Puretech Health narrows FY operating losses after cutting expenses

Biotechnology company Puretech Health said on Thursday that it had narrowed operating losses in 2020 on the back of a reduction in general and administrative expenses and a modest increase in full-year revenues.

Puretech stated operating losses were cut from $135.39m in 2019 to $119.53m last year after having cut general and administrative expenses from $59.35m to $49.44m and research and development expenses from $85.84m to $81.85m.

Total revenues grew from $9.80m to $11.76m, with a dip in contract revenues from $8.68m to $8.34m being offset by a surge in grant revenues to $3.42m from $1.11m.

However, the FTSE 250-listed firm also stated income from its "other" segment had tumbled from $672.16m to $178.73m, dragging total full-year pre-tax income to $18.96m - a marked reduction on the prior year's print of $478.47m.

Founder and chief executive Daphne Zohar said: "2020 was a year like no other. For our team at PureTech, it was defined both by transformational progress and tremendous resilience, as we realised significant financial, clinical and regulatory milestones while navigating the challenges of a global pandemic.

"We are well-positioned for an exciting year ahead, which we expect will include multiple value drivers across our wholly-owned programs and our founded entities, including at least ten expected clinical trial initiations and nine expected readouts."

As of 0920 BST, Puretech shares were up 0.29% at 413.18p.