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The Pro Medicus Limited (ASX: PME) share price is outperforming the market today.
In morning trade, the health imaging technology company’s shares are up 1% to $78.86.
As a comparison, the ASX 200 index is down 0.9% at the time of writing.
What’s going on with the Pro Medicus share price?
Investors have been buying the company’s shares this morning after it announced yet another contract win.
According to the release, Pro Medicus has signed a A$16 million, eight-year contract with South Shore Health in the United States.
The release notes that South Shore Health is the largest independent health system in South-eastern Massachusetts. It has the 393-bed South Shore Hospital (Weymouth, Massachusetts), more than 5,600 employees, and renowned clinical affiliations at academic and cancer centers across Massachusetts that also use the company’s Visage 7 Enterprise Imaging Platform.
Based on a transactional licensing model, the contract will see the company’s cloud-engineered Visage 7 platform, including Visage 7’s Open Archive and Workflow modules, implemented throughout South Shore Health. This will provide a unified diagnostic imaging platform.
Visage 7 will also provide enterprise distribution of images integrated to South Shore Health’s electronic health record (EHR).
Management notes that planning for the rollout will commence immediately and will be based on Visage’s proven cloud-based implementation process. It has a go-live target of the first to second quarter of the 2024 calendar year.
Autoscaling is key
Pro Medicus CEO, Dr Sam Hupert, commented:
South Shore Health adds to our rapidly growing footprint in the North American IDN space and serves to further illustrate the suitability of our platform across a very broad range of healthcare enterprises.
Key to this is the fact our offering is “autoscaling”. We have one application; it is transaction-based and in the cloud, so clients only pay for what they use regardless of their size.
Dr Hupert appears optimistic that more contract wins are on the horizon. He adds:
Our pipeline remains strong and spans all market segments. As has been the case with many of our recent contracts, this deal is for our “full-stack” comprising all three Visage products namely viewer, workflow and archive, a trend we see continuing.
The Pro Medicus share price is now up 50% over the last 12 months.