PureTech Health first-half loss narrows as costs fall

PureTech Health's first-half loss narrowed as revenue increased and the biotechnology company's expenses fell due to disposals of investments.

The FTSE 250 company's operating loss for the six months to the end of June was $52.8m (£40m) compared with $70.3m a year earlier. Revenue increased by $2.5m to $6.8m boosted by agreements with Roche and Boehringer Ingelheim.

Operating costs fell to $59.6m from $74.7m after the company shed $26m of expenses through the deconsolidation of Karuna, Gelesis and Vor in 2019.

The company generated more than $245m of cash in the first half and $101m in August from sales of equity in founded entity businesses. PureTech had $310.5m of cash at the end of the first half.

Chief Executive Daphne Zohar said: "During this period, we have demonstrated a strong commitment to value realisation through the monetisation of founded entity equity. In the first half of 2020 we generated over $245m from the sales of minority shares in certain founded entities to help fuel the future growth of the company, and we are well-capitalised."

PureTech shares fell 1.7% to 268.5p at 09:21 BST.