Novita Healthcare Limited (ASX:NHL) will attack 2019 from a position of strength, having bagged triple-digit revenue growth and $2.6 million in the bank.
It told the market that it had managed to grow year-on-year revenue by 233 percent in the first quarter of the 2019 financial year, on the back of increased sales of its TALI Train solution.
TALI Train is a game-based program which uses algorithmic technology to assist in the treatment of attention deficit disorder (ADHD) in children.
It was developed by a team of neuroscientists at Monash University and is available through the National Disability Insurance Scheme in Australia. The company also sells the program in Singapore and Hong Kong, and recently received US FDA approval.
While NHL told the market that it had $2.6 million in the bank, it also flagged further cash to come, saying that it expected to receive R&D grant money from the Australian government in the back-end of the 2019 calendar year.
NHL also said that the number of providers using the TALI Train solution was up 38 percent, driving the number of patients completing the TALI Train course up by a whopping 300 percent quarter-on-quarter.
That increase in active users has also given NHL more data to work with, with 93 percent of TALI Train users reporting positive improvements in inattentive behaviour and hyperactive behaviour.
That data will prove useful as the company continues to target direct sales in both the independent and state schools market in Australia, with NHL flagging that it was talking to “key influencer” schools.
International expansion, credibility building
Having secured its first clients in the Singapore and Hong Kong markets during the quarter, all eyes will turn towards its US market push after it secured FDA approval to sell TALI Train there last month.
The US approval in particular is a boon for the company, giving it access to a market which the US Centers for Disease Control and Prevention says contains 6.1 million sufferers of ADHD.
Not only has NHL’s early work impressed the FDA, but local media reports have driven interest in the company.
NHL was also invited, as one only 20 “most innovative technology” companies, to the world’s largest annual conference on ADHD.
This content is produced by Star Investing in commercial partnership with Novita Healthcare. This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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