Allergy Therapeutics PLC (LON:AGY) said operating profit was strong and expected to be “well ahead" of expectations as it updated the market on current trading.
It said robust sales growth was helped by the Euro exchange rate, which was “reflective of a strong group performance in challenging market conditions”.
In a brief missive to the City ahead of the company’s year-end on June 30, the developer of allergy immunotherapies also said its cash position was “strong”.
Expenses for 2021, meanwhile, have been significantly lower than forecast due to “COVID-19 and good cost management”.
It added that some “phasing” of research and development and commercial activities meant certain costs would be carried over into the next financial year.
Operationally, the year saw the launch of ImmunoBON, a protein-based product for the general treatment of allergies, in Germany and Austria.
Although not material to the group sales yet, the product “shows much potential”, Allergy Therapeutics said.
“This potential has been further strengthened by recent encouraging clinical data,” it added.
Looking ahead, the company said the drive continues to improve the portfolio by “streamlining a number of non-differentiated older products”.
This and a focus on short-course immunotherapies and new allergy treatments mean net sales for 2022 are expected to grow at low single-digit levels at constant rates.
Expenses, meanwhile, are set to increase “above the historic long-term trend and above current market expectations due to the factors noted above in commercial projects, investments and the expected period of higher research and development activity, affecting operating margin”.
Chief executive Manuel Llobet, added: “Our focus on developing a strong R&D pipeline has remained steadfast and we are looking forward to both the ex-vivo peanut study results and the Grass MATA MPL exploratory field study results in the early part of the next financial year - both significant milestones in the progress we are making to bring new immunotherapeutic treatments to allergy patients."