Pro Medicus Ltd (ASX: PME) shares declined on Thursday, falling almost 20% to $136.75 in morning trading.
This movement followed the release of the company's half-year financial results.
Half-Year Financial Highlights
For the six months ending December 31, Pro Medicus reported:
- Revenue increased by 28.4% to $124.8 million, supported by six cloud-based implementations during the period.
- The underlying EBIT margin rose to 73%, up from 72% in the prior year.
- Underlying profit before tax increased by 29.7% to a record $90.7 million.
- Reported net profit after tax reached $171.2 million, marking a 230.9% increase compared to the previous corresponding period. This figure includes unrealized gains from its investment in 4DMedical Ltd (ASX: 4DX).
CEO Statement
Dr. Sam Hupert, CEO of Pro Medicus, noted the continued strong profit growth, despite a significant implementation (Trinity Cohort 1) launching late in the half. He also highlighted margin expansion and increased sales volume, with many contracts including the full Visage product suite, and some extending to include cardiology offerings.
AI Considerations
Regarding the impact of artificial intelligence, Dr. Hupert stated that he does not anticipate AI replacing the company's Visage software.