$3 MILLION IN NEW ORDERS FOR CHINA
- New orders are for both sleep and neuro diagnostic systems
- New purchase orders underpin Compumedics on-going growth in China, now running at an average of 15% pa, for the last five years
- $1M to $2M of the purchase orders will ship by 30 June 2017, as part of current guidance to market
- Compumedics has over 1,700 sleep and neuro diagnostic systems installed in China at 535 hospitals and 333 universities, with seven of the top ten hospitals in China having Compumedics equipment
- Orders include new Grael® LT and Sleep low cost systems, opening up the smaller and private practice market in China
Compumedics Limited (ASX: CMP) (“Compumedics” or “Company”) is pleased to announce that it has received new purchase orders from two of the Company’s long-standing distributors in China, worth approximately $3 million (USD$2.2 million), for both Compumedics’ sleep and neuro diagnostic systems. Between $1 million and $2 million of these orders will be partially shipped by 30 June 2017.
These new purchase orders, together with those received from Compumedics’ Germany based business, DWL, previously announced (3 March 2017), underpin Compumedics’ average growth rate in China over the last five years at approximately 15% pa.
This re-affirms Compumedics’ dominant position in China, particularly in sleep diagnostics, brain research and DWL‘s Trans-cranial Doppler (TCD), with over 2,000 systems installed at more than 600 hospitals and more than 333 universities across China.
Importantly these purchase orders include the company’s new low-cost Grael® LT and Sleep systems, which will open up the market in smaller hospitals and private practices, across China.
Dr David Burton, Chairman and CEO of Compumedics, said:
“These purchase orders not only generate a minimum of $3 million in new revenue for Compumedics, but confirms China as equally as important a market to the success of the Company as the US.
With more than two decades of experience in China the Company has over recent years enjoyed the benefits of this investment with an average 15% pa growth over the last five years and importantly growth should continue in the double digits over the foreseeable future.
Compumedics systems are installed at seven of the top ten hospitals in China and Compumedics is the vendor of choice at many of the other leading hospitals in China. Compumedics will continue to use its position in China to not only continue to grow these businesses’ but to carve out a market position in neuro diagnostics over the coming years, with about half of the new purchase orders for supply of neuro diagnostic equipment into China.
Compumedics has spent the past two decades with its Chinese partners building a foundation for future growth in one of the world’s most challenging and highest growth markets. As a result, the Company is well positioned to capture continued growth in sleep diagnostics, as well as expanding further into neurological monitoring, a relatively new and untapped market in China and other parts of Asia.”
About Compumedics Limited
Compumedics Limited [ASX: CMP] is a medical device company involved in the development, manufacture and commercialisation of diagnostics technology for the sleep, brain and ultrasonic blood-flow monitoring applications. The company owns US based Neuroscan and Germany based DWL Elektronishe GmbH. In conjunction with these two subsidiaries, Compumedics has a broad international reach, including the Americas, Australia and Asia Pacific, Europe and the Middle East.
Executive Chairman Dr David Burton founded Compumedics in 1987. In the same year the company successfully designed and installed the first Australian, fully computerised sleep clinic at Epworth Hospital in Melbourne. Following this early success, Compumedics focused on the development of products that sold into the growing international sleep clinic and home monitoring markets.
Compumedics listed on the Australian Securities Exchange in 2000. Over the years, Compumedics has received numerous awards, including Australia’s Exporter of the Year, and has been recognised as a Top 100 Innovator by both German and Australian governments.
For further information please contact:
Dr David Burton
Executive Chairman, CEO Executive Director
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399
Chief Financial Officer
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399
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