MedPal AI (AIM: MPAL), the AI-native digital health and pharmacy group, said revenue from repeat orders at its New Health clinic more than doubled in October to £1.34m. The company gave the unaudited figures in a trading update at 7am today.
New Health, MedPal’s GLP-1 weight-management clinic, took October revenue to £3.63m from £2.73m in September, a rise of 33%, on 29,450 orders. Repeat revenue was £1.34m, or 37% of that, against £0.63m and 23% in September. In August, its first full month of trading, repeat revenue was about £0.1m.
Jason Drummond, Founder and CEO, put the shift in his own words:
New Health’s revenue grew again in October, increasing by a third month-on-month to over £3.6 million, and repeat orders are now the fastest growing part of our business: revenue from returning customers more than doubled in the month to £1.34 million and is up more than thirteen-fold since August.
Jason Drummond, Founder and CEO
The company said repeat orders carry no acquisition cost and average about 23% more per order than first orders. Re-orders came from 46% of New Health customers whose 28-day re-order fell due in October. It reported more than 53,000 customers since marketing began on the 1st of July, almost 20,000 of them new in October.
Group revenue was about £4.1m, against about £3.2m in September, including about £0.5m from NHS prescriptions and eMARx subscriptions. Repeat and recurring revenue was about £1.8m, or 45% of the total, from about 33% in September.
Multiplying October Group revenue by 12 gives the company’s pro forma run rate of over £49m, up from over £38m on the September figure. That is an annualised arithmetic exercise, not a forecast.
Cash, receivables and stock stood at about £6.2m on the 31st of October, down from about £6.4m on the 6th of October. About £2.0m of that was cash, including over £0.5m due from the card processor.
Talks on a working-capital facility, announced on the 21st of September and the 8th of October, are continuing, with indicative term sheets from several lenders. The company expects an expanded GLP-1 line at Sarus Court to open in late November, with dispensing capacity of 14,000 orders a day.
MedPal said the Group remains confident in continuing to deliver strong levels of growth. It added that no statement is intended as a profit forecast.