Trellus Health PLC on Tuesday reported a widened loss on increased expenses last year, but noted several operational gains for its chronic illness management products and predicted 2023 to be ‘a pivotal year’.
Trellus Health is a New York-based digital health platform provider, focused on developing personalised and scientifically validated digital solutions to help chronically ill patients monitor and support their physical and mental health.
The company reported a widened pretax loss of $8.8 million for 2022, compared with a $5.9 million loss the previous year. Revenue declined 28% over the same period to just $18,000 from $25,000.
Administrative expenses increased by 49% to $8.8 million from $5.9 million.
Trellus said cash and cash equivalents also decreased by 68% to $19.1 million from $32.0 million. It said expenditure reduced significantly in the second half year compared to the first due to cost control measures, but the cash balance was hit by a foreign exchange loss due to a depreciation in the value of sterling.
Operational highlights throughout 2022 included the launch of a direct-to-consumer model for gastrointestinal patients last July, two business-to-business-to consumer contracts with Mount Sinai Health System in October and the launch of its ‘Resilience Program’ for people with irritable bowel syndrome.
Trellus said it has sufficient cash balance for a runway into at least 2025, from which it expects the necessary resources to prove further commercial traction and create substantial value for shareholders. It expects monthly recurring fees and high user retention to provide significant scaling of its business model, and aims to secure new pilot programmes throughout North America to stimulate faster growth.
‘I am very proud of the progress that Trellus Health has made during the year and the milestones we have achieved. We are now firmly in our commercialization phase with a market-ready solution, our first B2B2C contracts secured and seeing increasing momentum with prospective new partners, including major health plans,’ said Chief Executive Officer Marla Dubinsky.
‘I expect 2023 to be a pivotal year for Trellus Health as we continue our B2B2C engagement to secure larger pilot agreements and subsequently more expansive contracts and build the evidence base of the cost savings provided by our solution,’ she added.
Shares in Trellus Health were 12% lower at 6.15 pence on Tuesday in London.
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