COMPUMEDICS BUSINESS UPDATE – DECEMBER 31, 2020

December 31, 2020 BUSINESS UPDATE

CORE BUSINESS

• Sales orders taken for H1 FY21 at $20.3m are about 13% higher than the $18.0m achieved in pre-COVID H1 FY20
• Unaudited revenues for H1 FY21 expected to be approximately $17.1m compared to $18.3m in H1 FY20 or 7% lower because of logistical/shipping delays, primarily in the northern hemisphere because of COVID restrictions. These sales orders will be shipped during early H2 FY21.
• Growth in sales orders taken, H1 FY21 compared to H1 FY20, was achieved in Australia, Europe and DWL.
• Appendix 4D expected to be released on February 24, 2021.

MEG and Somfit

• Barrow Neurological Institute (BNI) MEG system, stage 2, delayed due to COVID in the US. Completion of final, stage 2, installation is anticipated to occur before the end of calendar 2021.  2^nd and 3^rd potential MEG sales progressing, albeit hampered by the ongoing pandemic.
• Somfit progresses with various applications being pursued as part of on-going initial commercialisation activities.

Compumedics Limited (ASX: CMP) (“Compumedics” or “Company”) wishes to advise the Company booked sales orders of about $20.3m for H1 FY21, representing growth of about 13% over the $18.0m of sales orders booked in H1 FY20.  Growth in sales orders taken was achieved in Australia, Europe and DWL, with the US matching sales orders taken with the same time last year.  A respectable result given the impact of the pandemic in US.  Asia, which is predominantly China was down only 2% H1 FY21 compared to H1 FY20, a significant improvement on the 45% decline recorded for the full-year FY20 compared to FY19.

Whilst sales order taken grew, the Company expects revenues to be about 7% lower at $17.1m for H1 FY21, compared to H1 FY20, largely because of logistical and shipping delays with various customers and countries, primarily in the northern hemisphere as that part of the world continues to deal with COVID through their autumn, early winter months.  With that said our DWL business, based out of Germany posted growth in sales of about 46% for H1 FY21 compared to H1 FY20.

At this point in time, whilst financial guidance is not provided, it can be said the sales pipelines for H2 FY21 across the group looks consistent with H1 FY21.

The Company expects to release detailed analysis and final first-half FY21 numbers with the Appendix 4D, on 24 February 2020.

Progress of the first MEG sale to BNI continues, with the 2^nd and final phase of the installation, delayed due to the pandemic in the US.  We do expect to complete the sale, subject to abatement of the pandemic in the US and customer requirements, at some point in 2021.  The Company also continues to pursue the 2^nd and 3^rd potential MEG sales from its current list of opportunities.

Opportunities for the Somfit consumer sleep device continue to be pursued as part of the Somfit commercial activation plan.

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      

David Lawson
Chief Financial Officer
Phone: + 61 3 8420 7300
Fax: +61 3 8420 7399