Health Check: In rude health, Alcidion shrugs off UK National Health Service reforms
Alcidion (ASX:ALC) chief Kate Quirke is sanguine about the pending merger of England's National Health Service (NHS) with the Department of Health and Social Care.
Alcidion says the abolition of the UK NHS could create opportunities
Ahead of being taken over, Mayne Pharma has flagged a strong full-year profit
Global biotech IPOs surge – then stall
This is a key plank of the new-ish Labor government's ten-year reform plan for the country's groaning health system.
The revamp is significant for the UK-centred Alcidion, given it services current NHS trusts heading for the chop.
One of the few ASX life-science plays to focus on the UK, Alcidion has developed software that manages patient flows and integrates data across multiple healthcare facilities.
On an investor hook-up this morning, Quirke said the push for more productivity with fewer staff was likely to mean greater demand for Alcidion's digital platforms.
Also, most NHS staff will transition to the mega department and the changes won't take place until 2027
'I see the opportunity increasing," Quirke says.
"But we are waiting to see what the ten-year plan indicates in terms of where the priority areas are.'
In rude health
Meanwhile, Alcidion expects a full-year profit turnaround after posting March (third) quarter positive operating cash flow of $2.5 million.
This is a turnaround on the December quarter deficit of $260,000 and $1.4 million of outflows a year previously.
March quarter receipts came in at $13.1m, with new contracted sales of $48.8m.
Of this, $11.5m is expected to be recorded in the current quarter.
The new sales include a 'milestone' ten-year, $37.5m contract with the North Cumbria Integrated Care NHS Trust for a new electronic patient record platform.
Given the company usually posts a strong fourth quarter, management has upgraded guidance to underlying full-year earnings of more than $3m, compared with a $4.58m loss for the 2023-24 year.
The company expects revenue of at least $40m.
Alcidion has been in intensive care in recent years, with slower than expected tender processes and lengthier procurement cycles.
Unless the NHS reforms contain some hidden nasties, it's time for a discharge.
Mayne Pharma looks to end its listed life with a bang
Mayne Pharma (ASX:MYX) looks to be ending its listed life on a high, flagging a 100%-plus full-year profit improvement ahead of being taken over.
The company today reported unaudited March quarter revenue of $86.8 million, down 11% year on year with an underlying loss of $3.4 million.
But with improved trading relative to January and February, Mayne expects full-year earnings to come in at $47-51 million, a 105-123% improvement.
For the first nine months of the year, revenue edged up 5% to $300 million and underlying earnings soared 116% to $28.6 million.
The company cites strong growth in its women's health (contraceptive) franchise, up 23% and international (non-US) up 2%.
This partially was offset by a 9% decline in its dermatology arm.
But all three segments should gain in the full year.
Mayne also announced a US$16 million purchase deal with the Nasdaq listed Sol-Gel Technologies, to exclusively license two dermatology products.
Mayne is under a takeover offer from US dermatology house Cosette, which is offering $7.40 of cash per share in a scheme of arrangement.
The scheme booklet is now due in mid-May, with expected deal completion in late June or early July.
While the offer was at a 37% premium when unveiled in early February, some investors object that Cosette will enjoy too much upside from improved conditions.
They will have their say at a scheme meeting in mid-June.
Biotech IPOs flag after a stellar 2024
Global biotech listings soared to their highest level in three years in calendar 2024.
That's the good bit: this year's activity to date has been dampened by the Trump-related regulatory and other uncertainties swirling around the sector.
According to analysis house Global Data, 50 initial public offers (IPOs) were completed in 2024, with a total value of US$8.52 billion (up 68% on the 2023 tally of US$5.06 billion).
This is the highest value since 2021, when 180 deals worth US$34bn were executed.
The value of US$100 million deals doubled in 2024 to US$7.88bn, led by the US$2.48bn IPO of the Swiss dermatology company Galderma.
'While cautious, investors are showing interest in companies with strong clinical data … and a shift towards more advanced stage biopharmaceuticals,' Global Data opines.
Trends are more off the pace this year to date, with US$2bn of deals done.
Last year, only three life sciences companies listed on the ASX. They were utism tester Blinklab (ASX:BB1) in April, as well as ReNerve (ASX:RNV) (nerve repair) and Vitrafy Life Sciences (ASX:VFY) in November.
This year, the only one on the horizon is the delayed listing of cosmetic injectables group Stormeur.
The developer of a rapid point-of-care test for group B streptococcus in pregnancy, Nexsen Biotech last year undertook a pre-IPO funding round.
But no appearance yet, your Worship.
Post-election Reserve Bank rate reductions might help to crank up the pipeline, but investors don't have the appetite for risk.
Broker applauds Clarity on program
Broker Canaccord applauded Clarity Pharmaceuticals' (ASX:CU6) pre-Easter decision to lighten up on its nuclear medicine programs.
Culling an overly busy rota of trials, Clarity has prioritised its diagnostic and therapeutic programs for prostate cancer, in cases of patients expressing the prostate specific membrane antigen (PSMA).
The company also will stress its program for neuroendocrine tumours.
Clarity has closed its programs for paediatric high-risk neuroblastoma and low-PSMA metastatic prostate cancers.
'A good biotech undertakes scientific discovery to place the right asset in the right indication, but also knows when there is not enough evidence and commercial viability for the program to continue,' says Canaccord.
Crucially, the reduced expenditure pushes the runway on Clarity's $106m cash balance out to June next year.
The firm values Clarity at $6.74 on a sum-of-the-parts basis, an 8% reduction on its previous assessment.
On an unrisked basis, the valuation increases to $11.71 a share, but of course everything must go right.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Herald Sun
an hour ago
- Herald Sun
AUC on track for Katanning gold feasibility
Don't miss out on the headlines from Stockhead. Followed categories will be added to My News. AUC extends Datatine shoot at Katanning gold project Assays include grades up to 5.8g/t gold Project feasibility study due for release in late-June Special Report: Ausgold has extended the Datatine high-grade shoot by 240m down-plunge at its Katanning gold project (KGP) in WA. New results reinforce the potential of Datatine as a high-grade underground prospect and support a strong outlook for future resource growth at Katanning. The company is in the final stages of a feasibility study at the project, as it accelerates towards its goal of becoming Australia's next mid-tier gold producer. Plan map of the Katanning gold project. Pic: AUC The Datatine prospect hosts some of the highest gold grades within the project, previously returning grades of up to 11.47g/t. This final batch of assays from four reverse circulation-diamond and diamond drill holes have extended the Datatine shoot 240m down-plunge of the current Datatine resource. They returned a notable 6.6m at 3.40g/t gold from 362m, including 3.8m at 5.80g/t from 364.85m in BSRCD1805, the deepest hole in this program. Hole BSRCD1803 returned 2m at 3.67g/t from 297m along with 11.3m at 0.96g/t, including 4.2m at 1.81g/t from 333.83m. This hole, along with holes BSRCD1802 and BSDD049, returned intersections consistent with economic open pit grade intercepts. These results have informed an updated geological model for the high-grade mineralisation at Datatine. Datatine prospect-scale plan map with new drilling highlighted and aeromagnetic background. Pic: AUC Highlights underground mining potential Ausgold (ASX:AUC) will now utilise funding of up to $180,000 secured through Round 31 of the Geological Survey of Western Australia (GSWA) Exploration Incentive Scheme (EIS) to: Target sections where high-grade mineralisation is interpreted to have been missed; and Test for further high-grade mineralisation up to 150m beyond the current down-plunge extent. 'The latest assay results from Datatine continue to validate the potential for underground mining at Katanning,' AUC executive chairman John Dorward said. 'Results from BSRCD1805, which sit 240m down-plunge of the current resource, are particularly encouraging and support our strategy to pursue resource growth at depth. 'With both Datatine and the Central Zone remaining open down-plunge, we see clear opportunities to increase resources at the KGP and look forward to undertaking additional drilling at Datatine, supported by EIS co-funding, to follow-up this opportunity.' The company is on track to complete the project feasibility study considering the development of a large-scale, long-life open pit gold project at Katanning in late June. This article was developed in collaboration with Ausgold, a Stockhead advertiser at the time of publishing. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions. Originally published as Ausgold reinforces Katanning underground potential with high-grade hits
SBS Australia
an hour ago
- SBS Australia
SBS News in Easy English 12 June 2025
Welcome to SBS News in Easy English. I'm Biwa Kwan. The future of the AUKUS security alliance between Australia, the US and the UK is uncertain, after the US announced a review into the deal. The Pentagon has launched a review of the agreement to ensure it aligns with President Donald Trump's policy agenda. Defence Minister Richard Marles has dismissed speculation the United States may back out of the deal, saying it is important to stick to the plan to ensure the defence capability is acquired. The Opposition's spokesman for defence, Angus Taylor says actions must be taken to ensure the AUKUS deal is maintained. "We have been consistent in providing bipartisan support to AUKUS. And we will continue. It is hugely important that it succeed for peace in our part of the world. This US review came out of the blue. We need to know to what extent was the review triggered by Labor's failure to fund defence in this country to a level that the US and other partners think is appropriate." Greens defence spokesperson David Shoebridge says the US review shows the AUKUS deal makes Australia a junior partner in America's military strategy, not an equal ally. Some of Australia's most popular sunscreens - including some made by Bondi Sands, Banana Boat and the Cancer Council - are not delivering on the claims made on the level of skin protection. Independent testing by consumer group Choice found more than three-quarters of SPF 50+ sunscreens did not have the advertised protection Choice CEO Ashley de Silva says only four of the 20 sunscreens tested in an accredited sunscreen lab actually met their claims of SPF 50 or 50+ protection. The Cancer Council says its test results shows their sunscreens meet their SPF ratings, but they have submitted the products for further testing. Several other popular brands have indicated they plan to do additional testing, following the findings. The chief executive of Monash IVF has resigned, after the fertility clinic revealed a second instance of an error involving an embryo transfer - two months after the first mix-up. Michael Knaap, who had been the chief executive since 2019 has resigned. Earlier this week, in a statement to the stock exchange, Monash IVF revealed the mix-up took place on June 5 at its Melbourne laboratory. An Australian sperm donor, caught up in a cyber security data breach, has told S-B-S he is unsure how he and his donor-conceived child will be affected. Isaac chose to use Genea Fertility, which was later hacked by cyber criminals in a data breach. The family histories of medication and mental illness of some of the clinic's donors are now being shared on the dark web. Isaac says he is worried his own sensitive medical information could be weaponised. His response has been voiced up by a journalist to protect his privacy: "What happens if I get a job which is relatively high profile or dealing with sensitive activity, could this open me up to not getting employed because an employer might've found my internet history, and maybe they have had ethical concerns or concerns with my health record. It's taken away my agency and my choice to disclose that information if I want to. That's only compounded further by the lack of information that I've been provided about this investigation and the data breach." In a statement, Genea told SBS its cyber teams are working hard to understand the nature and extent of the data that has been published, and to identify affected individuals. The Filipino community in Australia is marking Philippines Independence Day, with festivities to showcase the country's heritage, culture and community spirit. June 12th commemorates the declaration of Philippine independence from Spain in 18-98, and has been the country's National Day since 1978. Filipino-Australian Siegfrid Bacani was born in the Philippines and came to Australia as a teenager. He told SBS Filipino it is important that his son knows his heritage. "I read storybooks to him. Not that my Tagalog is that great, but it is important to celebrate culture."
The Australian
2 hours ago
- The Australian
Study backs Rhythm's colorectal risk model
Rhythm publishes peer-reviewed study validating its next-generation colorectal cancer risk assessment model Proprietary geneType assessment enhanced and cross-validated using data from nearly 400,000 individuals in UK Biobank Next generation geneType design continues focus on usability and simplicity, while providing superior performance Special Report: Rhythm Biosciences has published a peer-reviewed study in PLoS One validating its next-generation colorectal cancer risk assessment model, marking a major step forward in predictive cancer diagnostics. Rhythm Biosciences (ASX:RHY) said the study detailed updates and improvements to its proprietary geneType colorectal cancer risk assessment, which was enhanced and cross-validated using data from nearly 400,000 individuals in the UK Biobank. Rhythm said the article titled 'Colorectal cancer risk prediction using a simple multivariable model' described creation and validation of a new risk model that incorporated sex-specific factors and outperformed current models. The company said as colorectal cancer was a disease associated with many environmental and lifestyle risk factors, the study focused on expanding its geneType model beyond the two primary risk factors – family history and polygenic risk. Watch: Inside ColoSTAT's road to market Key findings of study Rhythm said the study delivered several key findings, most notably development of the enhanced risk model that incorporated three additional risk factors. These factors were selected for their strong associations with colorectal cancer and ease of use in a clinical setting, improving the model's predictive performance over standard family history assessments. The company said the most impactful risk factors were identified and integrated into an updated geneType risk model, which was then tested using data from the UK Biobank. Rhythm said other key findings included: Commitment to improvement – The study highlighted the importance of including clinical and lifestyle factors in multifactorial diseases like colorectal cancer. Commercial application – The new model was designed with commercial clinical applications in mind, minimising the number of risk factors while maximising predictive accuracy. Sex-specific factors – Incorporating sex-specific risk factors enhances model performance across diverse populations. Superior performance – A multivariable risk assessment is shown to be superior to standard of care of family history assessment in its ability to predict risk of developing colorectal cancer. 'Significantly improve stratified screening' Rhythm director of scientific affairs Dr Erika Spaeth said publishing the findings in PLoS One underscored its commitment to advancing cancer risk prediction. 'Our new multifactorial model outperforms previous methods based solely on polygenic risk and family history,' she said. 'By integrating clinical and lifestyle factors, we enhance our prediction accuracy for colorectal cancer. 'We're excited about these results and confident that this model will significantly improve stratified screening in the population." This article was developed in collaboration with Rhythm Biosciences, a Stockhead advertiser at the time of publishing. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
