On April 30, 2021, Perimeter Medical Imaging AI (PINK.V) reported its financial results for 2020 and provided a corporate update.
In the corporate highlights section, Perimeter brought up their $7.4 million grant by the Cancer Prevention and Research Institute of Texas (CPRIT), the addition of Ian Mortimer and Aaron Davidson to their Board of Directors, the appointment of Steve Sapot as Chief Commercial Officer, and $8.3 million in proceeds from the exercising of 4.3 million warrants.
Jeremy Sobotta, Perimeter’s CEO stated, “In 2020, we achieved a number of key milestones, added to our leadership team, and created momentum that continues to build in 2021. The FDA’s recent 510(k) clearance for Perimeter S-Series OCT allows us to bring our commercial-ready imaging platform to the U.S. market, and sales development activities are underway. Importantly, we have a strong balance sheet that allows us to execute against our clinical development and commercialization plans as we strive to enable physicians to create better patient outcomes with lower healthcare costs.”
Mr. Sobotta added, “In addition, we have made significant progress with our ‘next-gen’ development work combining artificial intelligence tools with our OCT imaging system under the ATLAS AI project, which is funded, in part, by the Cancer Prevention and Research Institute of Texas. We believe the recent Breakthrough Device Designation from the FDA is further validation that Perimeter’s technology could provide significant advantages over existing alternatives for intra-operative evaluation of margins and has the potential to be a transformative, disruptive new technology that helps surgeons treat breast cancer. Looking ahead, we aim to initiate a randomized, multi-site, pivotal study this year to evaluate Perimeter OCT coupled with ImgAssist AI against the current standard of care and assess the impact on re-operation rates for patients undergoing breast conservation surgery.”
On the financial side of things, Perimeter reported their operating costs for 2020 were $10,159,444, up from $8,708,853 the previous year. As they had no revenue for the year, this meant they also reported a net loss of $10,159,444, once again up from $8,708,853 in 2019.
They also reported that at the end of 2020 they had $10,025,122 in cash or cash equivalents and $1,674,750 in investments. At the end of the year, PINK had received $1,220,666 USD of the total $7,446,844 USD from their CPRIT grant.
Like most healthcare companies in their early stages with no revenue, Perimeter is obviously going to operate at a loss. The question remains, do they have enough cash on hand to keep going forward? With over $10 million and over $5 million USD more coming in, they certainly aren’t strapped for cash.
Following the news, Perimeter has had an up and down morning, and is currently at $3.43.
Full disclosure: Perimeter Medical Imaging AI is an Equity Guru marketing client.