Nuheara steams ahead with a massive 406 per cent jump in revenue
Health & Biotech
Health & Biotech
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Hearing technology company Nuheara (ASX: NUH) yesterday announced a massive 406 per cent increase in invoiced revenue to $6.9 million for H1 – as a result of the exponential sales of its IQBuds MAX product.
The company reported EBITDA of $1.5 million, an improvement of $5.1 million from a year earlier.
This led to a net loss of $0.84 million for the half year ended 31 December, a big increase compared to a loss of $5.72 million it sustained for the previous year’s corresponding period.
The IQBuds Max is a specialty hearing aid, developed by the company in collaboration with global tech giant HP – and was launched early last year.
The company received strong demand in the months after launching, fulfilling over 5,000 units in the first six months alone.
The collaboration with HP was inititiated back in August last year, where the two companies sealed a deal to develop a new hearing product.
In October, HP infused $2 million for the development of the product, and in December, the two companies signed a three-year manufacture and supply deal. The latter agreement sent the Nuheara share price soaring 23% on the day of the announcement.
That deal also led to the company raising $11.5 million through new shares placement that same month, in order to accelerate production.
Nuheara CEO, Justin Miller, believes that the key to success is for the products to reach global consumers.
“The company has held a long-term strategic ambition to deliver Nuheara designed and manufactured product, to global customers, across multiple diversified sales channels.”
“H2 is forecast to see this ambition realised with further growth expected in our global online direct-to-customer sales, expansion of sales campaigns with our traditional retail partners, and the delivery of the first mass production units for our OEM partner HP.”
According to Stockhead author, Dr Tim Boreham, Nuheara has evolved from successfully developing an earbud-like gadget for music aficionados to a device for those with low-to-mild hearing loss.
Its share price has risen by a solid 84 per cent over the last 12 months, and was up by 7 per cent to 4.5c yesterday.