Jul 14, 2020 (AB Digital via COMTEX) -- Electromedical Technologies (OTC: ELCQ ) reported a jump in revenues of 22% in Q1 compared to the same period last year. The increase can be attributed to WellnessPro®, an FDA cleared bioelectronic device designed to relieve chronic, intractable, and acute pain. The next-generation device targets the pain-management sector that treats an estimated 1.5 billion people globally.
WellnessPro® is positioning Electromedical Technologies to elevate a new era and category of medicine called "Bioelectronics," a new standard of treatment that can safely use electrical signals to replace pills, injections, implants, and patches to combat chronic pain. The device shows a unique ability to unlock the body's natural ability to achieve wellness and better health by using energy, frequency, and vibration.
Notably, the company points out that Q1 growth came without any additional advertising. Instead, the sales were organic and generated by more and more people using its devices and sharing the powerful results they experience with their social networks. Electromedical Technologies is also benefiting from the growing trend of holistic and natural treatments from patients seeking pain relief alternatives that may be used at home.
Pace Of Growth Increases
The double-digit revenue increase comes as the company's pace of execution has been significantly improved. The company noted strong product demand that resulted in selling out of this year's production run and is building inventory to meet the pent up demand for its WellnessPro® product. Nearly all purchase orders came from new buyers, indicating that people seek safer and healthier alternatives to pain medications that can cause adverse side effects on people's health. Market statistics show that nearly 100 million Americans suffer from some kind of acute or chronic pain.
Importantly, Electromedical noted that Q1 was pacing to be the strongest quarter of sales deliveries in its history until its operations were interrupted in February and March due to the pandemic. As a result, since the device inventory was sold out early this year, and following GAAP accounting procedures, some Q1 income will be reflected in its Q2 results.
Although Q2 will get a jump-start in revenue, additional growth is expected to materialize from product and strategic initiatives that include improvements in technology, research expansion, new product releases, and a refocusing on localizing production in the U.S.
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Targeting Chronic Pain Market With Drug-Free Bioelectronics
An estimated 1.5 billion people worldwide suffer from chronic pain, and a majority of them are being treated with highly addictive prescription medication. However, Electromedical Technologies is engineering change through "bioelectronics," a developing and potentially significant field of "electronic" medicine that uses safe electrical impulses over the body's neural circuitry to relieve pain.
Their technology is born from the knowledge that the human body is controlled by electrical signals sent through the nervous system, which can become distorted after accidents or from a disease. Electromedical Technologies is showing that bioelectronic medicine may have the ability to safely correct irregularities in the nervous system by modifying the electrical language of the body related to pain relief.
Developing and manufacturing bioelectronics since 2004, Electromedical is familiar with the science behind the technology. For more than a decade, their WellnessPro® product line has been changing the lives of thousands of its users by bringing portable, effective, and lasting relief from chronic pain. Their FDA-cleared, CE-marked, SGS, and Cofepris certified WellnessPro® products are simple to use and offer treatment flexibility with a proprietary algorithm and rotating frequencies.
WellnessPro® is showing compelling and advantageous differences from competing products.
Competing Products Can Be Invasive
Electromedical Technologies is focused on innovation. At the same time, they keep a close eye on industry competitors like Google (nasdaqgs:GOOG) and GSK (NYSE: GSK ), which have invested a combined $1.5 billion into the electroceutical market. But, Electromedical Technologies is taking a different approach to treatment.
Unlike the Google and GlaxoSmithKline partnership developing invasive implants, Electromedical Technologies is keeping to its strategy of bringing to market FDA-cleared products that are non-invasive and non-toxic. The Company’s first product, the WellnessPro™, received FDA clearance on July 6, 2007, as a Class II Medical Device. It's 510(K) approval is explicit in labeling its intended use for the treatment of chronic intractable and acute pain, and as an adjunctive treatment for post-surgical and post-traumatic acute pain.
The company's newest next-generation device, WellnessPro Plus®, adds new technology based on a unique energy delivery system called DeepPulse™. DeepPulse™ delivers a low voltage current to treat chronic pain and demonstrates an ability to provide longer-lasting and more effective pain relief than many drugs and other products on the market. Those advantages can increase the distance from invasive procedures, addictive drugs, patches, and implants.
In January, the company noted that strategic plans are in place to extend its marketing outreach to wellness and pain management centers, targeting venues with significant patient traffic. They also are expecting to qualify its products for use in the European Union, Mexico, and Canada, further expanding its available markets. A successful campaign may substantially increase the pace of WellnessPro® market penetration.
Science And Collaboration Support "Electroceutical" Treatment's
Earlier this year, Electromedical announced that it has joined into a collaborative agreement with Nazarbayev University, Nur-Sultan, Kazakhstan. The comprehensive research program will evaluate the effects of electro-modulation on the human body's physiological state by studying the impacts of alternating electrical fields on cell signaling. The research may expand toward electro-modulation studies to explore the possibility of frequencies interfering with replication and assembly of large single-stranded RNA viruses. The plan is for the team to create a variety of laboratory conditions where they can test virus responses, hoping that a virus can be inactivated or, at the least, minimize its pathogenic capacity.
Additional support for the emerging bioelectric field came in a 2019 front-page article published in TIME magazine. The report pointed to the convergence of advances in bioengineering and neurology, which has resulted in a fast-developing way of treating chronic diseases, known as bioelectronic medicine. These ground-breaking advances allow scientists to identify specific nerves and then implant devices that can be activated when needed to stimulate or dial down their activity. The data shows that these devices can, in turn, help to control cells in organs targeted by those nerves that regulate the body's many immune and metabolic responses. The author noted a belief that bioelectronics will one day stand alongside pharmaceuticals to help improve human health.
Life-Changing Products Create A Value Opportunity
Electromedical Technologies is delivering innovative and useful life-changing products to the market. They also recognize that healthcare is a human business, something that will never go out of style. It's their philosophy and market expertise that can drive long-term shareholder value.
Further, Electromedical Technologies has the knowledge, product line, financial means, and management to deliver to market their innovative non-toxic, non-invasive bioelectronic solutions. The company added a key person to its advisory team by announcing that Constantin Kishkovski has been appointed to the Company's Marketing Advisory Board to help the company prepare for European expansion. Constantin Kishkovski was formerly Head of The Representative Office in the Ukraine of the Medical and Consumer Divisions for Johnson and Johnson (NYSE: JNJ ). Also, Mr. Kishkovski was Director of Sales for Nestle Inc. (OTC: NSRGY) in the Ukraine and Moldova.
His vision may add to a strategy that must address a "New Normal" when it comes to daily life. It's believed that because of the pandemic, more and more people will be looking towards telemedicine and treatments at home, and millions more who find themselves in lockdown and struggling with chronic pain and opioid abuse may find limited treatment options. WellnessPro® Plus may be a logical choice for people needing constant care.
WellnessPro® technology has helped thousands of people relieve their chronic pain and achieve a better quality of life without toxic side effects or drug interactions. And, their DeepPulse™ technology is making their products even better.
Innovation breeds success. And, Electromedical Technologies is leveraging its status as an industry leader and pioneer toward the future of bioelectric treatment. It's a position that can deliver both near and long-term rewards for the company and its user-patients.
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