Cambridge Cognition Holdings Plc
('Cambridge Cognition' or the 'Company')
CEO Review and Update
Cambridge Cognition Holdings plc, (AIM: COG), which specialises in computerised neuropsychological tests including those enabling the early detection of dementia, provides a review of strategy and update on trading, following the completion of Nick Kerton's first three months as Chief Executive Officer:
"As I reported at our Interim Results, the first six months of the financial year was very much about building a platform for future growth. In the three months since taking the role of Chief Executive, I have worked hard to clearly identify the opportunities and challenges that our business faces. I am pleased to say that I remain confident about the overall outlook of the business. Cambridge Cognition, more so than ever, has a strategic focus and is developing a fully functioning commercial infrastructure which will allow us to convert our wealth of scientific know-how into sustainable and growing commercial sales.
Meanwhile, we have developed the requisite commercial infrastructure to deliver future growth. We have established a new commercial sales office in Chicago with four full time employees, which includes a Chief Commercial Officer, overseeing the commercialisation of our products and developing targeted line extensions. We expect to recruit a new Business Development Manager to complement our existing Pharmaceutical sales in the UK, and who will develop a pharmaceutical product portfolio for new areas of application, extending the range of clinical trials that we can target. We have also introduced a new customer services team to provide strong support to our commercial activities, as well as driving strong sales activities to boost the Academic business. Furthermore, we have seen an increase in enquiries from potential customers wishing to work with Cambridge Cognition for an OEM offering based on our CANTABTM technology.
Having reduced our annual cost base by £1.4m, we believe it is now correctly aligned with trading conditions within our core Pharmaceutical business, as well as our modest but growing position in the primary healthcare markets with our CE-marked Class II medical device, CANTABmobileTM. Whilst we intend to re-invest approximately half of these cost savings, we expect to report performance for the full year to 31 December 2013 in line with market expectations on the adjusted* EBITDA and net cash levels. Revenues for the year will be lower than expected, reflecting predominantly the generally challenging market conditions for our Pharmaceutical business and, as described in our interim financial statements, delays experienced in the full commercial roll out for CANTABmobile. It is however pleasing to report that our Academic business has performed in line with our expectations and, importantly, an increase to 315 in the number of CANTABmobile licences on trial throughout the UK and an increase to 15 CANTABmobile customers, including eight clinical commissioning groups.
I believe that following our review of the business, and a refocused commercialisation strategy, we are far better positioned to deliver significant revenue growth and to move the Company towards a breakeven position in the next financial year, with significant future successes thereafter."
* adjusted for share-based payments and one-off IPO-related expenses
Enquiries:
Cambridge Cognition Holdings plc |
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www.cambridgecognition.com |
Nick Kerton, Chief Executive Officer |
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Tel: 01223 810 700 |
Nick Walters, Chief Financial Officer |
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finnCap Ltd (Nomad and Broker) |
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Tel: 020 7220 0500 |
Matthew Robinson/Henrik Persson/Simon Hicks |
(Corporate Finance) |
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Simon Starr |
(Corporate Broking) |
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Walbrook PR Ltd |
Tel: 020 7933 8780 or [email protected] |
Paul McManus |
Mob: 07980 541 893 |
Lianne Cawthorne |
Mob: 07584 391 303 |
About Cambridge Cognition
Cambridge Cognition is a world leading provider of computerised cognitive assessment products. The company's range of touch-screen CANTAB™ neuropsychological tests, highly validated over one thousand peer-review publications, are used by both academic scientists in their research, and clinical researchers in the pharmaceutical industry, to maximise knowledge of cognitive function. In addition, the company is committed to broadening the access to this technology and is developing clinical healthcare products under the CANTABmobile brand, to improve the monitoring, management and maintenance of cognitive health and wellbeing. Using these assessments, clinicians can identify and stratify patients so that patient referrals are accurate and efficient, enabling health and social care providers to deliver more effective advice, treatments and care - leading to better outcomes for patients and their families.
