Syntara Reports 13.6% Higher Loss on 7.9% Revenue Decline in FY2026

Financial Results Highlight Rising Losses on Shrinking Revenue

Syntara Limited (ASX:SNT) posted a net loss after tax of $9.0 million for the year ended 30 June 2026, up 13.6% from $7.9 million the previous year, while revenues fell 7.9% to $7.03 million. The company’s net tangible assets per share dipped to 0.82 cents from 0.97 cents. No dividends were declared, reflecting the company’s ongoing investment in its clinical pipeline.

Lead Asset Amsulostat Advances with FDA Endorsement

Syntara’s lead drug candidate, amsulostat (SNT-5505), targeting myelofibrosis, remains the linchpin of its development strategy. The company reported positive Phase 2a trial results showing durable clinical benefits and a favourable safety profile when amsulostat was combined with ruxolitinib. Notably, 73% of evaluable patients achieved at least a 50% symptom score reduction, and 44% saw meaningful spleen volume shrinkage, with stable haematological parameters and no serious treatment-related adverse events.

In April 2026, Syntara secured encouraging feedback from the US Food and Drug Administration (FDA) on its proposed Phase 2b trial design, which plans to enrol around 100 patients with inadequate responses to current JAK inhibitor therapies. The FDA’s support provides a clearer regulatory pathway for late-stage development and bolsters Syntara’s engagement with potential commercial partners. The drug retains FDA Fast Track and Orphan Drug designations, with the European Medicines Agency also granting orphan status during the year.

Clinical Expansion into Myelodysplastic Syndromes and Pancreatic Cancer

Amsulostat’s development broadened into myelodysplastic syndromes (MDS) through two concurrent clinical programs: the Australian Phase 2 MESSAGE trial and the German AZALOX Phase 1b/2 study. Both trials evaluate amsulostat in combination with existing therapies and have shown promising safety and dose-escalation progress. These programs tap into a combined market opportunity estimated to exceed US$6 billion annually.

Beyond blood cancers, Syntara partnered with the Garvan Institute of Medical Research to initiate a Phase 1/2 pancreatic cancer trial funded by a A$3 million grant from the Australian Government’s Medical Research Future Fund. The company contributes drug supply and clinical expertise without cash outlay, aiming to diversify amsulostat’s clinical applications.

Progress in Neuroinflammation and Dermatology Programs

Syntara’s neuroinflammation candidate SNT-4728, developed in collaboration with Parkinson’s UK for isolated REM Sleep Behaviour Disorder, completed Phase 2 recruitment and triggered a milestone payment of approximately A$1.8 million. Preliminary post-year-end results showed a statistically significant reduction in brain inflammation in a key Parkinson’s-associated region, with no serious adverse events reported, supporting the company’s hypothesis on targeting neuroinflammation in prodromal Parkinson’s disease.

Topical anti-fibrotic programs also advanced. SNT-9465 completed a Phase 1a safety and target engagement study and moved into a Phase 1b hypertrophic scar trial with over 60% recruitment completed post-year-end. Meanwhile, the first-generation topical inhibitor SNT-6302 progressed in an investigator-led study on keloid scars, with ongoing extended follow-up to assess treatment durability.

Capital Raise and Cash Position Support Clinical Ambitions

In May 2026, Syntara raised $8.8 million before costs via a two-tranche institutional placement and share purchase plan priced at $0.027 per share. This capital injection strengthened the balance sheet and extended the cash runway into Q3 2027, underpinning multiple clinical trial readouts anticipated in FY2027.

At year-end, the company held $13.6 million in cash and equivalents. It also secured approximately $1.7 million in non-dilutive milestone payments, including from Parkinson’s UK and government research grants. The company continues to pursue outstanding receivables from the 2023 sale of its Mannitol Business Unit, with the disputed balance reduced to about $0.6 million.

Governance and Executive Remuneration Updates

Syntara’s board remains led by Chair Kathleen Metters, with CEO Gary Phillips continuing in his role. The company appointed Tim Luscombe as company secretary in January 2026. Executive remuneration features a mix of base salary, performance-linked cash incentives, and equity-based awards, with a 3.4% average salary increase effective January 2026. Notably, performance rights granted to executives vest based on continued employment, aligning incentives with long-term shareholder value creation.

Risks and Outlook

Syntara outlines typical biotech risks including funding needs, clinical trial uncertainties, regulatory approval challenges, and partnership negotiations. The company’s diversified pipeline and regulatory designations mitigate some risks but do not eliminate the inherent uncertainties of drug development.

Looking ahead, FY2027 is set to deliver multiple clinical catalysts: full results from the SNT-4728 neuroinflammation study, topline data from the SNT-9465 scar trial, further MDS trial updates, pancreatic cancer program commencement, and preparations for the pivotal Phase 2b myelofibrosis trial. These milestones will be critical in shaping Syntara’s path towards commercialisation and value creation.

Given the company’s current cash position and capital raising success, financial runway appears sufficient for near-term objectives, though ongoing funding will likely be necessary to sustain longer-term development.