PolyPeptide with record revenue growth of 43% in H2 2023 versus H1 2023; operational improvements yielding increased profitability and cash flow
Ad hoc announcements pursuant to Art. 53 LR
Baar, 12 March 2024 – PolyPeptide Group AG (SIX: PPGN), a focused global CDMO for peptide- and oligonucleotide-based active pharmaceutical ingredients, today announced its results for 2023 and guidance for 2024:
- Revenue of EUR 320.4 million; growth of 14.0% compared to 2022 (18.2% at constant currency rates) on the back of strong customer demand and peptide-driven momentum
- Operational progress in H2 2023 with revenue of EUR 188.5 million (+43.0% versus H1 2023); EBITDA improved to EUR 13.4 million (H1 2023: EUR -19.4 million) and net cash flows from operating activities increased to EUR 84.8 million (H1 2023: EUR -48.3 million)
- 2023 EBITDA of EUR -6.0 million (2022: EUR 38.7 million) with decline driven by the phase-out of the coronavirus-related business, the ongoing ramp-up of capacity, as well as the operational challenges
- Result for the year of EUR -51.4 million (2022:EUR 7.8 million), driven by foreign currency exchange losses of EUR 14.5 million (2022: EUR 1.6 million), most of which was offset in other comprehensive income
- 2023 capital expenditures of EUR 54.9 million (2022: EUR 83.0 million), or 17.1% of revenue (2022: 29.5%), bringing the cumulative capital deployment for the three-year period between January 2021 and December 2023 to EUR 214.5 million
- Three large commercial agreements concluded during 2023, complementing the one announced in December 2022, providing the potential to double PolyPeptide’s revenue; evolution of commercial model evidenced by increase of customer prepayments; increase of contract liabilities by EUR 38.6 million in 2023
- Audio webcast and conference call will take place today at 10:30 am CET
Juan José González, CEO of PolyPeptide, commented: “In H2 2023 we delivered record revenue growth, improved profitability and cash flow. The priority for 2024 is to meet the increasing customer demand, continue to strengthen our operations and profitability, while further expanding our capacity. Our recently concluded commercial agreements combined with our rich pipeline of over 250 peptides, of which 55 are for phase III of clinical development, position PolyPeptide for an exciting journey of growth.”
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