A competitive European market, the weak euro and continued investment in clinical work have put Allergy Therapeutics (AGY) under pressure. But robust margins left operating profits at £0.7m for the year to June 2015 - well ahead of analysts' break-even expectations - despite a £1.1m revaluation charge on company-held US dollar deposits. And at constant currencies revenues actually grew 11 per cent to £46.6m following strong sales of the group's main product, Pollinex Quattro, which accounts for 49 per cent of total revenues.
Constant-currency sales of the injectable allergy immunotherapy treatment rose 7.5 per cent. But the European allergy market is expected to remain flat this year, so the group is pinning its hopes on opportunities in the US. Following a successful fundraising in March, which netted the group £20m from investors, the company has resumed US clinical trials for its Pollinex Quattro Grass treatment. If successful, the new treatment would be the first seasonal, injectable allergy vaccine available to US patients - the crux being its potential to cure rather than simply alleviate allergy symptoms.