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Global cancer diagnostics company Pacific Edge Ltd (ASX: PEB, NZX: PEB) has posted steady growth in tests for its Cxbladder product, despite some corporate headwinds including a smaller sales force.
Cxbladder – a genomic biomarker test – aims to help clinicians detect and rule out bladder cancer among patients presenting with haematuria (blood in urine) and those being monitored for recurrent disease. This is done through testing of the urine itself.
The company – based in Dunedin, New Zealand – reported that tests processed at its laboratories in the three months to the end of March 2024 were steady on the previous quarter.
In the fourth quarter of 2024, volumes rose to 7,210 tests, a rise of 0.4 percent on the figure of 7,183 tests in the third quarter of 2024.
There was also some deviation according to location: with a bigger rise in US tests, which were reported at a volume of 6,099 in Q4 24 – up 1 percent from the 6,041 tests processed in the previous quarter.
In the Asia Pacific region however, volumes were posted at 1,111 tests, down 2.7 percent on the earlier quarter. This was said to be due to the traditional slowdown in New Zealand post the Christmas period.
The company was also bolstered by its invitation to present findings of its STRATA study on the clinical use of Cxbladder triage to the American Urological Association (AUA) annual conference in May.
In a letter to investors, CEO Dr Peter Meintjes reflected on the results, in addition to the uncertainty surrounding the question of whether Cxbladder would be covered under the US national health insurance program, Medicare
“Our navigation of the Medicare coverage uncertainty alongside our diligent work ethic in overcoming the typical challenges that fast-growing companies face, have demonstrated a resilience that justifies investor confidence in our prospects,” he said.
“We have been tested by a series of unpredictable events, but remain firmly focused on the actions that drive results.”
In June 2023, Medicare announced that coverage of the test on the US market would end the following month July, but it was later announced that a final decision on this had been delayed.
Pacific Edge is trading at 8c.
