Evotec Provides Updated Fiscal Guidance for 2024

Evotec SE has adjusted its financial guidance for 2024, citing challenges in the first half. The company anticipates revenues between €790-820 million, reflecting low to mid-single-digit percentage growth. This is a reduction from previous expectations of low double-digit growth.

Research and development expenditures are projected to fall to €50-60 million, showing a decrease from 2023's €64.8 million. Adjusted EBITDA is expected to decrease significantly to €15-35 million from €66.4 million in 2023.

The Shared R&D segment experienced revenue declines, although the Just – Evotec Biologics division saw mid double-digit revenue growth due to a tech alliance with Sandoz. Sales in Discovery also grew but are slower to convert into revenue than anticipated.

Evotec aims to reset its operational strategy to foster sustainable growth. Key initiatives such as footprint, capacity, and portfolio optimizations are expected to offer financial benefits by Q3 2024. The company will unveil more strategic steps and rescheduled its Capital Markets Day.