The 4DMedical Ltd (ASX: 4DX) share price is wobbling today after the company released its latest quarterly report. Shares in the company are currently trading 0.31% lower at a price of $1.62.
4DMedical is a medical imaging company that is focusing on commercialising its respiratory imaging program.
Route to commercialisation
During the quarter ended 31 March 2021, 4DMedical pressed ahead with a number of initiatives, primarily in the effort to get its XVD scanner — the world's first dedicated lung scanner — closer to commercial use.
The company was granted $28.9 million in funding by the Medical Research Future Fund to be used towards development of the XVD Scanner.
4DMedical confirmed it will receive 100% of the revenue generated from the scanner sales and associated service revenue. The scanners are expected to be deployed in early 2022, with commercialisation coming one year later.
The company continues to press ahead securing clinical pilots and completing clinical trials with healthcare institutions. In January, 4DMedical announced the first clinical pilot for its lung ventilation analysis software would be conducted at St. Joseph Hospital. Located in Orange County, California.
In the quarter, 4DMedical also secured pre-contracts with the US Department of Defense and Veterans Affairs. This access will allow the department's healthcare facilities first access to use the company's technology. 4DMedical has negotiated a fixed price for the offering without requiring separate reimbursement, which it states will help streamlining commercial agreements in the future.
Clinical trials commence
In further good news for the company during the quarter, it was able to recommence clinical trials in the US, with the pandemic being brought under control by vaccines. As such, 4DMedical has 3 trials active.
The trials are all being conducted in separate institutions to ensure the validity of results.
What next for 4DMedical?
Following the company's successful capital raising it now has $76.5 million in the bank as of March 2021. Net outflows for the quarter were $4.5 million, relating mainly to staff costs, R&D and operating costs.
Moreover, according to the release, a strong pipeline of clinical trials awaiting hospital readiness are expected to resume in the coming months.
On current prices, the 4DMedical share price is down more than 30% so far this year, but up 2.52% on this time last year.
