DALLAS - Spectral AI, Inc. (NASDAQ:MDAI), specializing in artificial intelligence for medical diagnostics, announced today a collaboration with PolyNovo Limited to potentially introduce its DeepView System for burn indication in Australia.
The memorandum of understanding (MOU) will support Spectral AI's application to the Australian Special Access Scheme (SAS), aiming to deploy the DeepView System at two major hospitals in Adelaide and Melbourne.
The SAS is a program by Australia's Therapeutics Goods Administration to allow patient access to unregistered medicines or medical devices in specific cases. Spectral AI's DeepView System is designed to give clinicians an immediate and objective assessment of a burn wound's healing potential, using multispectral imaging and an extensive database of clinically validated data.
PolyNovo, known for its advanced burn wound therapies, including the FDA-approved NovoSorb BTM and MTX products, operates in 37 countries. The partnership with Spectral AI is expected to facilitate the introduction of the DeepView System to Australian clinicians, potentially improving patient outcomes in burn care.
Peter M. Carlson, CEO of Spectal AI, expressed the company's commitment to advancing patient care and the importance of timely and informed diagnoses in burn treatment. The DeepView System's deployment is intended to support clinicians' work and elevate patient care standards.
Spectral AI, based in Dallas, is focused on transforming wound care management by providing predictive diagnostics for quicker and more precise treatment decisions. The company's technology, particularly for burns and diabetic foot ulcers, aims to improve patient outcomes and reduce healthcare costs.
This announcement is based on a press release statement by Spectral AI. Investors are reminded that forward-looking statements involve risks and uncertainties, and actual results may differ materially from those anticipated. The company's SEC filings should be consulted for a comprehensive understanding of these risks and uncertainties.
In other recent news, Spectral AI, Inc. has been making significant strides in its operations. The company announced the expansion of clinical trial sites for its 2024 Burn Pivotal Study, with the University of California San Diego and the University of Utah joining the existing network. Spectral AI's DeepView™ System, a device that uses AI to assist clinicians in assessing burn healing potential, is at the heart of this study.
The company also reported a 24.6% increase in Research & Development revenue to $6.3 million for the first quarter ending March 31, 2024, alongside an improved cash position of $10.2 million. On the personnel front, Erich Spangenberg has been appointed as the CEO of Spectral IP, Spectral AI's healthcare IP subsidiary.
In terms of financial outlook, BTIG adjusted its price target on Spectral AI shares following the company's first-quarter financial results for 2024. Despite a slower-than-expected enrollment in Spectral AI's pivotal Burn trial in the United States, the company still forecasts full-year 2024 R&D revenue to be approximately $28 million, marking a 55% year-over-year increase.
Finally, Spectral AI is set to join the Russell Microcap Index, a move expected to raise its profile among investment professionals. These developments reflect the company's ongoing efforts to advance its operations and financial standing.
InvestingPro Insights
As Spectral AI, Inc. (NASDAQ:MDAI) forges a significant collaboration with PolyNovo Limited to enhance burn care in Australia, investors may find the current financial health and market performance of Spectral AI to be of interest. With a market capitalization of 33.57 million USD, the company's financial position reveals a mixture of strengths and challenges.
An important aspect for investors to consider is that Spectral AI currently holds more cash than debt on its balance sheet, providing a level of financial flexibility. However, investors should note that short-term obligations exceed the company's liquid assets, which could present liquidity challenges in the near term. Additionally, analysts do not anticipate the company will be profitable this year, and the company has not been profitable over the last twelve months. These factors may influence the company's ability to invest in growth opportunities or sustain operations without seeking additional capital.
In terms of stock performance, Spectral AI's price has fallen significantly over the last year, with a 1-year price total return of -81.77%. Yet, there has been a strong return over the last month, with a 1-month price total return of 23.87%. This recent uptick could reflect investor optimism following news such as the collaboration with PolyNovo or could be a result of other market dynamics.
For those considering an investment in Spectral AI, it's essential to review the full suite of financial data and analyst insights available. Investors can access additional InvestingPro Tips for Spectral AI to gain a more comprehensive understanding of the company's potential. Moreover, by using the coupon code PRONEWS24, investors can get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, which includes 6 additional tips that could further inform investment decisions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.