# Astek Diagnostics Financial Model Point-of-care diagnostic device (Jiddu system) that confirms bacterial infections and antibiotic sensitivity in ~1 hour across four body fluid types (urine, CSF, effluent, blood). - Canonical: https://finamodel.com/startups/astek-diagnostics - Excel download: https://finamodel.com/startup-models/astek-diagnostics.xlsx - Category: Health-tech - Model type: SaaS ARR / Valuation - Funding round: Seed - Funding: $2M - Founded: 2023 - Geography: US-focused (pilots in Maryland/DC metro; pipeline includes VA, NY urology practices). - Customer: B2B ## About the company Astek Diagnostics is developing the Jiddu point-of-care system, which confirms bacterial infection and antibiotic sensitivity in about an hour across several body fluids. It aims to improve treatment decisions in hospitals and specialist settings. The model is classic medical-device razor-and-blade: a $10,000 device sale creates an installed base for $50 recurring test cartridges. Large MedTech distribution partners and outsourced manufacturing are central to the planned commercial route. The model should forecast regulatory milestones, device placements, cartridge tests per installed unit, pricing, and gross margin. Manufacturing, distributor economics, hospital adoption, and pre-revenue R&D burn must be scheduled separately. ## What's included - 5-year monthly revenue build with stage-appropriate growth assumptions - Full P&L, headcount plan, and operating-expense schedule - Cash-flow statement, runway, and burn-rate tracking - Valuation via exit multiple with a DCF cross-check - Returns analysis with MOIC and IRR - Unit economics including CAC, LTV, payback, and cohort retention ## Product & value proposition - Device name: Jiddu system. Automated point-of-care device with disposable microfluidic cartridges. - Current market focus: Urine - UTI confirmation + antibiotic sensitivity in 1 hour. - Roadmap sample types: CSF (meningitis), effluent (surgical site infection), blood (bacteremia) - timelines 2026–2028 per roadmap. - Hardware pricing: $10K one-time device purchase. - Cartridge pricing: $50 per test (recurring revenue). - Tests 5 antibiotics per run. - Total test time: ~1 hour (35-min cultivation + 15-min detection + sample prep). - Accuracy achieved: 96.97% on MedStar Pilot A. - Key differentiator vs. standard urine culture: 1 hour vs. 24–72 hours; vs. dipstick: 97%+ vs. 50% accuracy. ## Market - 8.1M UTI-caused hospital visits per year in the US. - $1.6B annual cost from mistreated UTIs requiring hospitalisation. - 47% of UTIs treated with inappropriate antibiotics. - 68,000 lives lost per annum from UTI-related sepsis. - AMR economic cost in the US: ~$55B per year. - No explicit TAM/SAM/SOM figures with dollar market sizing presented. No market-size slide in deck. - Comparable transaction comps imply the point-of-care diagnostics M&A market is active (purchase prices $191M–$2B for revenue-stage companies). ## Revenue model - Two-part razor-and-blade: 1. **Device sale**: $10K per Jiddu unit (one-time). 2. **Cartridge sales**: $50 per test cartridge (consumable, recurring). - Distribution: plans to partner with large MedTech players for distribution while keeping R&D in-house. - Manufacturing: outsourced to vendors (e.g., Key Tech). - Channels: hospitals, urology clinics, VA facilities, integrated health systems (pilots with UMB, MedStar, Johns Hopkins, Halo Dx, VA, Total Urology, Rio Grande Urology, Aceso). - No revenue recognised yet; pre-revenue / pre-FDA clearance stage. - Target: CLIA waiver sought (to enable non-lab settings). - Exit path: acquisition by strategic (BioMérieux, BD, Qiagen, Bio-Rad cited) post-FDA clearance. ## Traction & metrics - Pilot tests completed: 408 urine samples total. - UMB Pilot A (Jun–Dec 2022): 150 samples, 82.00% accuracy. - UMB Pilot B (Jan–May 2023): 208 samples, 95.60% accuracy. - MedStar Pilot A (Jul–Sep 2023): 50 samples, 96.97% accuracy. - MedStar Pilot B (Oct 2023–Jan 2024): 62 samples, "Alpha Verification" (accuracy TBD). - CSF proof-of-concept: 12 samples (Henry Jackson Foundation grant). - Effluent proof-of-concept: 12 samples (pending DOD contract). - Blood proof-of-concept: 59 ICU patients (NSF SBIR Phase 1 grant). - Scientific grants awarded: $1.4M (NSF, FDA, BARDA, NIH, Maryland Industrial Partnerships). - Investor capital raised: $2.6M (from Ayana Capital, Wexford Science+Technology, TEDCO, University System of Maryland Momentum Fund, Harvard, YC, notable angels). - Note: $2.6M investor figure does not reconcile with the redacted $XXM raised on slides 17 and 21 - the $2.6M may be the investor subset of total funding. - Revenue: $0 (pre-commercial). ## Unit economics - Device ASP: $10,000. - Cartridge ASP: $50 per test. ## Competition / moat - Current standard: urine culture (24–72h, lab-based) and dipstick urinalysis (50% accuracy). - Moat sources (implied from deck): - 4 issued/pending patents covering test algorithm, fluidic cartridge, reagent mix, rapid cartridge modification. - Clinical validation data from three academic medical centres (UMB, MedStar, Johns Hopkins). - Platform architecture (same device, different cartridges across 4 fluid types) creates switching costs and expansion optionality. - Advisory board with specialist clinical depth across urology, ICU, microbiology, infectious disease, regulatory. - Accelerator/incubator validation: YCombinator, J&J JLABS. - Named potential acquirers / strategics watching the space: BioMérieux, BD, Qiagen, Bio-Rad. ## Team & funding ask / use of funds **Team (slide 12):** - Mustafa Al-Adhami - CEO - Kevin Tran - CTO - Rick Faint - CFO - Scott O'Brian - CCO - Engineers, microbiologist, bioengineer, computer scientist on staff. **Advisory Board (slide 13):** 10 advisors covering urology, microbiology, neurogenic diseases, family medicine, intensive care, grantsmanship, regulatory affairs, infectious diseases, ICU. **Funding ask:** - Current round: convertible notes, amount redacted [$XXM]. - Pre-money cap: redacted [$XXM]. - Discount: redacted [XX%]. - Interest rate: redacted [XX%]. - BIITC incentive: investors in first $3.6M eligible for 33% Maryland state tax refund (up to $250K per investor). - Use of funds: reach Series A milestones - specifically Alpha Prototype (April 2024), Beta Prototype (Nov 2024), Clinical Trials (Jan 2025), FDA Clearance (April 2025). - Prior funding total: $2.6M investor equity + $1.4M grants = $4.0M confirmed; additional pre-seed/seed tranches implied but amounts redacted. --- ## Recommended financial model **Archetype + why:** Medical device razor-and-blade P&L + pre-revenue milestone/burn model, culminating in an M&A exit valuation using revenue multiples. The company is pre-revenue and targeting acquisition post-FDA clearance rather than standalone public-market operation. The model needs to: 1. Project the device install base and cartridge pull-through to estimate revenue at and after commercialisation. 2. Track R&D/operating burn through FDA clearance (the gating event). 3. Frame an exit value using the transaction comp multiples presented in the deck. A standard SaaS or subscription model is inappropriate; a 3-statement operating model is partially relevant but the exit/acquisition framing is the primary investor output here. **Forecast horizon & granularity:** - Pre-revenue phase (2024–2025): monthly burn/runway model through FDA clearance (April 2025 target). - Commercial phase (2025–2027): annual P&L + revenue build (device placements + cartridge volume). - Exit: single-year revenue run-rate × transaction comp multiple range for acquisition valuation (Year 1–2 post-FDA clearance). - Total horizon: 2024–2028 (4–5 years), monthly for burn, annual for commercial. **Key drivers & assumptions:** *Device placement (install base):* - Year 1 post-FDA (2025): 10 pilot/launch sites identified → 1 device per site initially = 10 devices placed; ramp to 50 in Y2, 150 in Y3 based on typical POC diagnostic rollouts. - Device ASP: $10,000. - Hardware gross margin: ~40–50% (outsourced manufacturing; typical for disposable-focused MedTech). No COGS data in deck. *Cartridge volume (pull-through):* - Tests per device per day: 5–15 (UTI is high-volume in urology/ED settings). Use 8/day base case. - Utilisation rate: 60% of capacity = ~1,750 tests/device/year at base. - Cartridge ASP: $50. - Cartridge gross margin: 60–70% (microfluidic consumables industry norm). *Revenue mix:* - Hardware revenue declines as % of total as install base matures; consumables dominate by Year 3. *R&D / Burn (pre-commercial):* - Monthly burn rate: $200K–$350K during clinical trials (common for pre-Series A MedTech with 9-person team + clinical sites). Not stated in deck. - Seed raise amount redacted; $3–5M seed round implied by milestone list (Alpha → Beta → Clinical Trials → FDA) and BIITC $3.6M threshold mention. - Runway target: 18–24 months from seed close to FDA clearance. *Exit valuation:* - Transaction comp revenue multiples: Low 3.8x, Median 9.7x, Mean 19.3x, High 59.5x. - Apply median (9.7x) and mean (19.3x) to Year 1 and Year 2 post-clearance revenue as base and bull exit scenarios. - Acquirer set: BioMérieux, BD, Qiagen, Bio-Rad (named in deck, slide 19). *Grant funding:* - $1.4M received to date; additional grants (DOD contract pending, NSF SBIR Phase 2) could contribute $0.5–1.5M in non-dilutive funding - treat as offset to R&D expense. **Scenarios (Base / Bull / Bear - which variables flex):** - **Base**: 10 device placements at launch, 8 tests/device/day, 60% utilisation, 9.7x exit multiple on Year 2 revenue. - **Bull**: 25 placements at launch, 12 tests/device/day, 80% utilisation, FDA clearance on time (April 2025), 19.3x exit multiple; additional sample types (CSF/blood) approved by 2027 adding 2nd cartridge SKU. - **Bear**: FDA delay to Q3 2025, 5 placements, 4 tests/device/day, 40% utilisation, 3.8x exit multiple; seed runway extended, requiring bridge financing. **Required sheets / outputs:** 1. **Assumptions** - all drivers in one place, clearly flagged vs.. 2. **Burn / Runway** - monthly cash burn from model date to FDA clearance; funding sources (seed raise, grants). 3. **Device Install Base** - annual cohort model of device placements; cumulative installed base. 4. **Revenue Build** - device revenue + cartridge pull-through by cohort; total revenue by year. 5. **P&L** - Revenue → Gross Profit → EBITDA (R&D, S&M, G&A); pre-commercial losses, first revenue year, path to breakeven. 6. **Exit Valuation** - revenue × comp multiple matrix (3 multiples × 3 revenue years) → implied acquisition price range. 7. **Transaction Comps** - static table from slide 20 (already structured; populate directly). 8. **Dashboard** - KPIs: devices placed, tests/year, cartridge revenue, gross margin %, burn rate, months of runway, implied exit value at median multiple. ## Frequently asked questions ### Is the Astek Diagnostics financial model free? Yes. The Astek Diagnostics model is a free Excel download with live formulas. ### Can I change the assumptions? Yes. The workbook is editable and its live formulas recalculate when assumptions change.