Shares in Shield Therapeutics PLC (AIM:STX, OTCQB:SHIEF) rose 11% to 4.89p on Thursday after the pharmaceutical company reported sharply narrower half-year losses and reaffirmed its aim of reaching operating profitability in 2026.
Peel Hunt reiterated its 'buy' rating and 15p price target, describing the first-half results as in line and the business as on track for profitability this year.
Total revenue climbed 42% to $30.4 million in the six months to June, up from $21.5 million a year earlier.
The figure was driven by $20.1 million of US revenue from Accrufer, the company's iron-deficiency treatment, a $7.9 million development milestone from its Chinese partner ASK, and higher partner royalties.
Group losses narrowed to $2.3 million from $9.5 million, as spending fell and revenue improved.
US prescriptions for Accrufer grew 21% to 102,000, despite tighter prior authorisation rules in New York's Medicaid programme.
The company said it retained only 5% of approved prescriptions in the New York region from May, prompting a shift towards commercially insured patients, where prescription growth reached 27%.
That change pushed the average net selling price down to $199 from $214 a year earlier.
Shield ended the period with $8.3 million in cash, against $11.6 million at the end of 2025.
The broker pointed to further momentum ahead, including the signing of a first Group Purchasing Organisation contract, which opens access to more than 400 additional hospital-affiliated clinics.
Management expects continued growth in US prescriptions in the second half, alongside first patient enrolment in a Phase II trial in Japan and secured paediatric indication extensions in the US and Europe.
The company also confirmed the appointment of Michael Jensen as chief financial officer, announced in late July.
Peel Hunt sees scope for the shares to more than triple from current levels, with its target implying substantial upside if the profitability goal is met.
