Maiden profit from GW Pharma
Article Date: Nov 25 2009
GW Pharmaceuticals has broken even and hopes for EU approval of its lead product Sativex in the first half of next year
GW Pharmaceuticals has turned a £10.2 million loss into £1.2 million annual pre-tax profits and plans a key European product launch.
Based at Porton Down, Wiltshire and quoted on AIM, the company doubled turnover to £24.1 million in the year to September. Revenues were boosted by an £8 million milestone development payments from Spanish drug group Almirall on positive Phase III results for its Sativex treatment to relieve spasticity in multiple sclerosis sufferers, an alliance with Japan’s Otsuka group and £1.3 million sales of Sativex to ease conditions for named patients ahead of regulatory approval.
GW, steered by executive chairman Dr Geoffrey Guy and managing director Justin Glover, hopes for European approval of Sativex in the first half of next year and is preparing for its European launch in partnership with major drug groups Bayer of Germany and Almirall. Guy says the company has also filed regulatory submissions for Sativex in Canada and has made ‘good progress’ with its US cancer pain programme and in advancing its product pipeline ‘in exciting new areas’.
Floated at 182p eight years ago, GW shares fell to 27.5p within the past year, but have recently rallied. Recommended by Growth Company Investor at 52.5p in March, they now stand at 92p, valuing the company at £120 million and could go further if the Sativex launch is successful.
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