This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Evotec Reports Full-Year 2010 Results: A Good Year With A Strong Start Into 2011

Stocks in this article: EVT

Based on this strong top-line performance and a tightly managed cost base (unpartnered R&D expenses -71%, SG&A cost -4%), Evotec recorded its first ever full year operating profit of € 1.7m (+104%) compared to an operating loss of € 42.3m in 2009. The operating loss in 2009 included impairments and restructuring charges of € 22.7m, while no impairment or restructuring charges were recorded in 2010.

Unpartnered R&D expenditure decreased as planned to € 6.1m (2009: € 20.9m). This reduction is mainly a consequence of focusing R&D spending on fewer core programmes, reducing the number of unfunded research and development projects and increased funding from partners. Evotec signed important development partnerships to externally fund a number of its core assets which are not reflected in the reported R&D expenses (see below Progress in development partnerships). The decrease in R&D now also reflects the full-year impact of the decision that was taken in May 2009 to close the former Renovis site in the U.S.

Despite successful acquisition processes Evotec ended 2010 with a liquidity of € 70.4m (2009: € 70.6m) which is composed of cash and cash equivalents (€ 21.1m) and of investments (€ 49.3m) and thereby well above its liquidity target of  > EUR 64 m.

Evotec reported a strong Q4 results with 21% improvement in revenues of € 16.4m (2009: € 13.5m) and a positive operating result of € 0.7m (compared to € 9.4m loss in Q4 2009).

2. Update on discovery alliances

Evotec's strategy is to build sustainable, performance-based drug discovery alliances. Consequently, Evotec focuses on high value, revenue generating partnerships with pharmaceutical and biotechnology companies.

The Company is working with more than 70 partners on a global scale. 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 alphabetical order). With these deals the Company further strengthened its customer and revenue base and improved the foundation for future growth.

2 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,814.94 -2.96 -0.02%
S&P 500 2,067.03 -2.38 -0.12%
NASDAQ 4,758.2520 +3.36 0.07%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs