Diaceutics PLC (DXRX) Earnings Call Transcript & Summary

Good afternoon, and welcome to the Diaceutics PLC interim results investor presentation. [Operator Instructions] The company may not be in a position to answer every question received during the meeting itself. However, the company will review all questions submitted today and publish responses where appropriate to do so. Before we begin, I would like to submit the following poll and I would now like to hand you over to CEO, Peter Keeling. Good afternoon to you, sir.

Alex, thanks for handover, and good afternoon, everybody, who has joined. Thank you for tuning in to an update to our momentum at Diaceutics. We've spent a good amount of time over the summer months trying to reflect back on the feedback that we get from both these meetings and other meetings to really trying to enhance the story and explain our story better. So hopefully, some of the slides we take you through today will be the usual financial update, but we'll also incorporate a generous explanation and case studies of what we do. Without further ado, let me dive right in there. And obviously, at the top of the meeting, I just want to talk about the planned CEO transition, no doubt we'd come back to this in Q&A. And for Ryan and I, this has been a long journey in building Diaceutics alongside each other. He has been a fundamental partner to me in the journey of building the company, key architect of the pillars of growth in the business. And so there's sort of a natural transition for he and I to sort of can't hand over on the announcement this morning. That was one of an event for us. This is an event that was much kind of worked on over the years prior. We've also taken some note about strengthening the board, you'll see the addition of a recent nonexecutive director, Graham Paterson, who has experience on the transaction side, again, something that we see will form part of our future. And from my point of view, it allows, these shifts allow me to also focus on supporting Ryan and the team by building out our corporate development footprint of the company. Again, I will come back to this later in the conversation. Also coming back in the conversation will be more detail around our results highlights and Nick Roberts, our CFO, who joined over a year ago, will be able to take you through this in more detail. I just want to sort of paraphrase that the momentum that we are seeing in our business is no accident. It really is the result of the endeavors over the last couple of years, both in launching the platform and enhancing our sales and marketing capabilities and then innovating into new products and new features of those same products. And you can see here that the reward for that is building revenue, building growth on both building our recurring revenue into the platform. We'll expand this in more detail. And one of the key features of our business is our focus on our customers and our customers continue to grow, but we also continue to serve 21 of the top 30 global pharma customers and which we're very proud of at the company. And I want to just -- for a couple of slides, just take a step back and remind everybody of what it is that we do and what are we doing it with. And at the top of the slide, it says we help pharma find patients. And at its pinnacle, that's exactly what we do. And I'll explain on a slide or 2 why that's important. But how we do it is by the capabilities of 3 unique assets: Assets that we have grown, innovated, grown and protected over the last decade or more. The first is a lab network, a unique lab network of laboratories engaged with the frontline precision medicine who are working with us, not only to provide data to us, but also to really change testing really quickly at the front line. Our data repository, which has been amassed again, over a decade consists of some of the most important laboratory data around patients operating in the marketplace today. We believe it's the largest repository. We are testing data and exactly something that has engaged our pharma customers into kind of subscription platform business. And the last is our platform itself. So part of everything that we've been doing is integrating our data, our lab network into a platform that allows us to scale in step with the precision medicine market that is absolutely on the move. I'll talk about that also in a second. And you see here on the slide is, obviously, those who know us will recognize the work that we're doing for our pharma customers who are -- who pay us to find more patients, find more patients, daily identified patients that otherwise would be lost to their treatment. And the return on investment to that is very considerable. But obviously, labs are a fundamental partner for us in the business. And you can see there on the slide, the value that we're offering to those same labs, equally to the physicians that are supporting and that are ordering the testing is real value, and we're delivering value through our labs back into those positions and helping them be more accurate testers and more comp treaters, if you like. And last but final means lease for the patients themselves. Since January of this year, we've identified some 46,000 patients who would -- who could and should be treated in a different way than they are ever going to be treated as a result of the work we are doing. So you can see the stakeholders right across the desk of what we're doing, are gaining value by the work that we're doing at those assets. And many of you will know about precision medicine, and I'm not going to report to give a lecture on that. But safe to say that 25 years ago, precision medicine started with 1 drug and focusing on a subset of patients in breast cancer. Today, precision medicine puts its arms around some 200 drugs on the market and over 1,000 drugs that are coming to the market where a diagnostic and the treatment need to be integrated together. There are some clear market leaders [Technical Difficulty] in the U.K., but also there are companies right across the pharmaceutical competitive marketplace who are wakening up to the real benefits of reintegrating diagnostics and treatment back and together into their business model. This is a market that's been slated to grow by considerable volumes. And again, you can see that underpinned in our own business. I just want to phrase the challenge that we address here. So once the precision medicine market is growing in terms of the numbers of treatments, there is a problem underpinning this, and that is that the diagnostic ecosystem of the diagnostic pathway for these patients, in many instances, very, very inefficient. So inefficient that we're using our own data and collaborating with some of our clients, a benchmark that is some 64% of patients are not getting access to these drugs. That's a stunning statistic. Given the many billions that have been poured into developing these drugs to see that they're being actually being denied to the patients who deserve them most. We solve for that problem and we solve for that problem by using our platform, of using our data, using our lab network to really identify those patients and bring them back into the treatment -- into the treatment pool. For our patients, that's an obvious benefit. But for our pharmaceutical customers who have been traditionally losing some $5 billion for therapy to really regain some of those patients back on to drug drives return on investment. Practice Gaps is what we describe them is the umbrella term for all of these issues, and we really focus on solving for those issues. Diaceutics and a system-based play in health care is never something that you do overnight. And that has been through a year -- actually it's over the last 18 years, we would have been deliberately building and laser focused on building the fabric of a company that can scale and create system-level teams. You can see on this slide the milestones that we've built along the way. Most recently have been the launch of platform and the launch of some of the most innovative products in the industry. I'm going to pause here. I'm going to hand over to Ryan, who will take the presentation and lead the company from here. Ryan?

Thank you. Good afternoon, everyone. Ryan Keeling, CEO designate of Diaceutics. I want to take a moment just to focus on the business as it sits today and then talk a little bit about the future. So today, we have 161 people spread across 15 countries. We currently work with 21 of the top 30 global pharma customers. And that's not entirety of our customer base, but the mix of a large part, the majority of what we do. We're very proud of the customer base.

Sorry, Ryan. We've just lost your audio there. I'm just going to refresh your browser. Ladies and gentlemen, bear with me as I just reconnect the Teams audio. [Technical Difficulty]

While we wait for Nick to reconnect, we'll come through. Ryan, we've got your mic open. If you want to say a few words, so we can pick it from there, please.

Many apologies, and sorry if you didn't get too much of the previous piece there. But in the interest of time, let me push on. So 2024 onward, you'll hear the areas of opportunity for Diaceutics: significant growth, a growing market opportunity, precision medicine is growing and we'll talk to this in a moment. We are positioned for scale. A lot of the investment we've made in technology, in data and people is coming to fruition as it pertains to that opportunity for scale in our business. We have multiyear enterprise-wide engagements. As you can see therefore, but that's continuing to grow and is the ambition on all of our accounts to grow them into an enterprise-level engagement. We have the opportunity to grow beyond oncology. Today, our team is very oncology focused. It's not exclusively so, but [Audio Gap] we currently work, of course, in [ chronic ] Pharma. There's opportunity in biotech, other life science and payers. We have consolidation opportunities in EMEA. And all along the way, we're evolving the product and building on our platform to give us of many different things for one of these, an earlier entry into pharma. So Peter talked to the kind of core of our business being around helping pharma find patients. And I just want to touch on our key opportunities, key drivers of the business. We have strong competitive advantage through a very unique assets in our global lab network, our data, our platform. We have a compelling value proposition that's clear, not just for our pharma clients but for labs, physicians and increasingly with patients. We have a significant and demonstrable ROI on our platform. We believe that and can demonstrate that every $1 invested in DXRX can return at least $100 back to our customer. I'm going to walk you through a case study that chose that in a moment. We have financial strength, high margin order book, which is growing and has significant visibility into future years. We have our blue chip clients, 3-year CAGR of 23%. We're fully funded to execute on our growth plans. We do not need to raise funds in order to execute this plan. And again, our enterprise-wide deals are driving revenue into the business. Track record. We've been in business for 15 years. We are absolutely thought leaders and experts in PM and diagnostic commercialization. We have a proven track record, an embedded and trusted PM partner in 21 of those 30 global pharmas. Our solution lineup as it is today at the end of H1 this year really split into 2. We have our platform solutions in the blue boxes on the left and our advisory services on the right. On the left, we have Insights Solutions. This is predominantly our data play. And we have data products, which are in the lab, physician, and particularly, I want to talk to the DXRX Signal, which is our latest and Vanguard product for Diaceutics. It's very much leading the way as we drive toward recurring revenue and growing our customer subscriptions. On the right of platform, we have our engagement solutions where we're leveraging the data predominantly, but also our laboratory network to build different channels and marketing communication tools to ultimately leverage our data back into the marketplace. What does that mean? It means that on the left-hand side, we might be able to identify patient eligible for a therapy. On the right-hand side, we can take that data and we can push it on our lab channel to try to intervene and deliver some education content, et cetera or general marketing and to assist in bringing that patient online. Our advisory services are to the right here. They're critical to our business. They are absolutely lifeblood to our pharmaceutical clients in terms of -- typically, we start them here. This is about having them understand the world that is ahead of them as it pertains to bring a new therapy to market with a diagnostic. That's a great asset for us also from a business development perspective to really understand and help our clients understand how they need to go by commercializing their therapy and our advisory services is critical to our business. So I want to talk through a case study here. So again, just a reminder, DXRX Signal is our service, whereby we provide data to a pharmaceutical company who has a need to understand where there might be patients that are eligible for their therapy. And when I say where, I mean we can identify the physician, the doctor who is treating a patient. And because we have access to the laboratory data for that patient, albeit anonymized, of course, we can provide what is also known in the industry as an alert or a trigger. We call it a Signal and to that pharma client so that they can then pass it out to their field team, their sales team, their field representatives in order to go and talk to that physician about the opportunity to put that -- this patient on to that particular therapeutic. Typically, that means that they are providing some education and awareness, et cetera. But the critical piece here and where this really shines as a model is where you have a very rare disease or where you have a very competitive market where it's critical to try to get to that patient very quickly or where the patients show up so rarely that it's a bit of a needle in a haystack to find them. On our data, it has been proven time and time again to be the best way to find these rare disease patients, rare cancers and others because in those instances, it's not so much about which doctors we should talk to, it's when should we engage. And if AR data is coming into us daily, we can literally have data to our customers the next day, telling them where these patients are with enough time that they can still intervene and bring a patient on to drug. Just looking at the numbers on the right here, a quick case study around NSCLC. This is lung cancer, non-small cell lung cancer, and there's a particular subset of lung cancer patients who have a genetic mutation called KRAS mutation in a portion of that gene called G12C. And we have visibility of around 15,000 of these patients tested over 12 months. And that equates to about 291 patients tested per week. Of those patients, we see around 1,300 positive per year, which equates to 27 patients positive per week, okay? So we're right on to a scenario where we can tell the pharmaceutical company where there are 27 positive patients per week. That number seems small. But when you think about the opportunity in the revenue generation to the pharma company for 1 patient might be GBP 200,000 per annum. Finding 27 per week, quickly started to get to be some significant value back into the pharma company. And therefore, we can demonstrate through the data that we provide, we know the additionality that we're bringing to that pharma client in terms of new patients we're finding. And the response we get is really startling as it pertains to the improvement in the ability to find these patients and get them on to drug. It's a great patient story. It's a great story for the physician because they're treating with more information and potentially putting patients on therapies, they may not have otherwise thought of. And obviously, it's a great thing for the pharmaceutical company as they are able to really drive ROI on the back of this data. When we have presented to our investors, to other groups and assets, typically myself, Peter, Nick, et cetera, who see, but we really want to emphasize that Diaceutics is growing, and we have a very strong leadership team, which you can see on this slide. And not only are they individually strong but collectively strong. And they come from industry partners: GSK, LabCore, QV, Optum. These are names that we are engaging with every day, some of them are customers, some of them are partners. And to have people in our team who come from this background is really driving opportunity and change in Diaceutics. We are incredibly proud to have them part of the team. Our strategy is evolving, and there really are 4 pillars here that we are focused on at this time. We want to continue to enrich our data on platform products. The Signal product I just talked about, so we launched a daily version of that this year. So instead of you getting the data weekly, we can now give it to you daily. And there's an upsell opportunity in pricing, obviously different pricing for daily versus weekly. All of our data is tokenized as it comes into us. I'll talk a bit more about what that means in a moment. But it's suffice to say that allows us to scale. It also allows us to add in more data sources than perhaps we would originally, and we can talk to other data providers at a need of level in our data. We have a European Signal development, and we're already piloting that in Europe with more to come this year. Talks to the expansion, not just on the product features, but also the geographic expansion there. Our lab network continues to grow and become key to us, not just as a data source that has been historically, but also as an engagement channel for us, where we can leverage the labs, sweat that asset further than we -- and more than we had in the past to really start to push information backed on to lab with a view that they might be best placed to disseminate that to physicians. All of this is enabled through the platform with scale and capability, efficiency, automation. We're using -- increasingly using AI for tasks previously would have been very manual in nature. One of the key areas for us is the data coming in is inherently messy data. It's challenging to work with. It's not well formed. And what was previously something that we have to do manually with a team of clinical experts within Diaceutics. Now we can treat in a model and have natural language processing, large language models. It's doing a lot of our work for us. That functionality, that automation is enabling product such as the Daily Signal. We wouldn't be able to do that if we weren't able to -- we have invested in some of that automation. A big thing for us in Diaceutics is the level of customer experience we have. Our pharma clients are very sophisticated. They love our data, but they also like the fact that we are in our own right experts, we can explain the data. We can work with them to understand new and exciting use cases around that data. This year, we've implemented dedicated customer account teams. So we're more plugged into our customers than we've ever been. We listen to them. We work with them, we build for them and can launch product off the back of that. And as a result, we're being rewarded, we feel with enterprise-wide engagements. And we really want to drive towards becoming that primary commercialization partner for pharma or biotech for launching a precision medicine. The word there being a partner, that's an evolution for us. It allows us to do other things that we aren't doing today and is a big part of our future plan. With that, I'm going to hand over to Nick Roberts, our CFO, who will talk you through some of our financial metrics. .

Thanks, Ryan. And apologies, everyone, for the technical glitch. I want to talk to you about a couple of slides and obviously welcome any questions you might have on the financial health of the business and performance for the half. Firstly, I want to start off with the strength of the business and really build out that investment case that Peter and Ryan have so eloquently put some detail around. So as a technology provider to the pharma industry, we are positioned as high-growth and high-margin. And in addition, we have a really strong balance sheet, GBP 17.9 million in cash as at the end of June and are fully funded to execute against our high-growth strategy. And on that strategy, and I'll illustrate this in a bit more detail, we continue to deliver. That's both in transition and an increase in recurring revenue and securing larger what we refer to as enterprise-wide engagements. That's whereby we work with a pharma customer and across 3 or more of their therapy assets. So we've increased that to the end of June. We had 4 enterprise-wide engagements now and they're worth now $20 million. Let me talk to you a little bit about the financial performance for the half, which has been really promising and in line with our expectations. So we've seen the recurring revenue grow 66% to GBP 4.6 million in the period. That's on total revenue growth of 32%. Revenue for the half was GBP 9.9 million, up from GBP 7.5 million in the comparable period. In addition to the significant increase in recurring revenue and in revenue growth, it's really pleasing to see continued order book growth as well. So the order book grew 43%. It was GBP 24.1 million as at the end of June and positions us really well to deliver on the rest of this year but into future years as well. And just to highlight, within that GBP 24.1 million of future contracted revenue, 94% recurring, so that's GBP 22.7 million, a significant proportion. And that's going to help us deliver on our continued transition to being a platform-based recurring revenue model. Highlighted in the interim results and in earlier results is our ambition to grow to 70% of our revenue recurring in nature by 2025 and ultimately, 80% in the years thereafter. I mentioned high gross margin. The gross margin for the half was 88%, up from 84% in the comparative period. And I mentioned already the strong cash position. A couple of finance metrics, not on this slide, but worth just taking a moment to talk about. The EBITDA was a small loss of GBP 200,000 against a profit of GBP 300,000 in the comparative period. Again, this is as expected due to our accelerated investment in our strategy and is in line with management expectations and indeed, the consensus guidance in the market. You might remember back in January, we announced the accelerated investment in our strategy. Some of that investment materializes in the form of additional capitalization. So that's predominantly data spend. That's up to GBP 1.8 million in the half, and we expect that to be around GBP 4.5 million to GBP 5 million for the full year. But some of it, of course, flows through as additional cost base. And we are investing in the business now to secure that top line growth. We have a revenue CAGR over the last 3 years of 23%, and we are investing now to secure 20% plus top line revenue growth going forward. The EBITDA loss was, I guess -- sorry, worsened slightly by FX losses. We saw sterling appreciate against the dollar in the half. It rode back since then. So those losses are -- we're hoping are going to be spend and potentially reverse. But that's just part of our business model. Just to remind you, roughly 80% of our revenue is in U.S. dollars, so heavily focused in U.S. dollars. In addition to the EBITDA, we saw a slight widening in our loss before tax and cash outflows, but again, both in line with management expectations and in line with the consensus guidance. And of course, just to highlight, those investments are key to us realizing our growth potential going forward. And we finished the half, as I mentioned, strong balance sheet, I think really important in this economic climate to highlight: no debt and cash balances of GBP 17.9 million. . And I'll just take a moment to talk about some of the operational highlights as well. Since we announced our accelerated investment in our strategy in January of this year, we continue to make really good progress in the half against that. Some of the key areas, enriching our data and product offerings and investing in our platform scale and capability. Ryan has already talked to this, but just to highlight again, the launch of Daily Signal, tokenization of our database and embedding AI technologies such as natural language processing is really helping us optimize and being able to scale our data solutions and our engagement solutions to our pharma customers. We have now over 30 Signal products with our pharma customers and a high renewal rate in the period. We've highlighted on this slide, 86% Signal renewal rate. That was on relatively low numbers in the period, and we expect to continue to report that metric and for it to go up over time. And just to highlight also, we service 50 therapies across 37 customers. We continue to increase that period-on-period and now have 33 therapies under management with a lifetime revenue over USD 1 million. We've continued to accelerate our lab network engagement and growth, relatively modest increase in the number of labs on network in the period up to 900. But I think really important to highlight that just after the period end, we launched a U.S. virtual live event. There were over 1,000 participants on the day that is a perpetual live event as well. So participants can go back and reengage with the content as can new participants. And we see that as being a huge draw for lab engagement and lab recruitment going forward. So we'd expect to see that lab -- 900 labs on network accelerate into H2 this year and into 2024. And really, just to reiterate Ryan's point earlier, we continue to look to transform our customer experience and service. We've invested in our account teams, recruiting experts within precision medicine, but also data analysts to be able to nurture those customer accounts, bring them on, bring on new therapy teams and also look for cross-sell opportunities within our pharma customers. We have 9 account teams and up to 161 staff, including 4 VPs really adding to the strength and depth of the management team. And that was all done in H1 of this year. And we'll continue to build on those teams and that expertise. . I'll pass over to Ryan now just to talk about the outlook.

Thank. You, Nick. This is our last slide, and I just wanted to take a moment to reaffirm some of the things that we've talked about and really look at that outlook on future growth. Where we are as a business today, we are very focused on capturing that significant and growing market opportunity. Hopefully, everything you've heard today talks to high, the different investments we've made, the strategy we have is all coming together. It's culminating at a time when we feel the market is there for us, and we're positioned to scale rapidly and profitably now going forward. Our multiyear enterprise wide engagements are a initial view into what that world can look like for us, where we have recurring revenue, providing good visibility, continuing growing high margins, et cetera. We have the opportunity to grow beyond oncology, obvious what that would mean for us. But we have therapies, we have brands, we have clients beyond what we would call our core business today is both. We then reached [ 9 ]. We've made those investments. We've been able to automate the data. We have done a lot of the scale preparation to really properly push into other therapeutic areas that have not been the norm for us to get. We have expansion beyond our current sector of just pharma into biotech, other life science payers. We have consolidation and growth in the EMEA and other markets where we're still growing. In fact, we're still growing in all markets. Our platform solutions continue to grow. You've heard there about Daily Signal, Engagement Solutions. These are new enhancements, new features, new opportunities to reengage with our customers, have them take more from us or indeed fill in the gaps for those who might not have been working with us previously. And opportunity to get earlier entry point into pharma. We didn't talk a lot about this, but a lot of the data capabilities we have, which are applicable post marketing, post launch of a drug are really enabling and useful to pharma at the earlier stages of their clinical program. So sitting today, we have a highly scalable platform. And that platform called DXRX, but also does, as a whole, can deliver upwards on $100 in additional therapy revenue for every dollar invested via the platform. We have all of these other things coming toward us and amalgamating into an opportunity that is very present, very much in the noise and allows us to be very bullish and confident in the outlook and future growth for Diaceutics. Thank you for your time, and we're going to now move to some Q&A.

Peter, Nick, Ryan, thank you very much indeed for your presentation. [Operator Instructions] Peter, Nick, Ryan, as you can see, we have received a number of questions throughout today's presentation. And if I may start the Q&A session with the following question. Have you completed the investment required and will future revenue growth translate into accelerating profits?

Yes. Thank you. And it's Nick Roberts, I'd like to take that question. So the short answer is no, but we're making really good progress. So you might remember back in January, we detailed some of our accelerated investment plans. As part of that, we detailed that over 2023 and 2024, we'd see a free cash outflow of around about GBP 7 million over that period, but not going -- not taking our cash balance below minimum cash holdings of GBP 12 million. Some of that spend, as I mentioned earlier, is capitalized spend and that's really important spend on data, acquiring the right data assets for us to be able to derive these really important insights and then commercialize that with pharma. And part of that is accelerated investment in our cost base, predominantly people, some of it technology. That will continue through 2023 and 2024. To give you an idea of quantum, we expect to see the EBITDA margin come back slightly to around about 10% to 12% through '23 and '24. Thereafter, we'd expect it to release again increase back up as we start to realize that growth and scale. So really important to say that this investment is very focused, it's very disciplined. A lot of the spend this year has been gated and is dependent upon revenue growth. But that revenue growth has been strong as we've seen earlier. So we've decided to carry on investing in the business to make sure that we maintain that 20% plus top line growth and secure the biggest opportunity possible with our customers.

Perfect. And perhaps one for Peter. What will Peter be doing in his Executive Director role?

Yes. Thank you. I think the best way to answer this is to look at what's going on in precision medicine. And those who follow this space will recognize the dynamic energy that I think is coming into precision medicine, not just by the pharmaceutical industry, but payers revisiting high diagnostics will help them manage costs and patient impact and the role of diagnostic companies, the role of big data companies coming into the space. All of that really surrounds Diaceutics in the world that we're in. And what we've identified here is an opportunity to take what we built at Diaceutics and really drive impact at a larger scale. And to do that by handing over the reins to Ryan to drive forward the core business, it also allows me to focus on exploring what those partnerships might look like for Diaceutics, how we can take what we've done and overlay it with the channel and the capabilities of others to really drive impact -- another key component are potential acquisition opportunities, things that will complement and can be bolted on to the side of our business. Again, having this space and the executive capability to go after and look at some of the things that I will focus on obviously taking the lead from Ryan and the executive team and what the priorities to the business. But hopefully, that gives some definition to the role that I will then spend my time on.

And the next question is, who will be taking up the important role of CIO and what are their credentials after Ryan moves on to the CEO position?

Yes. Thank you. I'll take that. So obviously, one of the advantages of how we have organized this transition is that either we've been planning it for years and we've been carefully selecting the right people to come into the business to ultimately allow me to move to this role, but also succeed in the role behind me. So we have, as part of the personnel that we've had through not just this year or previous years, we brought and strengthened the business from a number of VPs that have product, marketing and other relevant skill sets as part of their core. Specifically, we're going to make some changes at our executive team. And we're going to bring some -- create a new role on the executive team, a Chief Commercial Officer. And one of our existing colleagues is going to take on Chief Data Officer. So there's a business splitting up my responsibilities across those 2 ExCo colleagues. And they will be, in turn, supported through the new VPs and other hires that we've made across the business. Again, we've been doing this, building the strategy here to enable this for quite some time. And it's 1 or 2 pieces left to put together, which we'll do here through quarter 4.

And the next question is, are you seeing incoming inquiries from those 9 majors that are not users of the platform?

Yes. So, it's Nick Roberts. So I'll answer that. I think what we're referring to here is we detail, we work with 21 of the top 30 global pharma companies which is a great number. So putting in a slightly different way. We're working with 18 of the top 20 within North America and Europe. So a very strong presence in what I would say are our really strong and consolidated deals of expertise being across Europe and North America. Interestingly, the 2 we're not currently working with, we have worked with in the past and are actively engaging to try and move them on to more platform recurring multiyear revenue. Of the global top 30, as you can imagine, there's quite a few in Asia, including China. Those are areas we're looking to expand into. We do work with some large pharma, particularly in Korea and Japan. But there is work to do there, I think, expanding our customer base in Asia, and we'll look to do that as we build out our capabilities.

Perfect. And the next question is, when do you expect to see an acceleration in revenue per brand from the current 8%?

Yes. So again, I'll take that one. I think it is right to say the 8% is modest. I think what we've seen is the number of brands we're working with increase. And that's really important for us alongside having -- building out an order book and a shift to recurring revenue. Yes, we want to build the revenue per brand. That is really important. But we also -- we want to increase the number of brands we work with across pharma. I mentioned those 4 enterprise-wide engagements. They're really important growth proof points for us as we continue to grow, and we'll look to extend that and add more enterprise-wide engagements, 5, 6, 7 over time. What we are looking -- immediately looking for as part of the account team strategy is to consolidate our existing customer base and expand out in the number of therapy teams that we are working with, within pharma. We will, of course, look to increase the number of brand per therapy, and we do that through adding additional inside data product. but also where we're not offering engagement and advisory solutions to expand out into those additional areas, and that's going to add and increase the spends or the revenue per brand over time.

And perhaps one last question here from Matthew. Do you expect to be able to continue growing rev per brand over the long term? If so, what are the potential drivers to achieve this?

Yes. So I think I partly touched on this with the prior question. But let me just expand on it a little bit. There was a slide earlier in the deck, which showed our 3 areas of product offering, what we call our verticals internally. Our enterprise-wide deals have, at this point, exclusively been within the insight, the data fields and really driven by the signal product and the upsell opportunities that are in there. I think what we're seeing by -- through pharma, and I think what Peter articulated really well earlier, is that pharma are looking for the next digital opportunity to help commercialize their drugs. So where Signal is a very good product at highlighting where a lost patient opportunity is for our customers. Normally, our customers are relying on deploying field reps in the U.S. to go and call on physicians to try and get them to prescribe their drug. We're offering from our Engagement Solutions and digital communication channel through labs, through our affiliate physician network to try and offset some of that rep field force and get more physician, I guess, prescribing rates up. And so I think that is naturally the area we're going to look to try and drive. We've seen good engagement solution revenue growth in the half compared to the comparative period. And we'll continue to drive engagement solutions. Those solutions have been built over the last year or so, and we're really looking to push forward with commercializing them.

Perfect, Nick. And that wraps up the Q&A session. Thank you for addressing those questions from investors today. And of course, the company can review all questions submitted today, and we will publish those responses where appropriate to do so. But before we direct investors to provide with your feedback, which is particularly important to the company. Ryan, could I please ask you for a few closing comments.

Yes. Just, first of all, thank everyone for attending today. Sorry, there was a bit of audio issue in the middle, but we feel this is a great set of results for the business. and not only in terms of our financial metrics, but also on what we've been able to achieve in the half. As I said previously, we feel we are very specific class in our business evolution where everything is coming together. We feel that we have a robust and scalable model and on the client list that is growing. I'm very eager to work with us, a great team coming together and well supported financially in terms of the plan that we have and the growth that is sitting in front of us. So all those who come together for me coming in as effectively new CEO. I couldn't ask for a better strategy and on a more robust set of building blocks to drive forward. And my goal and the goal of the team back at base is to not just drive to where this organization needs to go, but to do that swiftly and really deliver on our promise to patients because that, at the end of the day, is absolutely at the core of everything we do. Thank you, everybody.

Perfect. Ryan, Peter, Nick. Thank you once again for updating investors today. Could I please ask investors not to close this session as you will now be automatically redirected to provide your feedback in order that the Board can better understand your views and expectations. This will only take a few moments to complete and I'm sure it will be greatly valued by the company. On behalf of the management team of Diaceutics PLC, I would like to thank you for attending today's presentation, and good afternoon to you.

Thank you.

Thank you. Bye-bye. .