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Highlights

  • Neuren Pharmaceuticals is an ASX-listed company, engaged in developing new drug therapies for neurological disorders
  • In 1HFY24, NEU’s group income fell by 50%, while royalty income surged by almost 600%
  • Milford Asset Management Ltd. has the maximum stake in the company with shareholding of nearly 4.74%

Neuren Pharmaceuticals Limited (ASX: NEU) is an ASX-listed biopharmaceutical company focused on development of therapies for neurodevelopmental disorders.

In the first half of the financial year 2024 (1HFY24), group income of the company decreased by 50.15% YoY to AUD 32.11 million due to absence of any sales milestone payment, while in 1HFY23, it stood at AUD 59.4 million. The decline in group income was partially offset by royalty income which increased by 594.29% YoY to AUD 24.30 million in 1HFY24.

During the period, R&D expenses also increased by around 53% YoY to AUD 17.9 million, weighing on its bottomline.

Top 10 Shareholders of NEU

The top 10 shareholders of NEU hold around 22.47% of the shareholding, while the top four hold nearly 12.76%. Milford Asset Management Ltd. has the highest stake in the firm with a shareholding of 4.74%, followed by Cameron Richard Pty. Ltd. with shareholdings of approximately 3.23%.

Recent Business Update

Through an ASX filing dated 27 August 2024, the company shared that the US FDA granted an end of Phase 2 Meeting for NNZ-2591 to treat Phelan-McDermid syndrome, scheduled for September 2024. NEU also informed that the manufacture of supplies for Phase 3 trials of NNZ-2591 is advancing as per the plan. 

Outlook

In FY24, the company targets North America DAYBUETM commercial income of AUD 132-138 million, reflecting a growth of 53.48% - 60.46% over FY23. This figure includes royalty of AUD 55-61 million and milestone payment of AUD 77 million.

During the reported period, the US net sales of DAYBUETM for Rett syndrome is expected to fall in the range of USD 340-370 million. Furthermore, Acadia is also advancing trofinetide outside the US.

Share Performance of NEU

NEU shares closed 1.03% higher at AUD 15.75 apiece on 27 August 2024. Over the past year, NEU's share price has increased by 24.11% and in the past three months, it has declined by almost 31.85%.

52-week high of NEU is AUD 25.95, recorded on 28 December 2023, and 52-week low is AUD 10.02, recorded on 30 October 2023.

NEU Daily Technical Chart, Source: EODHD/Others

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: The reference date for all price data, and currency, is 27 August 2024. The reference data in this report has been partly sourced from EODHD/Others.

 

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