Drug discovery alliances and milestones boost Evotec results
Expects 15% growth in total group revenues in 2011
German small molecule drug developer Evotec reported strong 2010 results driven by drug discovery alliances and milestone payments.
The company made a profit of €3m (+107%), compared with a loss of €45.5m in 2009. Revenue grew by +29% to €55.3m, compared with €42.7m a year ago.
The acquisition of DeveloGen also assisted in raising revenues by €0.8m, as did four milestone payments from Boehringer Ingelheim of €9.0m (2009: €4.0m).
Based on this performance and a tightly managed cost base, Evotec recorded its first ever full-year operating profit of €1.7m (+104%), compared with an operating loss of €42.3m in 2009.
Evotec reported a strong Q4 result with 21% improvement in revenues of €16.4m (2009: €13.5m) and a positive operating result of €0.7m (compared with a €9.4m loss in Q4 2009).
In 2010, new and extended collaborations were announced with Active Biotech, Almirall, Apeiron Biologics, Cardioxyl, CHDI, Cubist Pharmaceuticals, Genentech, MedImmune, Merck KGaA, Shionogi and Vifor Pharma.
In addition, Evotec’s insomnia drug candidate EVT 201 was partnered with Jingxin Pharma for development and marketing in China and a compound to treat neuropathic pain progressed into the clinic within Evotec’s collaboration with Boehringer Ingelheim.
Evotec acquired the ongoing Phase III diabetes candidate Diapep277 partnered with Andromeda/Teva through its acquisition of DeveloGen.
For EVT 101, the lead compound of the EVT 100 family, Evotec received approval from the US FDA to initiate a Phase II proof-of-concept study in treatment-resistant depression in March 2010. Patient recruitment started in mid 2010 and should be completed in 2011. Results are expected in 2012.
In December 2010, Evotec entered into an agreement with MedImmune, the first deal executed by the company on assets and capabilities acquired through its purchase of DeveloGen.
Evotec also signed a definitive agreement to acquire all shares in Kinaxo Biotechnologies, a Munich-based drug discovery alliance company supporting the development of targeted drugs.
Since the end of the financial year, Evotec has signed a deal with Harvard University and the Howard Hughes Medical Institute (HHMI), which is focused on beta cell technologies in diabetes.
In 2011, total group revenues are expected to grow by more than 15% to €64m–€66m.