Many thanks for that. |
From Citywire:
Interim results from OXB (OXB), the recently renamed Oxford BioMedica, prove it is continuing its transformation, says Panmure Liberum.
Analyst Julie Simmonds retained her ‘buy’ recommendation and target price of 505p on the stock, which added 0.8% to 360p on Monday.
The interim results are in line with guidance maintained, and Simmonds said that she does not expect any major change to consensus.
‘The update indicates a measured improvement in number of clients and active programmes, with an encouraging increase in late-stage and commercial programmes,’ she said.
‘These are necessary for the company to meet its mid-term growth targets. Visibility is getting better, with 80% of second-half revenue covered and clarity on 2025… A solid performance as the company continues its transformation.̵7; |
OXB-Helper_3
It's a catchy name, but I would have gone for something more like Fireball XL5.
Oxford Biomedica (US) LLC, Bedford, Massachusetts, USA. |
Belated thanks philh75 for your innovative A1 research |
 Nice CC tbh, very professional bunch. My key take aways were:
Not needing to compete on price cutting margins to generate new business
Working hard to build brand recognition for the broad range of support services - I think 50% of major global industry players surveyed now understand the brand core competencies which is much higher than before-they are targeting now where there are gaps (Asia as noted in prior post and other areas)
So that is all good, I cannot really get a handle on how scalable this all is with comments that the pipeline is now fairly full and production at capacity i.e. if 3 large new clients rocked up how long will that take to translate to higher sales..
A lot of thought and planning going into how best to utilise the different production sites and this will take time as Europe comes up to speed
I think the management have done a super job overall, not least with recruiting such a high class leadership team - this deserves a major rerating but patience may be required to allow them first to hit the 2024 guidance and prove their model - so IIs defer to after that point - hope not, but prepared to be patient :) |
Final, final comment, there was a hint of talking to industry players in Asia earlier this month? |
I'll add one last one for today too.
Slightly deflated about very good results about sums it up for me. I've been happy for them to keep quiet because the last two results presentations had a lot more in them than just results (naming multiple new partners / buying ABL and such). Today was much more like old OXB and if they are going to keep results day just to results, then they should at least put out that KPI table more often (imho) else we are going to be back to potentially having 6 month runs of not much besides faith.
These are not doubts btw - I still have the OXB armband - and there was an awful lot there to like e.g.
Contracted value of client orders to end of July £80 million. To end of August £94m. To date £115m. A lot of companies would give an organ for a trend like that but how many people would guess it's happening at OXB?
Similarly the revenue backlog of £94 million at end of December, £113m end of July, £120m end of August - so even though OXB are putting plates on sticks to get work done in the UK and other territories, the backlog continues to grow.
It's a very good story - just one without much "colour" (as AK used to say) today. I'm sure if they could have named names then they would have.
I suspect the analysts will be kinder this time and if so we'll see it in the share price over the next few weeks. But unless Frank has a big announcement up his sleeve can they make it back into the 250 this year?
Let's hope their roadshow goes well... |
Very possibly Gareth. That might be our "possible" with most different organisations involved. It's also one which we've certainly known about for long enough (without ever actually knowing what it is for). |
A final comment on todays solid results and presentation. One question which seemed slightly left field (these are my novice interpretation of the question and answer). Have any clients been waiting over 12 months to sign a commercial deal? Yes one due to the complexities of alignment over multiple factors. Serum Institute possibly? |
Yes the IC recommendation isn't propitious but even a stopped clock tells the right time twice a day |
Investor's Chronicle positive? That has to be a sign of the end of the world.
Results & Trading Updates
Revamped OXB moves closer to profitability
Forthcoming client drug launches should support the group’s growth ambitions
Published on September 23, 2024
by Jennifer Johnson
Losses narrowing
Momentum behind the shares
Earlier this month, Oxford Biomedica announced the launch of its new corporate brand — OXB (OXB) — designed to reinforce what management calls “its transformation into a global pure-play cell and gene therapy CDMO". To investors, this probably looks like an attempt to distance itself from the vaccine manufacturing contract that brought it into the public consciousness – and that’s no bad thing.
(Can't see the rest of it)
OXB:LSE
Oxford Biomedica PLC |
I think Autolus Therapeutics have their own vector too (for what that's worth).
Seeking Alpha have the transcript out if anyone who missed the webcast is curious before it eventually appears on our website |
I may be wrong, but I thought Autolus had invested in its own in-house manufacturing facilities? For my sins, I also have some Syncona and try to keep up with the underlying positions, where information is available. It had irked me that it seemed that OXB had been overlooked for manufacturing! |
I think i’d be right in suggesting that Harry almost certainly knows a great deal more about OXB than any of the investment analysts at today’s meeting.Brokers migrate towards concentrating on big volume generating large caps and the coverage of small caps suffers from that understandable bias.That actually provides an opportunity for industry peer groups to pick up undervalued assets of which they have a working knowledge.Yet,it also provides a similar opportunity to the more opportunistic old style private client looking for individual company stock holdings.In 2025,OXB will move to profitability and confirm its status as a solid cash generative CDMO.Wishful thinking perhaps but its quite feasible in a thin market, with well over 50% of the equity held in institutional and corporate hands,that OXB could double in the next calendar year. |
I think all 3 of those are ours and will be reviewed Q4, bodes well for next year? |
"Wasn't our new CFO from Autolus?"
Yes, the job before last. |
Well whatever we think Mr President Sir, it hasn't excited the masses.... I think I will have to hold until 2026/7 to see any significant rise. |
Was just doing a bit of digging on that Harry. This is with support from AI so it needs double checking. First I asked it:
Can you find me CAR-T products being reviewed for BLA submission by the FDA in Q4 this year? Which ones are recorded as using OXB's Lentivector.
Several CAR-T therapies under review for Biologics License Applications (BLAs) in Q4 2024 use Oxford Biomedica's Lentivector® platform, a leading lentiviral vector technology. Here are the therapies that are linked with this platform:
Obecabtagene Autoleucel (Obe-cel):
Developer: Autolus Therapeutics
Indication: Relapsed/Refractory B-cell Acute Lymphoblastic Leukemia (ALL)
FDA Decision Expected: November 16, 2024
Obe-cel uses Oxford Biomedica’s Lentivector platform for its production
Carvykti (Ciltacabtagene Autoleucel):
Developer: Janssen and Legend Biotech
Indication: Relapsed/Refractory Multiple Myeloma (expanded use)
FDA Decision Expected: Late 2024
Carvykti has also been linked to Oxford Biomedica’s Lentivector® platform for its viral vector needs
Abecma (Idecabtagene Vicleucel):
Developer: Bristol Myers Squibb and 2seventy bio
Indication: Multiple Myeloma (expanded use after two or more prior therapies)
FDA Decision Expected: Late 2024
Abecma also relies on the Lentivector® platform for vector production
(same link)
These therapies are expected to significantly advance treatment options in hematologic malignancies and are backed by Oxford Biomedica’s well-established vector manufacturing technology.
Wasn't our new CFO from Autolus? |
There were a few titbits in there Dom.
As always with OXB I wonder why they include something which wouldn't ordinarily seem particularly relevant to us unless it was.
I'm thinking particularly here of Seb devoting part of a slide in OXB's results presentation to the FDA expected to approve 2 of the type of drugs we work on in Q4.
We know from long experience that OXB are constrained in what they can say, but they have often done similar to this and given a clue.
I wouldn't tell OXB shareholders that there were two CGT drugs up for review in Q4 if I knew they were partnered with Lonza and TF. |
But nothing they hadn't told us a few weeks ago.... |
I listened to the presentation, quite robust, Stuart Paynter present, didn't say much. CEO, CBO solid performances in their French accents, CFO was a little more cautious having just joined the company, no real difficult questions from the room (James Osborne above asked a question). Peel Hunt and JPM analysts present and asked questions. No external questions put forward. Last comment capacity running at 80% in GMP suits operational at OXB decision allowing for 20% surge or maintenance capacity. A solid presentation. |
I think (in fact I'm sure) that paragraph in the results means something different than how it reads to me Phil.
The figure isn't in the tables. The option liability for the other 10% is much less. So I don't know what that means (the refinancing and the large figure) and they obviously aren't going to tell us. It may be in the FY annual report with a better explanation? |
Nice of him to thank Stuart at the end, but otherwise very uneventful.
Last two presentations had new names for clients and lots of logos - but today much more like the old style. Contracts are obviously being signed / started as per lots of references, but no mentions.
Frank, Lucy and Sophia obviously embarking on a charm offensive with the deep pocket brigade over the coming days. |
Interesting I thought that all the Q&A from Analysts were around drilling into the growth and visibility. There was not concern about the put option cost. The lower revenues in US were mentioned but not questioned further. I got the feel that the Analysts had bought into the message. But that is only a sense of feeling from a private investor! |
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