Zurich (awp) – Jean-Paul Clozel, the emblematic boss of the pharmaceutical group Idorsia in difficulty, will hand over general management to the chief financial officer, André Muller, on June 13. Mr. Clozel will run for president of the board of directors at the general meeting to be held the same day.
“The time has come for me to step aside from the day-to-day management of Idorsia and hand over the reins to a younger generation to guide the company through a new phase of growth,” commented the founder of the laboratory, quoted in the press release released Tuesday.
André Muller has been in charge of the company’s finances since its creation, and previously within Actelion, sold by Martine and Jean-Paul Clozel for 30 billion Swiss francs to Johnson & Johnson. Arno Groenewoud, notably head of purchasing, will take over financial management, while the current chairman of the board of directors, Mathieu Simon, will be a candidate for vice-president.
Around 475 fewer jobs
Mr. Muller will take over the helm of a company that began to turn around from January to March, recording 10 million Swiss francs in revenue from sales of Quviviq against insomnia, compared to 21 million in 2023, according to final figures . Further launches are expected for this drug in Europe, including France, ensuring “a solid basis for increased sales in 2024” on the continent. For the current year, Quviviq is expected to bring in 55 million Swiss francs in revenue.
Around 475 jobs were lost at the Allschwil headquarters, mainly in research and development and associated support functions, resulting in a charge of 11 million Swiss francs. Management proceeded with the cancellation of new positions, the non-renewal of temporary positions and layoffs, in addition to unforced departures or retirement. The reduction in costs was fully effective at the beginning of 2024.
“Despite the reduction in workforce, we continue to discover and develop new drugs that have great potential in many areas of medicine,” assured in the document Mr. Clozel, whose company had announced at the last summer wanted to cut half of its fixed costs at headquarters. At the time, it had 1,300 employees. Last October, it specified that the elimination of 475 positions would involve 300 layoffs mainly in research and administration functions.
Operating expenses were limited to 20 million in the first quarter, after 219 million a year earlier, thanks in part to the transfer of rights to selatogrel and the American cenerimod Viatris.
The Basel laboratory returned to black figures, with a profit of 30 million, compared to a loss of 212 million in 2022, thanks in particular to an initial payment from Viatris and the reduction in costs.
The laboratory also published its financial statements for last year, during which the net loss was reduced to 298 million against 828 million in 2022. Revenues totaled 152 million, after 97 million, including 31 million for Quviviq. At the end of 2023, liquidity fell to 145 million, after 255 million at the end of September.
In the fourth quarter alone, revenues fell by half to 22 million, when the net loss reached 117 million after 193 million.
For 2024, the company expects an operating loss (US GAAP) of 340 million, including the one-time contribution of 125 million from the Viatris laboratory, excluding unforeseen events.
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