Intelligent Bio Solutions Unveils Key Performance Indicator Growth in the United Kingdom as Drug Screening Industry Combats Drug Test Cheating and Searches for Simpler, Faster, Non-Invasive and More Cost-Effective Solutions
Rhea-AI Summary
Intelligent Bio Solutions (INBS) reported significant growth in its UK operations, with revenues reaching approximately $2.38 million for the nine months ending March 31, 2024, marking a 193% year-over-year increase. The UK contributed to 93% of this revenue. Higher margin cartridge revenue accounted for 49% of total revenue. INBS expanded its customer base to over 400 clients across 15+ industries in the UK and acquired 111 new accounts within a year. The company's growth is driven by organic lead generation through B2B referrals. INBS plans to submit for FDA 510(k) approval and launch its product in the US by mid-2025. Drug test cheating, highlighted by a Quest Diagnostics report, underscores the necessity for INBS's rapid and reliable drug testing solutions.
Positive
- Total revenue for the nine months ended March 31, 2024, increased by 193% year-over-year to approximately $2.38 million.
- The UK accounted for a significant 93% of total revenue during this period.
- Higher margin cartridge revenue made up approximately 49% of total revenue.
- INBS expanded its customer base to over 400 clients across more than 15 industries in the UK.
- The company acquired 111 new accounts in the 12 months ending March 31, 2024.
- Growth driven largely by organic lead generation through B2B referrals.
- Successful adoption in the UK indicates promising potential for the US market.
- Plans for FDA 510(k) submission and US product launch in the first half of 2025.
Negative
- Despite impressive revenue growth, the company's reliance on the UK market for 93% of its revenue could be a risk if market conditions change.
- The high focus on higher margin cartridge revenue suggests potential future pricing pressures or competition risks.
News Market Reaction – INBS
On the day this news was published, INBS declined 4.36%, reflecting a moderate negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
NEW YORK, May 23, 2024 (GLOBE NEWSWIRE) -- Intelligent Bio Solutions Inc. (Nasdaq: INBS) (“INBS” or the “Company”), a medical technology company delivering intelligent, rapid, non-invasive testing solutions, today unveiled key performance indicators from its United Kingdom operations. These indicators have contributed to the Company’s growth as the drug screening industry continues to combat drug test cheating and searches for simpler, faster, non-invasive, and more cost-effective solutions.
For the nine months ended March 31, 2024, total revenue was, as previously reported, approximately
As of March 31, 2024, INBS provided its innovative, rapid, non-invasive drug testing solutions to more than 400 customers across more than 15 industries in the UK. In the 12 months ended March 31, 2024, the Company acquired 111 new accounts. The Company’s current growth in the UK is largely driven by organic lead generation through B2B referrals as a growing awareness of the Company’s drug testing solution spreads across the country. The successful adoption of INBS’ drug testing solution in the UK suggests promising potential for the Company in the United States following its planned FDA 510(k) submission and anticipated product launch in the first half of 2025.
The Company’s increasing market share in the UK suggests a growing need for effective testing solutions that address global drug challenges, including drug test cheating. The trend of increased drug test cheating, as recently highlighted in the May 15, 2024, Wall Street Journal (WSJ) article “More Workers Are Cheating on Drug Tests” by Joseph De Avila, underscores the necessity of a rapid on-site test such as INBS’ drug testing solution. The WSJ article shows that the number of workers cheating on drug tests is at its highest rate in more than 30 years. According to the article “Workforce Drug Test Cheating Surged in 2023, Finds Quest Diagnostics Drug Testing Index Analysis of Nearly 10 Million Drug Tests”, published by Quest Diagnostics, signs of drug test tampering in the general US workforce increased by more than six-fold in 2023 compared to 2022, marking the highest rate in more than 30 years of reporting by Quest. Additionally, substituted urine specimens increased
“Our key performance metrics continue to grow as we gain market share and scale in the UK,” said Harry Simeonidis, President and CEO at INBS. “Our drug testing solution addresses several key industry concerns, including simplifying the process, rapid on-site results, non-invasive administration, and cost-effectiveness. Furthermore, we are seeing employers shift their approach to drug testing to combat the dramatic increase in cheating. This is a growing concern and cannot continue, as the safety of each individual exposed to these employees is of the utmost importance. We are proud of the rapid progress we have made in gaining market share in the UK and look forward to continue offering a new and better solution to the industry globally.”
About Intelligent Bio Solutions Inc.
Intelligent Bio Solutions Inc. (NASDAQ: INBS) is a medical technology company delivering innovative, rapid, non-invasive testing solutions. The Company believes that its Intelligent Fingerprinting Drug Screening System will revolutionize portable testing through fingerprint sweat analysis, which has the potential for broader applications in additional fields. Designed as a hygienic and cost-effective system, the test screens for recent use of drugs commonly found in the workplace, including opiates, cocaine, methamphetamine, and cannabis. With sample collection in seconds and results in under ten minutes, this technology would be a valuable tool for employers in safety-critical industries. Additionally, the Company’s biosensor platform has the potential to test for various indications, ranging from immunological conditions to communicable diseases. The Company’s current customer segments include construction, manufacturing and engineering, transport and logistics firms, drug treatment organizations, and coroners.
For more information, visit: http://www.ibs.inc/
Forward-Looking Statements:
Some of the statements in this release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties. Forward-looking statements in this press release include, without limitation, Intelligent Bio Solutions Inc.’s ability to successfully develop and commercialize its drug and diagnostic tests, realize commercial benefit from its partnerships and collaborations, and secure regulatory approvals, among others. Although Intelligent Bio Solutions Inc. believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. Intelligent Bio Solutions Inc. has attempted to identify forward-looking statements by terminology, including "believes," "estimates," "anticipates," "expects," "plans," "projects," "intends," "potential," "may," "could," "might," "will," "should," "approximately" or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors, included in Intelligent Bio Solutions’ public filings filed with the Securities and Exchange Commission. Any forward-looking statements contained in this release speak only as of its date. Intelligent Bio Solutions undertakes no obligation to update any forward-looking statements contained in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events.
Company Contact:
Intelligent Bio Solutions Inc.
info@ibs.inc
LinkedIn | Twitter
Investor & Media Contact:
Valter Pinto, Managing Director
KCSA Strategic Communications
PH: (212) 896-1254
INBS@kcsa.com
FAQ
What was the revenue growth for INBS in the UK for the nine months ending March 31, 2024?
What percentage of INBS revenue came from the UK operations?
How many new accounts did INBS acquire in the UK in the past year?
What is the significance of higher margin cartridge revenue for INBS?
When does INBS plan to launch its product in the US market?
