Pharmaceutical firm Shield Therapeutics has admitted that US tariffs spell risks and uncertainties for its business.
The maker of iron deficiency-fighting tablets, which has operations in the North East and the US, told investors the change in US economic policy could lead to increased costs, supply chain disruptions and margin pressure. And bosses said the potential for future tariffs and retaliatory action has created a climate of unpredictability that could impact its planning and financial performance.
Shield is in the midst of a major push to grow sales of its Accrufer tablets in the huge US market, where it says it has achieved strong market results working with partner Viatris. In full year 2024 results, the commercial stage firm said it had grown Accrufer prescriptions to about 150,000 - almost double 2023 levels.
Shield reported total revenues and other income of $32.3m (£24.3m), up from $17.5m (£13.1m) and generated Accrufer revenues of $29.3m (£22m). Losses narrowed from $33.3m (£25m) to $27.2m (£20.4m)
Royalty and milestone revenues accounted for $2.9m, compared with $1.5m in 2023, including $2.1m from Feraccru sales in Europe by Norgine. Germany and the º£½ÇÊÓƵ accounted for 67% and 21% respectively.
During the year it made progress on development programmes in Canada, Korea and China, and a pediatric study showed promise in children with iron deficiency anemia. Shield said a significant portion of 2023 and 2024 prescription sales were subsidised through patient assistance programmes, giving a net average sales price of $184 in 2024, up from $137 in 2023, and by the end of the year the net average sales price had increased to $237.
Late in the year, Shield secured $10m in equity funding from its largest shareholder, AOP Health International Management AG alongside a small among from a retail book offer. The funding was received in January and was completed a premium to the prevailing share price.
A joint statement from chairman Hans Peter Hasler and CEO Anders Lundstrom, said: "The milestones we reached in 2024 not only highlight the strength of our team but also the growing demand and receptivity to Accrufer by patients and physicians across global markets. Looking ahead, our goal is to be a self-sustaining business by the end of 2025. The solid financial foundation we have in place exiting 2024, empowers us to move forward with confidence, fully equipped to execute our strategy.
"With a stronger balance sheet, effective cost-saving measures, and a thriving presence in the US market, aiming at achieving cash flow positivity by the end of 2025. As we look ahead, our focus is crystal clear: grow Accrufer net revenues; turn cash flow positive by the end of 2025, and expand global access to Accrufer. We are just getting started on our journey to making Accrufer the oral iron of choice."
