Pacific Edge Announces HY Financial Results

Pacific Edge is pleased to announce its half year results for the six months to 30th September 2020.

It has been a transformational half year for Pacific Edge with commercial agreements and accelerating revenue growth.

A summary of performance for the period (% changes compared to prior comparative period (PCP)):

• Total revenue increased 50% to $4.1m
• Operating revenue from test sales increased 46% to $3.3m
• U.S. operating revenue increased 46% to $2.9m
• Three consecutive record revenue months achieved in the U.S. following LCD inclusion in July 2020, despite the ongoing negative impact from COVID-19 on test volumes
• Rest of World (ROW¹) operating revenue increased 40% to $0.4m, driven by strong growth in the NZ market following the lifting of Covid-19 restrictions
• Total Laboratory Throughput (TLT) reduced 16% to 6,864 tests
• ROW commercial test volumes increased 18% to 1,631 tests
• Total operating expenses reduced 8% to $11.2m
• Total comprehensive loss improved 25% to $7.1m
• Net cash, cash equivalents and short term deposits increased to $29.3m as of 30 September 2020, following a $22m placement to ANZ New Zealand Investments
• Commenced scale up of commercial operations in U.S. to leverage key commercial milestones of LCD inclusion and agreement with Kaiser Permanente

Pacific Edge is pleased to report accelerating revenue growth in key growth markets as it starts to benefit from the major commercial milestones achieved during the first half of the financial year.

“The Pacific Edge team made significant progress on our strategic growth objectives in the first half,” said David Darling, Chief Executive Officer of Pacific Edge.

“We delivered strong revenue growth, which included three consecutive months of record revenue in the U.S. following Cxbladder’s LCD inclusion in July 2020, despite the ongoing negative impact from COVID-19 on our Cxbladder test volumes.

“Our balance sheet has been strengthened allowing us to scale up the business faster to meet the expected increase in demand for Cxbladder. This has included ongoing investment in our U.S. sales and executive teams, which are focused on converting other large scale institutional customers in the U.S. and gaining additional reimbursement coverage for Cxbladder with the top private payers (insurers).

“We remain focused on executing on the global growth opportunities available for Cxbladder and are well positioned to deliver further long-term growth and value creation for our shareholders.”

To view the full announcement, investor presentation and interim financial statements, please click here.

¹Rest of World markets are primarily New Zealand as well as early stage in Australia and South East Asia.