Allergy Therapeutics revenue growth accelerates as Grassmuno launch builds momentum

Allergy Therapeutics has ended its 2026 financial year with accelerating sales growth, a larger cash balance and confidence that its newly launched Grassmuno product can support another step forward in FY2027.

The AIM-listed allergy immunotherapy specialist expects revenue for the year ended 30 June 2026 to reach £59.9 million, up 9% from £55.0 million. Second-half growth exceeded 12% on a reported basis, improving from 7% during the first half.

That acceleration is the main feature of this update. It suggests that growth strengthened as the German regulatory transition approached its final stages and Grassmuno entered the market.

The figures remain subject to audit, while profitability and detailed cash flow information were not disclosed. Investors will therefore need to wait for October's preliminary results before drawing firmer conclusions about the quality and cost of this growth.

Allergy Therapeutics' key figures

Metric	FY2026	Comparative	Change
Full-year revenue	£59.9 million	£55.0 million	9% reported growth
Second-half revenue	£23.6 million	£21.0 million	More than 12% reported growth
Year-end cash	£24.2 million	£12.8 million	£11.4 million increase
German revenue growth	Not disclosed	Not disclosed	More than 4% at constant currency
Spanish revenue growth	Not disclosed	Not disclosed	12% at constant currency

Constant currency growth, which removes the effect of exchange-rate movements by applying prior-year rates, was more modest. Full-year revenue increased by approximately 5% on this basis, while second-half growth was 9%.

This means currency movements provided some assistance to the reported numbers. Even so, the improvement from first-half constant currency growth of 3% to 9% in the second half still points to stronger underlying commercial momentum.

Grassmuno arrives despite difficult timing

Grassmuno is the first subcutaneous grass pollen immunotherapy approved under Germany's Therapieallergene-Verordnung, or TAV, programme. This regulatory process is moving the German allergy treatment market away from unregistered products towards approved therapies.

The transition has weighed on Allergy Therapeutics' results, particularly during the first half. However, the TAV programme is now expected to end in October 2026, potentially removing an important commercial headwind.

Grassmuno launched in Germany in mid-January 2026. That timing meant it missed most of the peak September-to-February treatment season, limiting its opportunity to contribute during FY2026.

Despite that late arrival, management says the launch supported the second-half acceleration. Growth was also underpinned by the wider registered German portfolio, which includes Pollinex and Venomil.

Germany, the group's largest market, delivered constant currency growth of more than 4%. Management views that as positive given the regulatory transition and Grassmuno's limited availability during the peak season. Spain, its second-largest market, recorded stronger constant currency growth of 12%.

Investors can find more background on the business through the Allergy Therapeutics PLC company page and revisit the previous FY2025 trading update.

Why FY2027 could be more revealing

The year ending 30 June 2027 should include the first full high season with Grassmuno available. Allergy Therapeutics expects this, alongside the conclusion of the TAV transition, to support double-digit year-on-year revenue growth.

That is an encouraging outlook, but it is a revenue expectation rather than profit guidance. The company did not disclose an FY2027 revenue figure, expected margins, operating profit or cash flow forecast.

Grassmuno's German approval also provides a foundation from which the group intends to pursue registrations in additional markets over time. No timetable, targeted markets or expected financial contribution from those potential registrations was disclosed.

This leaves FY2027 carrying considerable importance. A full treatment season should offer a clearer test of Grassmuno's demand and its ability to strengthen the group's commercial performance beyond the initial launch period.

The cash balance has improved, but funding needs context

Allergy Therapeutics ended June with an unaudited cash balance of £24.2 million, compared with £12.8 million a year earlier. However, the movement cannot be viewed separately from the substantial financing activity completed during the year.

The group drew £12.5 million from an amended shareholder facility. Exercise notices for warrants associated with the shareholder lenders subsequently generated £55 million, which was used to repay all financial indebtedness owed to those lenders.

The company then drew a new £40 million senior secured facility from Hayfin. It also secured access to a £50 million unsecured shareholder loan facility, although nothing had been drawn from that facility by 30 June 2026.

The improved cash position is therefore useful, but it does not mean the company is debt-free. The Hayfin facility was fully drawn, while the update did not disclose total year-end net debt, interest costs, repayment terms or financial covenants.

Management says the funding provides a foundation for strategic growth initiatives, including the development of next-generation allergy immunotherapies such as VLP Peanut. The update did not provide new clinical data, development timelines or spending guidance for that pipeline.

The group also continues to explore a potential dual primary listing on the Hong Kong Stock Exchange. No decision or timetable was disclosed.

What investors should watch in October

The positive case rests on accelerating second-half sales, growth across the registered German portfolio and the prospect of a full Grassmuno treatment season in FY2027. The end of the TAV transition could also make future comparisons cleaner.

The main unanswered questions concern profitability, margins and financing costs. Revenue growth is welcome, but investors still need to see whether it translates into better operating performance and sustainable cash generation.

October's audited preliminary results should provide the next opportunity to examine those details. Particular areas to watch include gross margins, operating expenses, net debt, Hayfin interest costs and any updated guidance for Grassmuno or the development pipeline.

For now, the direction of travel is improving. Allergy Therapeutics has moved from 7% reported growth in the first half to more than 12% in the second, while management is targeting double-digit revenue growth for FY2027. The next test is whether that commercial acceleration can produce stronger financial returns after funding and development costs.

The full figures and company commentary are available in the original company announcement.