Here's why the Clinuvel (ASX:CUV) share price is pushing higher

The Clinuvel Pharmaceuticals Limited (ASX:CUV) share price is pushing higher on Thursday following the release of its Q3 update…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Clinuvel Pharmaceuticals Limited (ASX: CUV) share price is pushing higher on Thursday following the release of its third quarter update.

At the time of writing, the biopharmaceutical company's shares are up 1% to $30.22.

This latest gain means the Clinuvel share price is now up approximately 33% since the start of the year.

A happy doctor in a white coat dancing due to his excitement over the EBOS acquisition

Image source: Getty Images

How did Clinuvel perform in the third quarter?

Clinuvel continued its positive form during the third quarter. For the three months ended 31 March, the company reported a 21% increase in cash receipts to $6.5 million. Net operating cash flows were $1.99 million for the quarter.

Management advised that this result reflects the increasing contribution from the commercial distribution of its SCENESSE (afamelanotide 16 mg) product in Europe and the United States.

SCENESSE is a treatment for adult patients with the rare genetic and metabolic condition, erythropoietic protoporphyria (EPP).

Positively, after the deferral of some orders or reduced order sizes during the outbreak of COVID-19 in Europe in 2020, the company notes that demand appears to have normalised. Even better, patient adherence to SCENESSE treatment remains very high.

Another positive that could be supporting the Clinuvel share price today is its growing footprint in the United States. The release explains that there are now 40 speciality centres that are trained and accredited to administer SCENESSE to EPP patients. This exceeds the 30 which originally had been planned.

Clinuvel's CFO, Darren Keamy, commented: "Our medical distribution model is effective in Europe and the US, which really needs to be seen against a challenging environment where lockdowns disrupt economic activity and the mobility of people."

"In alignment with our Strategic Updates, we focus on building the business through vertical integration of key functions to reach sustainability and self-reliance. As a result, the Company is controlling the increase of investments in a staged process to achieve these long-term goals."

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

a young woman raises her hands in joyful celebration as she sits at her computer in a home environment.
Share Gainers

Why Kingsgate, Neuren, Newcrest, and Pushpay shares are rising today

These ASX shares are avoiding the market selloff on Tuesday.

Read more »

A young woman wearing overalls and a yellow t-shirt kicks one leg in the air showing excitement over the latest ASX 200 shares to hit 52-week highs
Share Gainers

Why Neuren, Northern Star, Race Oncology, and Westgold shares are storming higher

These ASX shares are starting the week in a positive fashion.

Read more »

A woman wearing yellow smiles and drinks coffee while on laptop.
Share Gainers

Why APM, Macquarie Telecom, Northern Star, and Origin shares are rising today

These ASX shares are having a strong session despite the market selloff.

Read more »

Two boys with cardboard rockets strapped to their backs, indicating two ASX companies with rocketing share prices
Share Gainers

Catch these fast-rising 2 ASX shares before it's too late: Celeste

This pair of stocks rocketed up in February during reporting season, but are still great value for those willing to…

Read more »

three businessmen high five each other outside an office building with graphic images of graphs and metrics superimposed on the shot.
Share Gainers

Why Arafura, Myer, Volpara, and Xero shares are zooming higher

These ASX shares are making their shareholders smile on Thursday.

Read more »

medical asx share price represented by doctor giving thumbs up
Healthcare Shares

Guess which ASX biotech stock just rocketed 29% on big FDA news

The ASX healthcare share is attracting investor interest following FDA approval for its targeted cancer therapy compound.

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.
Share Gainers

Why Mesoblast, PolyNovo, Pushpay, and Weebit Nano shares are charging higher

These ASX shares are having a strong session despite the market selloff.

Read more »

a young woman raises her hands in joyful celebration as she sits at her computer in a home environment.
Share Gainers

Why InvoCare, Pentanet, Sayona Mining, and Weebit Nano shares are storming higher

These ASX shares are having a strong session on Tuesday.

Read more »