Appendix 4C - Q4 FY24 Quarterly Cash Flow Report Highlights Positive interim data reported from ATH434-202 Phase 2 clinical trial showing improvement on the UMSARS Activities of Daily Living Scale and stable or improved

Appendix 4C - Q4 FY24 Quarterly Cash Flow

MELBOURNE, AUSTRALIA AND SAN FRANCISCO, USA - 31 July

2024: Alterity Therapeutics (ASX: ATH, NASDAQ: ATHE) ("Alterity" or "the Company"), a biotechnology

company dedicated to developing disease modifying treatments for neurodegenerative diseases, today released its Appendix 4C

Quarterly Cash Flow Report and update on company activities for the quarter ending 30 June 2024 (Q4 FY24).

"We have made great strides over

the last two months with the positive interim data readout from our ATH434-202 Phase 2 clinical trial and the important observations from

our bioMUSE Natural History Study that continue to guide development of ATH434," said, David Stamler, M.D., Chief Executive Officer

of Alterity. "I am very encouraged by the results from our 202 study in patients with advanced Multiple System Atrophy (MSA) where

we saw favorable clinical and biomarker outcomes in some patients suggesting that ATH434 has the potential to modify the course of this

devastating condition. We were also very pleased to see that the clinical responders had biomarker evidence of stable disease as this

provides an objective indication of potential efficacy."

"Our bioMUSE study continues to provide

valuable information to inform our patient selection criteria and choose endpoints for our Phase 2 clinical trials. This

observational study has allowed us to monitor the progression of MSA in earlier stage patients and further characterize this

devastating disease. Working with our colleagues at Vanderbilt University, we have employed novel MRI technology and machine

learning to precisely analyze brain iron content and brain volumes in these patients over time. The results from the study have

guided us to modify our endpoints in the ATH434-202 study. The data from our 202 and bioMUSE studies increases my overall confidence

in the ATH434 development program," concluded, Dr. Stamler. Alterity's cash position on 30 June 2024 was A$12.6M with

operating cash outflows for the quarter of A$5.6M.

In accordance with ASX Listing Rule 4.7C,

payments made to related parties and their associates included in item 6.1 of the Appendix 4C incorporates directors' fees, consulting

fees, remuneration and superannuation at commercial rates.

Operational Activities

ATH434-201: Randomized, Double-Blind Phase 2 Clinical

Trial in Early-State MSA

On 8 May 2024, Alterity announced that

an independent Data Monitoring Committee (DMC) completed its third prespecified review of unblinded clinical trial data from the ATH434-201

Phase 2 study. The DMC expressed no concerns about safety and recommended that the study continue as planned without modification. This

recommendation is an important milestone as participants are able to safely tolerate ATH434 as their time on study increases.

In April 2024, important new data on ATH434

was presented at the World Orphan Drug Congress in a poster presentation, entitled, "Biophysical Characteristics of ATH434, a Unique

Iron- Targeting Drug for Treating Friedreich's Ataxia." The study evaluated the ability of ATH434 to target the toxic form

of iron that drives the pathology of Friedreich's Ataxia, a rare neurodegenerative disease that affects young children to young

adults. The investigation provides important insights into the mechanism of action of ATH434, namely that it selectively targets the labile

iron implicated in the pathology of important neurodegenerative diseases. In this way, ATH434 behaves like a chaperone to redistribute

iron within the body.

In April 2024, a poster was presented

at the American Academy of Neurology (AAN) 2024 Annual Meeting, entitled, "A Phase 2 Study of ATH434, a Novel Inhibitor of -Synuclein

Aggregation, for the Treatment of Multiple System Atrophy". The poster described the baseline characteristics for the 65 evaluable

participants from the ATH434-201 with a focus on baseline fluid biomarkers, neuroimaging and clinical data. The participants met strict

selection criteria designed to confirm they had early-stage MSA. Overall, the participants had a mean duration of motor symptoms of two

years. The data showed increased iron in areas of pathology and elevated plasma Neurofilament Light Chain (NfL) levels at baseline that

correlated significantly with disease severity.

The trial remains on track to complete

in November 2024. The data from the trial will then be analyzed and the Company expects to report topline results by January 2025.

ATH434-202: Open-label, Biomarker Phase 2 Clinical Trial

in More Advanced MSA

Subsequent to the quarter end, on 17 July

2024, Alterity reported positive interim data from the ATH434-202 trial in participants with advanced MSA. The interim analysis included

clinical and biomarker data on 7 participants treated with ATH434 for 6 months and neuroimaging data on 3 participants who were treated

for 12 months. After 6 months of treatment, 43% of participants showed improvement on the UMSARS1, indicating reduced disability

on activities of daily living. Over the same period, 29% of participants had stable or improved neurological symptoms (clinical responders)

as assessed by the global impression of change by both the treating physician and the patient. Importantly, the clinical responders on

average had reduced accumulation of iron on MRI in the substantia nigra, putamen and globus pallidus and stable levels of NFL, a marker

of axonal injury, when compared to participants who declined.

bioMUSE Natural History Study

On 30 May 2024 Alterity hosted a webinar

to discuss data from the bioMUSE Natural History Study. The goal of the observational bioMUSE study is to optimize patient selection and

choose endpoints for the Company's Phase 2 clinical trials. This study enrolled 21 individuals who were observed for 12 months to

characterize early-stage MSA in terms of various biomarkers. In particular, the focus is on brain iron, brain volume, and the pathology

in glial support cells. Utilizing novel MRI technology, Alterity's partners at Vanderbilt University have optimized specialized

MRI methods, including machine learning (a form of artificial intelligence), to establish standardized methods to analyze brain iron and

brain volumes with precision. Importantly, they developed a new, novel imaging biomarker to assess brain volume in MSA affected regions.

The bioMUSE data showed a statistically significant increase in iron over 12 months in the substantia nigra, and statistically significant

decreases in brain volume observed in affected regions at 12 months.

Also at AAN, a poster was presented at

the AAN 2024 Annual Meeting, entitled, "Neurofilament Light Chain and Clinical Progression in Early Multiple System Atrophy".

The poster described results from bioMUSE in which changes in clinical severity of 15 patients across a span of 12 months were compared

with plasma biomarkers with a goal of establishing meaningful correlations. Importantly, the observational data suggest the fluid biomarker

NfL may be used as a marker of disease severity in studies of MSA as it holds promise for measuring the extent of disease, tracking its

progression, and forecasting the onset of clinical manifestations associated with MSA.

ATH434 for the Treatment of Parkinson's

A poster was also presented at

AAN entitled, "Effects of ATH434, a Clinical-Phase Small Molecule with Moderate Affinity for Iron, in Hemiparkinsonian

Macaques". The presentation showed that ATH434 can reduce Parkinsonism in a higher order animal, the monkey, with symptoms

that closely parallel human disease. Importantly, the improvements in motor skills and general functioning that parallel human

parkinsonism were associated with reductions in abnormal iron in affected brain regions. These favorable parkinsonian outcomes

observed in the ATH434- treated monkeys were also associated with increased levels of striatal synaptophysin, a protein marker that

reflects functional connections between neurons, suggesting functional recovery of nerve endings in this critical motor pathway.

Taken together, the findings in this study increase the Company's confidence in their approach in the ongoing Phase 2 program

About Alterity Therapeutics Limited

Alterity Therapeutics is a clinical stage

biotechnology company dedicated to creating an alternate future for people living with neurodegenerative diseases. The Company's

lead asset, ATH434, has the potential to treat various Parkinsonian disorders and is currently being evaluated in two Phase 2 clinical

trials in Multiple System Atrophy. Alterity also has a broad drug discovery platform generating patentable chemical compounds to treat

the underlying pathology of neurological diseases. The Company is based in Melbourne, Australia, and San Francisco, California, USA. For

further information please visit the Company's web site at www.alteritytherapeutics.com.

Authorisation & Additional information

This announcement was authorized by David Stamler, CEO of Alterity

Therapeutics Limited.

Investor and Media Contacts:

Remy Bernarda remy.bernarda@iradvisory.com

Forward Looking Statements

This press release contains "forward-looking

statements" within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934.

The Company has tried to identify such forward-looking statements by use of such words as "expects," "intends," "hopes,"

"anticipates," "believes," "could," "may," "evidences" and "estimates," and