Aspira Women's Health (AWH) Q2 2024 earnings summary

Executive summary

• Q2 2024 OvaSuite revenue was $2.4 million with 6,471 tests performed, a 3% increase in volume year-over-year, but revenue was down 3% year-over-year due to lower average unit price.

• OvaWatch product volume grew 48% year-over-year, expanding the addressable market tenfold to 2–4 million tests annually with new longitudinal monitoring applications.

• Commercial strategy refresh and sales efficiency improvements led to record OvaSuite test volume and a 29% increase in field sales productivity with 17% fewer salespeople.

• Cash utilization decreased 16% sequentially from Q1 2024; cash balance at June 30, 2024, was $962,000, adjusted to $5 million after July financing.

• The company continues to face substantial doubt about its ability to continue as a going concern due to recurring losses and low liquidity.

Financial highlights

• Q2 2024 revenue was $2.4 million, down 3% year-over-year; gross margin was 59%, down from 62% last year due to higher product and shipping costs.

• Net loss for Q2 2024 was $3.5 million, compared to $2.3 million in Q2 2023; net loss per share was $(0.28).

• Product volume reached 6,471, up 3% year-over-year; OvaWatch volume up 48% year-over-year.

• Average unit price was $374, down from $396 year-over-year; OvaWatch AUP rose 7% year-over-year, Medicaid AUP for Oval rose 81%.

• Cash used in operations was $3.7 million in Q2 2024; accumulated deficit as of June 30, 2024, was $526.5 million.

Outlook and guidance

• Full-year 2024 cash utilization guidance reduced to $13–14.5 million, down from $15–18 million.

• Test volume is expected to increase in the remainder of 2024 due to investments in sales and marketing and the launch of OvaWatch longitudinal testing.

• The company expects to continue incurring net losses and negative cash flows for the rest of 2024.

• Initiatives in grant funding, sample sales, and partnerships expected to support near-term operations.

• Management plans to raise additional capital through equity or debt offerings and cost reductions.