Cardio Diagnostics Holdings, Inc Launches New Lab and Fulfillment Center, Paving Way for Expanded Testing Capacity, Reduced Costs, Reduced Turnaround Time and Improved Margins
October 12 2023 - 7:30AM
Business Wire
Cardio Diagnostics Holdings, Inc (Nasdaq: CDIO), a pioneer of
artificial intelligence-driven precision cardiovascular medicine
tests, today announced the launch of the Company’s new integrated
facility in Iowa City, Iowa. This facility will house Cardio
Diagnostics' new research laboratory, high-complexity Clinical
Laboratory Improvement Amendments (CLIA) laboratory, and
fulfillment center, serving as the epicenter for distributing
sample collection kits to clients and performing all laboratory
research and commercial testing. Initial operations at this
facility are expected to commence in Q4 2023, with full operations
anticipated in Q1 2024.
"The launch of the new lab and fulfillment facility marks a
critical milestone in Cardio Diagnostics' strategy to vertically
integrate operations," said Meesha Dogan, Ph.D., CEO and Co-Founder
of Cardio Diagnostics. "This facility provides a robust operational
hub to accelerate research and development, centralize sample
collection kit distribution, scale commercial testing,
significantly improve efficiency, and reduce costs. It allows
Cardio Diagnostics to reduce reliance on external service
providers, enhancing agility as we fulfill demand and scale."
The modular setup of the high-complexity CLIA laboratory will
enable Cardio Diagnostics to process up to 10,000 tests per month
while reducing laboratory processing costs, which currently
accounts for the largest portion of the cost of goods sold, by up
to 60%. Additionally, performing kitting and fulfillment of sample
collection kits internally reduces this cost by up to 56%. By
integrating operations in-house, Cardio Diagnostics expects to
meaningfully improve the gross profit margin and will continue to
explore opportunities to further scale capacity and drive down
costs.
"Establishing an internal high-complexity CLIA lab will
facilitate the development of a testing process that can be
completed in under 4 hours. This time frame fits well with our
vision of our heart disease diagnostic tests being eventually
offered as essentially point-of-care tests, with a same-day
turnaround in almost all medical markets," said Robert Philibert,
MD Ph.D., Chief Medical Officer and Co-Founder of Cardio
Diagnostics.
The launch of Cardio Diagnostics’ operational hub will foster
continued innovation, amplify commercialization opportunities, and
set new standards to improve patient outcomes globally through
best-in-class, low-cost precision cardiovascular diagnostics.
About Cardio Diagnostics
Cardio Diagnostics is an artificial intelligence-powered
precision cardiovascular medicine company that makes cardiovascular
disease prevention, detection, and management more accessible,
personalized, and precise. The Company was formed to further
develop and commercialize clinical tests by leveraging a
proprietary Artificial Intelligence (AI)-driven Integrated
Genetic-Epigenetic Engine (“Core Technology”) for cardiovascular
disease to become one of the leading medical technology companies
for improving prevention, detection, and treatment of
cardiovascular disease. For more information, please visit
www.cardiodiagnosticsinc.com.
Forward-Looking Statements
Certain statements and information included in this press
release constitute "forward-looking statements" within the meaning
of the Private Securities Litigation Act of 1995. When used in this
press release, the words or phrases “will”, "will likely result,"
"expected to," "will continue," "anticipated," "estimate,"
"projected," "intend," “goal,” or similar expressions are intended
to identify "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. Such statements
are subject to certain risks, known and unknown, and uncertainties,
many of which are beyond the control of the Company. Such
uncertainties and risks include but are not limited to, our ability
to successfully execute our growth strategy, changes in laws or
regulations, economic conditions, dependence on management,
dilution to stockholders, lack of capital, the effects of rapid
growth upon the Company and the ability of management to
effectively respond to the growth and demand for products and
services of the Company, newly developing technologies, the
Company’s ability to compete, regulatory matters, protection of
technology, the effects of competition and the ability of the
Company to obtain future financing. An extensive list of factors
that can affect future results are discussed in the Current Report
on Form 10-K for the period ended December 31, 2022 and Form 10-Q
for the period ended March 31, 2023, under the heading “Risk
Factors” in Part I, Item IA thereof, and other documents filed from
time to time with the Securities and Exchange Commission. Such
factors could materially adversely affect the Company's financial
performance and could cause the Company's actual results for future
periods to differ materially from any opinions or statements
expressed within this press release.
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version on businesswire.com: https://www.businesswire.com/news/home/20231012400648/en/
Investors: Gene Mannheimer Investor Relations 855-226-9991
investors@cardiodiagnosticsinc.com
Media & Public Relations: Khullani Abdullahi 855-226-9991
pr@cardiodiagnosticsinc.com
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