Proactive Research analyst Robin Davison presents his research on Shield Therapeutics after the firm issued a trading statement indicating that it recorded modest initial revenues of £1.5mln, comprising £0.1mln of net product sales from US commercial activities, £0.9mln of royalties from sales by Norgine in the EU and milestones of £0.5mln.
The market marked the shares down by nearly 14%, as presumably higher sales were expected; this was despite a stronger than forecast cash position of £12.7mln (US$17.7mln) at the fiscal 2021 (FY21) year-end, suggesting controlled marketing costs.
He says it is possible that the market may have under-appreciated the fact that Shield has to date been providing Accrufer at minimal cost to give US physicians experience of the product in advance of establishing formulary status and reimbursement with US healthcare providers, something which only started in December.