Shield Therapeutics (STX) Trading Update summary

Sales performance and business initiatives

• Achieved historically high ACCRUFeR sales, with March marking the second highest non-consignment sales ever, following a strong rebound after weather disruptions and sales force realignment.

• Consignment business impact continues to decrease, improving net selling price and profitability.

• Focused US initiatives include increasing awareness through expanded digital marketing, realigning sales territories to high-potential states, and reducing consignment business.

• Coverage now reaches about 55% of 173 million commercially insured lives, with strong Medicaid coverage.

• Direct-to-consumer and healthcare professional marketing campaigns are ongoing, with early data showing positive ROI.

Financial and operational outlook

• Q1 2025 ACCRUFeR net revenues reached $6.4 million, with March contributing about 50% of the total.

• Consignment prescriptions represented 27% in Q1, with a net price of $187 for the quarter and $220 in March.

• Ended the quarter with $10.5 million in cash and an amended $20 million facility, providing operational flexibility.

• Confident in reaching cash flow positivity by year-end 2025, supported by strong sales momentum and cost controls.

• Amended $20m SWK term loan agreement, updating minimum trailing 12-month revenue covenants and increasing the final payment fee by $12,500.

Market dynamics and product positioning

• ACCRUFeR is positioned as a switch-to product for patients intolerant to oral ferrous iron, offering better absorption and fewer GI side effects.

• Most patients have tried other oral irons before switching; up to 70% experience GI side effects with standard treatments.

• Average patient duration is about four months for commercial and two and a half months for Medicaid.

• Sales force coverage is critical for driving prescriptions, especially given the intermittent therapy nature of the product.

• Market split is roughly a third each for commercial, Medicaid, and consignment, with cash pay being minimal.