Strong growth driven by organic sales; Completed ExtraMed acquisition

Highlights:

•  Positive net operating cash flow of $2.8M for Q3 FY21
•  Strong organic growth adding $4.8M of contracted revenue in Q3, of which $3.0M will be recognised in FY21
•  Contracted revenue to be recognised in FY21 (excluding ExtraMed acquisition which occurred after Q3 end) of $24.7M at end of Q3 ($15.9M recurring + $8.8M non-recurring)
•  Selected as preferred provider (as part of a Consortium) for a major healthcare IT project to capture data and support clinical decision making across the Australian Defence Force with potential Total Contact Value (TCV) of approximately $21M over 5.5 years
•  Expanded UK market presence via acquisition of ExtraMed, a leading provider of patient flow management software for hospitals in the UK
•  Cash balance as of 31 March 2021 of $15.3M, with a net increase of approximately $6.6M to be received subsequent to the end of the quarter resulting from net proceeds of the capital raise (Placement + proposed Share Purchase Plan (SPP)) less payments relating to the acquisition of ExtraMed

Disc: I Hold

ALC is currently holding a SPP at 32cps, the closing date of the SPP is planned for 5:00pm (AEST) on Wednesday 5 May 2021, unless extended. Alcidion reserves the right to vary the closing date without further notice. 

Further to their announcment of Investor Presentation~Aquisition of ExtraMed

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02363825-3A565332?access_token=83ff96335c2d45a094df02a206a39ff4

they have also announced

Alcidion and consortium partners selected as preferred provider for Department of Defence contract

• Alcidion, as part of a Consortium, has been selected as the preferred provider for a major healthcare IT project to capture data and support clinical decision making across the Australian Defence Force
•  Alcidion will provide the Longitudinal Health Record via its Miya Precision product
•  Potential value of contract to Alcidion of approximately $21M over 5.5 years
•  Subject to final negotiations and Commonwealth funding approvals, final contracts expected in calendar Q4 2021

Also they have a webinar at 11:00 today

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02363845-3A565344?access_token=83ff96335c2d45a094df02a206a39ff4

Highlights:

• $12.6M revenue added in Q2, 163% up on the prior quarter and 260% up on pcp (Q2 FY2020)

• Revenue of $21.7M able to be recognised in FY2021 as of Q2 FY2021 (i.e. 6 months remaining in the year), already 17% greater than FY2020 full year revenue of $18.6M

• Further $23.0M of sold revenue to be recognised out to FY2026

• Milestone $11.3M five-year deal with South Tees Hospitals NHS Foundation Trust for Alcidion’s full suite of products and services including Miya Precision & Better’s OPENeP

• Strong cash reserves of $12.5M as at 31 December 2020, strengthened by further receipt of $3.0M in early January 2021 relating to the South Tees contract

• Other significant contracts signed or announced in Q2 FY2021:                                          o NextGate – expanded reseller partnership to include UK and Ireland                                          o NT Health – program management services contract extension                                        o ACT Health – contracts for further integration services o NSW Health – extension to Child Data Hub (CDH) technical services contract