Accessibility StatementSkip Navigation NEW YORK, Nov. 20, 2025 /PRNewswire/ -- Graviton Bioscience Corporation, a clinical-stage biotechnology company developing selective ROCK2 inhibitors for metabolic, inflammatory, fibrotic, and central nervous system disorders, among other therapeutic indications, today announced that Samuel Waksal, Ph.D., Chief Executive Officer, will participate in a fireside chat at the 8th Annual Evercore HealthCONx Conference. Details of the fireside chat are as follows: Tuesda ...

Financial Data and Key Metrics Changes - Group revenues for the first nine months of 2025 reached EUR 535.1 million, reflecting a 7% decline compared to the previous year [9][18] - DNPD revenues declined by 12% to EUR 391.9 million, while Just - Evotec Biologics revenues grew by 11% to EUR 143.2 million [10][19] - Adjusted group EBITDA was negative EUR 16.9 million, driven by weaker DNPD revenues and fixed cost base [21] - Year-to-date free cash flow improved by 14% compared to the same period last year [22] Business Line Data and Key Metrics Changes - DNPD business faced continued softness in the early drug discovery market, leading to a 12% revenue decline [10] - Just - Evotec Biologics business showed strong growth with revenues up 11% in the first nine months [19] - Non-Sandoz and non-DOD customer base grew by over 100% in the first nine months [14] Market Data and Key Metrics Changes - Venture capital funding for biotech remains unfavorable, impacting business development activities [10][15] - The early drug discovery market is still experiencing a temporary deprioritization, with funding levels below pre-pandemic levels [15] Company Strategy and Development Direction - The company is focused on better monetizing its technology leadership and has raised its cost reduction target to EUR 60 million for 2025 [12] - A transformational deal with Sandoz was signed, expected to unlock payments exceeding $650 million over the coming years [14][39] - The strategy includes pivoting towards an asset-light, higher-margin business model, leveraging technology partnerships [38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the midterm outlook despite current market challenges, with a targeted revenue of EUR 760 million to EUR 800 million for 2025 [45] - The company remains cautious about the early drug discovery market recovery, indicating that visibility into 2026 is limited [68] Other Important Information - The company anticipates up to four molecules from its partnered asset pipeline to enter phase two clinical studies in 2026 [13] - The total milestone potential of the asset pipeline is over EUR 16 billion, with significant royalties expected [34] Q&A Session Summary Question: What were Sandoz revenues in the first nine months? - Sandoz revenues accounted for over 50% of the overall year-to-date revenues [50] Question: How much of the EUR 30-50 million EBITDA guide is from the Sandoz deal? - There is a license recognition element from Sandoz included in the initial consideration, but it is not being split out at this stage [53] Question: What is the expected growth trajectory from 2025 to 2028? - The midterm outlook suggests 8-12% revenue CAGR with stronger potential for EBITDA margins than initially planned [55] Question: What is the current state of the early drug development market? - There is still uncertainty in the market, with more cautious spending and slower decision-making observed [77] Question: Are there geographic variations in market performance? - The US market showed less dynamism earlier in the year, while the European market has been more active recently [81]

Financial Data and Key Metrics Changes - In H1 2025, group revenues reached €371 million, a 5% decrease compared to 2024, primarily due to an 11% decline in DMPD revenues to €269 million, influenced by a temporary decline in BMS revenues [17][18] - Just Evotec Biologics (JEP) achieved €102.2 million in revenue, reflecting a 16% year-over-year growth, driven by strong demand from non-Sandoz and DoD customers [18][19] - Adjusted group EBITDA was negative €1.9 million, with a strong contribution of €7.5 million from JEP, offsetting lower operational leverage from the DMPD segment [19][20] Business Line Data and Key Metrics Changes - DMPD segment saw an 11% revenue decline, attributed to a temporary effect in the BMS collaboration and continued softness in the early drug discovery market [10][17] - JEP segment outperformed with a 16% revenue growth year-over-year, driven by expanding customer base and strong demand [13][19] - R&D spending decreased by 35% year-over-year, from €29.3 million in 2024 to €19 million in 2025, aligning with strategic focus [19] Market Data and Key Metrics Changes - The biotech funding landscape remains complex, with early-stage investments lagging behind later-stage funding, leading to cautious spending behavior in early-stage R&D [14][15] - Signs of a modest recovery in funding are emerging, with expectations for a more normalized distribution of funding and project flow in the coming quarters [15] Company Strategy and Development Direction - The company unveiled a new strategy in April 2025, focusing on pioneering drug discovery and development, operational excellence, and sustainable profitable growth [5][8] - The business model is evolving towards two core segments: discovery and preclinical development (DMPD) and Just Evotec Biologics (JEP), with an emphasis on reducing complexity and enhancing accountability [9][12] - The planned sale of the Toulouse site to Sandoz is part of the strategy to lean into JEP's capabilities as a scalable technology provider, marking a significant milestone in the asset-light model [13][35] Management's Comments on Operating Environment and Future Outlook - Management noted ongoing market challenges but expressed confidence in the progress made and the transformation efforts underway [5][6] - The company anticipates improved visibility towards midterm goals following the Sandoz transaction, with a bold aspiration of 8% to 12% revenue CAGR and greater than 20% EBITDA margin by 2028 [40][41] - Management highlighted the importance of leveraging technology and scientific leadership to create new business opportunities and enhance value creation [27][30] Other Important Information - The company is navigating a cautious funding environment, particularly in early-stage biotech, while maintaining a strong pipeline and operational rigor [14][15][20] - The expansion of the molecular patient database is a key strategic initiative, enhancing capabilities in precision medicine and drug discovery [23][25] Q&A Session Summary Question: Guidance for 2025 and recovery in funding - Management does not expect a significant impact from VC funding recovery in the second half of 2025 [44][45] Question: Breakdown of R&D business revenues - Management indicated that the transactional part of the R&D business is shrinking relative to integrated and large partnerships, which are growing [46][47] Question: Value transfer from the Sandoz deal - Management emphasized the importance of technology capabilities and ongoing revenue streams from milestones and royalties, but did not provide specific numbers [48][49][53] Question: Trends in DMPD segment and customer spending - Management noted cautious spending behavior among biotech customers and mixed dynamics among pharma partners [56][60][62] Question: Pricing environment and competition - Management acknowledged increased price sensitivity in the transactional segment but emphasized the value provided in integrated partnerships [69][71] Question: Geographic market dynamics - Management observed different market behaviors, with stronger traction in East Asia compared to the US and Europe [73][74] Question: Mix of JEP business revenue sources - Management stated that current revenue from JEP is a package of drug production and licensing, with a focus on monetizing assets fully [75][78] Question: Rationale for the sale of the Toulouse site - Management reiterated that the sale aligns with the strategic direction and timing for the company [86] Question: Kidney disease projects and revenue proportion - Management highlighted ongoing investments in kidney disease research and partnerships with major pharma companies [90][91] Question: Customer base for JEP growth - Management confirmed that growth in JEP is derived from a mix of small and large pharma customers, primarily in earlier-stage development [94]