Alterity Therapeutics Limited Appendix 4D Half-year ended 31 December 2021 Name of entity: Alterity Therapeutics Limited ABN: 37 080 699 065 Half-year ended: 31 December 2021 Previous period: 31 December 2020 Results for

Alterity Therapeutics Limited

Half-year ended 31 December 2021

Results for announcement to the market

Net tangible assets per security

Explanation of results

Alterity Therapeutics Limited recorded income of $1,350 for the

half-year ended 31 December 2021 (2020: $6,553) which is interest received on the Group's bank accounts. Alterity Therapeutics

Limited has incurred a loss of $6,583,559 for the half-year ended 31 December 2021 (2020: $8,561,862).

An explanation of the key financial elements contributing to the revenue

and result above can be found in the review of operations included within the directors' report.

No dividends have been paid or declared by the Group for the current

financial period. No dividends were paid for the previous financial period.

Changes in controlled entities

There have been no changes in controlled entities during the period

ended 31 December 2021.

Other information required by Listing Rule 4.2A

The interim financial statements have been reviewed by the Group's

independent auditor without any modified opinion, disclaimer or emphasis of matters.

Alterity Therapeutics Limited

Interim financial report for the

half-year ended 31 December 2021

Alterity Therapeutics Limited

Alterity Therapeutics Limited

Your directors present their report on the Consolidated

Entity (referred to hereafter as the group) consisting of Alterity Therapeutics Limited and the entities it controlled at the end of,

or during, the half-year ended 31 December 2021.

The following persons held office as directors of Alterity Therapeutics

Limited during the financial period:

Mr. Geoffrey Kempler

Dr. David Sinclair (resigned 4 January 2022)

Mr. Tristan Edwards (resigned

Review of operations - 31 December 2021

Detailed below is an update on the status of the Group's research

and development projects and overall operations for the half-year ended 31 December 2021.

The Group's 30 June 2021 Annual Report contains

detailed background information relating to its operations including its research and development projects and collaboration partners

and should be read in conjunction with this report.

Product Development Lead compound - ATH434

Alterity Therapeutics' lead compound ATH434

is the first of a new generation of small molecules designed to inhibit the aggregation of pathological proteins implicated in neurodegeneration.

ATH434 has been shown preclinically to reduce -synuclein pathology and preserve nerve cells by restoring normal iron balance in

the brain. In this way, it has excellent potential to treat Parkinson's disease as well as various forms of atypical Parkinsonism.

ATH434 is orally bioavailable, brain penetrant, and is being developed for Multiple System Atrophy (MSA), a Parkinsonian disorder.

MSA is a rare neurodegenerative disease characterized

by failure of the autonomic nervous system and impaired movement and can include rigidity, autonomic instability that affects involuntary

functions such as blood pressure maintenance and bladder control, and impaired balance and/or coordination that predisposes to falls.

The symptoms reflect the progressive loss of function and death of different types of nerve cells in the brain and spinal cord. It is

a rapidly progressive disease and causes profound disability. Current treatment includes medications and lifestyle changes to help manage

symptoms, but there is no treatment to slow disease progression and there is no cure.

The Company's Phase 1 Clinical trial reported

in 2019 found ATH434 was considered safe and well-tolerated in adult and older adult ( 65 years) human subjects, with an adverse event

profile comparable to placebo. The safety profile was similar for adult and older adult volunteers. The results also indicated that ATH434

crosses the blood brain barrier in humans and that well-tolerated doses achieved concentrations in the brain that exceed those associated

with robust efficacy in animal models.

ATH434 has Orphan drug designation both with the US FDA and European

Commission for the treatment of MSA.

Alterity Therapeutics Limited

Review of operations - 31 December 2021 (continued)

Phase 2 clinical trial for patients with

Alterity is in the advanced stages of planning

for the commencement of its Phase 2 clinical trial for patients with early-stage MSA.

The trial is a randomized, double-blind, placebo-controlled

investigation that will explore the effect of ATH434 treatment on imaging and protein biomarkers such as aggregating -synuclein

and excess iron, which are important contributors to MSA pathology. Clinical endpoints and other biomarkers will permit comprehensive

assessment of ATH434 efficacy along with characterization of safety and pharmacokinetics. Patients will receive treatment for 12 months

which will provide an opportunity to detect changes in efficacy endpoints in order to optimize design of a definitive Phase 3 study.

The company announced its first clinical location

in December with the New Zealand Medicines and Medical Devices Safety Authority (Medsafe) authorizing Alterity to commence recruitment

in that country. This is the first jurisdiction to authorize the trial with further countries to follow in 2022. The trial expected to

open for enrollment in the first quarter of CY 2022.

bioMUSE natural history study for MSA patients

Biomarkers of progression in Multiple Systems

Atrophy (bioMUSE) is a natural history study tracking the progression of patients with early MSA. The study is being conducted in collaboration

with Vanderbilt University Medical Center in the US under the direction of Daniel Claassen, MD, Associate Professor of Neurology and Principal

Investigator. Natural history studies are important for characterizing disease progression in target patient populations.

bioMUSE has met its initial enrollment goal and

has been expanded to 20 patients. It continues to provide longitudinal biomarker and clinical data to characterize disease progression

in a patient population that mirrors those to be enrolled in the Phase 2 study. The data generated thus far have been invaluable in informing

and reducing risk in the Phase 2 trial design.

Key data from bioMUSE were presented at the International

Parkinson and Movement Disorder Society Congress and reported that advanced MRI methods employed in the study, referred to as quantitative

susceptibility mapping (QSM), demonstrated pathological iron accumulation in multiple areas of the brain in patients with early MSA.

The study investigators concluded that advanced

MRI methods for measuring iron may improve patient selection in clinical trials of disease modifying therapy and have potential to serve

as a biomarker for assessing treatment induced changes.

Growing scientific validation

Scientific interest and validation in ATH434 continue

to grow with data from the Phase 1 trial presented at several global scientific and clinical conferences.

This included the American Autonomic Society 32nd

Annual International Symposium. The poster, entitled "Cardiovascular safety and pharmacokinetics of ATH434, a novel small molecule

inhibitor of -synuclein aggregation, in adults and older adults", described results from the Company's Phase 1 clinical

trial conducted in healthy volunteers. In this trial, ATH434 was well tolerated in adult and 65-year-old volunteers and demonstrated

no cardiac adverse event signal and no clinically significant changes in blood pressure or heart rate at any dose. ATH434 also demonstrated

dose dependent pharmacokinetics (PK) after single and multiple oral doses and a half-life that supports twice-daily dosing.

Alterity Therapeutics Limited