Alive and Kicking: Respiri promises breath of life to bottom line after inking US distribution deal

‘Wheezo’ maker Respiri says a new US deal will help to propel the company to cash-flow break even by the end of the year
Immutep reports further promising data from its head neck and shoulder cancer program
Oncosil Medical targets the difficult pancreatic cancer on its quest to become ‘the next Sirtex’

Telehealth respiratory group Respiri (ASX:RSH) says a sales partnership with a US group will help the company to achieve cash-flow breakeven status by the end of 2024.

The deal is with the Boston healthcare tech and artificial intelligence company Ceras. The parties will combine their smarts to deliver remote patient services for the Catholic, not-for-profit Massachusetts healthcare system Covenant Health.

Approved by the US Food and Drug Administration, Respiri’s lead device is the Wheezo, an algorithm-based app that enables remote detection of respiratory diseases such as asthma.

The initial contract covers around 750 patients at an average per-patient monthly fee of US$80 per patient, implying an annual value of US$720,000 ($1.1 million) for the deal.

Of the US$80, Ceras takes a US$8 cut.

“These services will commence in early October and are expected to grow significantly from the 2200 average annual hospital discharges and 18,515 Medicare-insured patients which the Covenant healthcare system manages,” Respiri says.

The company notes the initial three-year contract is immediate and “revenue will contribute to the monthly profitability target by the end of 2024.”

Meanwhile, Respiri hopes to finalise partnering deals with other US parties “in the coming months”.

The hint of profitability will be welcome news for Respiri shareholders – including pubs and pokies baron Bruce Mathieson – who have seen the value of their investment lose two-thirds of their value over the past five years.

Once a market darling, Respiri was one the of the first ASX life science plays to latch on to the promise of telehealth, but bungled its execution early on in and is yet to regain its mojo.

The company reported revenue of $1.038 million for the year to June 30 2024, up 56% and a $7.4 million loss.

We’ll see if the latest deal can breathe life into the shares, which this morning were unchanged at 3 cents.

Immutep therapy looks good for head, neck and shoulder cancers

Immunology-focused cancer-buster Immutep (ASX:IMM) today has provided further evidence that its drug candidate looks to be a more effective treatment for head and neck cancers, when used in combination with the checkpoint inhibitor Keytruda.

Immutep’s lead compound is called eftilagimod alpha (Efti to friends) and targets LAG-3, a protein that regulates immune responses.

The efficacy and safety data pertained to Immutep’s TACTI-003 ongoing phase IIb trial evaluating Efti as a first-line treatment of recurrent or metastatic head and neck squamous cell carcinoma patients.

As reported in an oral presentation to last week’s European Society for Medical Oncology (ESMO) Congress, the objective response rate (ORR) of 32.8%, compared with 26.1% for Keytruda alone.

But the results were more impressive for the patient cohort with a high combined positive score – bigger tumours and more PD-L1 expression – with a 31% ORR compared with 18.5% for Keytruda alone.

The trial showed a high “durability of response” of 17.5 months in the case of patients expressing the PD-L1 biomarker (which Keytruda targets).

Immutep CEO Marc Voigt says the company will continue to follow the TACTI-003 for the rest of 2024, with a view to “engage with regulatory authorities regarding potential paths forward”.

Immutep has a busy slate, with advanced trials in non-small cell lung cancer and metastatic breast cancer in train, also in combination with Keytruda.

The company also has programs for blood cancers, melanomas, urothelial cancer and soft tissue sarcomas.

Today’s ‘news’ – which was a reiteration on and expansion of earlier disclosures – sent Immutep shares 13% lower to 35 cents. We’re not sure why.

Ole! Oncosil treats 30th patient, at Spanish hospital

Still on difficult cancers, can OncoSil Medical (ASX:OSL) become the equivalent of Sirtex Medical for pancreatic cancer?

Readers may recall that Sirtex developed a targeted radiation treatment for liver cancer and in 2018 was taken over by a Chinese consortium for $1.9 billion after a spirited takeover tussle.

Oncosil’s eponymous treatment has similar characteristics to Sirtex’s Sir-spheres, in that an encapsulated dose of radiation (phosphorous-32) is administered directly to a locally advanced tumour.

Oncosil is approved for use in the European Union, Israel and Turkey. On Friday the company said it had completed its 30th treatment, at Madrid’s Hospital HM Sanchinarro.

The company says 12 sites in Spain are using the Oncosil device, with another four completing training.

“Spain has become one of our key markets in Europe, and we are proud to see such strong engagement from leading hospitals and clinics across the country,” CEO Nigel Lange says.

In mid August Oncosil reported fourth (June) quarter sales were 78% higher and 2.7 times the average compared with the previous three months. The company didn’t put an exact figure on it, but June quarter receipts came in at $79,000.

The company reported full-year revenue of $320,890, 12% lower and a $12.37 million loss.

Given pancreatic cancer is notoriously difficult to treat and one of the most fatal cancers, the company is choosing the right indication.

Oncosil shares have advanced 16% to 1.4 cents over the last two trading days.