Bavarian Nordic A/S

Revenue was DKK 2.034 billion in Q2 and nearly DKK 3.1 billion for the first half; management said H1 revenue was just over DKK 3 billion. Gross margin in Q2 was 61%, and EBITDA margin was 45% in Q2 and 35% for H1. Travel Health grew 45% in Q2 and 26% in H1, while rabies grew 40% in H1 and TBE grew 17% in H1. The company raised full-year revenue guidance to DKK 5.7 billion and EBITDA margin guidance to around 30%. Public Preparedness guidance was lifted to DKK 2.5 billion, Travel Health full-year guidance stayed at around DKK 3 billion, and Vimkunya guidance was reduced to about DKK 200 million.

Paul Chaplin said the quarter was an endorsement of the company’s strategy, employees, partners, and healthcare professionals, and emphasized strong growth across the commercial portfolio. He highlighted the successful chikungunya launch, new Vimkunya approvals in Switzerland and Canada, and the view that the product will be a future growth story even though U.S. launch timing is being slowed by the missing ACIP recommendation. On pipeline, he struck an upbeat tone about the new Lyme vaccine candidate, saying preclinical data look better than competing approaches and that the company plans to move it into the clinic in 2028.

Henrik Juuel walked through the strong top-line and profitability performance, citing Q2 revenue of DKK 2.034 billion, gross margin of 61%, EBITDA margin of 45%, and H1 EBITDA margin of 35%. He said operating costs were DKK 482 million in Q2, with lower R&D from timing and higher SG&A from commercial expansion, and explained that Q2 operating cash flow was positive DKK 351 million while H1 was negative by about DKK 400 million due to the EUR 70 million GSK milestone. He also pointed to cash of DKK 2.3 billion, the launch of a DKK 750 million buyback, and said the company remains flexible for M&A while aiming to optimize capital structure.

Analysts pressed on whether the implied second-half Travel Health decline signaled transparency issues or capacity constraints, and management said the business is seasonal and current trends could still beat the DKK 3 billion guide, but they prefer to wait for Q3 and note some TBE shelf-life-related return risk. On margins, management said the strong gross margin is helped by product mix and very efficient campaign manufacturing, but it is too early to call the improvement structural because the production mix shifts in the second half. Questions on Vimkunya focused on the revenue downgrade and launch performance; management said the change was mainly due to U.S. headwinds from the delayed ACIP publication, while European launches are tracking well. Analysts also asked about the buyback versus M&A and the CEO transition; management said the buyback still leaves room for acquisitions and the CEO change should not materially affect M&A execution.