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(Sharecast News) - Biotherapeutics firm Puretech Health said on Thursday that it had made "meaningful progress" across its portfolio in the first half of 2025, with contract revenues soaring throughout the period.
Puretech said contract revenues had surged 542.7% to $1.85m in the six months ended 30 June, primarily due to the recognition of royalty revenue from sales of its Cobenfy asset, while general and administrative expenses decreased by 10% to $24.9m, driven by workforce reductions. Total operating expenses for the first six months of the year were $49.8m, versus $66.7m at the same time a year earlier.
The FTSE 250-listed group highlighted that it was currently in a strong financial position, with $319.6m in PureTech level cash, cash equivalents, and short-term investments after the completion of the sale of its remaining stake in Vor, generating gross cash proceeds of approximately $2.8m.
Looking ahead, Puretech expects to see a significant reduction in operational expenses in FY26 as support for its Celea and Gallop units transitions to their respective founded entities.
Interim chief executive Robert Lyne said: "We entered 2025 with significant momentum, and our progress in the first half of the year further underscores the strength and breadth of our portfolio and model.
"Looking ahead, our approach to capital allocation will be guided by an efficient use of cash and prioritising spend that is truly value accretive to shareholders. Practically, this means optimising spend on current and any new programs to reach key inflexion points, after which programs can be advanced through Founded Entities or other structures with dedicated operational capacity and external financing."
As of 0815 BST, Puretech shares were down 0.45% at 133.40p.
Reporting by Iain Gilbert at Sharecast.com
