The pollen allergy market is - unsurprisingly - significantly stronger in the summer months, meaning this financial first half is always important for hay fever vaccine manufacturer Allergy Therapeutics (AGY). Revenue rose by 12 per cent at constant currencies to £31.5m compared with the same period last year, and this is likely to account for between around two-thirds of full year turnover.
Efforts to push the group's proprietary Pollinex Quattro product, which treats grass allergies, into the US are back in full swing following a £20m fundraising this time last year. The product is currently undergoing Phase II clinical trials in both the US and Germany, and chief executive Manuel Llobet suggests the group could see its product commercialised stateside by 2019. But the trials have led to an increase of more than £5m in R&D spending, which affected pre-tax profits.
The company raised another £11.5m in November 2015, with which it plans to support its entry into the food allergy market. Polyvac Peanut, its vaccine for the treatment of nut allergies, has a potential addressable market worth $8bn (£5.62bn). But with trials only in Phase 1, revenue generation from this product is still a long way off.
Broker Panmure Gordon is expecting a pre-tax loss of £11.8m for the year to June 2016 (FY2015: £0.7m pre-tax profit), which gives a loss per share of 2.1p.
| ALLERGY THERAPEUTICS (AGY) | ||||
|---|---|---|---|---|
| ORD PRICE: | 28p | MARKET VALUE: | £164m | |
| TOUCH: | 27.5-28.5p | 12-MONTH HIGH: | 34p | LOW: 19p |
| DIVIDEND YIELD: | nil | PE RATIO: | na | |
| NET ASSET VALUE: | 8.0p* | NET CASH: | £31.6m | |
| Half-year to 31 Dec | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2014 | 28.18 | 7.41 | 1.62 | nil |
| 2015 | 28.96 | 1.30 | 0.19 | nil |
| % change | +3 | -82 | -88 | - |
Ex-div: na Payment: na *Includes intangible assets of £4.98m, or 0.8p a share | ||||
