CDMOP - CDMOP STOCK NEWS

Avid Bioservices (NASDAQ:CDMO) announced the completion of expansions at its mammalian cell manufacturing facilities in Tustin, California. The newly expanded CGMP suites are expected to generate an additional $100 million in annual revenue, while process development capacity has doubled, potentially adding another $25 million. The first customer project in the expanded capacity will commence this month. The enhancements reflect a growing demand for Avid's services, with the company noting a record backlog. Avid aims to maximize its total revenue-generating capacity to approximately $400 million with ongoing projects, including a new cell and gene therapy facility.

Avid Bioservices (NASDAQ:CDMO) reported third quarter revenue of $38.0 million, a 21% increase year-over-year. The company signed $67 million in new business orders, resulting in a backlog of $176 million, up 26% from the previous year. The mammalian cell manufacturing facility is now operational, with expansions expected to add approximately $120 million in revenue capacity by the end of Q1 2023. Avid reaffirms its FY 2023 revenue guidance of $145-$150 million. However, gross margin decreased to 26% for the quarter, compared to 29% last year. The company recorded a net income of $0.5 million ($0.01 per share), down from $2.2 million ($0.04 per share) in Q3 2022.