TruScreen advises that the development and certification of its second generation product, TruScreen Ultra, is progressing well, however, the commercial launch of the upgraded cervical cancer screening device is now expected to be the end of the 2015 calendar year, several months later than originally expected.
The delay in the launch timing has created an “inventory gap” with stocks of the original TruScreen device now completely sold out. This has impacted on sales, which are expected to be approximately $300,000 for the first half of the financial year. There will be a flow on effect on full year sales, and while these will be significantly ahead of the previous year, FY16 sales are expected to be down on the previous forecast in the company’s disclosure document prior to listing in November 2014.
TruScreen will release its interim results for the six months to 30 September 2015 in December 2015.
TruScreen CEO, Martin Dillon, said: “The TruScreen Ultra device represents a major step forward for our Company. We are working hard to certify our second generation product for commercial release towards the end of 2015 and have a number of customers awaiting its launch.
“We expect to see an acceleration in sales revenue of disposable Single Use Sensors in the second half of the year both from the existing devices currently in market and as new devices are installed.
“We are making good commercial progress in our targeted markets, particularly in the $1 billion Chinese market, where we have entered into two significant screening programmes which will screen up to 230,000 women over the next 15 months.
“Revenues deriving from these screening programmes, together with new contracts which the Company hopes to consummate in China and other jurisdictions in the future, are expected to have a positive impact in the latter part of the current financial year and into the 2017 financial year.”
The second generation TruScreen Ultra device is a major product upgrade and the result of an 18 month miniaturisation and mobilisation programme. The new device is smaller, wireless and capable of utilising the proprietary improved tissue differentiating algorithms which will keep TruScreen ahead of its competitors for many years to come.