pdfPro Medicus Announces Interim Results – Acrobat pdf 113k

20 February 2015

Key Points:

  • First-half net profit increased to $1.61 million from $0.2 million in previous corresponding period
  • Revenue $8.64 million – 42.5% higher than previous corresponding period
  • Cash reserves $14.6 million at 31st December 2014
  • Revenue flowing from first of three recent US deals
  • Company remains debt-free
  • Interim dividend of 1 cent per share (unfranked)

Leading health imaging company, Pro Medicus Limited [ASX: PME] today announced a first-half after-tax profit of $1.61 million for the six months to the end of December 2014, a significant increase over the previous corresponding period. The result from the underlying operations for the period was a profit of $0.98m compared to an underlying profit of $0.2m from the previous corresponding period.

Revenue from ordinary activities was $8.64 million – a 42.5% increase over the previous corresponding period.

The Company’s Board has resolved to pay an unfranked interim dividend of 1 cent per share. The Company’s cash reserves totalled $14.6 million at the end of the period. 
Dr Sam Hupert, CEO of Pro Medicus, said he was delighted with the Company’s progress during the past six-month period. “Both revenue and profits have improved substantially and we expect this to continue as we phase in our recent US contract wins, the first of which started to contribute to this half’s result. It was also very pleasing to see ongoing improvements in our Australian operations as we rollout our new Visage RIS platform to both existing and new clients.”

In summary, the major US sales were:

22 April 2014
A large US health network agreed to use Pro Medicus’ Visage 7 enterprise imaging platform for primary diagnoses and distribution of medical images. Six-year deal, with base value to Pro Medicus of $A20 million. Transaction-based model with significant potential upside.

20 November 2014
WellSpan Health, a large regional health network in the northeastern United States, agreed to use Pro Medicus’ Visage 7 technology for primary diagnoses and clinical distribution of medical images. Seven-year deal, with base value to Pro Medicus of A$8 million. Transaction-based model with significant potential upside.

12 Jan 2015
Zwanger-Pesiri, a highly-respected radiology group and outpatient imaging provider on New York’s Long Island, agreed to use Pro Medicus’ Visage 7 for primary diagnosis and clinical distribution of medical images. Five-year deal, with base value to Pro Medicus of A$5 million. Transaction-based model with significant potential upside.

Dr Hupert said: “Our US business was a significant contributor to our interim results and we anticipate that North America will continue to be a major source of revenue as our recent contract wins ramp up. This will add to our increasing base of transaction revenue which, underpinned by guaranteed minimum volumes, provides an annuity stream with added upside as transaction volumes grow.”

“Our pipeline of opportunities in the US remains very strong and is growing with each deal we do. We are in a growth phase and are actively building out our team in the US to ensure that we maximise these opportunities going forward. “