Personal opinion, based on the following reasoning:
Cash burn is about $2.5m per quarter. The current SPP plus the :"top-up placement" to follow it are for a total of $5m. That will fund the business (on historical cash burn rate) until the end of the June quarter. At the current roll-out rate, there's no way the company will be cash flow positive in six months, so another $5m is going to be required to get the company through to the end of 2024.
The company expects to receive FDA De Novo clearance in the USA during the September 2024 quarter. This should open the gate to sales starting in the December 2024 quarter.
But... and this but is a but big enough to crush the business entirely... all the sales in the world are not going to make an iota of difference if the company can't address the roll-out (bed implementation) speed. And while the company has acknowledged that there are questions about the roll-out speed, they have not even begun to how, or even whether, they can improve it.
So if roll-out rate remains stuck where it is, then the company is not going to reach cash-flow positive until some time toward the end of 2025, which means they'll be backing up the cart for yet again another $5 to $7 million to get them there.
PCK Price at posting:
3.2¢ Sentiment: Hold Disclosure: Held
