Alvotech (ALVO): Financial results for 9M
Alvotech (ALVO) furnished an SEC Form 6-K — earnings release. EXHIBIT 99.1 Alvotech Announces Financial Results for the Nine Months to September 30, 2026, with a Business Update REYKJAVIK, Iceland, Nov. 11, 2026 (GLOBE NEWSWIRE) -- Alvotech (NASDAQ: ALVO; ALVO-SDB) (“Alvotech” or the “Company”), a global biotechnology company specializing i
How this was made
The 30-second read
Why it matters
The revenue decline and reaffirmed guidance suggest near‑term downside, but recent FDA approvals and expanded manufacturing could offset longer‑term concerns.
Market read
Earnings release provides fresh data for traders; the stock may face short‑term pressure but has catalysts for future upside.
What to watch
New manufacturing capacity and FDA approvals may support longer‑term growth despite short‑term miss.
Alvotech 9M 2026 adjusted total revenue fell 23.0% to $323.4 million while 3Q adjusted EBITDA rose 118.8%; full-year 2026 guidance maintained with performance now expected toward the lower end of the range
Nine-month adjusted revenue fell 23.0% and License and Other Revenue fell 12.9%, but third-quarter product and service revenue rose 78.3% year over year and adjusted EBITDA rose 118.8% in the quarter. Reported nine-month net loss was $(140,659) thousand against a prior-year profit of $136,466 thousand, cash fell to $61.5 million, and management now expects performance toward the lower end of the full-year range.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenue, 9M 2026 (adjusted)non-GAAP | $323.4M | – | -23.0% |
| Product and service revenue, 9M 2026 (adjusted)non-GAAP | $164.2M | – | -30.8% |
| License and other revenue, 9M 2026 (adjusted)non-GAAP | $158.9M | – | -12.9% |
| Gross margin, 9M 2026 (adjusted)non-GAAP | 54% | – | – |
| Adjusted EBITDA, 9M 2026non-GAAP | $78.3M | – | 15.1% |
| Adjusted operating profit, 9M 2026non-GAAP | $46.3M | – | – |
| Reported (IFRS) operating profit, 9M 2026GAAP | $10.78M | – | – |
| Reported (IFRS) EBITDA, 9M 2026GAAP | $42.8M | – | – |
| Finance costs, 9M 2026 (IFRS)GAAP | −$168.7M | – | – |
| Income tax benefit, 9M 2026 (IFRS)GAAP | $13.55M | – | – |
| (Loss) / profit for the period, 9M 2026 (IFRS)GAAP | −$140.7M | – | – |
| Basic and diluted (loss) / profit per share, 9M 2026 (IFRS)GAAP | $(0.45) per share | – | – |
| Net cash (used in) / from operating activities, 9M 2026 (IFRS)GAAP | −$205.6M | – | – |
| Cash and cash equivalents at September 30, 2026 (vs December 31, 2025)other | $61.5M | – | – |
| Total revenue, 3Q 2026 (adjusted)non-GAAP | $111.6M | – | -2.0% |
| Product and service revenue, 3Q 2026 (adjusted)non-GAAP | $58.2M | 6% | 78.3% |
| License and other revenue, 3Q 2026 (adjusted)non-GAAP | $53.2M | – | -34.4% |
| Gross margin, 3Q 2026 (adjusted)non-GAAP | 54% | – | – |
| Adjusted EBITDA, 3Q 2026non-GAAP | $31.5M | – | 118.8% |
| Adjusted operating profit, 3Q 2026non-GAAP | $20.1M | – | – |
| Reported (IFRS) EBITDA, 3Q 2026GAAP | $24.2M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Product and service revenueThe company states that following the completion of the manufacturing improvement program in the first half of the year, it is continuing to increase supply to meet strong underlying demand across its markets. The CEO states product and service revenue reached $58 million in the third quarter. | $164.2 million (9M 2026, adjusted); $58.2 million (3Q 2026, adjusted) | 6% (3Q, per CEO statement) | -30.8% (9M); 78.3% (3Q) |
| License and other revenueThe filing prints the revenue lines and their changes but does not state a driver for this line. The company reports the Lotus Pharmaceuticals agreement for AVT34 and AVT87 commercialization rights in the U.S. and selected Asian markets. | $158.9 million (9M 2026, adjusted); $53.2 million (3Q 2026, adjusted) | – | -12.9% (9M); -34.4% (3Q) |
Full year 2026 outlook
- Revenue$650-$700 million
- NoteEBITDA $180-$220 million
- NoteGuidance maintained; performance now expected toward the lower end of the range (company statement)
- NoteCompany focus on executing planned product deliveries in the fourth quarter as production and commercial supply ramp up after the manufacturing improvement program completed in the first half
Capital returns
- No share repurchase or dividend line appears in the filing.
- Gross proceeds from equity offering: 164,600 thousand (9M 2026) versus 82,481 thousand (9M 2025); fees from equity offering (8,521) thousand versus (3,759) thousand.
What drove it
- The company states that the FDA approved a new Simlandi manufacturing process at the Reykjavik facility that more than doubles output per batch, and approved a second production suite for Simlandi drug substance at the same site.
- The company states that production and commercial supply continue to ramp up following the manufacturing improvement program completed in the first half of 2026.
- The FDA accepted the BLA for AVT80, a proposed biosimilar to Entyvio (vedolizumab), in prefilled syringe and autoinjector presentations. Teva has licensed U.S. commercial rights.
- Alvotech and Advanz Pharma submitted the first known regulatory submission worldwide for a proposed biosimilar to Eylea HD (aflibercept 8 mg) to the European Medicines Agency.
- Agreement with Lotus Pharmaceuticals covers U.S. and selected Asian commercialization rights for AVT34 (Imfinzi biosimilar) and AVT87 (Hemlibra biosimilar); Alvotech retains the right to also commercialize directly in the U.S.
- LOTTE Biologics will manufacture drug substance for multiple biosimilars at its Syracuse, New York facility, which the company says expands its U.S. manufacturing footprint.
Concerns
- Nine-month adjusted total revenue fell 23.0% year over year, with License and Other Revenue down 12.9% and third-quarter License and Other Revenue down 34.4%.
- Nine-month reported (loss) / profit for the period was $(140,659) thousand against $136,466 thousand a year earlier, with finance costs of $(168,684) thousand.
- Net cash used in operating activities was $(205,612) thousand for 9M 2026, and cash fell to $61.5 million from $172.4 million at December 31, 2025.
- Total equity was negative at $(267,267) thousand at September 30, 2026.
- Management now expects performance toward the lower end of the full-year 2026 revenue ($650-$700 million) and EBITDA ($180-$220 million) ranges, and the filing does not provide a quarterly breakdown needed to test the guidance.
What to watch
- Delivery of planned product volumes in the fourth quarter of 2026, as stated by the company.
- Whether full-year 2026 revenue and EBITDA land in the lower part of the $650-$700 million and $180-$220 million ranges.
- Cash position of $61.5 million at September 30, 2026 against $(205,612) thousand of 9M operating cash outflow.
- Progress of the FDA review of the AVT80 BLA and the EMA review of the proposed Eylea HD biosimilar; the filing gives no decision dates.
- Commercial execution under the Lotus agreement for AVT34 and AVT87.
- Q4 2026 results release scheduled for March 10, 2027, with the earnings call on March 11, 2027.
Balance sheet and cash flow
- Total assets: $1,616,043 thousand at September 30, 2026 versus $1,487,099 thousand at December 31, 2025.
- Total equity: $(267,267) thousand at September 30, 2026 versus $(284,487) thousand at December 31, 2025.
- Borrowings (non-current): $1,341,286 thousand versus $1,262,147 thousand at December 31, 2025. Current maturities of borrowings: $54,967 thousand versus $36,921 thousand.
- Derivative financial liabilities (non-current): $90,540 thousand versus $53,994 thousand at December 31, 2025.
- Inventories: $242,252 thousand versus $220,054 thousand at December 31, 2025.
- Cash used in operations before interest and tax, 9M 2026: $(96,611) thousand versus $35,215 thousand in 9M 2025.
- Interest paid, 9M 2026: $(109,061) thousand versus $(22,338) thousand in 9M 2025.
- Net cash used in investing activities, 9M 2026: $(128,521) thousand versus $(88,449) thousand in 9M 2025; acquisition of intangible assets $(88,164) thousand versus $(24,632) thousand.
- Net cash from financing activities, 9M 2026: $224,085 thousand versus $64,063 thousand in 9M 2025.
- Decrease in cash and cash equivalents, 9M 2026: $(110,048) thousand; cash at end of period $61,468 thousand.
Analysis
Alvotech reported nine-month 2026 adjusted total revenue of $323.4 million, down 23.0% from $420.0 million, with product and service revenue down 30.8% and License and Other Revenue down 12.9%. Gross margin on the adjusted basis was 54% against 59% a year earlier. Third-quarter adjusted total revenue was $111.6 million, down 2.0% year over year, but within that the product and service line rose 78.3% to $58.2 million while License and Other Revenue fell 34.4% to $53.2 million. The mix shift is visible in the quarter: product revenue is the line the company describes as recovering after the manufacturing improvement program completed in the first half, while license revenue fell from $81.1 million a year earlier.
Profitability on the adjusted measures improved in the quarter. Adjusted EBITDA was $31.5 million in 3Q 2026 against $14.4 million, and $78.3 million for nine months against $68.0 million, up 15.1%. Third-quarter gross margin was 54% against 69% a year earlier. On the IFRS basis, nine-month operating profit was $10,779 thousand against $29,952 thousand, and nine-month reported EBITDA was $42.8 million against $57.4 million. The reported loss for the nine months was $(140,659) thousand against a profit of $136,466 thousand, with finance costs of $(168,684) thousand against $(108,449) thousand and an income tax benefit of $13,546 thousand against $39,822 thousand. Basic and diluted per-share result was $(0.45) against $0.47. The filing does not reconcile the gap between adjusted operating profit and the reported loss below the operating line beyond the line items printed.
Cash and balance sheet figures show the pressure. Cash and cash equivalents were $61.5 million at September 30, 2026 against $172.4 million at December 31, 2025. Net cash used in operating activities was $(205,612) thousand for nine months, with interest paid of $(109,061) thousand. Investing outflows of $(128,521) thousand included $(88,164) thousand for intangible assets, and financing inflows of $224,085 thousand included $164,600 thousand of gross equity offering proceeds and $113,676 thousand of new borrowings. Total equity was $(267,267) thousand and total borrowings were $1,341,286 thousand non-current plus $54,967 thousand current, reported as separate lines. No share repurchases or dividends appear in the filing.
Management maintained full-year 2026 guidance for total revenue of $650-$700 million and EBITDA of $180-$220 million, and said performance is now expected toward the lower end of the range. The filing does not provide a prior-quarter revenue figure, a quarterly cash flow or a gross margin guide, so the arithmetic required to test the guide is left to the reader. Operationally, the company reports FDA acceptance of the AVT80 BLA, an EMA submission for a proposed Eylea HD biosimilar, a Lotus licensing agreement for AVT34 and AVT87, a LOTTE Biologics manufacturing partnership, and two FDA approvals for Simlandi at Reykjavik, including a process that more than doubles output per batch. The company states its priority is planned product deliveries in the fourth quarter.
Management, verbatim
Our commercial performance strengthened in the third quarter, with product and service revenue reaching $58 million, up 6% sequentially and 78% year over year.
Lisa Graver, Chief Executive Officer
Not in the filing
stated, not guessed- Previous-period outlook was not provided, so vs_prior_guidance is empty.
- Full-year 2026 gross margin, operating expense and tax rate guidance are not printed.
- Prior-quarter (2Q 2026) figures are not printed, so qoq_change is null except where the CEO statement gives a sequential change for product and service revenue.
- Gross margin change in percentage points is not printed for 9M or 3Q.
- Reported (IFRS) operating profit and EBITDA for 3Q 2025 and the 3Q 2026 reported operating profit are only partly printed; the 3Q reported operating profit of 12.8 and prior 1.3 millions are on the reconciliation table only and were not used as key metrics.
- License and other revenue 9M 2025 is 182.4 in the Financial Highlights table but 182.6 adjusted in the reconciliation table; the highlights figure was used and the difference is not explained in the filing.
- Cash at September 30, 2025 (42,848 thousand per the cash flow statement) is printed but the prior-year balance sheet date is not a comparable comparative in the highlights; not used as prior_year.
- Free cash flow is not printed and was not computed.
- Share price reaction, consensus estimates and analyst expectations are not in the documents.
- Adjusted net income or adjusted EPS are not printed.
- Quarterly 3Q 2026 IFRS net loss and EPS are not printed.
- Dates of FDA and EMA decisions are not printed.
- Driver of the 3Q 2026 License and Other Revenue decline is not stated in the filing.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Alvotech is a Nasdaq‑listed biotech focused on biosimilars, releasing its nine‑month financial results via a Form 6‑K filing.
Ticker impact
Alvotech reported 9M revenue of $323.4M, down 23% YoY, and reaffirmed full-year guidance of $650-$700M revenue, indicating weaker performance.
likely pressure as the market prices in the revenue decline and guidance at the lower end of range
Revenue fell sharply year-over-year and guidance is reaffirmed at the low end, which typically triggers sell‑offs in biotech stocks.
Market effects
Biotech sector may see modest pullback as a peer reports weaker revenue and guidance.
European and US markets could see slight dip in biotech indices.
Limited to biotech investors; no broad market impact.
Counterpoint
If the reaffirmed guidance is seen as a floor, the stock could rally on short covering.
Key entities
- companyAlvotech
Biotech firm developing biosimilar medicines.
