Alvotech (NASDAQ:ALVO) Report Lower Nine-Month Revenue but Higher Adjusted EBITDA – Details Here

Sonal Goyal

12 November 2026 12:12 PM AEDT

Alvotech (NASDAQ:ALVO) Report Lower Nine-Month Revenue but Higher Adjusted EBITDA – Details Here

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Key Highlights

Adjusted total Revenue fell 23% to $323.4 million for the nine months to September 30, 2026.
Adjusted EBITDA rose to $78.3 million from $68.0 million over the same period.
Third-quarter product and service revenue rose 78.3% to $58.2 million.
Reported cash at period end was $61.5 million, compared with $172.4 million at the end of 2025.

Alvotech (NASDAQ:ALVO), a biotechnology company that develops and manufactures biosimilar medicines, reported financial results for the nine months to September 30, 2026 along with a Business update. Adjusted total revenue was $323.4 million, down from $420.0 million, while adjusted EBITDA rose to $78.3 million from $68.0 million. The company is based in Reykjavik, Iceland, and the update is dated November 11, 2026. Biosimilar developers rely on licensing deals, milestone payments and product sales, so revenue can shift between categories from one period to the next.

Revenue Mix Shifts

Product and service revenue fell 30.8% to $164.2 million for the nine months, while license and other revenue dropped 12.9% to $158.9 million. Third-quarter total revenue was nearly flat at $111.6 million, down 2%.

Within the quarter the mix changed. Product and service revenue rose 78.3% to $58.2 million, while license and other revenue fell 34.4% to $53.2 million. The shift means more of the quarter's revenue came from product sales and less from licensing than a year earlier.

Product and service revenue reflects sales of manufactured medicines and related services, while license and other revenue depends on the timing of milestones and agreements. The change in mix between the two is important for understanding how repeatable the revenue is.

Margins and Profitability

Gross Margin was 54% for the nine months, down from 59%, and third-quarter gross margin fell to 54% from 69%. Adjusted EBITDA for the nine months rose 15.1%, and third-quarter adjusted EBITDA more than doubled to $31.5 million from $14.4 million.

Lower gross margin alongside higher adjusted EBITDA points to cost control or to adjustments in the reconciliation. The company's reconciliation tables would be needed to identify the drivers.

Gross margin for the nine months and the quarter both declined, which suggests that the product mix or Manufacturing costs weighed on profitability. The sharper third-quarter drop means that the most recent period was affected more than the first half.

Cash Position

Reported cash at the end of the period was $61.5 million, compared with $172.4 million at December 31, 2025. The decline is substantial and leaves the company with a much lower balance than at the start of the year.

The update does not state the uses of cash in the period. The decline is larger than the adjusted EBITDA gain, which points to Working Capital or Investment outflows that the material reviewed does not itemize.

The fall in cash from $172.4 million to $61.5 million is a major change in the company's position over nine months. Companies in this stage often rely on cash from licensing and financing, so the balance will be watched for signs of funding needs.

Regulatory Progress and Outlook

The update highlights that the FDA accepted a Biologics License Application from Alvotech. Acceptance means the agency has begun its review, although approval timing is not given in the sections reviewed.

Future revenue will depend on the timing of approvals, manufacturing volumes and the mix of product and licensing income. The company has said that supplemental information and a management presentation are available on its website.

The FDA review of a Biologics License Application involves inspections and data requests, and the time to decision can vary. The company's timeline for that decision is among the most important items for investors tracking the business.

Final Word

Alvotech's nine-month results combine lower revenue, lower gross margin and a smaller cash balance with higher adjusted EBITDA and a sharp third-quarter rise in product revenue. Investors will look to the reconciliation of adjusted measures, the use of cash and the regulatory timetable to judge whether the shift in revenue mix proves durable. The reconciliation of adjusted figures and the cash trend will be central to the next set of results.

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