Valbiotis (ALVAL) H1 2024 earnings summary

Executive summary

• Transitioned from R&D to commercial operations, launching the first product in France, now in over 200 pharmacies and online, and expanding e-commerce presence.

• Ended partnership with Nestlé Health Science, regaining full rights to TOTUM.63 and all related IP and clinical data, providing strategic flexibility.

• Advanced clinical programs, including successful Phase II/III results for TOTUM.854 and completed enrollment for a key Lipidrive® study.

• Undertook significant organizational restructuring, including a collective redundancy plan affecting 19 positions and closure of the preclinical research platform.

• Confirmed commercial roadmap with launches of three additional products in 2025 and appointment of a new CFO to support the transition.

Financial highlights

• Net loss of €3.5M for H1 2024, compared to €1.9M in H1 2023, reflecting increased commercial and marketing expenses.

• Revenue of €35K from product sales post-launch in May 2024; total revenues of €4.18M, mainly from deferred income and research tax credits.

• Cash and equivalents at €18.5M as of June 30, 2024, up from €13.7M a year earlier, but down from €25M at year-end 2023.

• Operating expenses rose to €7.9M (H1 2024) from €7.1M (H1 2023), driven by commercial ramp-up and restructuring costs.

• Operating cash outflow was €6.47M, improved from €7.08M in H1 2023.

Outlook and guidance

• Plans to launch TOTUM-63, TOTUM•854, and TOTUM•448 in France by mid-2025 and continue international expansion via licensing and distribution in Europe and North America.

• Anticipates results from the HEART 2 study on Lipidrive in Q1 2025, supporting a proprietary health claim application.

• Strategic and financial goals to be detailed in Q1 2025.

• Maintains sufficient liquidity to fund operations through 2026.