GW Pharmaceuticals Announces Mixed Results
GW Pharma has released mixed results for the year, with sales rising and profits decreasing, but the company continues to demonstrate potential in their R&D pipeline with inspiring data for a mid-stage, cannaboid-based diabetes drug.
The organisation saw their sales for the year ending September 30, 2012, increase by £3.5 million to reach £33.1 million, aided by larger milestone income and amplified R&D fees from their development partners for Sativex.
Milestone income was £9.8 million in comparison to £5.3 million in 2011, as a direct consequence of adjusting the license contract with Almirall for the supply of Sativex, GW Pharma noted.
However, sales of Sativex (which are based on the number of vials distributed to GW Pharma’s commercial partners) dropped to £2.5 million from £4.4 million last year, putting a strain on net profits (before tax), which dropped from £2.5 million to £1.2 million.
The organisation maintains that they have made “strong progress in 2012” and are happy with the development of Sativex in-market sales.
However, the company also commented that they expect to stay in the red through 2013 at least, as the company continues to devote money to their pipeline in the absence of substantial milestone receipts during the year.
“This is consistent with market expectations and is in accordance with our strategic plan to create long-term value from our pipeline by investing in R&D,” GW Pharma commented.
New Diabetes Drug
Phase II data revealed by GW Pharma in conjunction with their financial results demonstrate that the drug, referred to as GWP42004, could be a possible new oral treatment for type 2 diabetes.
“Even in small numbers of patients GWP42004 shows consistent evidence of antidiabetic effects,” noted lead trial investigator Garry Tan, consultant physician at NIHR Biomedical Research Center in the Oxford Centre for Diabetes, Endocrinology and Metabolism. Tan added that the data “clearly supports advancing [the drug] into further clinical development.”
The drug was also shown to reduce fasting plasma glucose, with an increase in fasting insulin; improve pancreatic beta cell function; and reduce systolic blood pressure.