Clinuvel Pharmaceuticals Limited (ASX: CUV) announced its tenth consecutive half-year profit today. Despite this news, at the time of writing, the Cinuvel share price was down 0.6% to $19.92.
We take a closer look at the announcement and what this means for the Clinuvel share price.
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Clinuvel records tenth consecutive half-year profit
Clinuvel Pharmaceuticals released its half-yearly report earlier today.
The company's report highlighted Clinuvel recording its tenth consecutive half-year profit. For the 6 months ending 31 December, Clinuvel saw net profit after tax (NPAT) soar 962%. Leading to a record $6.5 million.
The company also reported improved revenue for the half-year of $15.743 million, 58% higher from the prior corresponding period.
For the first-half of FY21, Clinuvel also saw positive earnings per share of 13.3 cents per share. This marked a 956% increase from the same period last year.
In addition, the company noted a strong balance sheet with no debt and $78 million in cash. Despite the strong equity position, Clinuvel did not declare an interim dividend.
Chief financial officer, Darren Kenny, noted that "The company is in a sound financial position to continue to grow and fund its expansion. We are investing in our R&D and clinical programs and progressing our evolution into a diversified pharmaceutical company".
What fuelled the record profit?
Despite global economic uncertainty under the COVID-19 pandemic, Clinuvel recorded strong commercial sales for the first half of FY21.
On a constant currency basis, Clinuvel recorded an 87% increase in revenue from the distribution of its flagship SCENESSE product. The company attributed the lift to commercial sales in the US, earlier ordering, and new patients.
Clinuvel's management also cited the company's efficient business model for the strong half-year result.
The company also highlighted additional clinical development plans for SCENESSE, with 2 new clinical programs. The expansion follows the company's recent announcement earlier this month, which saw SCENESSE added to the Israeli 'National Health Basket' (NHB).
How has the Clinuvel share price responded?
Clinuvel is a global biopharmaceuticals company that develops drugs designed for the treatment of severe genetic and developmental skin disorders. The company's flagship Scenesse drug is designed to prevent phototoxicity in patients with erythropoietic protoporphyria (EPP).
The Clinuvel share price was trading around 4% higher today, hitting an intra-day high of $20.88.
