Scott Ferguson Presents Aptitude Medical Systems at LSI USA ‘23

Transcription

Scott Ferguson  0:05  

Good afternoon, everyone. At Aptitude, we believe a new generation of healthcare needs a new generation of diagnostics. And to be convinced of that, you need to look no further than your local urgent care. For many, this is the best that we've got. It's the frontline health care solution. It's where you go when you go when you get sick. But we all dread it, no one wants to go there. And why is that? Well, first, it's not that urgent, you can expect to spend two to four hours most of the good chunk of your day waiting there, and you get to spend that time waiting with other sick people. So it's no surprise that for many, we forestall going to urgent care as long as possible. So that's just bad. That's just bad medicine. That's bad health care. So is there some economic reason for why Urgent Care persists? Well, no, it's also bad economics. So this is a recent example from one of my experiences there, I went to urgent care, thinking I might have had strep. And I got diagnosed. I had a test run out for COVID and strap and I got sent home. But this was my bill. So it looks like I only had to pay $30, which is true, that was my copay, but the provider bill, my insurance $370. And this also neglects the fact that I had to take about four hours out of work to go there. And if you look at the median California wage, that's about another $150. So taken together, this is a $500 expedition. Something's clearly wrong here. So telehealth, of course, aims to solve that problem, right. And it can do so by making healthcare more accessible, right, you don't have to leave your home, it can make it more affordable because you don't have to pay for the overhead. And in principle, it can also improve care because you can get your results faster and you can do something about it sooner. But telehealth had an initial surge of interest at the start of COVID and has been declining steadily since then. And that's not because people don't believe in what telehealth is capable of. It's because the current telehealth solution is just not complete. For many people who use telehealth Well, in short, 70% of clinical decisions require clinical decisions require diagnostic information. So for many people who use telehealth, they end up having to go back to the clinic to get a test done. So it's just not a viable model until the diagnostics can come to you. And that's what we're doing an aptitude. So meet metrics. So this is I have it in my pocket here. This is the the molecular lab that can live on your bedside table metrics is able to run PCR quality molecular diagnostics, anywhere anytime by any patient for less than the cost of a copay. And the first test on our metrics platform is the first over the counter FDA authorized molecular test for COVID that works with saliva or swab samples. It's a best in class product that happens to cost about 1/10 as much as our competitors to make. This gives us a clear advantage. And this is a true platform as well, we already have our subsequent products on the platform underway with a COVID Flu product slated for later this year, as well as the STI and in strep test in development. The workflow is extremely simple, as shown here on the slides, you just spit or swab into the the collector snap on the cap and slide it into the the reader and in sometimes these these, these pictures can look like a little over simplified, so I thought I'd just show you the workflow here itself. So you can just take a little collector like this and either spit into it or you can use a swab swab the front of your nose, plug it in, snap this off, you can grab a cap, snap that on, shake it up. And then I've got too many things in my hands. There's a little sensor here, you snap on the collector onto the sensor and then slide it into a reader. And so if a goon like me who's got his hands full and talking to all you guys could pull off a molecular test like that. Surely anyone can in their home and in fact they have done so and we've proven it and I'll show you those results. But in short aptitude basically competes where urgency like speed really matters where accuracy really matters and where costs really matters. And so that falls into two categories. One of them is traditional, professional molecular diagnostic settings. This is like physician office labs, urgent care, etc. This is where you would find an Abbott ID now or Mesa ACULA her Thermo Fisher but it also can compete in this growing segment of non professional use outside of the hospital environment like in the pharmacy, or in your home, where q health and Lucia have begun to build a marketplace, they're taken together, that's about a $4 billion total serviceable market. And what's our competitive advantage? Well, I mentioned before we're best in class, we have best in class performance with this product. We can accept multiple sample types, we can multiplex, we could actually on this platform, run an entire syndromic panel on this little device that I've shown here. But critically, we dominate on cogs. And so take for example, Q and loose Syrah. Their cogs are about $30 a test at our initial launch scale, our cogs are about a third of that. And as we continue to scale up, it'll drop to about 1/10. How is that possible? This is a disruptive level of cogs. Well, we've developed technologies that essentially scale better. So novel chemistry, and we've also leveraged the backbone of the blood glucose sensor manufacturing methods, which have been leveraged to to make billions of devices each year for pennies, pennies a device. And so we've demonstrated best in class clinical performance. So this was people like me, just a regular person running this test themselves. And comparing the results to a high performance lab based RT PCR, we were able to demonstrate in our clinical study 98% agreement with that gold standard test with with the swab with saliva, we were able to get 91%. And if you compare to a saliva base comparator instead of an NP swab, that actually goes up to 96%, our ello Ds are thousandfold better than then antigen tests. And we stack up very favorably against Q, Abbott and quidel using the FDA Reference panel. And as I mentioned before, this is not just COVID. We've leveraged COVID as kind of a stepping stone into the marketplace. But we already have three more products that are slated for the next two years, including the COVID Flu product, which will be available later on the next flu season. We hope as well as the chlamydia, gonorrhea, trick, multiplex STD test, as well as strep tests are developing. We can support multiple sample types from saliva swabs, also blood and urine on this device, as well. So although we have built this device to be usable in the home, or our go to market strategy, which were already on the market and doing this is to actually start in the professional setting, competing with for example abit ID now. And here we offer a great profile, we have a better better clinical claims. We have no cap x with this device, zero training. And critically, we can price very competitively because we have a very low cost floor. And so from here, and we're able to leverage distributors for this and now we're expanding into alternate sites like pharmacies and then ultimately into the retail setting. We've got an incredible team of of both technical founders, and also industry veterans who have launched multiple products previously. So as I mentioned, we're already on track to be cashflow positive this year, we're selling product things are going well. Things got even better. A couple of weeks ago, we got an announcement of a $54 million contract from BARDA, which will allow us to expand our product menu significantly. And so we're seeking some additional funding to augment that funding to basically step on the gas on the commercial front and step on the gas on the on the on the manufacturing front. And so with that, we believe we can hit nearly $85 million in net income by 2026. And so in short, we have the trifecta of a growing market opportunity best in class product and disruptively lower cogs. And so I'm out of time but I hope you can join us on our on our mission to democratize diagnostics and enable a new generation of healthcare. Thank you