After a brief halt at the request of the company this morning, shares of CardioComm Solutions (TSXV:EKG) are trading again, but with the stock up just a penny on 52,400 shares, investors are yawning at the news that its HeartCheck Pen, a ECG based heart rhythm monitoring solution, will now offer a thirty minute response time.
The rollout of the HeartCheck Pen, which the company says is the only FDA approved over-the-counter device of its kind, has coincided with a slide in the company’s share price. CardioComm hit a recent high of $.38 on March 7th, but has since fallen to half that.
Investors may be concerned with the company’s thin cash position in the face on of ongoing losses. CardioComm’s recent Q3 revealed a cash and cash equivalents position of just $182,471 against a loss of $867,215. A proposed $4-million joint-venture investment into the company’s US-based subsidiary, iMedical, has yet to close.
CardioComm’s Q3 revenue was $178,733, down 19% from the $219,520 it reported in the same period a year prior.
Still, CardioComm management remains optimistic about the launch of the Heartcheck Pen, which it is targeting at consumers forty and older. CEO Etienne Grima said the device will be a game changer.
“At a price point of $12.50, with a rapid turnaround time for physician ECG interpretation, regardless of country and time of origin, and utilizing highly credentialed software technologies, CardioComm Solutions is positioned to be the one-stop solution and global leader in consumer home ECG/arrhythmia monitoring services,” he said in today’s release.
Board member Simi Grossman also commented.
“CardioComm Solutions is the first provider of a complete, full-cycle and market-tested ECG monitoring service for the consumer market. We have the most cost-effective ECG screening solution available. With HeartCheck PEN devices in production, stable and expandable IT [information technology] infrastructure to ensure high-volume ECG transmissions, and now with medical call centre resourcing for ECG reporting response times within 30 minutes, 24 hours a day and seven days a week, we stand alone,” he said.
On thing CardioComm has going for them is a remote patient monitoring market whose anticipated growth is near-staggering. Healthcare market research firm Kalorama Information predicts that the remote and wireless patient monitoring market will grow from $6 billion in 2011 to more than $18 billion by 2014, annualized growth of more than 25%.