Cambridge Heart Inc. (OTC:CAMH) saw a sudden uptick in placement orders for its Microvolt T-Wave Alternans (MTWA) OEM module after launching a marketing promotion with Cardiac Science.
Since the beginning of the OEM module promotion in late July to the end of the quarter in September, the Tewksbury, Mass.-based company shipped 45 OEM modules for Cardiac Science’s Q-Stress system, compared to only 13 for the nine months prior to the promotion.
The company’s Microvolt T-Wave Alternans test is currently approved in the U.S. for detecting the risk of heart attack, or arrhythmia, president & CEO Ali Haghighi-Mood told MassDevice earlier this month.
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"We are pleased with the results of our new marketing initiative, and expect the rate of placements to continue to accelerate as we work closely with the Cardiac Science’s sales team," Haghighi-Mood said in prepared remarks. "Building an installed base of OEM Modules is the first step to generating recurring revenue growth in future quarters through the sale of our proprietary sensors."
Cambridge Heart plans to work with Cardiac Science this coming quarter on a similar marketing program targeted at the existing installed base of Q-Stress user and expects the modules to generate recurring revenue this quarter through the sale of Micro-V Sensors after servicing by the company’s clinical specialists.
The revenue stream is good news for the cardiac diagnostic device-maker that warned in April that it didn’t have enough cash to stay afloat past the end of the year and registered for a stock offering worth more than $7.8 million.
Cambridge Heart halted a pilot study investigating its MTWA test for detecting ischemia earlier this month after early data showed that it could detect that condition and also may help identify underlying heart diseases missed by other tests.
