Slide 1: Investor Presentation March 2018
For personal use only Investor Presentation March 2018
Slide 2: Pro Medicus (ASX:PME)
Pro Medicus (ASX:PME) For personal use only Healthcare IT company specialising in Enterprise Imaging and Radiology Information System (RIS) software. Leading edge products, growing global presence. EU Headquarters / R&D Berlin, Germany US Headquarters San Diego, CA Group Headquarters Melbourne Over
Slide 3: Product Suite
For personal use only PME Visage 7 * Visage RIS Pro Medicus.net Product Suite OEM
Slide 4: FY18 Half Year Results
For personal use only FY18 Half Year Results • Underlying NPAT $ 5.42M – up 33.0% • Profit after tax $5.07M - up 5.7% • Margins increased pcp to 41.5% • Cash reserves $20.8M • Dividend 2.5c per share ff up 66.7% pcp • Company debt free • Strong balance sheet
Slide 5: First Half FY18 in review
For personal use only First Half FY18 in review • November 2017 - $18M Yale New Haven contract • Future contracted revenue > A$125M/5 years • Implementations on/ahead of schedule • Visage RIS – increased market lead • Pipeline continues to grow
Slide 6: 1H v 2H Revenue Profile
For personal use only 1H v 2H Revenue Profile $18,000,000 RIS/Support/baseline revenue*** Professional Services Exam (transaction) /licence revenue*** ***Recurring revenue $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- 1H16 2H16 1H17 2H17 1H18 Actual (
Slide 7: Professional Services
For personal use only Professional Services • Project planning, training & implementation • Revenue at beginning of contract • Non recurring in nature ~ 10% contract value • Lower in 1st half 2018 pcp • Increasing in 2nd half FY2018 ( Mayo, Yale & others) • Will decrease as a % of total revenue as e
Slide 8: Exam (transaction) revenue
For personal use only Exam (transaction) revenue • Recurring in nature • Increases from half to half as sites come online • Significant step-up from end of 2nd half FY 2018 onwards (Mayo, Yale & Others) • Growth from existing clients (organic and M&A) plus new clients • Further upside with adoption
Slide 9: Visage RIS
For personal use only Visage RIS
Slide 10: Visage RIS – Market Leader
Visage RIS – Market Leader For personal use only • Technology is leading edge • Feedback from customers positive • New clients purchasing Visage RIS & PACS • Transition of user base nearing completion • Large scale rollouts > 1,500 users on 1 system • Company leader in field
Slide 11: RIS - Australia
RIS - Australia For personal use only • HIS (Primary) - one of the largest diagnostic imaging service providers • Visage RIS to be deployed in 141 practices • 5 year transaction based agreement • Rollout on track to commence 2nd half FY2018 • Upside as HIS grows • Repositions PME as clear market lea
Slide 12: Leading Edge Product Set – Visage Imaging
Leading Edge Product Set – Visage Imaging continues to be Number 1 in Speed, Functionality, Scalability For personal use only 12
Slide 13: Massive data explosion
Massive data explosion For personal use only 13 • Higher image density - CT leaps from 64 slices to 256 and now 640 • 3.0T MRI – much larger dataset than 1.5T • Functional Imaging e.g. PET scan often > 1.5 to 2 gigabytes • Digital Breast Tomosynthesis (DBT) files can be over 4 to 6 gigabytes • Prior
Slide 14: Electronic Medical Record (EMR)
Electronic Medical Record (EMR) For personal use only 14 • Mandated in US Hospitals by end of 2018 • Consolidates all hospital data – clinical and financial • 90% of EHR is imaging data (by volume) • Need all imaging data in one repository • Driving adoption of VNA • Need for a single Viewer for all
Slide 15: Solution - Visage 7.0 Streaming Technology
Solution - Visage 7.0 Streaming Technology For personal use only 15
Slide 16: "Deconstructed" PACS – VNA/EMR
“Deconstructed” PACS – VNA/EMR For personal use only 16 Radiology Urology Gastroenterology Oncology Cardiology Neurology
Slide 17: Solution – Visage 7.0 Viewer
Solution – Visage 7.0 Viewer” For personal use only VNA use surging – VNA's projected to store 31% of new imaging studies worldwide by 2016 InMedica, May 2012 Of late, imaging IT has been a "barren" field of technology innovation Reiner & McKinley, JDI, June 2012 No single vendor will do Enterprise
Slide 18: North American market
North American market For personal use only 18 • PACS market estimated at > US$2 billion pa and growing • Expanding into Enterprise Imaging • Paradigm shift to “deconstructed PACS” – best in breed approach • Market fragmented - in process of consolidating • Visage 7.0 – proven, market leading techno
Slide 19: Yale – New Haven
Yale – New Haven For personal use only • $18 Million 7 year deal with Yale - New Haven • A leading academic/medical institution in the US • Visage 7 to be implemented across all campuses • Builds on footprint in University/Academic market • Implementation in 2nd half FY 2018
Slide 20: Fast Track Implementation
Fast Track Implementation For personal use only • Proven fast track methodology • 1/3 the time of industry norm • Delivers huge savings for client • Strategic advantage - key differentiator in the market • Frees implementation staff for other jobs
Slide 21: Proven Results
Proven Results For personal use only • Significant IT and infrastructure savings • Unparalleled radiologist efficiency • Greater clinical accuracy • Improved physician engagement • Delivers superior value proposition
Slide 22: Growing Recurring Income Stream – Operational (Transaction) Model
Growing Recurring Income Stream – Operational (Transaction) Model For personal use only 22 • Alternative to capital model • Used in vast majority of US contracts • Now used in RIS contracts in Australia [insert chart comparing • Model based on guaranteed minimums transaction with capital model] • Co
Slide 23: Margin Expansion
Margin Expansion For personal use only 23 • Highly scalable offering • No capex (HW) – SW only model • Training & Installation – charged as professional services • Relatively fixed cost base • Margin continues to grow as footprint increases
Slide 24: Margin Expansion
Margin Expansion For personal use only 24 Margins 50 45 40 35 30 25 20 15 10 5 0 FY-14 FY-15 FY-16 FY-17
Slide 25: US Pipeline
For personal use only 25 US Pipeline • Prospects at various stages of cycle • Opportunities in both Private and Enterprise [insert chart markets. comparing transaction with • Network effect from recent high profile wins capital model] • Increasing number of groups coming to market • Pipeline robust
Slide 26: Growth Strategy
Growth Strategy For personal use only 26 • Transaction growth from existing clients • Expand current footprint - new clients • New product offerings for existing clients • Extend to other geographical markets • Leverage R&D capability to introduce next generation products
Slide 27: New products – Visage Open Archive
New products – Visage 7 Open Archive For personal use only 27 • Same highly scalable enterprise imaging platform used in Visage 7 • Modular design – interoperable in complex environments • Currently used outside of North America • Visage can offer choice of deconstructed or single vendor solutions •
Slide 28: New products - Enterprise Imaging
New products - Enterprise Imaging For personal use only 28 • Single viewer for all images in the medical record (EMR) • Radiology/Cardiology (DICOM format) • Other “Ologies” –neurology, ophthalmology etc • Non radiology - reflected light - hi res photos & video • Visage technology ideally suited • I
Slide 29: Enterprise Imaging
For personal use only Enterprise Imaging 29
Slide 30: Artificial Intelligence (AI)
Artificial Intelligence (AI) For personal use only 30 • Healthcare imaging ideally suited to AI • Visage well positioned to take advantage of this emerging technology • Advanced image processing in healthcare is “in our DNA” • Visage architecture already uses GPU technology • Growing academic/resear
Slide 31: Artificial Intelligence (AI)
For personal use only Artificial Intelligence (AI) - 31 • Holistic view of AI • In product AI - automate high end functions within Visage 7 • Visage 7 - single visualization platform for AI in both clinical and research environments • Open platform – enables integration of both in- house and 3rd par
Slide 32: Summary
Summary For personal use only • Unique market position • Transaction model working • Leading edge technologies • Proven implementation & support capability • Improved clinical outcomes • Delivers significant financial benefits • Unparalleled value proposition • New products – Enterprise Imaging & Op