Update to Medium-Term
Financial Guidance and 2023 Trading and Notice of Preliminary
Results
-
Three-year
revenue CAGR increased to more than 35%, up from prior guidance of
more than 30%
-
Projected FY2024
revenue range of £126 million to £134 million, reflecting the
successful integration of ABL Europe and anticipated growth from
new and existing client programmes
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FY2023 revenues
and EBITDA expected to be in line with guidance provided at the
Interim Results
-
FY2023
Preliminary Results to be reported on Monday, 29 April
2024
Oxford, UK - 5 March 2024: Oxford Biomedica plc (LSE:OXB) ("Oxford Biomedica", "OXB" or
"the Company"), a quality and innovation-led cell and gene therapy
CDMO, today provides an update to its medium-term financial
guidance following the recent
completion of its acquisition of ABL
Europe SAS ("ABL Europe") from Institut Mérieux SA ("the Transaction"), as well as an update
on trading for the year ended 31 December 2023.
Additionally, the Company
announces that it will report its Preliminary
Results for the twelve months ended 31 December 2023 on Monday 29
April 2024.
Trading update for FY2023 and updated medium-term financial
guidance
In line with guidance provided at
the Interim Results, revenues for the year ended 31 December 2023
are expected to be approximately £90 million. Operating EBITDA loss
for the second half of 2023 is on track to be approximately £10
million better than the first half, as previously
guided.
As a result of the Transaction,
including the additional revenues expected from the Company's
recently acquired operations in France, revenues for the year ended
31 December 2024 are expected to be between £126 million and £134
million, with revenues for the year being second half-weighted.
Furthermore, the Company now expects a three-year revenue CAGR of
more than 35% for the years 2023-2026, exceeding the previously
communicated figure of more than 30%.
Following the completion of the
Company's streamlining efforts in 2023, including the transition to
a global site-based model, Oxford Biomedica
reiterates its guidance of achieving broadly breakeven EBITDA in
2024, excluding the impact of the Transaction. Including the impact
of the Transaction, the Company anticipates a modest operating loss
attributed to the recently acquired French operations. This is
expected to be fully funded by the €10 million cash funding in ABL
Europe from Institut Mérieux received prior to completion of the
Transaction.
The Company confirms that it expects
to achieve Operating EBITDA margins in excess of 20% by the end of
2026, as previously guided, and to be profitable on an EBITDA level
in 2025.
Liquidity update post ABL Europe acquisition
The cash position at 31 December
2023 was £103.7 million. This excludes the €10 million cash funding
in ABL Europe provided by Institut Mérieux upon completion of the
Transaction on 29 January 2024. Post completion of the Transaction,
Institut Mérieux SA became a 6.2% shareholder. Institut Mérieux
will increase their shareholding upon the issuance of new shares
pursuant to the subscription agreed as part of the Transaction,
which was cash neutral for OXB.
As previously disclosed in the
announcement on
20 September 2023, this tranche of
funding will provide the Company with €20 million to cover capital
expenditure and potential operational losses related to the
acquisition of ABL Europe, in exchange for Oxford Biomedica
ordinary shares. The shares will be issued prior to 27 September
2024, with timing at Oxford Biomedica's discretion, at a price
being the 30-day VWAP to the day before the date of this
subscription.
Continued growth in orderbook for CDMO
services
Throughout 2023, OXB continued to
grow and diversify its portfolio of clients and programmes with
multiple expanded and new agreements signed for the development and
manufacture of lentivirus, AAV and adenoviral vectors as well as
other vector types.
The contracted value of client
orders signed during the year ended 31 December 2023 was £131
million, an increase of more than 50% compared to £85 million in
the year ending 31 December 2022 (excluding COVID-19 vaccine
manufacturing). This increase reflects the improved biotech funding
environment, which further instils confidence in the Company's
ability to further expand its backlog and receive
orders.
Dr.
Frank Mathias, Chief Executive Officer of Oxford Biomedica,
commented: "OXB is continuing to
successfully deliver its pure-play CDMO strategy.
Our expansion
into the European Union through the acquisition of ABL Europe
strengthens our vector-agnostic service offering and strongly
demonstrates our commitment to global client service and
excellence. With these developments and
our growing order book, we are confident about accelerating our
financial performance and fulfilling our updated medium-term
guidance."
Notice of Preliminary Results
OXB expects to report its
Preliminary Results for the twelve months ended 31 December 2023 on
Monday 29 April 2024. A briefing for investors and analysts will
take place at 13:00 BST / 08:00 ET at One Moorgate Place, London,
EC2R 6EA.
-Ends-
Enquiries:
Oxford Biomedica
plc:
Sophia Bolhassan, VP, Corporate Affairs and IR - T:
+44 (0) 1865 509 737 / E: ir@oxb.com
ICR
Consilium:
T: +44 (0)20 3709 5700 / E:
oxfordbiomedica@consilium-comms.com
Mary-Jane Elliott / Matthew Neal / Davide Salvi
About Oxford Biomedica
Oxford Biomedica (LSE: OXB) is a
quality and innovation-led cell and gene therapy contract
development and manufacturing organisation (CDMO) with a mission to
enable its clients to deliver life changing therapies to patients
around the world.
One of the original pioneers in cell
and gene therapy, the Company has more than 25 years of experience
in viral vectors; the driving force behind the majority of gene
therapies. The Company collaborates with some of the world's most
innovative pharmaceutical and biotechnology companies, providing
viral vector development and manufacturing expertise in lentivirus,
adeno-associated virus (AAV), adenoviral vectors, and other viral
vector types. Oxford Biomedica's world-class capabilities span from
early-stage development to commercialisation. These capabilities
are supported by robust quality-assurance systems, analytical
methods and depth of regulatory expertise.
Oxford Biomedica, a FTSE4Good
constituent, is headquartered in Oxford, UK. It has locations across Oxfordshire, UK, Lyon and Strasbourg,
France, and near Boston, MA, US. Learn more at www.oxb.com, and follow us on LinkedIn
and YouTube.