More on Acambis
Acambis
Vaccine manufacturer Acambis is a difficult company to value: new contracts for smallpox vaccine (its main source of revenues at the moment) are uncertain, while its travel vaccines are largely still being developed or tested, with only one currently actually being sold.
Profits and revenues this year are much lower than last but this reflects the gradual sinding down of the US smallpox vaccine contract which is largely completed. New contracts with other governments are likely to be smaller, as it a further US contract for the supply of another smallpox vaccine (for the minority of people who can not take the standard vaccine). There is also some additional revenue to be gained by a proposed agreement to maintain a level of readiness to manufacture higher levels than the ongoing demand.
Acambis already markets one travel vaccine and is working on a number of others, these have long term potential but in the short term the company’s performance will continue to be dominated by smallpox.
The company has slightly lowered the bottom end of its range of full year revenue expectations with no very clear explanation as to why.
With any new contract gains in smallpox uncertain, and travel vaccines still a new business, long term earnings are not very visible.
Much also depends on the travel vaccines which are yet to be marketed, the most advanced of these are still in phase II trials.
Random picks: Alliance and Leicester | BAA | Bradford & Bingley | Carphone Warehouse | Cobham | Firstgroup | Morrison | Weir | Cattles | Spirent