Helius Medical Technologies(US:HSDT)2022-08-15 23:08Financial Data and Key Metrics Changes - Total revenue for Q2 2022 was $119,000, an increase of 68% compared to $71,000 in Q2 2021 [21] - Gross profit for Q2 2022 was $31,000, up from $4,000 in the prior year [21] - Operating expenses decreased to $3.5 million in Q2 2022 from $6.2 million in Q2 2021, primarily due to lower stock-based compensation and clinical trial costs [22] - Net loss for Q2 2022 was $3.8 million, or $0.97 per share, compared to a net loss of $6 million, or $2.58 per share, in the same period last year [22] - Cash burn from operations was $3.7 million in Q2 2022, slightly down from $3.8 million in Q2 2021 [23] Business Line Data and Key Metrics Changes - The first commercial sales of the Portable Neuromodulation Stimulator (PoNS) device were reported, contributing $63,000 to total revenue [21][7] - The company has received over 300 inquiries regarding PoNS therapy, indicating strong market interest [9] Market Data and Key Metrics Changes - In Canada, the number of authorized PoNS clinics increased to 41 from 37 at the end of 2021 [18] - Sales in the U.S. are currently on a cash pay basis, with a list price of $25,700 for the PoNS device [13] Company Strategy and Development Direction - The company is focusing on expanding its commercial presence through telehealth and e-commerce initiatives, expected to launch later this year [12] - A self-paced online training module for physical therapists has been implemented to expedite the training process [11] - The company aims to establish a registry program for MS patients treated with PoNS therapy to collect health and economic data [13] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the reception of PoNS therapy and expects revenue to increase sequentially throughout the year and into 2023 [25] - The company is currently evaluating additional measures to achieve greater market adoption in Canada [19] - Management acknowledged challenges in training physical therapists and obtaining prescriptions but believes new initiatives will help overcome these hurdles [32] Other Important Information - The company closed an $18 million public offering after Q2 2022, increasing its cash balance to approximately $19.7 million [23] - A pilot trial for stroke patients is expected to commence soon, with full enrollment anticipated by mid-2023 [17] Q&A Session Summary Question: What is the impact of foreign exchange loss for the quarter? - Management indicated that the foreign exchange loss relates to intercompany activity and does not forecast FX impacts [29] Question: Can you discuss the size of the commercial organization and audience uptake? - The commercial uptake is in the early stages, with a focus on training physical therapists and engaging with neurologists and PT clinics [31] Question: What is the status of discussions with payers in the U.S.? - Management noted that they are in early stages of payer discussions and are looking to replicate successful pilot studies from Canada in the U.S. [34] Question: What is the enrollment size for the pilot trial in South Carolina for stroke? - The enrollment size for the pilot trial is 12 patients [35]