ImExHS (IME) H1 2024 earnings summary

Executive summary

• Operates two main segments: cloud-based AI medical imaging software and radiology services outsourcing, with a presence in 19 countries and 518 software sites.

• 1H FY24 revenue reached $13.8m, up 57% year-over-year and 32% on a constant currency basis.

• Annualised Recurring Revenue (ARR) grew 21% year-over-year to $29.6m, with strong contributions from both software and radiology services.

• Focused on converting growth into positive earnings and cash flow, prioritizing Latin America, product development, and profitability.

• Net loss after tax reduced by 33.8% to $1.52m compared to the same period last year.

Financial highlights

• Underlying EBITDA was $0.3m, down from $0.5m in the prior year, reflecting margin pressures.

• Software revenue for 1H FY24 was $4.9m (up 40% year-over-year); radiology services revenue was $8.9m (up 68%).

• Recurring revenue comprised 95% of total revenue ($13.1m).

• Cash balance at 30 June was $1.9m; debt reduced to $0.9m.

• Net assets at 30 June were $15.1m.

Outlook and guidance

• FY24 revenue guidance is $24.0–$27.0m, representing 22%–37% growth year-over-year.

• Underlying EBITDA guidance is $1.5m–$3.5m, with expectations toward the lower end of EBITDA and upper end of revenue guidance.

• Key growth drivers: contracted ARR, expanding pipeline, price increases, upselling, and new software value proposition.

• Margin improvement and cost control remain key focuses for the second half.