![\"\"](\"https:\/\/www.robomarkets.com.cy\/blog\/wp-content\/uploads\/2022\/06\/1-hscs.png\")
<\/figure>\n\n\n\n<\/span>What we know about Heart Test Laboratories<\/span><\/h2>\n\n\n<\/rg-instrument><\/div>\n\n\n\nThe issuer develops and manufactures ECG equipment and is also involved in enhancing the ECG procedure to detect coronary vascular diseases. Heart Test Laboratories’ mission is to make electrocardiography a more effective and valuable tool for first-aid treatment.<\/p>\n\n\n\n
Equipment and tools designed by Heart Test Laboratories are currently in the process of certification by the US Food and Drug Administration (FDA).<\/p>\n\n\n\n![\"Business](\"https:\/\/www.robomarkets.com.cy\/blog\/wp-content\/uploads\/2022\/06\/2-hscs.png\")
<\/a>Business of Heart Test Laboratories<\/em><\/figcaption><\/figure>\n\n\n\nThe company’s leading product, MyoVista, is an upgraded ECG tool that uses artificial intelligence technology for providing heart diagnostics information. Conventionally, such information is acquired through cardiovascular imaging, which is a more invasive procedure. MyoVista also offers standard ECG analysis information in the same test.<\/p>\n\n\n\n![\"Business](\"https:\/\/www.robomarkets.com.cy\/blog\/wp-content\/uploads\/2022\/06\/3-hscs.png\")
<\/a>Business of Heart Test Laboratories<\/em><\/figcaption><\/figure>\n\n\n\nThe apparatus is still awaiting approval for sales by the FDA – the company’s success and wealth depend on the regulator’s approval, and also on financing its major validation clinical trial. Thereafter, Heart Test Laboratories will require additional financing to launch MyoVista sales in the US, maintain floating capital, and pursue further research in the field.<\/p>\n\n\n\n
As of 31 January 2022, Heart Test Laboratories had raised $53 million in investment, mostly from Front Range Ventures LLC, and John Adams, a former director of the company.<\/p>\n\n\n\n
<\/span>The prospects of Heart Test Laboratories’ target market<\/span><\/h2>\n\n\n\nAccording to market research by Grand View Research published in 2020, the global ECG equipment market was estimated at $5.6 billion in 2019. From 2020 to 2027, it is expected to expand at a Compound Annual Growth Rate (CAGR) of 6.1%.<\/p>\n\n\n\n
The main catalysts for this growth are the increasing number of patients with cardiac arrhythmia and the demand for diagnostic tools, cutting-edge medical equipment, and ECG monitoring technologies – all of which will contribute to the expansion of the market in the future.<\/p>\n\n\n\n![\"Target](\"https:\/\/www.robomarkets.com.cy\/blog\/wp-content\/uploads\/2022\/06\/4-hscs.png\")
<\/a>Target market of Heart Test Laboratories<\/em><\/figcaption><\/figure>\n\n\n\nHeart Test Laboratories’ key competitors are:<\/p>\n\n\n\n
\n- General Electric<\/a><\/li>\n\n\n\n
- Philips<\/li>\n\n\n\n
- Nihon Kohden<\/li>\n\n\n\n
- Bio Telemetry<\/li>\n\n\n\n
- Hill-Rom<\/li>\n\n\n\n
- CardioComm Solutions<\/li>\n\n\n\n
- Device Technologies<\/li>\n<\/ul>\n\n\n\n
<\/span>How Heart Test Laboratories performs financially<\/span><\/h2>\n\n\n\nAt the time of the IPO<\/a>, the issuer had not generated any net profit; we will therefore analyse Heart Test Laboratories' financial performance with its revenue.<\/p>\n\n\n\nThe financial data from the S-1 form shows a drop in the company’s sales in the nine-month period that ended on 31 January 2022 in comparison with the same period of 2021 – 4.2%, down to $10,224.<\/p>\n\n\n\n![\"Financial](\"https:\/\/www.robomarkets.com.cy\/blog\/wp-content\/uploads\/2022\/06\/5-hscs.png\")
<\/a>Financial performance of Heart Test Laboratories<\/em><\/figcaption><\/figure>\n\n\n\nIn the 12-month period that ended on 30 April 2021, the issuer’s revenue was $25,604, representing a 60.11% decline in comparison with 2020. Heart Test Laboratories supplies small pilot batches, and this explains why the revenue is rather low.<\/p>\n\n\n\n
The company’s net loss skyrocketed due to the rise in R&D expenses. From May 2021 to January 2022, the net loss amounted to $2.78 million, which is a 73.75% rise. This implies a negative cash position of $3.2 million for the 12-month period that ended on 31 January 2023.<\/p>\n\n\n\n
As of 31 January 2022, Heart Test Laboratories’ total liabilities were $6.7 million, while the cash equivalents on its balance sheet were $1.3 million.<\/p>\n\n\n\n
<\/span><\/a>Strengths and weaknesses of Heart Test Laboratories<\/span><\/h2>\n\n\n\nThe company's strengths are:<\/p>\n\n\n\n
\n- High target market growth rate<\/li>\n\n\n\n
- Demand for ECG equipment<\/li>\n\n\n\n
- Possible business expansion outside the US<\/li>\n\n\n\n
- Own production facilities<\/li>\n\n\n\n
- Innovative technologies<\/li>\n<\/ul>\n\n\n\n
The list of weaknesses is much shorter: small revenue and no net profits.<\/p>\n\n\n\n
<\/span>What we know about the Heart Test Laboratories IPO<\/span><\/h2>\n\n\n\nThe underwriter of the IPO is Benchmark Company LLC. The issuer is planning to sell 1.75 million common shares<\/a> at the price of $4.5-5 per share, as well as one warrant. Gross revenue is expected to be about $8.75 million, not including conventional options sold by the underwriter.<\/p>\n\n\n\nThe warrant under the “HSCSW” ticker symbol will be executed at the IPO price. The underwriter can buy up to 263K additional shares within 30 days. Assuming the IPO is successful at the proposed price range, the issuer's value at the IPO excluding underwriter options might be approximately $40.55 million. The Price-to-Sales ratio (P\/S ratio<\/a>) multiplier might be off the scale, high above 10,000.<\/p>\n\n\n\nBuying Heart Test Laboratories shares might be considered a classic venture investment, which is not suitable for all investors.<\/p>\n\n\n\n
The issuer develops and manufactures ECG equipment and is also involved in enhancing the ECG procedure to detect coronary vascular diseases. Heart Test Laboratories’ mission is to make electrocardiography a more effective and valuable tool for first-aid treatment.<\/p>\n\n\n\n
Equipment and tools designed by Heart Test Laboratories are currently in the process of certification by the US Food and Drug Administration (FDA).<\/p>\n\n\n\n The company’s leading product, MyoVista, is an upgraded ECG tool that uses artificial intelligence technology for providing heart diagnostics information. Conventionally, such information is acquired through cardiovascular imaging, which is a more invasive procedure. MyoVista also offers standard ECG analysis information in the same test.<\/p>\n\n\n\n The apparatus is still awaiting approval for sales by the FDA – the company’s success and wealth depend on the regulator’s approval, and also on financing its major validation clinical trial. Thereafter, Heart Test Laboratories will require additional financing to launch MyoVista sales in the US, maintain floating capital, and pursue further research in the field.<\/p>\n\n\n\n As of 31 January 2022, Heart Test Laboratories had raised $53 million in investment, mostly from Front Range Ventures LLC, and John Adams, a former director of the company.<\/p>\n\n\n\n According to market research by Grand View Research published in 2020, the global ECG equipment market was estimated at $5.6 billion in 2019. From 2020 to 2027, it is expected to expand at a Compound Annual Growth Rate (CAGR) of 6.1%.<\/p>\n\n\n\n The main catalysts for this growth are the increasing number of patients with cardiac arrhythmia and the demand for diagnostic tools, cutting-edge medical equipment, and ECG monitoring technologies – all of which will contribute to the expansion of the market in the future.<\/p>\n\n\n\n Heart Test Laboratories’ key competitors are:<\/p>\n\n\n\n At the time of the IPO<\/a>, the issuer had not generated any net profit; we will therefore analyse Heart Test Laboratories' financial performance with its revenue.<\/p>\n\n\n\n The financial data from the S-1 form shows a drop in the company’s sales in the nine-month period that ended on 31 January 2022 in comparison with the same period of 2021 – 4.2%, down to $10,224.<\/p>\n\n\n\n In the 12-month period that ended on 30 April 2021, the issuer’s revenue was $25,604, representing a 60.11% decline in comparison with 2020. Heart Test Laboratories supplies small pilot batches, and this explains why the revenue is rather low.<\/p>\n\n\n\n The company’s net loss skyrocketed due to the rise in R&D expenses. From May 2021 to January 2022, the net loss amounted to $2.78 million, which is a 73.75% rise. This implies a negative cash position of $3.2 million for the 12-month period that ended on 31 January 2023.<\/p>\n\n\n\n As of 31 January 2022, Heart Test Laboratories’ total liabilities were $6.7 million, while the cash equivalents on its balance sheet were $1.3 million.<\/p>\n\n\n\n The company's strengths are:<\/p>\n\n\n\n The list of weaknesses is much shorter: small revenue and no net profits.<\/p>\n\n\n\n The underwriter of the IPO is Benchmark Company LLC. The issuer is planning to sell 1.75 million common shares<\/a> at the price of $4.5-5 per share, as well as one warrant. Gross revenue is expected to be about $8.75 million, not including conventional options sold by the underwriter.<\/p>\n\n\n\n The warrant under the “HSCSW” ticker symbol will be executed at the IPO price. The underwriter can buy up to 263K additional shares within 30 days. Assuming the IPO is successful at the proposed price range, the issuer's value at the IPO excluding underwriter options might be approximately $40.55 million. The Price-to-Sales ratio (P\/S ratio<\/a>) multiplier might be off the scale, high above 10,000.<\/p>\n\n\n\n Buying Heart Test Laboratories shares might be considered a classic venture investment, which is not suitable for all investors.<\/p>\n\n\n\n<\/a><\/a><\/span>The prospects of Heart Test Laboratories’ target market<\/span><\/h2>\n\n\n\n
<\/a>\n
<\/span>How Heart Test Laboratories performs financially<\/span><\/h2>\n\n\n\n
<\/a><\/span><\/a>Strengths and weaknesses of Heart Test Laboratories<\/span><\/h2>\n\n\n\n
\n
<\/span>What we know about the Heart Test Laboratories IPO<\/span><\/h2>\n\n\n\n