4D Pharma (DDDD) posted a £3.5m operating loss in its maiden full-year results as a public company. Half the loss was attributable to research and development costs for its pipeline of novel live bio-therapeutics, offsetting a £1.4m gain on a fair value revaluation.
At this stage, of course, 4D's reported figures are of secondary importance as it moves ahead with the development of a highly promising clinical programme. Chief executive Duncan Peyton said he was delighted with "such a constructive first financial period". Little wonder - the company's valuation on Aim has increased by 386 per cent over the past 12 months. That may be partly because the shares are tightly held, judging by low daily trading volumes.
This year and next could prove pivotal for 4D. The company's treatment for irritable bowel syndrome, blautix, and its paediatric Crohn's treatment, thetanix, are both on schedule for initial studies on humans in 2015. Moreover, its paediatric remedy for ulcerative colitis, rosburix, is scheduled to enter clinical trials in the second half of next year. The company believes that its use of carefully selected bacteria as the active ingredient in its products - as opposed to chemical entities or antibodies - provides significant advantages as it means they have no toxic side-effects.
| 4D PHARMA (DDDD) | ||||
|---|---|---|---|---|
| ORD PRICE: | 850p | MARKET VALUE: | £515m | |
| TOUCH: | 850-900p | 12-MONTH HIGH: | 1,045p | LOW: 165p |
| DIVIDEND YIELD: | nil | PE RATIO: | na | |
| NET ASSET VALUE: | 61p | NET CASH: | £32m | |
| Year to 31 Dec | Turnover ($000) | Pre-tax profit ($m) | Earnings per share (¢) | Dividend per share (p) |
|---|---|---|---|---|
| 2011 | 55.0 | neg | na | na |
| 2012 | 20.0 | neg | na | na |
| 2013 | nil | -1.1 | na | na |
| 2014 | nil | -2.4 | -4.8 | nil |
| % change | - | - | - | - |
*Includes intangible assets of £6.2m, or 10p a share | ||||
