Extract from the financials ongoing concern
Read the last paragraph on certainty
Given AHI's abject failure on the revenue side.
They had better hit these milestone claims of revenue this finacial year.
Before buying this stock again they need to stop the motherhood statements and give investors a dose of reality and real $$$
Following the Company’s successful dual listing on the NASDAQ securities exchange in the United States
of America, the Company has gained access to larger capital markets, which has enhanced its ability to
raise capital, as was evidenced by the $16.1 million before costs the Company raised from its IPO on
NASDAQ.
• As mentioned in the Company’s Appendix 4C Quarterly Cash Flow Report for Entities subject to Listing
Rule 4.7B as announced to ASX on 30 July 2022, the Company is in advanced discussions with investors
looking to participate in a convertible note fund raising, for an amount of USD$10,000,000 to fund its
operations.
• The consolidated entity has executed numerous agreements with channel partners across its business
verticals and as such, is transitioning to a “growth” phase and is in the process of expanding its
operations with the acquisition of South Africa based Vertica Health and potential acquisition of
Canadian listed wellteq Digital Health, subject to wellteq shareholder and other regulatory approvals.
• It is expected that 7 of the current partners will launch with the AHI technology within their apps,
throughout the current financial year, unless there are any unforeseen delays. This is anticipated to
generate revenue and take the Company past breakeven point at current expense levels.
• In October 2020, the Company signed an agreement with Singapore based Nexus-Vita. The Nexus-Vita
platform required substantial development, to meet security and personal data needs, which was
completed in August 2022. AHI has also now completed the integration of the AHI scan technologies
and signed off on all quality assurances. The application now requires Nexus-Vita to sign off and prepare
for its market launch. Under the terms of the agreement, Nexus-Vita will pay AHI a minimum guaranteed
revenue of US$3,588,000 in the first year from launch. In addition, the parties signed an integration
agreement which will generate additional revenue for AHI in the amount of US$500,000 upon
completion (refer to ASX announcement dated 22 June 2021). In total, the consolidated entity expects
to generate revenue from Nexus-Vita in the amount of US$4.1 million (A$6.4 million) in the first twelve
(12) months from launch. Prior to the launch Nexus-Vita will be required to execute the AHI Master
Services Agreement, which is currently with Nexus-Vita for review and execution.
• In February 2021, the consolidated entity signed an agreement with Tinjoy. In September 2021, Tinjoy
launched the Health Cube with the AHI technology embedded. With the preregistration launch only
offered an annual subscription of 310 Chinese Yuan (A$64.86) and generated a total initial
preregistration number of 144,391, which is subject to a 70:30 revenue share where AHI would receive
70%. Due to the ongoing Zero COVID restrictions in China, Tinjoy has been unable to progress the
marketing and subscription revenue uptake.
• The company has signed several new partnerships over the financial year with, NextMedicall,
Inter-Psy BV, BizBaz (CustintCo), FitTrack (Cubert), Activate Health, and Vertica Health (which has now
been acquired by AHI).
• With the recent acquisition of Vertica Health, AHI has expanded its ability to deliver a non-invasive,
highly accurate and privacy-sensitive healthcare and biometric solutions that generate results to the
user within seconds. This further enables a User to check, track, and accurately assess their body
dimensions and chronic disease risk markers privately using only a smartphone. AHI is currently in
negotiations with 3 large insurers for the integration and commercialisation of the new combined
capabilities.
The consolidated entity’s ability to continue as a going concern and meet future working capital requirements is
dependent on the above points being realised. Should the consolidated entity not be successful in generating
the required cash flows, there is a material uncertainty that may cast significant doubt on the consolidated
entity’s ability to continue as a going concern.
(20min delay)