Bavarian Nordic Announces Interim Results for the First Three Months of 2020

COPENHAGEN, Denmark, May 14, 2020 – Bavarian Nordic A/S (OMX: BAVA, OTC: BVNRY) announced today its interim financial results and business progress for the first three months of 2020. 

Paul Chaplin, President & Chief Executive Officer of Bavarian Nordic said: “The beginning of 2020 has been a productive period for Bavarian Nordic with continued progress on our strategic initiatives. Upon completion of the acquisition of Rabipur/RabAvert and Encepur from GSK, we entered the new year as a commercial vaccine company and are today reporting revenues of the acquired products for the first time. While we see increased uncertainties in certain markets and segments due to the COVID-19 situation, we are pleased to maintain our full-year guidance, supported by strong outlook in other parts of our business, including the recent large smallpox vaccine order from the U.S. government. With strong support as well as appreciation of our updated strategy from existing and new shareholders, we also completed the planned rights issue to finance the acquisition from GSK. As a company engaged in public health and preparedness, we feel the urgency to pursue a viable vaccine for COVID-19 and are extremely pleased to support AdaptVac and an international consortium in pursuing a capsid virus like particle-based vaccine, which we believe has the real possibility to meet the WHO criteria of a single shot vaccine to protect all populations from COVID-19.” 

Financial highlights from the first quarter

• Revenues of DKK 365 million comprised of DKK 321 million from sale of the new products, Rabipur^®/RabAvert^® and Encepur^® and DKK 44 million from contract work
• Other operating income of DKK 628 million from sale of Priority Review Voucher
• EBITDA of DKK 641 million
• Cash flow from financing activities was positive with DKK 1,363 million following completion of rights issue in March generating DKK 2,824 million in gross proceeds, partly offset by repayment of DKK 1,382 million bridge financing for upfront payment to GSK (including amortized costs of DKK 9 million)    
• Strong cash position of DKK 2,205 million at end of the quarter, excluding unutilized credit facilities of DKK 244 million
• Outlook for the year maintained with revenues of approximately DKK 1,900 million and EBITDA of approximately DKK 675 million.

Events after the reporting date

• In April, the Company was awarded a new USD 202 million order for JYNNEOS^® smallpox vaccine from the U.S. government with manufacturing and deliveries occurring in 2020 and 2021. This in addition to the USD 299 million order for delivery of freeze-dried doses and brings the total value of current orders and options beyond USD 500 million.
• In May, the Company signed an exclusive heads of agreement with AdaptVac to license their proprietary capsid virus like particle (VLP) based SARS-CoV-2 subunit (COVID-19) vaccine. A final license agreement is expected to be in place by end of first half 2020. As part of the agreement, Bavarian Nordic will be responsible for the clinical development and global commercialization of the vaccine.

Conference call and webcast
The management of Bavarian Nordic will host a conference call today at 2 pm CEST (8 am EDT) to present the interim results followed by a Q&A session. A listen-only version of the call can be accessed via /investor/events.aspx?event=5690. To join the Q&A session, use one of the following dial-in numbers: Denmark: +45 32 72 80 42, UK: +44 (0) 844 571 8892, USA: +1 631-510-7495. Participant code is 5654328. 

Contacts
Europe: Rolf Sass Sørensen, Vice President Investor Relations, Tel: +45 61 77 47 43
US: Graham Morrell, Paddock Circle Advisors, graham@paddockcircle.com, Tel: +1 781 686 9600 

Company Announcement no. 29 / 2020

About Bavarian Nordic
Bavarian Nordic is a fully integrated biotechnology company focused on the development, manufacture and commercialization of life-saving vaccines. We are a global leader in smallpox vaccines and have been a long-term supplier to the U.S. Strategic National Stockpile of a non-replicating smallpox vaccine, which has been approved by the FDA under the trade name JYNNEOS^®, also for the protection against monkeypox. The vaccine is approved as a smallpox vaccine in Europe under the trade name IMVANEX^® and in Canada under the trade name IMVAMUNE^®. Our commercial product portfolio furthermore contains market-leading vaccines Rabipur^®/RabAvert^® against rabies and Encepur^® against tick-borne encephalitis. Using our live virus vaccine platform technology, MVA-BN^®, we have created a diverse portfolio of proprietary and partnered product candidates designed to save and improve lives by unlocking the power of the immune system, including an investigational Ebola vaccine, licensed to Janssen. For more information visit www.bavarian-nordic.com.

Forward-looking statements
This announcement includes forward-looking statements that involve risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ materially from the results discussed in the forward-looking statements. Forward-looking statements include statements concerning our plans, objectives, goals, future events, performance and/or other information that is not historical information. All such forward-looking statements are expressly qualified by these cautionary statements and any other cautionary statements which may accompany the forward-looking statements. We undertake no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances after the date made, except as required by law.