Mach7 Technologies Limited (ASX:M7T), today announced it has signed a new five year licence agreement with DIA (Diagnostic Imaging Associates). Mach7 will provide its eUnity Diagnostic Viewer solution to DIA for general diagnostic interpretation and mammography diagnostic reading.

The contract expands the use of eUnity beyond an original 75,000 annual study agreement for mammography remote reading to a licence covering the full spectrum of eUnity’s diagnostic tools for 1.2 million studies annually, a 16-fold volume increase. The new contract has a TCV of A$3.7 million and will add A$0.64 million to ARR.

CEO and Managing Director of Mach7, Mike Lampron said “Market research continues to evidence a dynamic shift in where and how patients want to receive healthcare. This is amplified by the tightening of reimbursement rules by North American payers for non-emergency imaging due to the additional price tag placed on imaging by acute care providers. DIA represents a large, growing practice that is benefiting from the shift in diagnostic imaging from acute care to ambulatory settings and we are delighted to now provide its 70-strong radiologist practice with the full functionality of our zero-footprint eUnity Diagnostic Viewer.”

MACH7 (ASX:M7T) TO PARTICIPATE IN U.S. VETERANS HEALTH ADMINISTRATION’S NEXTGEN PACS ( Picture Archiving and Communication System) PROGRAM

The possible Total Contract Value of full Phase I implementation is A$11.7M and there is the potential to increase to A$59.6M with Phase II

I see this as an exciting step-up change in the type and size of client contracts being assigned to M7T.

Mach7 Technologies Limited , has today announced its participation in the U.S. Veterans Health Administration’s (VHA’s) National Teleradiology Program (NTP). As part of the contract, Mach7 will provide its VNA and eUnity Enterprise Diagnostic Viewer solutions which will help form the core of the NTP NextGen PACS architecture.

The VHA NTP is Veterans Affairs’ in-house teleradiology service which has been providing 24x7 service to VHA facilities for over a decade. The NTP currently supports 125 sites across all 18 Veterans Integrated Services Networks (VISNs) and is projected to interpret between 1.0 and 1.5 million studies annually.

The NTP seeks a best of breed, next generation PACS (“NextGen PACS”) that is designed, deployed, and optimised for its teleradiology workflow and reading environment. The system will also serve as a replacement PACS for VISNs as they transition off existing contracts.

The NextGen PACS program involves two major phases. Phase I will see Mach7’s VNA and eUnity viewer solutions form the core of NTP’s NextGen PACS. This phase has a potential TCV of A$11.7 million with a 12 month implementation/Professional Service fee period then a fee per study subscription license over a three year term. Phase II, which is contingent upon a number of success factors in Phase I, involves expansion into Veterans Affairs’ hospital network to support up to seven VISNs with migration, integration and software representing additional potential TCV of A$47.9 million over a five year term.

Mach7’s participation in the project is as one of several subcontractors to the prime vendor, Frontier Acquisitions, LLC

Mach7 Technologies Limited (ASX:M7T), specialises in medical imaging software solutions. Today they announced their first sales order from a new partner, Nuvodia. Pleasingly, the agreement with Nuvodia involves Mach7’s entire Enterprise Imaging Platform.The subscription contract has a five-year term and a Total Contract Value (TCV) of $2.5 million.

Nuvodia is an American IT and radiology service provider of technology solutions to independent radiology practices, outpatient imaging centres and community hospitals.

Under this agreement, Nuvodia will expand its products and services by offering Mach7’s Enterprise Imaging Solution to its customers. Nuvodia selected Mach7 as a partner for its ability to deploy a truly vendor agnostic platform to capture, store, and publish medical imaging data.

Mach7’s zero footprint diagnostic viewer can be used by healthcare professionals inside or outside the walls of healthcare facilities to

provide primary or secondary diagnostic readings.

As part of the announcement CEO and Managing Director of Mach7, Mike Lampron predicted that this partnership agreement will enhance sales and service opportunities for Mach7.

M7T's FY23 Q1 Sales Orders were significantly less than the prior corresponding period. They noted that Q1 is typically a softer quarter for net cash in and gave reasons why However, in their Q1 Outlook statement they were confident of acheiving FY23 sales of at least $36 Million.

So, I'm pleased that this subscription contract with their new partner is for the provision of M7T's complete Enterprise Imaging Platform.

Looking forward to chcking the effect this and other recent contracts have had on Cash receipts for Q2 of FY23.

Nuvodia-Sales-Order-Solidifies-Mach7-Partnership.PDF

Mach 7 (ASX Code M7T) has landed several major sales orders this quarter, which total $16.2 million. This has been their strongest quarterly sales order result on record and it is up by 368% on the prior quarter. As a result, their sales have already reached 63% of last year’s full year orders of $25.6 million. A revenue result for the full year FY2022 well above the $19 million reported for FY2021 is looking extremely likely. They are on track to deliver a positive EBITDA result for FY2022.

Mach7 (ASX Code M7T) released its FY21 Results today. The following items were highlighted by the company.

$25.6M Sales Orders (Total Contracted Value over the life of the contract) – Highest on Record; up 95%;

20% of Sales Orders are SAAS; Up from 3% in FY20

97% Gross Margin %; Up from 87% in FY20

$18.4M Gross Margins; Up 12%

$19.0M Revenue; Up 1%; (Up 13% on a constant currency basis)

Forward looking Financial Metrics

$13.4M Annual Recurring Revenue (ARR) Run-Rate which was annualized from the month of June 2021

$15.8M Contracted Annual Recurring Revenue

$8.3M of Software License & Service Fee Order Book

$27M Revenue Target for CY21 is On Track

$23.1M Revenue Base for FY22