Can CONNEQT Sustain Rapid Sales Growth Amid Production Challenges?
CONNEQT Health’s Pulse arterial health monitor sales have outpaced expectations with over 200% growth in the December quarter, driven by efficient marketing and early subscription uptake.
- December quarter sales exceed 200% quarter-on-quarter growth forecast
- Record daily sales and strong Black Friday performance
- Lower advertising and customer acquisition costs improve margins
- Early adoption of Care+ subscription plans supports recurring revenue
- Momentum expected to continue into March quarter with U.S. market expansion
Strong Sales Momentum
CONNEQT Health Limited (ASX – CQT) has reported a remarkable acceleration in sales of its CONNEQT Pulse arterial health monitor during the December 2025 quarter. The company’s sales performance not only met but exceeded the ambitious 200% quarter-on-quarter growth forecast presented at its recent Annual General Meeting. This surge reflects growing consumer interest in cardiovascular health technology and validates CONNEQT’s strategic positioning in the competitive medical device market.
Marketing Efficiency and Consumer Adoption
Key to this success has been CONNEQT’s ability to reduce advertising and customer acquisition costs, signaling improved marketing efficiency and higher conversion rates. The company achieved multiple record daily sales and capitalised on the Black Friday shopping period, which contributed significantly to the quarter’s strong results. These factors suggest that CONNEQT’s brand is gaining traction, particularly in the U.S. consumer health market, where the company is actively expanding its presence.
Subscription Revenue as a Growth Driver
Beyond device sales, CONNEQT is also seeing promising early uptake of its Care+ subscription plans via the CONNEQT app. This development aligns with the company’s broader strategy to build recurring revenue streams, which could provide more predictable cash flow and enhance long-term shareholder value. While specific subscription revenue figures were not disclosed, the positive initial response indicates potential for this model to become a significant contributor to future earnings.
Looking Ahead
With the company entering the second half of FY26, it is focused on scaling production to meet ongoing demand and further improving marketing initiatives. Seasonal demand factors and continued brand strengthening in the U.S. are expected to sustain the current growth trajectory. CEO Craig Cooper expressed confidence in the company’s commercial momentum, highlighting the combination of accelerating sales, declining acquisition costs, and growing subscription revenue as key pillars for future success.
Bottom Line?
CONNEQT’s robust sales growth and emerging subscription model set the stage for a pivotal FY26 second half.
Questions in the middle?
- What are the absolute sales figures and profit margins behind the reported growth?
- How quickly can CONNEQT scale production to meet rising demand without compromising quality?
- What is the projected contribution of Care+ subscriptions to overall revenue in the coming quarters?
