Reactec, a Scottish company, has developed a ground-breaking technology aimed at addressing health concerns for construction workers. This innovative technology has experienced a surge in sales following significant interest from the United States.
Headquartered in Edinburgh, Reactec has seen a 40% increase in revenues, reaching £5.6 million in the most recent year, compared to £4 million in the previous period. This growth has been attributed to the successful launch of the R-Link smart watch, which features advanced technology designed to monitor construction workers’ exposure to hand arm vibration – a factor that can lead to nerve damage and conditions such as vibration white finger.
The success of the R-Link smart watch has allowed Reactec to turn a profit in 2023, recording a profit of £66,000 after tax, a significant turnaround from the £360,000 loss in the previous year. According to Reactec’s Chief Executive, Jacqui McLaughlin, the company’s strong performance in the first half of 2024 has continued with sustained growth in sales. Notably, the United States now accounts for 23% of the traffic on Reactec’s website.
Reactec’s US expansion has led to the recent launch of a US data centre, aimed at accommodating the influx in customer data from its smart watches. This development signifies Reactec’s growing international presence as a key player in the technology industry.
Founded in 2001 as a spin out from the University of Edinburgh, Reactec was originally backed by members of the Archangels investment syndicate and received funding from Scottish Enterprise and private investors. Currently, Reactec’s products are manufactured in Scotland, showcasing the company’s commitment to local industry.
The R-Link smart watch has proven to be a game-changer with its capacity to alert users to potential risk areas in addition to monitoring exposure to vibration. Reactec has positioned itself as a notable industry leader, empowering employers to effectively manage and mitigate injury risks amongst their workforce.
Reactec’s introduction of a “Safety as a Service” plan, allowing customers to spread the cost of products over three years, has been a key driver in its sales growth surge. About 50% of orders processed in 2023 were based on this new scheme, resulting in a 50% increase in total orders.
In light of its recent achievements, Reactec has also secured a sales deal with US-based pneumatic tools producer, Honsa Ergonomic Technologies, further solidifying its global foothold.
The positive trajectory of Reactec, as evidenced by a rise in employment from 40 to 43 workers and a significant reduction in operating losses, sheds light on Scotland’s capacity to pioneer world-class technology and hone the infrastructure necessary to maximize its commercial potential.
Looking forward, Reactec’s captivating story will continue to inspire similar initiatives and reinforce the potential of Scotland’s universities as fertile grounds for innovative technology. As an entity that embodies the union of academia and industry, Reactec stands as a testament to Scotland’s prowess in translating revolutionary ideas into practical solutions that resonate on the global stage.