Avid Bioservices - CDMOP STOCK NEWS

Avid Bioservices (NASDAQ:CDMO) will report its Q3 fiscal year 2022 financial results on March 8, 2022, after market close. A conference call will follow at 1:30 PM PT, where senior management will discuss the results and corporate developments. Avid, an S&P SmallCap 600 company, has 28 years of experience in CGMP manufacturing and offers a range of services to the biotechnology and biopharmaceutical industries. These services include process development, clinical and commercial manufacturing, and regulatory support.

Avid Bioservices (NASDAQ:CDMO) announced the completion of the first phase of its Myford facility expansion in Tustin, California. This includes a new downstream processing suite, which significantly boosts capacity and revenue-generating potential. With construction underway for the second phase, the company estimates combined annual revenue capacity of up to $270 million from the mammalian cell business and anticipates reaching $350 million with the addition of a new viral vector facility. The first customer project in the new suite is set to begin shortly.

Avid Bioservices reported second quarter revenue of $26.1 million, a 24% increase from the prior year. The company signed $36 million in new business and ended the quarter with a backlog of $120 million, marking a 79% increase year-over-year. Avid is expanding into viral vector development for cell and gene therapy, anticipating significant growth. The gross margin improved to 35% from 30% year-over-year. Net income for the quarter was $3.5 million or $0.06 per share. The company maintains full-year revenue guidance of $115 million to $117 million.

Avid Bioservices, Inc. (NASDAQ:CDMO) will report its financial results for Q2 of fiscal year 2022 on December 7, 2021, after market close. A conference call and webcast will take place at 1:30 PM PT (4:30 PM ET) on the same day, where senior management will discuss Q1 results and corporate developments. Avid is a dedicated contract development and manufacturing organization specializing in biologics, with nearly 30 years of experience in the biotechnology sector. The company offers a wide range of services, including CGMP manufacturing and process development.

Avid Bioservices announced the appointment of Elie G. Hanania, Ph.D., as vice president of process development for viral vector technologies. With over 30 years in cell and gene therapy, Dr. Hanania's expertise is expected to bolster Avid's expansion into this growing market. The company is also constructing a new 53,000 sq. ft. CGMP manufacturing facility, projected to cost $75 million and become operational by early 2023. This strategic move aims to address the demand for high-quality viral vector manufacturing as the cell and gene therapy sector continues to expand.

Avid Bioservices, Inc. (NASDAQ:CDMO) announced its inclusion in the S&P SmallCap 600 Index, effective October 29, 2021. This milestone reflects the company’s successful growth strategy and the contributions of its team. The S&P SmallCap 600 is designed to measure the performance of small-cap U.S. companies with market caps between $850 million and $3.6 billion. Avid focuses on CGMP manufacturing and development services for biologics, with extensive experience in monoclonal antibodies and recombinant proteins.

Avid Bioservices, Inc. (NASDAQ:CDMO) is expanding into the cell and gene therapy market by building a 53,000 sq. ft. viral vector development and CGMP manufacturing facility in Costa Mesa, CA. The estimated construction cost ranges from $65 million to $75 million, with completion projected within 18 months. This move is driven by the increasing demand for viral vector production. Avid anticipates this expansion could boost its annual revenue-generating capacity to over $350 million. Drew Brennan has been appointed general manager for this new business segment, enhancing Avid's expertise in the market.

Avid Bioservices has appointed Matthew Kwietniak as Chief Commercial Officer, effective immediately. Kwietniak brings nearly 30 years of sales experience in the CDMO sector, having previously led drug product sales at Thermo Fisher Scientific and held senior roles at Covance. His appointment aims to enhance Avid's growth trajectory and client relations in the CDMO business, which is crucial as the company undertakes expansion projects to increase capacity. The leadership transition is expected to strengthen Avid’s commercial and clinical client base.

Avid Bioservices reported first quarter revenue of $30.8 million, marking a 21% year-over-year increase. The company achieved its fifth consecutive quarter of operational profitability and signed $23 million in new business orders, ending with a backlog of $110 million, an 83% increase from last year. Gross margin improved to 37%, up from 34% in the prior year, aided by a $3.3 million fee from unused capacity. Avid confirmed its fiscal 2022 revenue guidance of $115 million to $117 million, reflecting expected growth of 20% to 22%. Current cash reserves stand at $160 million.