Bavarian sees robust business for monkeypox vaccine beyond ’22; inks supply deal for LatAm

Zerbor

Bavarian Nordic (OTCPK:BVNKF) (OTCPK:BVNRY) (BAVN) President and CEO Paul Chaplin said that the company was nearing a break-even result for 2022 and sees a robust business for the monkeypox vaccine building up beyond 2022.

Q2 revenue grew 45.14% Y/Y to DKK537M, wherein Rabies vaccine Rabipur/RabAvert sales amounted to DKK234M; while sales of tick-borne encephalitis vaccine Encepur were DKK144M.

In Q2, monkeypox vaccine Imvanex/Jynneos/Imvamune sales were DKK117M.

Bavarian Nordic said that the majority of the 2022 revenue from sale of the monkeypox vaccine during Q2 will be recognized in H2 2022 in line with planned deliveries.

“We are making every effort to meet the initial worldwide demand for our monkeypox vaccine and are working diligently to further expand our manufacturing capacity through additional scale-up activities and partnerships,” commented Chaplin.

Bavarian has inked contracts with several governments to supply its monkeypox vaccine. The company has also engaged U.S. contract manufacturer Grand River Aseptic Manufacturing for fill and finish of the vaccine.

Q2 EBITDA loss was -DKK118M, compared to -DKK9M in Q2 2021. Cash and cash equivalents at Q2 end were ~DKK2.75B

Outlook:

“Despite our heavy investments in R&D, the strong sales performance in all parts of our business during the first six months, together with our projections for the remainder of the year means that we are now nearing a break-even result for 2022, and we see a robust business for the monkeypox vaccine building up beyond 2022,” said Chaplin.

The company — which has upgraded its FY22 guidance six times since March due to multiple supply contracts for the monkey vaccine — maintained outlook issued on July 18.

The company expects revenues between DKK2.7B and DKK2.9B; EBITDA with a loss between -DKK300M and -DKK100M. Cash and cash equivalents at year-end expected to exceed DKK1.7B.

Monkeypox vaccine supply to Latin America and Caribbean:

In a separate release, Bavarian Nordic said it signed an agreement with the Pan American Health Organization (PAHO) to facilitate equitable access to the company’s monkeypox vaccine for countries in Latin America and the Caribbean.

Vaccine deliveries are expected to begin in September and will be made available to to those countries which participate in PAHO’s Revolving Fund for Access to Vaccines.

“With the agreement, we have now helped to secure access to our vaccine in more than 70 countries globally, representing the vast majority of affected regions outside endemic areas,” said Chaplin.

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