Pharma Equity Group: Investors appreciate eventful, and mostly positive, 1. quarter 2024
Yesterday, Pharma Equity Group released their first quarter results for 2024 showing an expected loss as the company has no revenue but only costs to develop its pipeline of product candidates. The loss was DKK -7,2 million which was expected by company management. The company reiterated its 2024 guidance of a loss of DKK between -24 to -29 million. During the quarter, Pharma Equity Group announced the receival of patents for two of its product candidates and shortly after the quarter ended, very positive data regarding its colon cancer treatment candidate RNX-051. The earnings release also described that the company has issued convertibles to bridge finance its operations while waiting to receive the receivables from Portinho. To increase its financial flexibility,
Pharma Equity has recently announced considerations to raise capital once a proposal to do a reverse split of its stock has been made. While certainly important, capital related issues have clearly been on investors mind for a long-time putting pressure on the share price of Pharma Equity Group, but at an event with HCA Capital yesterday following the earnings release, CEO of Pharma Equity Group, Thomas Kaas Selsø downplayed the uncertainty regarding company financials as he remained confident that Pharma Equity Group will eventually receive the receivables from Portinho. The CEO also reminded investors about the positive and important clinical milestones the company has achieved since its relisting last year, and that message was very well received as the share of Pharma Equity Group continued to appreciate during the event.
You can see the event at this link: Q1 event
Disclaimer: HC Andersen Capital receives payment from Pharma Equity Group for a Digital IR/Corporate Visibility subscription agreement. /Claus Thestrup 11:20 AM 17-05-2024.
Pharma Equity Group
Pharma Equity Group develops new medicines for the local treatment of serious and life-threatening inflammatory diseases for which there is currently no adequate treatment. The company uses repositioning of existing drugs and brings drug candidates to a clinical phase III stage, after which it is handed over to a strategic partner who will complete the development of the products and bring them to market, either independently or in collaboration with the company.
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