Alvotech _____________________ Unaudited Condensed Consolidated Interim Financial Statements as of 30 June 2025 and for the six months ended 30 June 2025 and 2024 Table of Contents These Unaudited Condensed Consolidated Interim Financial Statements for the six-month period ended 30 June 2025 have not been audited by an external auditor. Financial results for the six months ended 30 June 2025. As of 30 June 2025, the Company had $151.5 million in cash and cash equivalents. In addition, the Company had borrow ...

Core Insights - Alvotech reported a significant increase in product revenues, with over 200% growth year-on-year, marking the best quarter in terms of operating cash flows in the company's history [2][7] - The company has expanded its commercial partnerships and made strategic acquisitions to enhance its biosimilar pipeline, including the acquisition of Xbrane's R&D facilities and Ivers-Lee Group [2][4] - Alvotech's financial results for the first half of 2025 show a net profit of $141.7 million, a substantial recovery from a net loss of $153.5 million in the same period of 2024 [21][43] Financial Performance - Product revenue reached $204.7 million for the first six months of 2025, compared to $65.9 million in the same period of 2024, driven by the sales expansion of AVT02 and AVT04 [10] - License and other revenue decreased to $101.3 million from $169.7 million year-on-year, primarily due to the timing of milestone achievements [11] - Operating profit was $28.6 million, down from $43.4 million in the prior year, reflecting the timing of milestone-related revenue [15] Cost Structure - Cost of product revenue increased to $139.3 million from $65.2 million, attributed to higher sales volumes [12] - Research and development expenses slightly decreased to $92.9 million from $97.5 million, reflecting the transition of several programs out of the clinical phase [13] - General and administrative expenses rose to $45.3 million from $29.6 million, driven by increased third-party service costs [14] Cash Flow and Liquidity - As of June 30, 2025, Alvotech had cash and cash equivalents of $151.5 million, significantly improved from $51.4 million at the end of 2024 [9] - The company generated net cash from operating activities of $68.3 million, a recovery from a net cash used of $126 million in the same period of 2024 [47] Strategic Partnerships and Acquisitions - Alvotech entered into commercial agreements with Advanz Pharma and Dr. Reddy's Laboratories to co-develop multiple biosimilar candidates [3] - The acquisition of Xbrane's R&D organization and Ivers-Lee Group is expected to enhance Alvotech's development capabilities and operational efficiency [4][8] Market Position and Future Outlook - Alvotech aims to solidify its position as a leader in the biosimilar market by leveraging its expanded pipeline and strategic partnerships [37] - The company plans to conduct a business update conference call to discuss its performance and future strategies [22]

Core Insights - Alvotech reported a significant increase in product revenues, with over 200% growth year-on-year, marking the best quarter in terms of operating cash flows in the company's history [2][8] - The company has expanded its commercial partnerships and made strategic acquisitions to enhance its biosimilar pipeline, including the acquisition of Xbrane's R&D facilities and Ivers-Lee Group [2][4] - Alvotech's financial results for the first half of 2025 show a net profit of $141.7 million, a substantial recovery from a net loss of $153.5 million in the same period of 2024 [23][10] Financial Performance - Product revenue reached $204.7 million for the first six months of 2025, compared to $65.9 million in the same period of 2024, driven by the sales expansion of AVT02 and AVT04 [11] - License and other revenue decreased to $101.3 million from $169.7 million year-on-year, primarily due to the timing of milestone achievements [12] - Operating profit was $28.6 million, down from $43.4 million in the prior year, reflecting the timing of milestone-related revenue [16] Cost Structure - Cost of product revenue increased to $139.3 million from $65.2 million, attributed to higher sales volumes [13] - Research and development expenses slightly decreased to $92.9 million from $97.5 million, reflecting the transition of several programs out of the clinical phase [14] - General and administrative expenses rose to $45.3 million from $29.6 million, driven by increased third-party service costs [15] Cash Flow and Liquidity - As of June 30, 2025, Alvotech had cash and cash equivalents of $151.5 million, significantly improved from $51.4 million at the end of 2024 [10] - The company generated net cash from operating activities of $68.3 million, a turnaround from a cash outflow of $126 million in the previous year [46] Strategic Partnerships and Acquisitions - Alvotech entered into commercial agreements with Advanz Pharma for four biosimilar candidates and a collaboration with Dr. Reddy's Laboratories for AVT32 [3] - The acquisition of Xbrane's R&D organization and Ivers-Lee Group is expected to enhance Alvotech's development capabilities and operational efficiency [4][9] Market Position and Future Outlook - Alvotech aims to be a leader in the biosimilar market, with a pipeline that includes nine disclosed biosimilar candidates targeting various diseases [38] - The company plans to continue its strategic investments in commercialization and regulatory advancements to support long-term growth [16][2]

Core Viewpoint - Alvotech (ALVO) shares have increased by 2.9% recently, closing at $8.65, with a potential upside indicated by Wall Street analysts' price targets suggesting a mean estimate of $17.5, representing a 102.3% upside [1][2]. Price Targets and Analyst Estimates - The mean estimate consists of four short-term price targets with a standard deviation of $7, where the lowest estimate is $14.00 (61.9% increase) and the highest is $28.00 (223.7% increase) [2]. - A low standard deviation indicates a strong agreement among analysts regarding the price targets, suggesting a more reliable consensus [2][9]. Earnings Estimates and Analyst Sentiment - Analysts show strong agreement in revising earnings estimates higher, which correlates with potential stock price increases [4][11]. - Over the last 30 days, the Zacks Consensus Estimate for the current year has risen by 6.3%, with one estimate increasing and no negative revisions [12]. Zacks Rank and Investment Potential - ALVO holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [13]. - While consensus price targets may not be entirely reliable, the direction they imply appears to be a good guide for potential price movement [14].

Core Insights - Alvotech, a global biotech company specializing in biosimilar medicines, will release its financial results for the first half of 2025 on August 13, 2025, after U.S. market close [1] - A conference call to discuss the financial results and business highlights will take place on August 14, 2025, at 8:00 am EDT [1] Company Overview - Alvotech focuses on developing and manufacturing biosimilar medicines, aiming to be a global leader in the biosimilar market by providing high-quality, cost-effective products [3] - The company has two approved biosimilars, Humira® (adalimumab) and Stelara® (ustekinumab), marketed in multiple global markets [3] - Alvotech's development pipeline includes nine disclosed biosimilar candidates targeting various conditions such as autoimmune disorders, eye disorders, osteoporosis, respiratory diseases, and cancer [3] - The company has established strategic commercial partnerships across the U.S., Europe, Japan, China, and other regions, enhancing its global reach [3]

Core Viewpoint - Alvotech (ALVO) is set to announce its Q2 2025 earnings results, with expectations of a loss per share of 26 cents and total revenues of $115.4 million [1][5]. Group 1: Revenue Segments - Alvotech recognizes revenues from two segments: Product revenue and License and other revenue [2]. - Product revenue comes from the sale of two approved biosimilars, Simlandi and Selarsdi, which are biosimilars to AbbVie's Humira and JNJ's Stelara, respectively [3]. Group 2: Market Performance - Investors are particularly interested in the sales figures for Simlandi and Selarsdi, which were launched in the U.S. in 2024 and Q1 2025, respectively, but have yet to gain significant market traction [4]. - Year-to-date, ALVO's shares have decreased by 26.5%, contrasting with the industry's growth of 0.6% [4]. Group 3: Pipeline Developments - Alvotech's pipeline includes AVT05, AVT06, and AVT03, with multiple regulatory filings currently under review in the U.S. and EU [5]. - AVT05 is being developed as a proposed biosimilar to JNJ's Simponi, with regulatory decisions expected by the end of the year [7]. - AVT06 is a proposed biosimilar to Bayer and Regeneron's Eylea, with decisions anticipated by the end of 2025 [8]. - AVT03 is a biosimilar candidate to Amgen's Prolia and Xgeva, with the FDA accepting a regulatory filing for review in March 2025 [9]. Group 4: Partnership Expansions - Alvotech and Dr. Reddy's Laboratories have expanded their partnership to co-develop a biosimilar candidate to Merck's Keytruda [10]. Group 5: Earnings Surprise History - Alvotech has a strong earnings surprise history, having beaten estimates in the last three quarters with an average surprise of 244.18% [11]. - In the last reported quarter, the company achieved an earnings surprise of 305.88% [12]. Group 6: Earnings Predictions - Alvotech currently has an Earnings ESP of 0.00%, indicating no predictive advantage for an earnings beat this time [14].

Group 1 - Alvotech (ALVO) shares have increased by 0.3% over the past four weeks, closing at $9.16, with a mean price target of $17.5 indicating a potential upside of 91.1% [1] - The mean estimate consists of four short-term price targets with a standard deviation of $7, where the lowest estimate is $14.00 (52.8% increase) and the highest is $28.00 (205.7% increase) [2] - Analysts show strong agreement in revising earnings estimates higher, which correlates with potential stock price movements [11][12] Group 2 - The Zacks Consensus Estimate for the current year has risen by 6.3% over the last 30 days, with one estimate moving higher and no negative revisions [12] - Alvotech holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [13] - While consensus price targets may not be reliable for predicting the extent of gains, they can indicate the direction of price movement [14]

Core Viewpoint - Alvotech (ALVO) is experiencing significant selling pressure, with a 6.6% decline over the past four weeks, but is now positioned for a potential trend reversal as it enters oversold territory, supported by positive earnings expectations from Wall Street analysts [1]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is a momentum oscillator that helps identify whether a stock is oversold, with readings below 30 indicating oversold conditions [2]. - ALVO's current RSI reading of 28.6 suggests that the heavy selling may be exhausting, indicating a potential bounce back towards equilibrium in supply and demand [5]. Group 2: Fundamental Analysis - There is strong consensus among sell-side analysts that earnings estimates for ALVO have increased by 6.3% over the last 30 days, which typically correlates with price appreciation in the near term [7]. - ALVO holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further indicating a potential turnaround [8].

Core Insights - Alvotech has appointed Linda Jónsdóttir as the new Chief Financial Officer (CFO), bringing extensive experience in finance and corporate leadership from various industries [1][3][2] - Joel Morales, the previous CFO since 2020, will step down to focus on family but will remain in an advisory role to ensure a smooth transition [1][4] Company Overview - Alvotech is a global biotech company focused on developing and manufacturing biosimilar medicines, aiming to be a leader in the biosimilar space with high-quality, cost-effective products [5] - The company has two approved biosimilars, Humira® (adalimumab) and Stelara® (ustekinumab), and a pipeline of nine disclosed biosimilar candidates targeting various diseases [5] - Alvotech has established strategic commercial partnerships across multiple regions, including the United States, Europe, Japan, and parts of South America, Africa, and the Middle East [5][7]

Core Insights - Alvotech has appointed Linda Jónsdóttir as the new Chief Financial Officer (CFO), bringing extensive international experience in finance and corporate leadership [1][2][3] - Joel Morales, the previous CFO since 2020, will step down to focus on family but will remain in an advisory role to ensure a smooth transition [1][4] Company Overview - Alvotech is a global biotech company focused on developing and manufacturing biosimilar medicines, aiming to be a leader in the biosimilar market [5] - The company has two approved biosimilars, Humira® (adalimumab) and Stelara® (ustekinumab), and a pipeline of nine disclosed biosimilar candidates targeting various diseases [5] - Alvotech has established strategic commercial partnerships across multiple regions, including the United States, Europe, Japan, and parts of Asia and South America [5] Leadership Transition - Linda Jónsdóttir has a strong background, having held senior roles at Marel, including CFO and COO, and has experience on various boards [2][3] - Robert Wessman, CEO of Alvotech, expressed confidence in Linda's ability to support the company's growth and evolution [3] - Joel Morales acknowledged the transformation of Alvotech during his tenure, highlighting the company's transition to a public and profitable entity [4]