Slide 1: On our way to the future of R&D
On our way to the future of R&D Evotec SE, 9M 2020 Interim Report, 12 November 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 9M 2020: The Management Team
Welcome to 9M 2020 The Management Team Werner Lanthaler Enno Spillner Craig Johnstone Cord Dohrmann CEO CFO COO CSO PAGE 2
Slide 4: One direction set for growth: Q3 2020 Highlights
One direction set for growth Q3 2020 – Highlights Continued strong operational performance despite ongoing COVID-19 pandemic Multiple new & extended drug discovery and development alliances Long-term multi-target alliance with Novo Nordisk in kidney disease Alliance with QUOD biobank to expa
Slide 5: Agenda
Agenda Highlights Financial performance 9M 2020 Scientific and operational performance 9M 2020 Guidance 2020 PAGE 4
Slide 6: Strong upswing in Q3 – on track despite delayed milestones and COVID-19
Strong upswing in Q3 – on track despite delayed milestones and COVID-19 Financials 9M 2020 & FY 2020 guidance Improving momentum Revenue and EBITDA guidance confirmed2,3) Group revenues up 12% Total Group revenues € 440 – 480 m (€ 360.4 m vs. 9M 2019: € 321.4 m) (2019: € 446.4 m) Like-for-like
Slide 7: Business model shows resilience and increasing potential through co-ownership
Business model shows resilience and increasing potential through co-ownership Unique business model R&D & IP generation Co-owned pipeline World-class partnership services PAGE 6
Slide 8: Recruiting talent during crisis to secure growth into 2021
Recruiting talent during crisis to secure growth into 2021 Development of global number of Evotec employees 3,402 3,444 3,350 3,278 3,172 3,207 3,145 3,050 3,089 Jan Feb Mar Apr May Jun Jul Aug Sep Oct-Dec 2020 PAGE 7
Slide 9: Sovereign Wealth Fund as new anchor investor
Sovereign Wealth Fund as new anchor investor Welcome Mubadala Investment Company US$ 232 bn assets under management (Dec 2019) – Use of proceeds Healthcare is an upcoming strategic sector for Mubadala Acceleration infrastructure built-up strategy (e.g. in biologics (e.g. Outsourced services to pha
Slide 10: Agenda
Agenda Highlights Financial performance 9M 2020 Scientific and operational performance 9M 2020 Guidance 2020 PAGE 9
Slide 11: On track for 2020 goals: Condensed income statement 9M 2020
On track for 2020 goals Condensed income statement 9M 2020 – Evotec SE and subsidiaries in € m1) 9M 2020 9M 2019 % vs. 2019 Strong business mix supporting Revenues from contracts with customers 360.4 321.4 12 performance and momentum, despite expiration of Sanofi subsidy payments Gross margin 24.7
Slide 12: Dynamic organic growth in base revenues
Dynamic organic growth in base revenues Revenues & Gross margin overview Revenues from contracts Gross margin Growth across all business lines, with customers (in € m) (in %) despite COVID-19 and slippage of Base revenues Total Margin milestones Milestones, upfronts Margin excl. milestones, upfron
Slide 13: Third quarter with increased momentum
Third quarter with increased momentum Condensed income statement Q3 2020 – Evotec SE and subsidiaries in € m1) Q3 2020 Q3 2019 Revenue growth driven by strong Revenues from contracts with customers 129.4 114.3 performance in base business and improved revenues from milestones, Gross margin 27.9% 3
Slide 14: Continued underlying revenue growth in both segments
Continued underlying revenue growth in both segments Segment information 9M 2020 – Evotec SE and subsidiaries in € m1) Inter- EVT EVT segment Tran- Evotec Revenue growth of 14% in EVT Execute Innovate elimination sition2) Group Execute reflects strong base business and contributions by Just – Evot
Slide 15: Strong balance sheet and solid liquidity position
Strong balance sheet and solid liquidity position Balance sheet and liquidity – 31 Dec. 2019 versus 30 September 2020 Balance sheet total Equity ratio Capital increase on 12 October in € m in % strengthening KPIs significantly • Total liquidity increased to approx. € 500m 1,180.9 1,169.7 40.4 40.4 •
Slide 16: Agenda
Agenda Highlights Financial performance 9M 2020 Scientific and operational performance 9M 2020 Guidance 2020 PAGE 15
Slide 17: Continued strong operational performance despite COVID-19
Continued strong operational performance despite COVID-19 EVT Execute – Major achievements 9M 2020 Multiple new and extended drug discovery and development agreements (e.g. Austrianni, Boehringer Ingelheim, PTEN Research, …) Just – Evotec Biologics continues to deliver (e.g. DOD, Bill & Melinda
Slide 18: All sites contributing to broader and integrated offering
All sites contributing to broader and integrated offering Expansion of footprint reflects growth strategy France – “Campus Curie” acquisition of key assets closed July 2020, Lyon move to BIOASTER completed Improved degrees of freedom to operate and grow Italy – Verona Continuing increase in dema
Slide 19: Dorothy Crowfoot Hodgkin Campus expands into fully integrated R&D site
Dorothy Crowfoot Hodgkin Campus expands into fully integrated R&D site Summary of key benefits to partners and Evotec Addition of in vitro pharmacology to existing capabilities New building for additional 80 scientists on Milton Park site (>600 employees) Access to Diamond Light Source, Harwel
Slide 20: Just – Evotec Biologics on track
Just – Evotec Biologics on track J.POD® facility and highlights J.POD® facility – construction work making considerable progress despite COVID-19 Alliance with Department of Defense for anti-SARS-Cov2 antibodies Grant from Bill & Melinda Gates Foundation as part of COVID-19 Therapeutics Accele
Slide 21: Strong clinical and pre-clinical progress
Strong clinical and pre-clinical progress EVT Innovate – Major achievements 9M 2020 First patient recruitments in two Phase II studies of Bayer with Eliapixant (BAY1817080) in Recurring Chronic Cough (RCC) (Ph IIb), Overactive Bladder (OAB) (Ph II) Milestone in neurodegeneration alliance with Br
Slide 22: Successful partnership accelerating iPSC – Alliance with Bristol Myers Squibb
Successful partnership accelerating iPSC – Alliance with Bristol Meyers Squibb – Progress overview & iPSC alliance in neurodegeneration Development of novel therapies for a broad range of neurodegenerative diseases Start of the 5-year collaboration Extension to include Early extension for Expanding
Slide 23: Unparalleled iPSC platform delivers big portfolio of opportunities
Unparalleled iPSC platform delivers big portfolio of opportunities iPSC platform iPSC platform for drug discovery and cell therapy Unique opportunity to select unbiased best therapeutic modality for a specific disease or target Linked with cutting edge technology platforms to rapidly advance d
Slide 24: Expansion into liver disease with unique access from QUOD
Expansion into liver disease with unique access from QUOD Molecular patient databases are the foundation of precision medicine Multiple Rare CNS diseases Kidney Tuberculosis diseases NEW Lung & Multiple Liver disease cancers Womens‘ Infectious health diseases PAGE 23 PanOmics: Genomics, Transcriptom
Slide 25: Very good progress within Evotec Equity portfolio
Very good progress within Evotec Equity portfolio Equity participations for co-owned pipeline is further expanding Equity Equity Equity Spin-off Equity Equity Equity Equity Equity (in-kind) Equity Molecular Metabolic Fibrosis Nanoparticle - AI for automated FSHD Targeting Inflammatory Across thera-
Slide 26: Agenda
Agenda Highlights Financial performance 9M 2020 Scientific and operational performance 9M 2020 Guidance 2020 PAGE 25
Slide 27: Strong news flow to be continued
Strong news flow to be continued Overview EVT Execute New integrated service alliances in drug discovery & development EVT Innovate New clinical initiations and progress of co-owned pipeline New co-owned partnerships EVT Equity & BRIDGES Initiation of new BRIDGEs New operational ventures P
Slide 28: Business outlook confirmed: Guidance 2020
Business outlook confirmed Guidance 2020 Total Group revenues expected to range from € 440 – 480 m, based on constant 2019 Good top- 1 exchange rates, despite loss of € 20 m payment from Sanofi, and certain COVID-19 line growth challenges1) Adjusted Group EBITDA2) expected to be in the range of
Slide 29: Digital Capital Markets Day 19 November 2020 agenda
e, evotec 19™ NOVEMBER 2020 HRESEARCHNEVERSTOPS AGENDA DIGITAL CAPITAL MARKETS DAY: -1830-088m DATA-DRIVEN AUTOBAHN T0 CURES Thursday 19** November 2020 8.30 am EST—11.30 am EST; 2.30 pm CET / 1.30 pm GMT » 09:15—10:00 am > 10:00- 10:45 am > 10:45-11:00 am = > 11:00-11:30 am Dr Werner Lanthaler, CEO
Slide 30: Upcoming important dates
Upcoming important dates Financial calendar 2021 Annual Report 2020 25 March 2021 Quarterly Statement Q1 2021 11 May 2021 Annual General Meeting 2021 Date tbc Half-year 2021 Interim Report 11 August 2021 Quarterly Statement 9M 2021 11 November 2021 PAGE 29
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Slide 32: 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