Installations, test volume, client acquisition all marking significant commercial progress
TORONTO, July 19, 2016 /CNW/ - SQI Diagnostics Inc. ("SQI" or the "Company") (TSX-V: SQD; OTCQX: SQIDF), a life sciences and diagnostics company that develops and commercializes proprietary technologies and products for advanced microarray diagnostics today provided an operational update on its commercial activities during the current fiscal year.
Said Andrew Morris, President and CEO of SQI: "Selling our first sqidlite system to our major diagnostics customer in March of this year sparked a rising tide of revenue-generating opportunities. Today, we're reporting to our shareholders and to the market on the extent of our existing activities and the prospects for other growth in the remainder of the fiscal year."
SQI set out 9 commercial milestones at our 2016 Annual General Meeting of shareholders and we are well on the way to reaching these goals among which included, by year-end: having a total of 6 systems installed at customers who are buying kits; launching our new xPlex product with sales generated this year; expanding our customer base and completion of product development of our DNA and animal health customers' products.
Among the major milestones met in 2016 are revenue-generating opportunities with SQI clients who are generally global pharmaceutical companies and diagnostic companies. These revenue-generating opportunities are the result winning repeat business and broadening our relationships with these significant customers.
Our achievements this year include the development and release of new and profitable applications of our multiplexing technology. Notably, we recorded the first sale and shipment of SQI's advanced new testing product, xPlex, to a global biotechnology company.
SQI has advanced towards its goal of platform placements for FY2016, in addition to the one platform placed in 2015, we have delivered two additional sqidlite / sqid-X platforms for testing and evaluation, and expect to sign agreements shortly for two more sqid platforms that are expected to ship this year not including other customers that are in the sales pipeline.
SQI has also signed and completed the initial development work for a new 40+plexed product in the animal health sector with the opportunity to sell multiple sqidlite platforms to run the tests to this global diagnostics customer.
In the 4th quarter ending September 30, 2016, SQI expects to double its revenues over the previous quarter with the bulk of this revenue coming from platform and kit sales marking a significant milestone in its commercial progress.
Said Andrew Morris, SQI President and CEO: "The recent increase in sales and revenue-agreements demonstrates the validity of our strategy to sell SQI platforms and kits directly to pharmaceutical companies and diagnostic companies. We are especially pleased with our increased customer traction as, the more platforms we place, the more recurring kits sales we will generate. The funds from the recently announced rights offering will be used to fund, among other things, sales and marketing to new customers, building up platform inventory to deliver to customers and for expanding our product delivery capability - each investment is focused on growing our installed customer base and recurring revenues."
For more information, please contact:
Chief Executive Officer
416.674.9500 ext. 229
Vice President Global Commercial Operations
About SQI Diagnostics
SQI Diagnostics is a life sciences and diagnostics company that develops clinical grade multiplexed microarray and molecular assays run on its automated instrumentation for the pharmaceutical research, animal health, and clinical diagnostics markets. SQI develops custom research and diagnostic assays that are multiplexed; meaning the simplification, consolidation and automation of many individual tests into one. This increases sample throughput, reduces time, cost and chance for human error, and provides excellent data quality. For more information, please visit sqidiagnostics.com.
This press release contains certain statements including, without limitation, the words "may", "plan", "will", "estimate", "continue", "anticipate", "intend", "expect", "believe", "in the process", "benefits", "leading to", "position" "possible", "is subject to" and other similar expressions which may constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements reflect the Company's current expectations and assumptions, and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. Readers are cautioned not to place undue reliance on these forward-looking statements. These forward-looking statements involve risks and uncertainties including, but not limited to: our ability to market and sell our products including our novel multiplexing technologies and detection platforms; our ability to maintain any technical or product advantages; the success of our Diagnostic Tools and Services business and our intent to build near-term revenue streams from this business; the successful regulatory filing and receipt of regulatory approvals for our later stage quantitative diagnostic consumable kits; adverse changes in general economic conditions; international risk and currency exchange fluctuations; competitor activity; technology changes; regulatory approvals and the impact of healthcare reform legislation; and, SQI's ability to raise additional funds in the future.
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SOURCE SQI Diagnostics Inc.