner Lanthaler Enno Spillner Craig Johnstone Cord Dohrmann CEO CFO COO CSO PAGE 2
Slide 4: #Researchneverstops - now more than ever
#Researchneverstops - now more than ever Mastering SARS-CoV-2 & COVID-19 together What is paramount in this situation Protect Protect yourself – and with this all others around you Respect Respect the attitude and view of every individual Companies that understand diseases better than anyone Focus e
Slide 5: Agenda
Agenda Highlights & Strategy Financial performance 2019 Scientific and operational performance 2019 Guidance 2020 PAGE 4
Slide 6: Opening more doors than ever - Highlights & lowlights 2019
“just beginning”… Opening more doors than ever Highlights & lowlights 2019 Highlights Multiple new and extended strategic drug discovery and development alliances Successful integration of Just – Evotec Biologics; Construction of first J.POD® in Seattle initiated First strategic J.POD® partner
Slide 7: All moves follow consistent long-term strategy
All moves follow consistent long-term strategy “Action Plan 2022 – Leading External Innovation” Today 2022 2016 2012 2009 PAGE 6
Slide 8: Building a co-owned portfolio in partnerships
Building a co-owned portfolio in partnerships Unique strategy and business approach Own R&D Co-Owned Pipeline Fee for Service PAGE 7
Slide 9: Despite COVID uncertainties, growth strategy on track
Despite COVID uncertainties, growth strategy on track “Action Plan 2022 – Leading External Innovation” – In numbers1) Strong revenue growth (in € m) Adjusted Group EBITDA2) (in € m) 446.4 440 - 480 375.4 123.1 100 - 120 95.5 263.8 57.2 2017 2018 2019 2020(e) 2017 2018 2019 2020(e) High-value unpartn
Slide 10: Scientific excellence meets operational excellence
Scientific excellence meets operational excellence Opening the door to > 500 new top talents in 2019 Total operations personnel: Chemists ~3,000 Biologists ~2,600 ~1,900 ~ 1,000 2016 2017 2018 2019 2020(e) > 80% of employees with at least one academic qualification Approx. 50% of employees have
Slide 11: Agenda
Agenda Highlights & Strategy Financial performance 2019 Scientific and operational performance 2019 Guidance 2020 PAGE 10
Slide 12: Milestone performance led to updated guidance
Milestone performance led to updated guidance Results and guidance 2019 Latest Guidance Initial guidance Final results 2019 January 2020 March 2019 Group € 431.9 m Approx. Approx. 10% growth revenues1) (+19%) 15% growth (2018: € 364.0 m) Unpartnered € 37.5 m Approx. Approx. € 30-40 m R&D2) (+64%) €
Slide 13: Financials reflect that strategy works
Financials reflect that strategy works Key financials 2019: Condensed income statement (IFRS) in € m1) 2019 2018 Actual Actual % vs. 2018 Revenue growth in base business, very strong milestone Revenues from contracts with customers2) 446.4 375.4 +19% achievements and contribution from Just – Evote
Slide 14: Very strong performance in both segments
Very strong performance in both segments Condensed income statement based on segments for FY 2019 in € m1) Inter- EVT EVT segment Not Evotec EVT Execute revenues Execute Innovate elimination allocated2) Group up 21% due to strong base business and ½ year Revenues 420.3 94.3 (82.7) 14.5 446.4 Just
Slide 15: Outstanding performance in Q4
Outstanding performance in Q4 Q4 2019 results in € m1) Q4 2019 Q4 2018 % vs. Strong Q4 revenues Actual Actual 2018 mainly due to significant milestone revenues from Revenues2) 125.1 97.3 +29% EVT Innovate and growing base business incl. Just – Gross margin 27.2% 29.1% – Evotec Biologics R&D and
Slide 16: Agenda
Agenda Highlights & Strategy Financial performance 2019 Scientific and operational performance 2019 Guidance 2020 PAGE 15
Slide 17: Autobahn is multimodal
„Autobahn“ is multimodal End-to-end integrated offering Target Hit- Lead Sourcing Pre- ID/Vali- Identi- Optimi- Phase I Phase II Phase III Approval Market novel ideas clinical dation fication sation PAGE 16
Slide 18: Success requires superior solutions at every stage
Success requires superior solutions at every stage Integration value applied all through the value chain Target Hit- Lead Sourcing Pre- ID/Vali- Identi- Optimi- Phase I Phase II Phase III Approval Market novel ideas clinical dation fication sation Exploratory Biology Biology Translational Biol
Slide 19: EVT Execute - Major achievements 2019
Excellent position for continued growth EVT Execute – Major achievements 2019 Multiple new alliances and strategic collaborations Extensions and growth of existing, long-term partnerships >90% repeat business >700 partners across the industry Successful integration of Just – Evotec Biologi
Slide 20: Better biologics with next generation technologies
Better biologics with next generation technologies Just – Evotec Biologics Highest Quality Higher Speed Integrated Design Approach Cost Efficiency Flexible Capacity PAGE 19
Slide 21: J.POD - The Biologics Facility of the Future
J.POD® – The Biologics Facility of the Future J.POD® – relatively low CAPEX and primary OPEX driven manufacturing January 2020: … JUST – Evotec biologics and MSD enter collaboration around facility of the future QC Lab Utilities Mechanical Warehouse Support J.POD® Manufacturing Administration Fixed
Slide 22: The first J.POD facility in North America
The first J.POD® facility in North America J.POD® … moving toward commercial manufacturing in Redmond (Seattle) Late-stage clinical & commercial facility for biologics. Building size: 130,000 SF* (future expansion options available). Very positive meeting with FDA Emerging Technology Team (ETT) disc
Slide 23: Strong start - Latest news in Q1 and goals 2020
Strong start Latest news in Q1 and goals 2020 Important initial achievements Initiate construction of first J.POD® Multi-year collaboration with MSD around facility of the future Built new partnerships on INDiGO platform Next steps Continued strong high-quality growth New integrated servic
Slide 24: Superior platforms open new doors - EVT Innovate
Superior platforms open new doors EVT Innovate – Major achievements 2019 Multiple milestone achievements in iPSC- based alliances (e.g. BMS/Celgene, Sanofi) Successful progress in co-owned pipeline, e.g. Bayer, Carrick, Topas Therapeutics NephThera JV with Vifor in nephrology Spin- out Break
Slide 25: Fully invested pipeline, gaining visibility
Fully invested pipeline, gaining visibility Partnership portfolio pre-clinical and clinical Molecule Therapeutic Area/Indication Partner Discovery Pre-clinical Phase I Phase II Phase III EVT201 CNS – Insomnia BAY-1817080 Chronic cough ND1) Chronic cough CT7001 Oncology CT7001 Oncology EVT401 Immunol
Slide 26: >100 discovery projects are progressing rapidly
>100 discovery projects are progressing rapidly Partnership research and discovery portfolio Molecule Therapeutic Area/Indication Partner Discovery Pre-clinical Phase I Phase II Phase III 1) ND Nephrology 1) ND PCOS ND1) PCOS INDY inhibitor Metabolic Various Oncology ND1) Oncology ND 1) Oncology – C
Slide 27: 6 BRIDGEs and over 50 projects ongoing
6 BRIDGEs and over 50 projects ongoing Long-term optionality with efficient translation BRIDGE BRIDGE BRIDGE BRIDGE BRIDGE BRIDGE Partnership with Partnership with Partnership with Partnership with Partnership with Partnership with University of MaRS Sanofi Arix and Fred University of Integra, Yissu
Slide 28: Building a portfolio of co-owned equity
Building a portfolio of co-owned equity Equity participations – Overview March 2020 Equity Equity Spin-off Equity Equity Equity Consortium participation participation Nanoparticle- participation participation participation membership Facioscapulo- Metabolic based Targeting Innovative mole- Fibrosis
Slide 29: ... more doors to open
… more doors to open Latest news in Q1 and goals 2020 Important initial achievements Further programme from the endometriosis multi-target alliance advanced into clinical Phase I development Second joint drug discovery programme with Indivumed Expansion of iPSC-based cell therapy platform Next
Slide 30: Your contact: Dr Werner Lanthaler
Your contact: Dr Werner Lanthaler Chief Executive Officer +49.(0).40.560 81-242 +49.(0).40.560 81-333 Fax werner.lanthaler@evotec.com
Slide 31: Agenda
Agenda Highlights & Strategy Financial performance 2019 Scientific and operational performance 2019 Guidance 2020 PAGE 30
Slide 32: Strong year ahead - Guidance 2020
Strong year ahead – mastering all challenges Guidance 2020 Good top- Total Group revenues expected to range from € 440 – 480 m, despite 1 line growth loss of € 20 m subsidy from Sanofi, and certain COVID-19 challenges1) expected Adjusted Group EBITDA2) expected to be in the range of € 100 – 120 m, a
Slide 33: Important next dates
Important next dates Financial calendar 2019 Annual Report 2019 26 March 2020 Quarterly Statement Q1 2020 14 May 2020 Annual General Meeting 2020 16 June 2020* Half-year 2020 Interim Report 12 August 2020 Quarterly Statement 9M 2020 12 November 2020 PAGE 32 * In case Corona-related limitations for p
Slide 34: Your contact:
HRESEARCHNEVE ASTOPS
Slide 35: Back-up // Additional Financial information
Back-up // Additional Financial information PAGE 34
Slide 36: Revenues & Gross margin
Continuously strong revenues and gross margin Revenues & Gross margin Improved base business, milestones and Strong and stable margin despite higher costs contribution from Just – Evotec Biologics of revenue in € m in % +19% 31.0 29.8 29.8 446.4 39.0 23.9 23.2 375.4 22.9 29.5 263.8 27.8 407.4 345.9
Slide 37: R&D and SG&A expenses overview
Overall growth and acquisitions reflected R&D and SG&A expenses overview in € m Focus on metabolic diseases, oncology, and SG&A increase due to overall growth and platforms projects acquisitions 58.4 66.5 6.4 57.0 2.0 35.6 42.4 4.2 0.6 50.0 30.8 17.6 3.4 0.6 13.6 2017 2018 2019 2017 2018 2019 Propri
Slide 38: Promissory note strengthens financing structure
Promissory note strengthens financing structure Liquidity bridge 2018 vs 2019 in € m 2.3 320.0 (12.9) 222.3 42.2 (31.3) 149.4 (40.3) (11.7) Dec 31, Operating Capex Acquisition Equity Bank loans & Repayment F/X Dec 31, 2018 cash flow excl. finance Just investments Promissory of lease difference 2019
Slide 39: Strong balance sheet with >40% equity ratio
Strong balance sheet with >40% equity ratio Balance sheet overview in € m Asset base increased due to higher Strong equity ratio at 40.4%, liquidity and IFRS16 impact on PPE € 250 m SSD loan issued in June 1,180.9 1.180.9 Cash and marketable securities 320.0 Loans and finance leases 463.1 Other curr
Slide 40: Your contact: Dr Werner Lanthaler
Your contact: Dr Werner Lanthaler Chief Executive Officer +49.(0).40.560 81-242 +49.(0).40.560 81-333 Fax werner.lanthaler@evotec.com