Member Info for JimiHendrix

They’re not relying solely on the tax credit as source of income …and of course, yes they are focusing on generating sales.

Enter the trolls or paid derampers lol! Genedrive have probably already received that tax credit, the next one will be due soon.

Hi rbr08, well it's a far better position than I had started to think we were in lol, there is certainlly no need for a placing as far as I can see. My view is we have a minimum of approx 6 months of cash at current burn rate, and we know we have on going revenue again from HCV on top and then on top of that the expected AIHL orders, POC launch (and orders), update on 96-SARS2 sales cycles and any direct sales from Genedrive to contacts, DoD, India update and more... inc another £1m tax credit to come which adds 2 more months onto my 6months estimate. Pretty exciting outlook! Hopefully we'll have an update before September, though if not this week I'm sure we will hear something after next Tuesday's AIHL talk.

@grimshady ...yes I was thinking they will be due another £1m soon. They also made it clear in the presentation/Q&A that there wasn't any doubt in receiving it. It is guaranteed to come, it was just taking longer than usual - due to covid.

In the recorded audio presentation Matthew says cash is about £4.2m inc recent sales and tax credit (possibly the figures you’re looking at don’t inc the sales).

WHO approval is what triggered the share price rise to 300p last year. Having this is expected to increase sales substantially. My figure of 500k of HCV sales since the presentation is just a crude guess, but whether it’s 100k or 1m, our cash reserves are still good for now IMO.

Still lots of unknowns of course, though going back through the presentation and research has certainly given me a big boost of reassurance.

They had approx £4.2m in cash 4 months ago (including the £1m credit) with a 400k burn rate. So based on that they currently have about £2.5m plus whatever they have received in HCV sales - considering HCV has WHO now these sould be greater than we expect. So ignoring any other revenue it's reasonable to assume imo, that they have £3m plus of cash. They also have loads of supplies for manufacturing tests across their range.

Listening to the investor presentation again they also talked quite upbeatly about how comforable they are financially and that Cytiva not only freeze dry their beads but also pack and more often than not ship directly to the customer. The process is quick too, they don't need extra funding to pay Cytiva to build the tests either because invoices come in from them almost the same time as Genedrive invoices the customer. It's a natural hedge.

They also said that if they did find themselves in a differernt situations and required funds, they are debt free and obtaining an asset backed loan would be relatively easy. So from my research it certainly doesn't look like they will need to fundraise any time soon, if ever. And this doesn't even take in to consideration AIHL orders from early adoptors likely in the next month or 2. UK sales for AIHL are expected to be £3.5m per year, Europe next and then USA. DoD orders, and Covid POC launching immenently on top.

I'm feeling confident here again, just eager to know how BC sales are going in the US and Europe. I'm also thinking if Cytiva are shipping directly then shipments may not show up under Genedrive in the FDA report... the database only shows the last 8 days though unfortunately but will be keeping an eye on Cytiva imports from now on too.

I'm surprised Biomek i7 compatibility isn't mentioned on the site however customers will know that if it is compatible with the machines listed in documentation then it will work on the i7. Also worth considering that Beckman planned to sell the tests to existing customers first who already had i7 workflows set up. To obtain new customers they would go through their sales cycles... which I believe take around 6 months plus... and then there is some setup/delivery time. I got the impression Beckman will be trying to sell the full workflow to new customers (including the biomek machines) so there is a setup stage after orders.

Interesting listening back to the Investor Presentation, some great info in there. David mentioned how the FDA submission included the Beckman Coulter tie-in in instructions for use, regarding using their RNA extraction kit, though nothing about the Biomek i7 performance - which came later. He mentioned he has had discussions with Beckmans's regulatory team about how they can support them, and said that they might get themselves to the position at some point where Beckman could influence and support the FDA application if for example Genedrive submitted it in conjunction with Beckman, but that they weren't there yet. Perhaps they are now? It is certainly in Beckman's interest, and I believe it would simply require an updated submission (not starting from scratch).

Beckman’s sales process will cover all the details, there will be lots of phone calls, video calls and emails between potential leads before a sale is converted. Once converted they will use the site for scheduled orders, through the login portal.

The Rx only notice is just standard, private labs will know that they can still sell these.

Sounds good for Beckman’s sales initiatives to private labs…

“… Nuzzo worries that shutting down testing sites left the nation vulnerable to the current surge, leaving public and private sites scrambling to restore capacity.”

David is doing a fine job with so many products coming to fruition. Interesting, I didn’t realise David’s previous role was with a Danaher owned company.

“David has over 20 years of international commercial and operational experience in the diagnostics and medical devices field, launching multiple diagnostics products into international markets. He joins from Leica Biosystems (a Danaher company), a fast growing organisation where he served as General Manager of Leica Biosystems Amsterdam. David previously served as Commercial Director at Leica Biosystems Newcastle, with global responsibility for marketing, market research and product launches for diagnostic tests.

Prior to joining Leica Biosystems, David's previous roles included Point-of-Care, molecular, and central laboratory marketing and commercialization responsibilites as a Director of Marketing at Siemens Healthcare Diagnostics, Business Unit Leader at Bayer Diagnostics UK, and Sales Manager at Visible Genetics Inc.”

@Preefty well spotted - it certainly sounds as though the intention all along is for Beckman to distribute multiple Genedrive products.

Also interesting from the latest POC update...

"Our commercial activities are currently focused on engaging the appropriate commercial partners to be in place in the autumn as the levels of infection undoubtedly rise in many geographies."

Suggests there will deals with several distribution partners, in order to target global markets in the Autumn.

Well we know there's been a delay to the POC test and the reasons why. Regarding the orders pending regulatory approvals, we don't know which markets they were for. If India then we know why they haven't taken up those deals... because the price restrictions has meant the profit margin is not very attractive v USA.

The European Ministry of Health lead is more mysterious, I think we can assume it hasn't been converted yet though I expect it is still in their pipeline. Who knows what's happening with that!

From November results RNS...

"With the neonatal sales knowledge of Inspiration Healthcare we expect commercial traction from early adopters at launch, then 12-18 months later waves of large demand following write-up and inclusion in paediatric guidelines; if successful there should be adoption in the NHS and further afield."

Sounds good and literally just around the corner now, also with the delay it's had there has been a few write ups already and with the conference in 10 days it could see that large demand a lot sooner than anticipated.

@Preefty exactly, BC know what they are doing.

Interesting reading back through RNS's for a reminder... from November 2020...

"The high throughput test was CE marked in May 2020 and we commenced commercial sales in June 2020. Despite having CE marking, our historical distribution partners focus on Africa, Asia and India and so we have been working to establish new relationships in Europe. In the UK, we have not focused on opportunities in the NHS due to their existing supply contracts, and their migration to 384-well format platforms in the new 'Lighthouse' labs. We do however believe our point of care device should have considerable relevance to the NHS."

Enter Beckman Coulter in Early Spring 2021, who focus on US and European markets.

POC tests currently under Biosafety review at a PHE lab.

I'm eager to know if Beckman will distribute the POC test, they win loads of NHS tenders!

Beckman will know the FDA inside out, I am quite certain they knew the likelihood and timescales involved in getting FDA. They got a brilliant deal buying $5m worth of stock for $0.4m. This order read to allow them to prepare the market (if I recall from the RNS) so naturally their goal will be to close much larger deals than this with their private lab customers through their sales cycles, which typically take 6months or longer. It all makes sense when you think about it, the initial shipment was already some way into its shelf life when they bought it, and obviously they knew it would expire around this time. It’s now nearly 6 months since they began marketing and selling it… so IMO they are probably beginning to close decent size deals. Without FDA I’m not expecting $300m worth but even a few scheduled orders for a handful of private labs will be substantial considering our mcap is £25m lol. Then there is the government reimbursement per test, and all the other products. Really seems cheap at the moment!

Well I think it's highly likely there will be another wave this Autumn, cases in the UK, Italy, Germany, USA, Israel and more are showing a clear uptrend over the past 30 days as we head towards the end of Summer.

Yes of course sorry! It would be utter chaos if an organisation only had one device and had to constantly swap over different assays, imagine the frustration when one department needs to do covid tests and another AIHL. Much better to purchase multiple devices preconfigured for the relevant assay needed. Also means more revenue :)

The bit I like is that once an organisation has bought a load of the Genedrive devices for say AIHL or HCV in mind, it seems highly highly they will then want to order a load of cost effective covid tests to run on it too.

I think DB was simply concerned that the market was expecting imminent orders from India. The way I see it is that DB knows he could sell tests in India via Divoc however it would have to be a very narrow profit margin. We know that not only can the tests be sold for much higher amounts in the USA but we also receive a significant reimbursement for each test sold from the government.

This tells me DB is confident in Beckman’s ability to sell them. If there was any risk that there were no sales he would undoubtedly sell them cheaply to India.

With POC and AIHL potentially launching next month I believe DB will be waiting to give us a really substantial and positive update, rather than update talking of what to expect soon which we all know anyway.

I think the CE mark might be for the device itself rather than the test, but obtaining this doesn’t take long. Should have the PHE biosafety results soon and news on distribution partners.

Also looking forward to the conference at the end of this month, AIHL will do very well.

And of course all the other stuff… BC sales cycles should be converting now, which will result in new shipments… which if not RNS’ed we’ll see on the FDA import site.