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UPDATE: Diurnal Loss Widens In First Half; Signs Chronocort Deal

23rd Feb 2021 12:28

(Alliance News) - Diurnal Group PLC on Tuesday said its loss widened in the first half of its current financial year despite higher revenue.

In a separate statement, Diurnal said it has extended its distribution arrangements with Consilient Health to include the distribution & marketing of Chronocort in the Nordic region.

Chronocort is a modified-release preparation of hydrocortisone that is under review by the European Medicines Agency. If regulatory review is favourable, a marketing authorisation opinion for Chronocort approval in the European Economic Area is anticipated during the first quarter of 2021.

Under the terms of this agreement, Consilient Health, a pharmaceutical company, will receive the exclusive rights to market and sell Chronocort, when approved, in Sweden, Norway, Denmark, Finland and Iceland.

Back to the results, the AIM-listed pharmaceutical company reported pretax loss of GBP5.2 million for the six months to the end of 2020, widened compared to GBP4.5 million loss reported a year ago. Revenue, meanwhile, rose to GBP1.2 million from GBP1.1 million year-on-year.

Diurnal sad its flagship Alkindi product sales for the half-year were 4% higher year-on-year. This was below the company's expectations due to the roll-out of Alkindi hurt by Covid-19 restrictions.

"We are pleased with the growth in Alkindi revenue, despite previously highlighted pandemic-related restrictions in Europe, and look forward to this growth accelerating, especially when pandemic restrictions begin to lift," said Chief Executive Martin Whitaker.

The company said research & development expenditure increased to GBP2.6 million from GBP2.4 million reported the year before, while selling & distribution expenses rose to GBP2.5 million from GBP2.0 million.

Administrative expenses were up to GBP1.6 million from GBP1.1 million year-on-year.

Diurnal shares were trading 5.5% lower in London on Tuesday at 58.10p each.

By Evelina Grecenko; [email protected]

Copyright 2021 Alliance News Limited. All Rights Reserved.


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