Evotec SE Updates Financial Guidance for 2024

Evotec SE has announced an update to its financial guidance for the fiscal year 2024. The company anticipates Group revenues to be in the range of €790–820 million. This reflects a low to mid-single-digit percentage growth compared to the previously projected low double-digit percentage growth. In 2023, the company reported €781.4 million in revenues.

Research and Development (R&D) expenditures are expected to be between €50–60 million. This signifies a low double-digit percentage reduction, as opposed to the previously forecasted mid-single to low double-digit percentage reduction. In 2023, R&D expenditures amounted to €64.8 million.

Adjusted EBITDA is estimated to be in the range of €15–35 million. This is a notable mid-double-digit percentage reduction compared to the previously anticipated mid-double-digit percentage growth. The Adjusted EBITDA for 2023 was €66.4 million.

The revision in guidance is primarily driven by slower than anticipated conversion of sales orders into revenues and ongoing pressure on margins due to a high fixed cost base. However, the company asserts that efforts to transform the business towards sustainable profitable growth are well underway.