The PainChek Ltd (ASX: PCK) share price was among the few ASX shares that stayed in the green today, closing up 2.56% at 8 cents.
The share price increase came off the back of the company half-year report announced to the market yesterday. Let's take a look.
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Why did the Painchek share price rise today?
Shares in the small-cap rose as revenue jumped 40% to $2.08 million for the half-year ending 30 December 2020.
However, this does not fully represent how the company performed in the period. Looking deeper into the results, we can see that revenue from continuing operations fell 30% to $127,000. The majority of the group's revenue was made up of research and development (R&D) and government grants.
As such, the company reported a net loss from operations for the half-year of $1.35 million.
PainChek continued to deliver sales growth in Australian residential aged care (RAC). Sales growth in the period resulted in total global licenses covering 71,318 beds, a 123% growth year on year (YoY). Furthermore, domestic sales reflected more than 30% of the Australian RAC.
Moreover, the company now has 884 aged care clients, growing 133% on the previous corresponding period. Forward-looking revenue equates to more than $3 million in annualised recurring revenue.
Looking ahead
PainChek aims to further develop its platform for use in new and larger healthcare market segments. The company said this was core to its business growth over the next 12 months.
In addition, the company has a number of products pending regulatory clearance. PainChek's business strategy includes the release of an app for assessing pain in young children.
Having recently completed the app development and clinical validation work, the company is projecting Australian (TGA) and European (CE) mark regulatory clearances in the second quarter of the calendar year 2021.
Promisingly, its children's app serves a potentially larger market than the adult app with a large hospital market and home care market opportunity.
