Alliance Pharma, a specialist pharmaceutical firm, reported a decline in half year pre-tax profit after revenue fell on the back of a 10% drop in sales.
Sales for the six month period totalled £22.0m, down from £24.4m during the same period in 2011, dragging half year profit down from £7.0m to £5.3m. Basic earnings per share totalled 1.80p, compared to 2.38p the previous year.
Michael Gatenby, Alliance Pharma's Chairman, said: "We are pleased with the underlying performance in the first half year. We have an attractive and robust portfolio, which, boosted by the product acquisitions we have made over the past 12 months, gives us plenty of scope for driving organic sales growth. We remain well placed to fund further acquisitions and we have substantially broadened our search for targets to include opportunities on the Continent. We are confident that Alliance will continue to make solid progress."
Sales of the firm's Deltacortril / enteric coated prednisolone product now appear to have stabilised at a run rate of around £2.0m per annum, following the decline seen in early 2011 after the launch of a second generic competitor and changes in clinical preference.
The Hydromol grew particularly well, recording growth of 28% in the first half, while Nu-Seals, its low dose aspirin product, experienced increased competition in Ireland.
The interim dividend was increased by 10% from 0.25p to 0.275p.
Alliance Pharma, a speciality pharmaceutical company, has said trading during the six months ended June 30th has been in line with management's expectations, with turnover of around £22m. The Hydromol produce continues to perform well, with growth of 28% over the first half of 2011. The firm said it is continuing to explore a number of acquisition opportunities, some of which are at a very advanced stage. The temporary suspension of the ImmuCyst product is expected to end in late 2013.
Alliance Pharma plc (AIM: APH), the speciality pharmaceutical company, has been notified by Sanofi Pasteur Canada, which manufactures the bladder cancer treatment ImmuCyst and licenses it to Alliance for distribution in the UK and Ireland, that Sanofi Pasteur has decided to temporarily suspend manufacturing of ImmuCyst to address certain production issues that have arisen. Sanofi Pasteur has advised that its preliminary estimate is to resume supply of ImmuCyst in late 2013. ImmuCyst currently generates around £2m gross margin per annum for Alliance and accordingly the Board of Alliance expects that the results for the year end 31 December 2012 could be adversely affected by approximately £1m. Alliance is exploring ways to mitigate the impact
Good Morning Inmates. I am here to say Good Bye, I hate good byes’ but enough is enough ones must know ones limits THANK YOU APH and good bye; you know I have been faithful and you have been wonderful to me because of you I could now and decide to have my retirement a little earlier, 2 steps forward. Good Bye all I wish you all good lucks and good health, be faithful like me and soon you’ll able to do like me – if this is what you wished
In May 2010 an astonishing revelation came to light. Scancell was to trial a vaccine that, in an earlier version, had already cured two girls of bone cancer! The elder of the two wished to remain anonymous but Amy Dickenson, by now 20 years old and pregnant with her second baby, was only too pleased to bear witness to the miracle cure which saved her life. As an eight year old, Amy was entered into a trial of the early version of Scancell's vaccine, configured at that time to treat bone cancer. In Amy's case an advanced stage of this cancer had developed in her left leg. Despite gruelling surgery and chemotherapy, the disease persisted and spread to her lungs. Amy was not expected to survive, yet she was found to be cured following the treatment. Professor Kathy Pritchard Jones, who led the trial with both girls, at the Royal Marsden Hospital in London, said: “I believe the vaccine played a vital role in their recovery. It is incredibly promising that patients with this almost incurable disease have gone on to live normal lives.” Scancell is currently engaged in new clinical trials with the latest version of the vaccine reconfigured to treat malignant melanoma, the most aggressive form of skin cancer. Designated SCIB1, this will be the first vaccine Scancell has designed for commercial use. A second vaccine to treat lung cancer is also in development. Professor Lindy Durrant, Joint CEO of Scancell commented: "In the short term, this could cure some patients with the disease, and in the long term it could be used to prevent people developing it in the first place." Professor Karol Sikora, a leading cancer expert, added: "This is a very clever vaccine and I believe it will increase the cure rate for patients in the future."
Brewin Dolphin downgraded Alliance Pharma (APH) from "add" to "hold" with a reduced target price of 33p, from 31p. The pharmaceutical company missed the broker's pre-tax profit target for the 2011 financial year by 4%. Brewin notes a particularly poor performance from the group's Deltacortril anti-inflammatory drug, with sales 13% behind target at 4.7 million pounds. On a more positive note, the broker said that its high exposure to the UK and prescription market should make the firm more resilient against austerity measures in Europe. The shares inched down 0.125p to 28.625p.
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