2nd Mar 2015 09:46
LONDON (Alliance News) - Shares in specialty pharmaceutical company Allergy Therapeutics PLC jumped Monday after it reported good growth in both profit and revenue in the first half of the year, buoyed by market share gains in all of the group's main operating markets.
The company, which specialises in allergy vaccines, posted a pretax profit of GBP7.4 million for the six months to end-December 2014, up from GBP6.5 million last year, as revenue rose 4% to GBP28.2 million from GBP27.2 million, boosted by increased market penetration. It said that if exchange rates had stayed the same, revenue growth would of been 11%, but instead it was hit by the strength of the sterling against the euro.
Allergy Therapeutics shares were up 9.2% Monday morning, trading at 26.75 pence.
The company said it is increasing its European market share, and in the half-year just ended, outperformed the market trend in all its main markets, namely, Germany, Italy, Spain, Austria and the Netherlands.
However, Allergy Therapeutics said it is seeing relatively flat markets in Europe, a trend it expects to continue at least in the short-term.
"Whilst markets in Europe are expected to remain flat in the near future, the company will continue to drive further market penetration with a portfolio of short and ultrashort course aluminium free allergy vaccines, which are increasingly becoming the treatment of choice with prescribers," the company said in a statement.
"This should also allow us to improve margins through leveraging the improved manufacturing facilities we have put in place," it added.
Allergy Therapeutics said it is in talks with the US Food and Drug Administration regarding the prospects of further clinical activities in the US.
"In the next six months, we are expecting to resume clinical trials to progress the major opportunity in the US into the next stage of the company's continued growth. We remain excited about the prospects for the future," said Chief Executive Manuel Llobet
The company said its cash balance at the end of the half-year had improved to GBP8.0 million, from GBP5.2 million last year.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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