Allergy Therapeutics — Audited Preliminary Results and Annual Report

Revenue rose 9%, but losses widened and delisting from AIM is proposed.

What the company is saying

Allergy Therapeutics frames FY2026 as a year of revenue growth, reporting £59.9m (up 9% reported, 5% constant currency) and highlighting a strong H2 performance with £23.6m (up over 12%). The company acknowledges deepening losses, with an operating loss of £38.6m and an adjusted EBITDA loss of £14.9m, compared to £9.0m in 2025. R&D spend was £19.1m, and the basic loss per share was (0.90)p. The company emphasizes improved liquidity, ending the year with £24.2m in cash (up from £12.8m), supported by £55m of warrant exercises, a new £40m Hayfin facility, and an undrawn £50m shareholder facility. Operationally, the launch of Grassmuno in Germany on 15 January 2026 is positioned as a growth catalyst, with a full high season from September 2026 expected to drive strong FY2027 revenue. The announcement also discloses a proposed AIM delisting and re-registration as a private company, but provides no detail on process or timing.

What the data suggests

The numbers show Allergy Therapeutics is growing revenue but at the cost of higher losses. FY2026 revenue was £59.9m, up 9% reported and 5% constant currency, with H2 revenue of £23.6m up more than 12%. Operating loss was £38.6m, and adjusted EBITDA loss widened to £14.9m from £9.0m in 2025. R&D spend was £19.1m, and basic loss per share was (0.90)p. Cash at year-end was £24.2m, up from £12.8m, but this was supported by £55m of warrant exercises and a £40m facility draw, not operational cash flow. The company has substantial undrawn liquidity (£50m facility, plus a post-period £50m commitment). The launch of Grassmuno in Germany is a realised milestone, but the expectation of strong FY2027 revenue is not quantified and rests on the upcoming high season. The proposal to delist from AIM and go private is disclosed without procedural or timing details.

Analysis

The announcement is largely factual, with most claims supported by disclosed financial and operational data. Revenue growth is clearly stated and supported by numbers, but profitability has deteriorated, with both operating and EBITDA losses increasing year-over-year. The launch of Grassmuno in Germany is a realised milestone, but the expectation of strong revenue growth in FY2027 is forward-looking and not quantified. Significant capital inflows and facilities are disclosed, indicating high capital intensity, but immediate earnings impact is absent. The tone is measured, and there is little evidence of narrative inflation; forward-looking statements are limited and not aggressively promoted. The gap between narrative and evidence is small, as the company does not overstate realised progress.

Risk flags

• ●Profitability is deteriorating: Adjusted EBITDA loss increased from £9.0m in 2025 to £14.9m in 2026, and the operating loss was £38.6m, indicating that revenue growth is not translating into improved margins or bottom-line performance.
• ●Liquidity is reliant on external financing: Year-end cash of £24.2m was achieved through £55m of warrant exercises and a £40m facility draw, not from operational cash flow, and the company holds an undrawn £50m facility, suggesting ongoing dependence on external capital.
• ●The expectation of strong FY2027 revenue growth is not supported by quantified guidance or early uptake data for Grassmuno, making the projected turnaround speculative.
• ●The proposed AIM delisting and move to private status introduces governance and liquidity risks for shareholders, with no details provided on process, timing, or implications for minority investors.

Bottom line

Allergy Therapeutics delivered revenue growth in FY2026, but losses widened and cash improvements were driven by financing, not operations. The launch of Grassmuno in Germany is a tangible milestone, but the expectation of strong FY2027 revenue is unquantified and contingent on a successful high season starting September 2026. The proposed AIM delisting and shift to private status adds uncertainty for public shareholders, with no procedural detail disclosed. Investors face a business that is capital intensive and loss-making, with future upside tied to unproven product uptake and a less transparent governance structure if delisting proceeds. The most important takeaway is that while revenue is growing, the path to profitability and shareholder liquidity is increasingly unclear.

Announcement summary

(LSE:AGY) Allergy Therapeutics reported FY2026 revenue of £59.9m, representing an increase of 9% on a reported basis and approximately 5% on a constant currency basis. Revenue for the second half (H2) was £23.6m, which was up by more than 12%. The company recorded an operating loss of £38.6m for the period. Adjusted EBITDA loss was £14.9m, compared to £9.0m in the previous year (2025). Research and development (R&D) expenditure amounted to £19.1m. The basic loss per share was (0.90)p. Cash at year-end stood at £24.2m, up from £12.8m in 2025. The Group repaid shareholder loans following £55m of warrant exercises. Allergy Therapeutics drew a new £40m Hayfin senior secured facility. The company also held an undrawn £50m unsecured shareholder facility, with a post-period £50m commitment. Grassmuno was launched in Germany on 15 January 2026. The company expects a full high season for Grassmuno from September 2026, which underpins the Board’s expectation of strong revenue growth in FY2027. The company has proposed cancellation of its AIM listing and re-registration as a private company.

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