Customer to begin gradually onboarding panels in Q1-2023, potential $1.2M revenue at full capacity
NEW HAVEN, CT, Globenewswire – (December 6th, 2022) – Specialty cancer diagnostics company Precipio, Inc. (NASDAQ: PRPO) announced a 4-year agreement with a new customer to bring HemeScreen™ technology into their lab.
Based on volume information provided by the customer, revenues in Q1-2023 are projected to be approximately at a $250,000 run rate (an increase of ~15% to our current HemeScreen run rate). Furthermore, revenues are expected to ramp up to over a $1M run rate by year-end 2023 (an increase of ~60% over our current HemeScreen run rate).
As customers incorporate our technology into their laboratory, we have observed in existing clients a lower initial volume followed by increased utilization and subsequent revenue, due to two drivers: (1) lower volumes arising initially as customers modify their procedures to utilize HemeScreen in house and (2) their intended adoption of additional test panels as they smooth out their workflow and test processes.
“We believe this is the beginning of an extended growth period at Precipio. Our backlog of prospects of similar size, identified by our new distributors, is promising”, said Ilan Danieli, Precipio’s CEO. “The recurring revenues from this customer and the addition of other accounts already in our sales funnel will help create a strong foundation for our business. Each new customer has an impact on reducing our burn rate and brings us closer to profitability. I fully expect that our team, along with our distribution partners, will continue to generate contracts that drive continuous, similar news announcements”.
Precipio has built a platform designed to eradicate the problem of misdiagnosis by harnessing the intellect, expertise and technology developed within academic institutions and delivering quality diagnostic information to physicians and their patients worldwide, as well as proprietary products that serve laboratories worldwide. Through its collaborations with world-class academic institutions specializing in cancer research, diagnostics and treatment, Precipio offers a new standard of diagnostic accuracy enabling the highest level of patient care. For more information, please visit www.precipiodx.com.
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