Biotricity (US:BTCY)2020-11-20 02:59Financial Data and Key Metrics Changes - Revenue increased from $346,000 in Q2 fiscal 2020 to $745,000 in Q2 fiscal 2021, representing a 115% year-over-year increase and a sequential 65% increase over Q1 fiscal 2021 [28] - Net loss for the quarter was $3.2 million, with operating expenses increasing approximately 21% year-over-year to $3.2 million [32][34] - R&D expenses were $402,000, a 43% increase over the previous quarter, consistent with ongoing product development [35] Business Line Data and Key Metrics Changes - The core business focuses on remote patient monitoring (RPM) with a technology platform for chronic care conditions, particularly in the cardiac space [7][10] - The Bioflux platform, launched in early 2019, allows real-time monitoring of high-risk patients, addressing the limitations of traditional passive recording devices [12][14] - The company has expanded its geographical coverage to 18 states and aims to double that by the end of 2021, with a 99% retention rate among cardiologists [15] Market Data and Key Metrics Changes - The total addressable market (TAM) for the company's products is projected to increase from $1 billion to $3 billion with the introduction of new products targeting low-risk patients [42][65] - The chronic care market is estimated to be a $50 billion market, highlighting the significant growth potential in cardiac management [74] Company Strategy and Development Direction - The company aims to expand its solution offerings to cover a broader spectrum of cardiac complexities and chronic conditions [39][45] - A strategic partnership with Verizon was announced to develop applications for first responders, indicating a diversification of the technology platform [16] - The focus is on enhancing the technology-as-a-service (TaaS) model to create recurring revenue streams and improve patient care [10][20] Management's Comments on Operating Environment and Future Outlook - Management believes that remote monitoring will continue to grow post-pandemic, as it has become a best practice in healthcare [26] - The company is confident in achieving triple-digit growth for fiscal 2021 and 2022 based on its recurring revenue model [36] - The management emphasizes the importance of growth over immediate profitability, aligning with market opportunities [88] Other Important Information - The company has successfully sourced $4.2 million in funding to support ongoing business needs, including expanding the sales force and R&D [36] - The recent FDA clearance of the Bioflux Software II System is expected to enhance operational efficiency and reduce analysis time [22][23] Q&A Session Summary Question: Can you explain the device and the choice of 4G/5G over Bluetooth? - The FDA requires real-time data transmission for cardiac monitoring, which necessitates a cellular connection to avoid risks associated with Bluetooth dependency [49][50] Question: Is the $1.2 million revenue tied solely to Bioflux? - All revenue recognized so far is Bioflux-oriented, with additional products and services expected to contribute in the next quarter [57] Question: What is the strategy for business development and competition? - The company plans to expand its sales force and believes that its unique telemedicine approach for chronic cardiac patients sets it apart from competitors [60][61] Question: When does the company expect to achieve profitability? - The focus remains on growth rather than immediate profitability, with a strong recurring revenue model supporting this strategy [87] Question: How do consumer devices like Apple Watch impact Biotricity? - Consumer devices serve as screening tools, leading patients to seek proper diagnostics through Bioflux, which is essential for treatment decisions [89]