Latest news with #SingularHealth
West Australian
10 hours ago
- Business
- West Australian
Singular seals US deal to roll out 3D medical imaging platform
Singular Health has added a feather to its cap by securing a US$1.3 million (A$2M) commercial deal with United States healthcare group Provider Network Solutions (PNS). The company has also raised $8 million to bankroll a national rollout of its AI-driven 3D medical imaging platform across the US. Singular says three major challenges continue to hobble the US healthcare system - redundant medical imaging, slow disease detection and fragmented access to patient data. The company's 3D medical imaging platform - dubbed 3DICOM MD - has been purpose-built to solve these issues by streamlining access to medical scans across multiple servers, thereby reducing duplication, saving time, cutting costs and improving outcomes. It has also already been cleared for diagnostic use in the US. The new contract follows a year-long collaboration with PNS that started with a memorandum of understanding in November last year. The project has now evolved into a full-blown rollout backed by both parties. The breakthrough deal will see Singular push out its US$800 (A$1230) platforms to 1000 doctors within the PNS network. PNS manages more than 3.7 million patients stretched across Florida, Texas and Puerto Rico. The deal also attracts an additional success fee of US$500,000 (A$768,000) when PNS signs off on the satisfactory integration of its AI model and centralised image repository. A successful implementation could potentially leverage PNS's partner network in 30 additional states and open the door to a much larger-scale nationwide rollout. Singular says the landmark deal is a massive shot in the arm, giving it a solid beachhead in the lucrative US healthcare market ahead of a much bigger national push. The company is eyeing a jaw-dropping US$19 billion (A$29.2B) annual market opportunity, with 1.3 million doctors typically linked to 19 separate managed service organisations. To support its growth strategy Singular has also locked in firm commitments for a heavily supported $8 million placement at 35 cents per share, which is a modest 4.6 per cent discount on its recent trading average. The company says the capital raising attracted strong interest from institutional investors and high-net-worth backers, with both PNS and existing investor Marin & Sons tinning up to support the placement. PNS chief executive officer and founder Dr Jose Pelayo praised the technology as a smarter, more efficient way to fix duplicate imaging. With a strong war chest, now sitting at nearly $13 million after the latest capital raising, powerful allies and a proven tech platform now gaining traction in the world's largest healthcare market, Singular Health may be about to rewrite the rules on medical imaging – in 3D. Is your ASX-listed company doing something interesting? Contact:
Yahoo
22-05-2025
- Business
- Yahoo
Companies Like Singular Health Group (ASX:SHG) Are In A Position To Invest In Growth
There's no doubt that money can be made by owning shares of unprofitable businesses. By way of example, Singular Health Group (ASX:SHG) has seen its share price rise 190% over the last year, delighting many shareholders. Having said that, unprofitable companies are risky because they could potentially burn through all their cash and become distressed. In light of its strong share price run, we think now is a good time to investigate how risky Singular Health Group's cash burn is. For the purposes of this article, cash burn is the annual rate at which an unprofitable company spends cash to fund its growth; its negative free cash flow. We'll start by comparing its cash burn with its cash reserves in order to calculate its cash runway. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. A company's cash runway is calculated by dividing its cash hoard by its cash burn. In December 2024, Singular Health Group had AU$4.6m in cash, and was debt-free. Looking at the last year, the company burnt through AU$3.2m. That means it had a cash runway of around 17 months as of December 2024. That's not too bad, but it's fair to say the end of the cash runway is in sight, unless cash burn reduces drastically. Depicted below, you can see how its cash holdings have changed over time. View our latest analysis for Singular Health Group In our view, Singular Health Group doesn't yet produce significant amounts of operating revenue, since it reported just AU$878k in the last twelve months. Therefore, for the purposes of this analysis we'll focus on how the cash burn is tracking. Over the last year its cash burn actually increased by a very significant 91%. While this spending increase is no doubt intended to drive growth, if the trend continues the company's cash runway will shrink very quickly. Admittedly, we're a bit cautious of Singular Health Group due to its lack of significant operating revenues. We prefer most of the stocks on this list of stocks that analysts expect to grow. Given its cash burn trajectory, Singular Health Group shareholders may wish to consider how easily it could raise more cash, despite its solid cash runway. Generally speaking, a listed business can raise new cash through issuing shares or taking on debt. Commonly, a business will sell new shares in itself to raise cash and drive growth. By comparing a company's annual cash burn to its total market capitalisation, we can estimate roughly how many shares it would have to issue in order to run the company for another year (at the same burn rate). Singular Health Group has a market capitalisation of AU$82m and burnt through AU$3.2m last year, which is 4.0% of the company's market value. Given that is a rather small percentage, it would probably be really easy for the company to fund another year's growth by issuing some new shares to investors, or even by taking out a loan. On this analysis of Singular Health Group's cash burn, we think its cash burn relative to its market cap was reassuring, while its increasing cash burn has us a bit worried. Cash burning companies are always on the riskier side of things, but after considering all of the factors discussed in this short piece, we're not too worried about its rate of cash burn. Taking a deeper dive, we've spotted 4 warning signs for Singular Health Group you should be aware of, and 2 of them shouldn't be ignored. Of course Singular Health Group may not be the best stock to buy. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
