Rhinomed (ASX:RNO) share price surges 9% on world-first trial result

The company is developing a new respiratory diagnostic test for children.

The Rhinomed Ltd (ASX: RNO) share price is soaring today on the back of clinical trial results into a new COVID-19 test for children.

At the time of writing, shares in the company are trading at 29 cents, up 9.43%.

Let's take a closer look at the news from the diagnostic company today.

a young girl smiles as she is about to get a nasal swab test from a medical practitioner while her masked parent looks on in the background.

Image source: Getty Images

What did the company announce?

Rhinomed announced results from a "world first" clinical trial of a diagnostic test for respiratory viruses in children. This includes the ability to detect coronavirus, influenza, and pneumonia.

The clinical trial assessed the use of its patented Rhinoswab Junior to test children at the Murdoch Children's Research Institute.

The test is designed to cause less discomfort for children compared to standard throat and deep nasal swabs.

The trial recruited 254 children aged between 4 and 18 years showing respiratory symptoms.

It found 82% of children would rather have the Rhinoswab Junior test than the standard combined throat and nose swab.

Meanwhile, 79% of parents and 82% of nurses preferred the children to be tested with Rhinoswab Junior.

The company said these trial results have been presented to local and international "key opinion leaders" and will be reported in a medical journal early in 2022.

Management comment

Commenting on the clinical trial results, Rhinomed CEO Michael Johnson said:

The results of this world first study come at a vitally important time. Testing of children has always been problematic with high testing reluctance due in no small part to the fear and anxiety families have toward the testing process.

As we continue to deal with SARS-CoV-2 and its variants it is critically important that we enable mass, high frequency testing of children. The results of this trial and the previously published results from NSW Health Pathology provide clear evidence that we can easily and quickly test kids.

Rhinomed share price snapshot

The Rhinomed share price has soared by nearly 66% in the past 12 months and 21% in the past month alone.

The company has a market capitalisation of around $75 million based on its current share price.

Motley Fool contributor Monica O'Shea has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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