A Bright Future Ahead, page-43

A key point that is not well understood yet, is how advanced some of the overseas remote patient monitoring markets are (especially for chronic conditions).....ie US/UK/Germany + other key European countries.

Some background to US reimbursement developments can be found here - https://insights.samsung.com/2020/09/02/the-new-rules-for-remote-patient-monitoring-reimbursement-2/

In short, there was a key 2 year study done into the benefits (cost + health outcomes) of preventative patient remote monitoring vs waiting for patients to need expensive hospital care etc (finished 2017) - It convinced the public insurers to provide generous reimbursement incentives (including to doctor/physician) for patient remote monitoring, and most of the private insurers have followed suit.

Then when Covid came along, there was an urgent need to free up hospital space for Covid patients - and one of the ways this was done, was adding further incentives to encourage out-of-clinic care, or remote healthcare - these initiatives have worked incredibly well, and there is a view in the US that Covid forced about 15 years of development in the remote monitoring healthcare space during 2020. RSH is perfectly placed to benefit from this market development.

In Australia, healthcare insurance is focused on diagnosis + treatment, rather than preventative healthcare - this fact combined with the relatively small size of the market (~2.7mn asthmatics), makes Australia a great test market (rather than a company maker), before launching into these more significant overseas markets such as US,UK, Europe.

For Australia, Cipla is assisting with the supply into pharmacy - Currently stocked in approx 500 pharmacy, but on the way to 2000 (which is about 50% of the Aus pharmacy market). There was Covid related supply chain issues, but from April supply will start to ramp up, as will sales/education activities within pharmacy.

Hope this helps.