Pacific Edge

NZ: PEB

NZD$83.5m market cap

NZD$0.12 last close

Pacific Edge develops and sells a portfolio of molecular diagnostic tests based on biomarkers for the early detection and management of cancer. Tests utilising its Cxbladder technology for detecting and monitoring bladder cancer are sold in the US, New Zealand and Australia.

Investment summary

Pacific Edge continues to make progress commercialising its Cxbladder suite of bladder cancer diagnostics products, with three of the four Cxbladder tests available in the US market. Cxbladder was recently included in the National Comprehensive Cancer Network (NCCN) guidelines for bladder cancer. The company also submitted an updated evidence dossier to its Medicare Administrative Contractor (MAC), which may decide in Q2 CY20 whether Cxbladder will be included in a Local Coverage Determination (LCD) by the US Centers for Medicare and Medicaid Services (CMS). This will be a key milestone for the company as approximately 47% of US lab throughput for the company is for patients covered by CMS.

Y/E Mar
Revenue (NZ$m)
EBITDA (NZ$m)
PBT (NZ$m)
EPS (c)
P/E (x)
P/CF (x)
2018A 4.6 (19.5) (19.6) (4.5) N/A N/A
2019A 4.8 (17.8) (17.8) (3.7) N/A N/A
2020E 5.2 (17.7) (18.7) (3.1) N/A N/A
2021E 19.1 (4.8) (5.8) (0.8) N/A N/A
Industry outlook

Molecular diagnostics is a growing, but increasingly competitive field. Lead times from the initiation of user programmes to payment can be long.

Last updated on 15/01/2020
Sector
Healthcare
Share price graph
Balance sheet
Forecast net cash (NZ$m) 15
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (6.9) (35.4) (62.6)
Relative* (10.0) (38.5) (70.1)
52-week high/low NZ$0.3/NZ$0.1
*% relative to local index
Key management
David Darling CEO