Allergy Therapeutics: Interim Results (6m to 31 Dec 2016)

29th March 2017

Allergy Therapeutics plc (AIM:AGY), the fully integrated specialty pharmaceutical group specialising in allergy vaccines, announces its unaudited interim results for the six months ended 31 December 2016.

Highlights (including post period end highlights)

Financial highlights

  • Revenue increased by 18% at constant currency to £34.2m (H1 2016: £29.0m)* while reported revenue increased by 39% to £40.4m (H1 2016: £29.0m)
  • R&D expenditure of £3.8m (H1 2016: £6.5m) following a higher level of investment in Phase II trials in H1 2016
  • Strong growth in operating profit pre R&D of 40% as a result of broad investment in the business to £11.1m (H1 2016: £7.9m) and the strength of the euro against sterling
  • Cash balance of £27.8m (H1 2016: £33.2m)

Products and pipeline highlights

  • Increased market share in the Group’s main European markets to 13% (2016: 12%) against a low to flat market
  • Pollinex franchise continues to expand and shape the market as a more convenient treatment
  • First patient recruited in pivotal Pollinex Quattro Birch Phase III study in Europe
  • US Grass MATA MPL programme proceeding as planned with the safety trial (G104) advancing to a dosing trial in H2 2017
  • CTA approval in Spain for Phase I clinical study investigating the safety and tolerability of Acarovac MPL (monophosphoryl lipid A)
  • Positive proof of concept preclinical trial results announced with Polyvac® Peanut, the Group’s peanut allergy vaccine

Manuel Llobet, Chief Executive Officer, said:

“In the first half of this year, we delivered an increase of 18% in revenue at constant currency, despite flat or low growth in European markets, driven by the quality of the Group’s highly convenient, ultra-short course, aluminium-free therapy enabling us to continue to gain market share. This, linked to the recent announcements on progress with our pipeline projects, illustrates that the approach of investing both in the current business as well as the pipeline is working, paving the way for our long-term strategic international plans for a world-class allergy vaccines portfolio.”

*Constant currency uses prior year weighted average exchange rates to translate current year foreign currency denominated revenue to give a year on year comparison excluding the effects of foreign exchange movements. See table in financial review for an analysis of revenue.

Results in full