Newron Pharmaceuticals (SIX: NWRN)

Last close As at 27/03/2024

CHF7.84

0.36 (4.81%)

Market capitalisation

CHF140m

Newron Pharmaceuticals is focused on the central nervous system. Xadago for Parkinson’s disease (PD) is sold in Europe, Japan, the United States and other regions. Evenamide, a novel schizophrenia add-on therapy, is involved in a Phase II/III trial programme targeting schizophrenia.

Xadago is marketed as an add-on to levodopa therapy in PD. It is currently sold in Europe, Japan, the United States and other territories. Generic manufacturers have notified the FDA of their intention to file generic Xadago products. Newron is contesting these filings. Xadago is currently patent protected until at least 2027.

Latest Insights

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Sector

Healthcare

Equity Analyst

Soo Romanoff

Soo Romanoff

Managing Director - Head of Content, Healthcare

Nidhi Singh

Nidhi Singh

Analyst

Arron Aatkar

Associate analyst

Jyoti Prakash

Jyoti Prakash

Analyst, Healthcare

Key Management

  • Marco Caremi

    Executive VP of Business Development

  • Stefan Weber

    CEO

Balance Sheet

Forecast net cash (€m)

29.1

Forecast gearing ratio (%)

N/A

Share Price Performance

Price Performance
% 1M 3M 12M
Actual (13.0) 68.8 20.6
Relative (14.7) 61.2 9.8
52 week high/low CHF10.4/CHF3.9

Financials

Newron Pharmaceuticals has reported results for FY23, an active period for its lead asset, evenamide, being developed for treatment-resistant schizophrenia (TRS) and poorly managed schizophrenia (non-TRS). Strong 12-month data were shared in January 2024 from the Phase II trial (study 014/015) in TRS patients, and management is gearing up to launch a potentially pivotal Phase III trial. We expect the next major catalyst to be results of the Phase III trial (study 008A) in non-TRS patients, now anticipated in April. Improved liquidity following the recent equity raise and renegotiated debt repayment terms with the EIB provides headroom into 2025, by which time we anticipate a licensing deal for evenamide. We have revised our estimates, segregating evenamide’s potential across TRS and non-TRS populations, and refined some of our assumptions. Our valuation increases to CHF219.1m or CHF12.3/share (CHF7.7/share previously).

Y/E Dec Revenue (€m) EBITDA (€m) PBT (€m) EPS (c) P/E (x) P/CF (x)
2022A 6.1 (12.6) (17.0) (95.34) N/A N/A
2023A 9.1 (11.2) (16.0) (89.81) N/A N/A
2024E 24.3 2.1 (2.6) (14.12) N/A N/A
2025E 27.1 3.3 (0.8) (4.31) N/A N/A

Further insights

insight

Healthcare

Newron Pharmaceuticals: EKF 2023 QuickView

insight

Healthcare

Deutsches Eigenkapitalforum (EKF) 2022 healthcare

insight

Consumer

Deutsches Eigenkapitalforum (EKF) 2022

Analyst of the week

Soo Romanoff

Soo Romanoff

Managing Director - Head of Content, Healthcare

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