Nightingale reported on its business target achievements for financial year 2021-2022

This morning, Nightingale reported on its business target achievements for financial year 2021-2022 that ended on June 30. Nightingale’s business targets for the financial year 2021-2022 were:

1. Launch of a commercial service based on the at-home test (achieved)
2. Launch of a new version of the company’s mobile application (achieved)
3. Signing of an international commercial partnership agreement (achieved)
4. FDA (U.S. Food and Drug Administration) approval (not achieved, approval process still ongoing)
5. Reaching an order book of EUR 5 million (not achieved, the company achieved an order book of around EUR 3.8–4.0 million)

New information in this release was the progress of objectives 4 and 5.

Nightingale is in the process of applying for FDA approval that allows the use of its analysis technology in diagnostic healthcare solutions in the United States. The processing time of the application has been longer than expected, due to reasons not attributable to the company, and the approval has not been granted yet. Nightingale will continue the process with FDA and receiving FDA approval remains a business target for the financial year 2022-2023. We believe that obtaining FDA approval would facilitate the commercialization of the technology in the United States. Currently we see no obstacles to obtaining the approval.

According to preliminary information, Nightingale reported that its order book at the end of the financial year 2021-2022 was EUR 3.8–4.0 million. The order book mainly contains commitments from international B2B customers. The order book grew by about 50% compared to the order book of the 2020-2021 financial year. The weaker-than-expected development of the order book may create some downward pressure on for very strong growth expectations in the next few years. We will review our estimates at the latest in connection with our H2 pre-comment.

As a whole, Nightingale’s equity story has developed well since the IPO and we believe that the company has good preconditions to achieve strong growth in the coming years. In our view, a strong order book target for the new financial year would be a concrete step in the progress of the story. The company did not yet communicate its targets for this financial year, except for obtaining FDA approval.