Control Bionics expands into bigger market
Control Bionics, a company that specializes in assistive communication tools, is expanding its market presence through strategic partnerships. CEO Jeremy Steele, with a background in investment banking, recognizes the challenges of gaining a foothold in the US medical device market. Initially, the company took a direct-to-retail approach with its Neuronode product, but has since shifted to selling through large, specialist partners to streamline insurance payment channels.
The company has signed up two major partners, Tobii Dynavox and PRC-Saltillo, which specialize in assistive communications products. This partnership provides Control Bionics with a combined salesforce of 250 people and faster payment processing. Steele notes that the company’s previous direct-to-retail approach resulted in wait times of one to three months for payment, whereas the new partnership allows for more efficient payment processing.
Neuronode and Neurostrip
Neuronode is a watch-sized, wireless, neuro-electric sensor that enables people with disabilities to control communication and movement using their own brain-to-muscle electrical signals. The device uses surface electro-myography to capture and process neuro-electric signals into electronic commands.
Control Bionics has also developed Neurostrip, a miniaturized version of Neuronode that measures physiological data such as unintentional muscle movements. Neurostrip is sold on a software-as-a-service basis and generates a significant amount of data that can be used by existing customers and for future third-party uses.
Market Opportunities
The company believes that about 50% of rehabilitation patients could benefit from surface electro-myography, and is targeting the US market with its Neurostrip product.
In comparison to similar situations, the use of electro-myography technology in rehabilitation and sports performance is not new, but Control Bionics’ approach to making it more efficient and effective is notable. The company’s ability to provide a streamlined and user-friendly solution for patients and athletes alike is a key differentiator in the market. As the company continues to expand its market presence, it will be important to monitor its progress and see how its products are received by the market.
Financial Performance
Control Bionics reported June quarter receipts of $1 million, taking the 2025-26 financial year tally to $5.28m. The company’s net cash outflows for the June quarter were $1.6m, with a full-year deficit of $5.7m. In June, the company announced a $9.5m placement, which was done at 7.5 cents per share, a 14.5% discount. The company’s shares have vacillated between 3.2 cents and 9.3 cents over the last year, and the stock peaked at $1.24 on listing day.
The company’s financial performance has been impacted by the challenges of accessing National Disability Insurance Scheme funding for Neuronode in Australia. About 90% of local Neuronode sales are funded by the scheme, and the company has $1.1m of customer receipts awaiting approval or submission. Despite these challenges, the company expects material revenue growth in the current financial year, driven by the ramp-up of US distributor sales and the growth of Neurostrip.
Outlook
Control Bionics’ CEO Jeremy Steele is optimistic about the company’s prospects, citing the demand for Neurostrip and the potential for the product to be a bigger opportunity than Neuronode.
They are focused on expanding their market presence and increasing revenue. The company’s products have the potential to make a significant impact on the lives of people with disabilities. Jeremy Steele and his team are working to ensure that their products are widely available and accessible to those who need them.
The company’s future plans include continuing to develop and improve their products, as well as expanding their partnerships and distribution channels. They are committed to providing high-quality products and services to their customers, and to making a positive impact on the lives of people with disabilities.
Control Bionics’ products have the potential to transform the way people with disabilities communicate and interact with the world. The company’s commitment to innovation and customer satisfaction has positioned them for success in the assistive technology market.
