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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934
Evotec Aktiengesellschaft
(Exact name of registrant as specified in its charter)
Commission File Number: 001-34041
Schnackenburgallee 114
(Address of Principal Executive Offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T
Note: Regulation S-T Rule 101(b)(7) only permits the submission in
paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally
organized (the registrant s home country ), or under the rules of the home country exchange on which the registrant s securities are traded, as long as the report or other document is not a press release, is not required to be
and has not been distributed to the registrant s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-
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| Item | Page | |
| Other Information | 3 | |
| Signatures | 3 | |
| Exhibit Index | 4 |
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On March 27, 2009, EVOTEC AG (Frankfurt Stock Exchange: EVT; NASDAQ: EVTC) ( Evotec ) issued a press release announcing its financial
results for the fourth quarter and year ended December 31, 2008 and released its 2008 Annual Report. Also on March 27, 2009, Evotec issued a press release announcing its plans to restructure and implement its strategic plan Evotec
2012 Action Plan to Focus and Grow .
The press releases are furnished herewith as Exhibit 99.1 and Exhibit 99.2, and the 2008 Annual
Report is furnished herewith as Exhibit 99.3, and all three are incorporated by reference herein.
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its
behalf by the undersigned, thereunto duly authorized.
| Evotec AG | ||
| By: | /s/ Klaus Maleck | |
| Klaus Maleck | ||
| Chief Financial Officer |
Date: March 31, 2009
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| Exhibit Number | Description | |
| 99.1 | Press Release dated March 27, 2009 -Evotec Announces Financial Results for 2008 | |
| 99.2 | Press Release dated March 27, 2009 - Evotec Restructures and Implements Evotec 2012 Action Plan to Focus and Grow | |
| 99.3 | Evotec AG Annual Report 2008 |
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| March 27, 2009 | ||||
| Evotec Announces Financial Results for 2008 Hamburg, Germany Evotec AG (Frankfurt Stock Exchange: EVT; NASDAQ: EVTC) today reported financial results for the year ended December 31, 2008. Evotec revenues for the twelve months ended December 31, 2008 amounted to 39.6m, 20% above last year s level (2007: 32.9m) mainly due to the achievement of three milestones, amounting to 8.5m, as part of Evotec s collaboration with Boehringer Ingelheim. Underlying revenues from research collaborations were on last year s level despite negative currency effects in 2008 and the absence of library synthesis revenues following the transfer of this business into a joint venture with RSIL. Despite a significant increase in gross profit the operating loss increased to 73.2m (2007: 58.1m). The increase was primarily a result of the Company s annual regular impairment review which resulted in a non-cash impairment of goodwill ( 20.3m) and impairment of intangible assets ( 7.3m). The impairment charges mainly result from the Company s decision to focus on core assets and to discontinue earlier discovery projects in order to reduce annual R&D spend in the current challenging environment. Additionally, total R&D expenses increased by 15% to 42.5m (2007: 36.9 m) primarily as a result of the inclusion of Renovis R&D costs following the acquisition, in May 2008, and a milestone payment to Roche for the start of Phase II studies with EVT 302. SG&A expenses increased to 20.0m (2007: 17.8m) mainly due to the inclusion of Renovis, Sarbanes-Oxley compliance related expenses and certain severance payments. However, savings were generated in SG&A personnel expenses as a result of realizing synergies following the merger with Renovis. As of December 31, 2008, headcount in SG&A on a pro-forma basis for Evotec and Renovis was 11 FTEs lower than at the same time in the previous year. Net loss amounted to 78.3m (2007: 48.1m). The negative impact on net loss below the operating line primarily resulted from a non-cash foreign exchange loss of 11.8m as a result of the reduction of the capital reserve of one subsidiary, paid to Evotec AG in 2008. Additionally, Evotec incurred income taxes related mainly to its subsidiary, Evotec (UK) Ltd, in the amount of 1.9m which in 2008 reported a net profit. This was partially offset by an increase in other income from financial assets, resulting mainly from the sale of DIREVO convertible bonds ( 4.6m) and a gain on the put option for auction rate securities ( 1.8m), and net interest income ( 2.1m). At December 31, 2008 Evotec held cash and investments (including auction rate securities) of 92.4m compared to 93.7m at the end of 2007. |
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| March 27, 2009 | ||||
| Evotec Restructures and Implements Evotec 2012 Action Plan to Focus and Grow Immediate significant cost reductions and focus on core R&D programs More assets will be made available for strategic partnering Invest and grow discovery alliances business Extension of cash reach beyond 2012 allows for optimal growth strategy Hamburg, Germany Evotec AG (Frankfurt Stock Exchange: EVT; NASDAQ: EVTC) today announced that it will restructure to focus on core value programs and significantly reduce its operating costs. This follows the completion of a previously announced strategic business review which resulted in the implementation of the strategic plan Evotec 2012 Action Plan to Focus and Grow . The Company will reduce its SG&A expenses by more than 10% and its R&D costs by more than 30%. In absolute terms this means a cost reduction of more than 14 million over 2008. As a result of the immediate restructuring measures, the Company expects its annual cash burn rate to be reduced by a minimum of 30% and its cash reach to be extended beyond 2012. The impact of restructuring is expected to amount to approximately 2 million, attributable solely to 2009. To ensure that our efforts are focused on core differentiated projects and activities that will deliver the greatest value to stockholders and partners, we have made some prompt and clear decisions regarding our financial resources and strategic direction, said Dr Werner Lanthaler, Chief Executive Officer of Evotec . We will significantly downsize our SG&A costs, focus on core research and development programs and make more projects available for strategic partnering. At the same time we have decided to invest and expand our successful discovery alliance business. We will also invest in highly innovative new research projects that address major unmet medical needs. As a result of the internal concentration process more projects will be available for strategic partnering discussions in the near future. Despite the failed partnering process of Evotec s insomnia drug EVT 201, many of the current Evotec projects find high interest within the pharmaceutical industry. Strategically, Evotec will de-risk its business model further to become sustainable. The Company therefore intends to enter into strategic high value alliances with pharma partners and expand its indication focus to neuroscience, pain and inflammation. Keeping the opportunity and core competences to develop at least one of its pipeline products to the market is a further main element of this strategy. |
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Evotec AG Annual Report 2008 Tomorrow s Drugs Today
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Figures Evotec AG (IFRS)
2007 2008 08/07 in %
Revenues T 32,885 39,613 20
R&D expenses T 36,938 42,537 15
Operating result2) T (49,569) (45,627) 8
T (48,053) (78,287) (63)
Total stockholders equity T 170,553 149,859 (12)
Capital expenditure3) T 4,349 3,514 (19)
Cash and investments T
Balance sheet total T 207,878 182,900 (12)
Cash flow T (11,374)5) 15,462 236
Employees as of Dec. 31 386 418 8
Result (0.67) (0.82) (22)
1) 2007 excluding contributions from Evotec Technologies and from the
Chemical Development Business.
2) Before impairment.
3) Cash relevant purchase of tangible and intangible assets, excluding finance leases.
4) Including auction rate securities.
5) Including contributions from Evotec Technologies and from the Chemical Development Business.
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we enter 2009, market turbulence appears to cloud the future of an entire industry. Experts agree innovation in new medicines must continue, and it will. However, the profiles of biotechnology companies could change dramatically. For Evotec, this
means focusing even more on our vision and strategy of leadership in the discovery and development of novel therapies for neuroscience, pain, and inflammation. We have built a company that can meet these macro challenges head on with a pipeline of
clinical opportunities as well as promising candidates for entry into clinical trials. We have a proven and talented team to take the Company forward, a strong financial position, and the commitment to find a path forward for our innovations. Evotec
today is ready to move straight on towards achievement of its goals of bringing novel medicines to the many patients with unmet needs.
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07 Our Value Drivers
17 Management Report
49 Corporate Governance
Consolidated Financial Statements:
57 Statements of Operations
58 Statements of Cash Flows
60 Statements of Changes in Stockholders Equity
62 Fixed Asset Movement Schedule
Supervisory Board and Management Board
89 Responsibility Statement
90 Supervisory Board Report
92 Financial Calendar and Imprint
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that Allow us to Advance Towards Our Goal to Become a Global Pharmaceutical Company
The depth and breadth of Evotec s pipeline increases the chances of one or more of our products being successfully introduced to the market.
Productive Discovery
Evotec has built substantial drug discovery expertise and deep knowledge of neuroscience, pain, and inflammation that can drive new innovative compounds into the clinic.
Substantial Liquidity
Evotec is one of the few small-cap biotech companies with a substantial liquidity position which provides a competitive advantage in
building shareholder value.
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04 To Our 07 Our Value 17 Management 49 Corporate
Shareholders Drivers Report Governance
In 2008, Evotec AG was able to reach some key milestones on its way to becoming a global biopharmaceutical company. We reported important
results on our clinical drug candidates, we further expanded our pipeline by acquiring Renovis and we again demonstrated our core drug discovery competencies as a collaboration partner for the pharmaceutical industry. The Renovis transaction also
strengthened our cash position. These important events have significantly improved the Company s strategic position in an adverse market environment. We are determined to continue our endeavors in securing Evotec s commercial success for
the benefit of our shareholders, in the course of which we will sharpen our focus even further on realizing the Company s value potential. The first result of this stronger strategic focus was the development partnership with Roche for EVT 101
signed in the first quarter of 2009.
The Highlights of 2008