PetVivo revenue growth accelerates as AI platform slashes customer acquisition costs

PetVivo Holdings reports a 13% rise in first-quarter revenue amid tighter cost controls and a booming AI platform, while eyeing key acquisitions and Canadian market expansion.

PetVivo Holdings said first-quarter revenue rose 13 per cent year on year and 33 per cent from the previous quarter, as a larger sales force and tighter focus on its Spryng line supported demand. The company also reported a narrower net loss, down 30 per cent, and a 40 per cent reduction in cash used in operations, suggesting some improvement in cost control.

Gross margin increased to 66 per cent, although management said the figure was still diluted by sales of the discontinued VetStem product, which made up about 40 per cent of quarterly revenue. Garry Lowenthal, the chief financial officer, said Spryng itself is running at a 90.3 per cent margin and that the group expects margins to recover further as sales become fully proprietary.

Strategically, PetVivo is banking on several catalysts. It expects to close its PiezoBioMembrane acquisition soon, adding intellectual property and potential access to grants and tax credits. The company also said Health Canada has recognised Spryng as a veterinary medical device, opening a route into a Canadian animal health market it says could exceed $4.4 billion by 2031.

Management added that PetVivo.ai, its artificial intelligence platform, has cut customer acquisition costs by 50 to 90 per cent in beta testing and achieved 97 per cent diagnostic accuracy, with a commercial launch due in the coming months.