Concussion healthcare player HITIQ wins contract for 2022 Rugby League World Cup

HITIQ (ASX:HIQ) has today revealed it has won a contract with the organisers of the 2022 Rugby League World Cup to provide concussion management services to all three branches of the contest; including men’s, women’s and wheelchair teams. 

The news comes as another big development for the smallcap, which has been flying under the radar for the most of the year and not particularly shining bright through a risk-off macro environment. 

This may be surprising, given that in mid-July, the company announced it had won a similar contract from the Australian Football League, which saw the AFL renew for 2 years a contract utilising the company’s ‘CSX’ concussion tech. 

CSX a flagship product offering 

CSX is a diagnostic assessment solution which is used to detect concussion in players after hard falls or tackles. However, it’s worth noting the CSX tech was not considered “material to overall revenues.” 

Regardless, HITIQ will now go ahead with providing concussion management to the Rugby League World Cup—though, once again, the monetary impact is not considered “material to overall revenues.” 

What exactly HITIQ is charging is unclear (it describes the agreement as sensitive) but its intentions are perhaps revealed through one note the company makes today. 

Exposure the name of the game 

“The event will showcase HITIQ concussion management technology to global rugby league markets,” the company noted.

“HITIQ’s world leading CSX concussion management technology will be showcased to a global professional rugby league world market at the world cup tournament.” 

“All 32 competing teams will use HITIQ technology to record all head injury events, provide a defined structure for assessments, and manage return to play protocols.” 

Executive management shared the same sentiment on a direct basis. 

“HITIQ is pleased to be selected as partner at such an important competition,” company CEO Mike Vegar said. 

“We look forward to developing a close association where our concussion management technology can be used to advance player welfare at the world cup, and more broadly in other rugby league competitions around the world.” 

Getting feet in doors 

It goes without saying contracts with the AFL and the Rugby League World Cup bring a certain amount of clout with them, and this could be the kind of demonstration of capacity that will allow HITIQ to aim for higher-level clients in the future. 

Who those higher level clients would be, exactly, remains up for speculation, but the company does note on its website that it also targets defence entities in marketing its concussion management solutions. 

The company provides diagnostic solutions as well as virtual reality (VR) based assessment tools, as well as monitoring and rehabilitation services. 

Despite inroads, rough year for HITIQ 

Despite strong moves made this year, HITIQ has failed to win the market’s favour as a darling stock, with performance this year suffering under the weight of a risk-off macro environment. 

One week returns up 2.00% but YTD performance is down -67.10%.

HITIQ first listed in mid-June of 2021 at 20c but has since receded to 5.1c, including today’s 13% jump. 

It finished off the June quarter with $2.9m in cash; in its financial statements posted to the end of June, the company posted revenue of $0.61m.

Probably not helping muster consumer sentiment is that it posted a loss of -$6.9m.

A look at HITIQ's six month charts with volume information underlying