The Clinuvel Pharmaceuticals Limited (ASX: CUV) share price is pushing higher on Thursday following the release of its third quarter update.
At the time of writing, the biopharmaceutical company’s shares are up 1% to $30.22.
This latest gain means the Clinuvel share price is now up approximately 33% since the start of the year.
How did Clinuvel perform in the third quarter?
Clinuvel continued its positive form during the third quarter. For the three months ended 31 March, the company reported a 21% increase in cash receipts to $6.5 million. Net operating cash flows were $1.99 million for the quarter.
Management advised that this result reflects the increasing contribution from the commercial distribution of its SCENESSE (afamelanotide 16 mg) product in Europe and the United States.
SCENESSE is a treatment for adult patients with the rare genetic and metabolic condition, erythropoietic protoporphyria (EPP).
Positively, after the deferral of some orders or reduced order sizes during the outbreak of COVID-19 in Europe in 2020, the company notes that demand appears to have normalised. Even better, patient adherence to SCENESSE treatment remains very high.
Another positive that could be supporting the Clinuvel share price today is its growing footprint in the United States. The release explains that there are now 40 speciality centres that are trained and accredited to administer SCENESSE to EPP patients. This exceeds the 30 which originally had been planned.
Clinuvel’s CFO, Darren Keamy, commented: “Our medical distribution model is effective in Europe and the US, which really needs to be seen against a challenging environment where lockdowns disrupt economic activity and the mobility of people.”
“In alignment with our Strategic Updates, we focus on building the business through vertical integration of key functions to reach sustainability and self-reliance. As a result, the Company is controlling the increase of investments in a staged process to achieve these long-term goals.”
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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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