Biotricity Reports Business Update, Financial Results for Q4 and Full Year FY23; Company Posts Robust Revenue Growth, Overall Higher Margins, with Lower SG&A Driving Clear Path to Positive Cash Flow - Seite 2

"Our product strategy is focused on upselling and delivering complementary solutions that enhance one another as opposed to replacement products that can potentially cannibalize existing products. In this way, we are adding a vertical strategy of upselling alongside our horizontal strategy of new customer acquisition. Our newest solutions are more bought than sold to existing customers, which skips onboarding and requires less time and resources to solicit the sale. Developing solutions that complement the rest of our product line without overlapping has the added benefit of expanding our market opportunity. In the last year, our portfolio expansion has expanded our total global addressable market (TAM) geometrically from approximately $1 billion to approximately $35 billion.

"In fact, since we first launched Bioflux® four years ago we have achieved sales of $22 million to date and are continuing to grow this solution. Today, Bioflux is approximately at a $12 million runrate. Now that we're seeing existing customer sales of our Biotres^TM as a second product, those sales are ramping up far faster and we project they will reach a $2 million run rate just fifteen months from commercial launch compared to thirty months for Bioflux®."

Q4-FY23 Financial Highlights

• Revenue increased 27.6% to $2.74 million compared with $2.15 million in Q4 FY22
• Blended gross margin was 56% vs. 67% a year ago, reflecting Company's strategic reduction in device pricing to lower the customers' cost of entry into recurring Technology Fees
• Technology Fee margins were steady at 71%, and comprised 93% of total revenue
• Gross profit totaled $1.5 million, up 7% from $1.4 million in the year-earlier quarter
• Net loss decreased 19% YOY to $4.9 million, or $0.09 per share, from a net loss of $6.0 million, or $0.118 per share, in Q4-FY2

FY23 Financial Highlights

• Revenue increased 26% to $9.64 million, as compared with $7.65 million in FY22
• Gross profit rose 19% YOY to $5.44 million from $4.57 million
• Blended gross margin decreased slightly to 57% from 60% in FY23, reflecting lower pricing on cardiac devices to capture market share and reduce customers' cost of entry
• Net loss decreased 35.4% YOY to $19.5 million, or $0.38 per share, vs. a net loss of $30.2 million, or $0.665 per share, in FY22

Operating Highlights for FY23