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Evolva

SW: EVE

CHF169.7m market cap

CHF0.21 last close

Evolva is a Swiss biotech company focused on the research, development and commercialisation of products based on nature. The company has leading businesses in Flavours and Fragrances, Health Ingredients and Health Protection.

Investment summary

Evolva has updated its outlook in light of the effects of the COVID-19 pandemic. FY20 guidance is now for product-related revenue growth to be consistent with last year (+59%). As a reminder, this was the guidance at the start of the year, and was upgraded with the H1 results in August, when management expected product-related revenue to double in FY20. EBITDA guidance is now lowered to a loss of CHF16–17m, having been reduced slightly in August (to ‘above prior-year level’). We adjust our forecasts accordingly and our fair value remains unchanged at CHF0.38/share.

Y/E Dec
Revenue (CHFm)
EBITDA (CHFm)
PBT (CHFm)
EPS (CHFc)
P/E (x)
P/CF (x)
2018A 8.9 (23.4) (25.4) (3.0) N/A N/A
2019A 11.6 (12.3) (15.6) (2.0) N/A N/A
2020E 9.8 (15.8) (16.8) (2.1) N/A N/A
2021E 16.8 (10.7) (11.8) (1.4) N/A N/A
Industry outlook

Food and health ingredients continue to be in the sweet spot as consumers demand healthier products with cleaner labels without compromising on taste or convenience. Evolva’s fermentation platform aims to deliver these benefits while reducing production costs.

Last updated on 30/11/2020
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Sector
Consumer
Share price graph
Balance sheet
Forecast net cash (CHFm) 17.7
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual 0.5 (14.7) 18.8
Relative* (8.0) (17.4) 19.0
52-week high/low CHF0.3/CHF0.2
*% relative to local index
Key management
Beat In-Albon Chairman
Oliver Walker CEO
André Pennartz CFO

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