MEDICATION management platform MedAdvisor Limited (MDR) showed strong financial performance for the quarter concluded on 31 Mar 2024, with operating revenue up 42% to $24.2 million from $17 million for the same period last year.
In an ASX report released today the company's gross profit climbed 13.6% to $5 million and gross margin improved to 89%.
CEO Rick Ratliff said he is "delighted" to report another strong quarter, with performance aligning with the seasonal expectations for the company's operations in the US.
The company's growth this quarter has been bolstered by the US focus on vaccine programs and the broader implementation of programs for chronic medications across the company's client base, he explained.
Ratliff mentioned an improvement in margins due to the increased demand for THRiV, its US-focused omni-channel solution.
"In Australia, the initiation of pharmacy transaction fees from 01 Mar has led to a 14.9% growth in that specific revenue stream," he said.
This development is seen as a significant one, with expectations of it boosting the company's SaaS licenses and health programs.
"The company is also investing in its global infrastructure as part of its enhancement roadmap, which included supporting the upcoming North Queensland Community Pharmacy Scope of Practice Pilot, expected to launch in early Q4."
Ratliff also said MedAdvisor has identified several AI opportunities which could be added to the company's Solutions business.
"This begins with the announcement of our partnership with the Brand Engagement Network and the initial deployment of conversational AI to patients through their pharmacy channel."
For the outlook ahead the company said it maintains a robust pipeline for Q4 FY24 and looking into FY25.
"At a group level, we have already surpassed the full FY23 operating revenue with one quarter still to go, a strong testament to our team's relentless drive and focus on expanding revenue opportunities across the group," he added.
MedAdvisor has recast its projections for THRiV and it now anticipates it will contribute about 18% share of its US revenue in FY24, versus 3% in FY23.
"We are excited about launching the North Queensland Pilot and equally very pleased to continue witnessing growth in our UTI and oral contraceptive services across the states," commented Ratliff.
He mentioned the flu season in Australia is contributing to an increase in revenue.
The company is also set to launch an initial telehealth solution through the MedAdvisor App, which is expected to further grow its revenue stream. JG
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