Evotec (EVT) Company presentation summary

Strategic vision and value creation

• Focus on unleashing innovation in drug discovery to develop life-changing medicines, leveraging scientific and operational excellence.

• Four levers drive mid-term value: above-market growth, operational excellence, monetization of biologics technology, and asset pipeline returns.

• Transitioning to an asset-lighter model through the sale of the Toulouse biologics site to Sandoz, retaining high-value IP and R&D competencies.

• Horizon transformation plan aims to reduce global footprint, optimize workforce, and establish Centers of Excellence for scientific leadership.

Market positioning and commercial model

• Operates in attractive markets with global R&D spend of $260bn and strong outsourcing trends; drug discovery outsourcing expected to grow 5-7% CAGR.

• Biologics CDMO market shows robust growth (>10% CAGR), with technology advantage shaping new segments.

• Versatile commercial model includes premium research services, strategic partnerships, and tailored offerings to meet diverse customer needs.

• Next-generation CDMO model leverages innovation, IP licensing, and proprietary platforms to expand market reach and enhance margins.

Operational excellence and cost management

• Accelerated cost-out initiatives, including a reduction of ~600 FTEs and increased cost reduction targets to €60m+ for FY 2025.

• Ongoing productivity improvements and disciplined spending support operational efficiency.

• Horizon plan targets €75m run-rate cost savings by end of 2027, with 20-30% realized in 2026.