In a recent announcement, Cameron Reynolds, the President and Group Chief Executive Officer at Volition, shared some exciting developments and financial highlights for the company in the first nine months of 2023. These updates reflect the significant progress and growth that Volition has experienced in its pursuit of innovative cancer detection methods and related projects.
Reynolds reported a substantial increase in revenue for the Nu.Q® Vet Cancer Test during the first nine months of 2023. The revenue for this revolutionary cancer detection method grew almost five-fold compared to the same period in the previous year. This remarkable growth is attributed to the successful sales of reference kits through Volition's global, regional, and local supply agreements. Furthermore, the year-to-date revenue for 2023 reached an impressive $531,000, marking a substantial 185% increase compared to the same period in 2022.
While these results represent significant progress for Volition, Reynolds emphasized that they view this as steady growth, anticipating even more substantial revenue growth in the near future. The company expects revenues to accelerate towards the end of 2023 and into the early part of 2024 as several additional distributors come online with the Nu.Q® Vet Test.
Volition's progress extends beyond their cancer detection efforts. They recently completed the Q-Sub process with the U.S. Food and Drug Administration (FDA), resulting in an agreement on the regulatory pathway for their Nu.Q® NETs pillar. The FDA has chosen a traditional 510(k) pathway with an adjudicated clinical comparator, a significant milestone for the company. This regulatory clarity sets the stage for Volition to pursue an exciting opportunity in the field of NETs (Neuroendocrine Tumors).
Volition has been actively engaging with key opinion leaders and the scientific community to share its research and insights. They hosted their first Key Opinion Leader Roundtable Event in September, focusing on sepsis, and published an expert-led report as a result. Additionally, the company presented new data at the ESICM congress in Milan in October and featured in a peer-reviewed publication from one of their Centers of Excellence in Europe. This commitment to scientific engagement underscores Volition's dedication to advancing medical knowledge and innovation.
In October, Volition unveiled what they believe to be a revolutionary cancer detection method at ESMO 2023, the annual congress of the European Society for Medical Oncology. The company also hosted a webinar detailing this transformative approach. The preliminary results of this method have been promising, and Volition is currently developing a range of cancer-specific assays that they expect to be even more accurate. They plan to share their progress starting in the first quarter of 2024. The level of interest expressed by leading diagnostic and liquid biopsy companies following ESMO highlights the potential significance of this development.
Volition is also focused on ensuring the accessibility of its Nu.Q® Vet Cancer Test on a global scale. They recently launched the test in the UK and Ireland through two prominent local companies, NationWide Laboratories and Veterinary Pathology Group. Volition anticipates further launches in additional Asian markets in the coming months, extending the reach of this innovative cancer detection method.
Despite their ambitious projects and expansion efforts, Volition maintains a strong financial position. As of September 30, 2023, the company had approximately $10.8 million in cash and cash equivalents, only slightly lower than the $10.9 million at the end of 2022. Additionally, Volition secured significant funding approval from a Walloon institutional fund and regional government bodies of the Walloon Region of Belgium, amounting to approximately $6 million. These funding transactions are expected to close shortly.
Moreover, Volition is set to receive further financial support in the form of $13 million in milestone payments from Heska Corporation in the coming months. This financial stability provides Volition with the resources needed to continue their pioneering work in cancer detection and related fields.
In conclusion, Volition's recent developments and financial achievements demonstrate their commitment to advancing cancer detection methods, engaging with the scientific community, and expanding their global reach. With promising results and a strong financial foundation, the future looks bright for Volition as they continue their groundbreaking work in the fight against cancer.
