Australian biotech Neuren Technologies raised its full-year royalty outlook for its lead drug DAYBUE following stronger-than-expected sales from partner Acadia Pharmaceuticals, while also increasing its interim dividend and reporting a AUD 287 million cash balance at June 30.
The company now expects royalty income of USD 53 million to USD 56 million for 2024, up from prior guidance of USD 45 million to USD 50 million, driven by Acadia’s upgraded global sales forecast for DAYBUE to AUD 480 million to AUD 510 million, a AUD 20 million increase. DAYBUE, approved for Phelan-McDermid syndrome, achieved 40% patient adoption of its STIX formulation by June 30.
Neuren declared a fully franked interim dividend of AUD 0.15 per share, payable on October 7, 2024, with a total available dividend pool of AUD 48 million to AUD 51.6 million for the full year. The company also reported AUD 3 million in corporate costs, AUD 5.6 million in interest income, and AUD 27.4 million in research and development spending for the first half.
Cash and cash equivalents stood at AUD 287 million as of June 30, while Neuren’s shares rose 0.73% to AUD 22.695, extending a 49% gain over the past six months. The stock trades at a 20.13 P/E ratio with a 25% return on equity over the last twelve months and a current ratio of 2.25.
Regulatory progress included the reversal of a negative European opinion in June, leading to formal European Commission approval for DAYBUE. Acadia plans a commercial launch in Germany by early Q4, with Japan’s phase III trial results due between September and November. Neuren also outlined a USD 80 million to USD 90 million total program cost for NNZ-2591 through its New Drug Application, including milestones such as a USD 50 million payment upon North American sales exceeding USD 500 million and a USD 35 million European milestone.
CEO Jon highlighted the company’s unique position in multiple indications for NNZ-2591, stating that investors could benefit from significant upside potential. He noted strong momentum in DAYBUE’s performance and growing enrollment in the KOALA placebo-controlled study, with formal guidance expected at the 50% enrollment milestone.
Neuren also reported a USD 215 million sale price for its latest rare pediatric disease priority review voucher, reflecting continued monetization of regulatory incentives. The company’s pipeline includes programs for Rett syndrome, Pitt-Hopkins syndrome, and Hypoxic-Ischemic Encephalopathy, with key milestones such as an FDA Type B meeting for Pitt-Hopkins in October and an externally led patient-focused drug development meeting in November.
