Formycon (FYB) Q4 2025 earnings summary

Executive summary

• Outperformed EBITDA and working capital guidance despite lower revenues, reflecting business model resilience and robust operational milestones across the biosimilar pipeline.

• Achieved key milestones in the Fit for Growth/FYB4Growth strategy, including geographic diversification, portfolio optimization, innovation, and lean development.

• Strengthened financial position through a €70 million corporate bond placement.

• 2026 began with positive PK results for FYB206 and a partnership with Bayer, supporting the launch of FYB203.

Financial highlights

• 2025 revenues declined to €44.5 million from €69.7 million, below the forecasted €55–65 million, reflecting a planned shift in revenue streams and lower development recharges.

• Adjusted EBITDA improved to €-2.3 million, above forecast, driven by cost management, capitalized development investments, and upfront partnership payments.

• Cost of sales reduced by approximately a quarter, with operational cost of sales for FYB202 down by €15 million and R&D expenses decreasing.

• FYB202 royalties generated €9.7 million for the first time, becoming a main revenue pillar.

• Cash and cash equivalents increased to €68.8 million at year-end, up from €41.8 million.

Outlook and guidance

• 2026 revenues projected at €60–70 million, driven by FYB202 royalties, FYB206 milestones, and initial licensing revenues from FYB203.

• Positive EBITDA expected in the range of €0–10 million, with adjusted EBITDA between €5–15 million.

• Working capital forecasted at €20–30 million, with continued investment in FYB208 and FYB206.

• Royalty income from FYB202 and milestone-driven revenues from FYB206 will be the main contributors.