Allergy Therapeutics has released its unaudited preliminary results for the year ended June 30, 2023. The company reported revenue of £61.0m, down from £72.8m in the previous year, due to a temporary pause in production. The operating loss before research and development costs and exceptional costs was £13.3m, compared to a profit of £3.4m in the previous year. The increase in research and development costs to £20.1m was attributed to the initiation of the Phase III G306 trial for Grass MATA MPL and preparation for the Phase I VLP Peanut PROTECT trial. The company reported a net loss of £51.0m for the year, reflecting the reduction in revenue, increase in research and development costs, and exceptional funding costs.

In terms of operational progress, the pivotal G306 Phase III trial investigating Grass MATA MPL is underway, with interim results expected in November 2023. The Phase I VLP Peanut PROTECT trial has progressed to dose escalation in healthy subject cohorts, with no safety signals observed so far. The company also announced the appointment of Shaun Furlong as Chief Financial Officer in August 2023.

In terms of financing, Allergy Therapeutics secured a £40.75m senior secured loan facility in April and is currently undergoing equity refinancing of the loan facility. The company received net proceeds of £6.5m from the issue of new ordinary shares in October 2022 and a further £10.0m from the issue of loan notes in February 2023. The loan notes were repaid in May 2023 upon entering into the loan facility. The company had a cash balance of £14.8m at the end of June 2023, following a partial drawdown of £26.0m from the loan facility.

In post-period events, Allergy Therapeutics had a cash balance of £19.1m as of August 31, 2023, following a total drawdown of £40.075m from the loan facility. The company received the necessary foreign direct investment clearance for the equity financing announced in April 2023, allowing for the expected repayment of amounts owed under the loan facility. The company also entered into an amendment to the loan facility, which allows for an additional total principal sum of up to £15.0m to be made available to the company, subject to completion of the equity financing. The extension facility must be repaid in full by December 31, 2025.

Overall, Allergy Therapeutics has faced challenges in the past year but has made progress in recovering manufacturing capacity and developing robust quality systems. The company remains focused on its clinical trials and is working towards securing additional funding through equity refinancing.