Spectral MD Holdings Ltd (AIM:SMD) said it expects losses for full-year 2021 to be materially better than current market forecasts, while its cash position is estimated to be slightly ahead of expectations.
The company, which develops proprietary AI algorithms and optical technology for wound healing predictions, attributed the stronger-than-forecast results to lower costs per subject associated with the Diabetic Foot Ulcer (DFU) clinical training study.
It said the Burn and DFU clinical studies are on track and predicted that grant revenue, deriving from its BARDA (Biomedical Advanced Research and Development Authority) funding contract for the Burn indication, will be broadly in line with market expectations.
"Spectral continues to make good progress on its clinical and regulatory pathway and the company is on track to deliver on its expected milestones notwithstanding the continued challenges of the COVID pandemic," commented CEO Wensheng Fan.
"Cash and loss for the year are both expected to have exceeded expectations, with BARDA grant revenue broadly in line with expectations. I look forward to providing further updates at the time of the preliminary results."