Compumedics releases sound FY23 results from which to significantly grow its medical technology business in FY24.

MELBOURNE, VICTORIA, AUSTRALIA, August 30, 2023/EINPresswire.com/ -- Compumedics Limited Full-Year Results

Strong core business growth coupled with significant Somfit SaaS and MEG commercial traction.

KEY HIGHLIGHTS

• Core Business: revenues grew 12% to a record $42.4m for FY23, compared to $37.8m in FY22, and despite a full-year FY23 EBITDA loss of ($2.0), EBITDA returned to profit in H2 FY23 at $2.8m, whilst substantial investment in commercialisation activities associated with both the Somfit and MEG step-out growth opportunities continued.

• Somfit SaaS sleep-diagnostic platform: revenues commence in Australia at $0.6m for FY23 (NIL for FY22). Somfit orders taken in FY23 $1.2m (NIL for FY22).

• Nexus 360 SaaS revenues grow to $1.7m in FY23 from $1.3m in FY22.

• MEG: The MEG system for TJNU moves through technical milestones to be ready for shipment and installation by November 2023.


INVESTOR OVERVIEW

• Core Business:
 Compumedics diversified revenue streams (both geographic and product line) allowed it to grow revenues by 12% in FY23 from $37.8m in FY22 to $42.4m in FY23. As a result, this enabled EBITDA to return to a profit of $2.8m in H2 FY23. Reported EBITDA reduced from a loss of $4.8m in H1 FY23 to a loss of $2.0m for the full year FY23.

• Somfit 360 SaaS applications step-out growth opportunity:
 Somfit – Compumedics has commenced sales of Somfit in Australia as announced to the ASX on 3rd and 7th of July 2023. Somfit orders taken in FY23 were $1.2m and shipped and invoiced Somfit sales were $0.6m. This is from a NIL base in FY22.
 Somfit continued market expansion in Australia and New Zealand will be a key focus for H1 FY24. This focus will expand to the EU and the USA, once USA FDA clearance is received.

• MEG step-out growth opportunity:
 The MEG system for TJNU in China has moved through major technical milestones to be ready for shipment and installation. Further updates will be provided as this process continues.
 The Company will pursue other MEG opportunities as TJNU is shipped and installed.

• FY24 Guidance:
 The Company anticipates revenues for FY24 will be more than $44m and EBITDA is expected to be more than $5m, with the growth driven primarily by our new SaaS product offering.

Compumedics Limited (Australian Securities Exchange code: CMP) (“Compumedics” or “Company”) wishes to announce its financial results for the full year ending 30 June 2023 (FY23).

Group revenues at $42.4m for the year ended 30 June 2023 were 12% higher than the prior corresponding period (pcp). This increase in revenue reflects growth in Australia (up 23%) and Asia with both China (up 32%) and Japan (up 55%) performing well. This was offset by declines in Europe (down 27%), DWL (down 4%) and a neutral result in USA (up 2%), which was disappointing given the focus there in FY23.

EBITDA for Compumedics returned to profit in H2 FY23 at $2.8m, reducing the EBITDA loss of $4.8m for H1 FY23 to an overall FY23 loss of $2.0m. This compared to an EBITDA profit of $3.3m in FY22.

The Company is currently focused on growing revenues with higher margin products and SaaS offerings and actively working through other operational and expense efficiency opportunities to restore and grow profitability over FY24 and beyond.

Existing business growth & commercialising step-out growth opportunities

• Existing medical device-based business (sleep and neurological diagnostic and monitoring)
 Compumedics will continue to invest in new hardware and software for its existing medical device-based business focused on the traditional areas of lab-based sleep diagnostics and monitoring, home sleep testing, neurological monitoring, brain research solutions and Trans Cranial Doppler (TCD) blood flow monitoring. This includes further expansion of its SaaS Nexus 360 platform.

• Somfit SaaS technology platform
 Compumedics has commenced SaaS revenues in the Australian reimbursable Home Sleep Testing (HST) market. In FY23 orders were received for $1.2m of Somfit technology platform sales, of which $0.6m were booked as revenues. This was from a NIL base in FY22. These orders represent the first drawdown from multi-year contracts from both distributor and directly supplied customers, as previously announced to the ASX.

 Compumedics will continue the market expansion of Somfit in Australia to both the reimbursable and non-reimbursable HST markets and will expand this focus to the USA once FDA clearance is received for Somfit and to the main EU markets. Compumedics estimates its immediate addressable market value, being the current annual Australian reimbursable HST market, at about $7m, growing to $11m in FY27 and the current annual USA reimbursable market at about $70m, growing to $111m by FY27. Further market opportunities exist in Australia for non-reimbursable HST’s through local GP’s and homecare companies.

• MEG
 The MEG system for TJNU in China has moved through major technical milestones to be ready for shipment and installation. Further updates will be provided as this process continues.

About Compumedics Limited
Compumedics Limited [ASX: CMP] is a medical device company involved in the development, manufacture, and commercialisation of diagnostics technology for the sleep, brain and ultrasonic blood-flow monitoring applications. The company owns US based Neuroscan, and Germany based DWL Elektronishe GmbH and a 50% share of Austria-based Alpha Trace, which it acquired on 1st September 2022. In conjunction with these subsidiaries, Compumedics has a broad international reach, including the Americas, Australia and Asia Pacific, Europe, and the Middle East.

Executive Chairman Dr David Burton founded Compumedics in 1987. In the same year the Company successfully designed and installed the first Australian, fully computerised sleep clinic at Epworth Hospital in Melbourne. Following this early success, Compumedics focused on the development of products that sold into the growing international sleep clinic and home monitoring markets.

Compumedics listed on the Australian Securities Exchange in 2000. Over the years, Compumedics has received numerous awards, including Australia’s Exporter of the Year, and has been recognised as a Top 100 Innovator by both German and Australian Governments.

David Lawson
Compumedics Limited
+61 414 721 557
dlawson@compumedics.com.au

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