Venn Brown sat down with Marty Dillion, CEO and Managing Director of medical device company TruScreen (NZSE:TRU / ASX:TRU). We discussed TruScreen’s AI-driven real-time cervical cancer screening device, the recurring revenue model, international markets, and the path to cash flow positive.
Cervical cancer screening: TruScreen makes an AI-enabled cervical cancer screening device that gives clinicians and patients real-time results. The device uses dual sensors to take light and electrical readings of the patient’s cervix to create a tissue signature that it compares againsta database of known signatures. The device then immediately reports whether it detected any abnormal or pre-cancerous cells.
Recurring revenue: The TruScreen unit sells for around US$4,000, with the disposable single-use sensors providing ongoing revenue. Women of screening age should be tested every three years so every unit generates a steady revenue stream from the sale of the sensors.
WHO validation: The World Health Organisation recently added TruScreen to its validated cervical cancer screening product list. The WHO views TruScreen as a particularly relevant technology to low- and middle-income countries. Being on the list has raised TruScreen’s profile, resulting in governments and distributors now approaching the company. Management alsoreports a shortening sales cycle as a result of the inclusion.
International markets: While TruScreen is appropriate for use in developed countries, the existing laboratory-focused solutions, including government health messaging, are a significant barrier to overcome. Instead, TruScreen’s markets are in low and middle-income countries without established or reliable laboratory infrastructure or access to cytology and colposcopy expertise.
China is currently TruScreen’s largest market, with units now available in more than fifteen countries across Asia, Central and South America, Eastern Europe and Africa.
Cash flow: TruScreen has a stated objective to be cash flow positive by March 2025.
TruScreen real-time, AI-enabled cervical cancer screening device
