VICE PRESIDENT OF MARKETING, AMERICA’S APPOINTED, GUIDANCE TO MARKET
Compumedics Limited today announced the appointment of Mr Thomas Lorick to the position of Vice President, Marketing, America’s.
Melbourne Australia, Friday 6 May 2005
Vice President of Marketing, America’s appointed
Compumedics Limited (ASX code: CMP) today announced the appointment of Mr Thomas Lorick to the position of Vice President, Marketing, America’s.
Mr Lorick’s appointment reflects Compumedics on-going goal to build our business into a world leading medical diagnostic business, with a dominant market share in each of the markets that we currently operate in the USA, being Sleep, Brain Research, Clinical EEG and Trans Cranial Doppler (TCD).
Tom comes to Compumedics from Nicolet (Viasys), a leading US based Neurological Company and has extensive marketing and product management experience in the fields of Sleep, EEG, EMG, and TCD. Tom also has extensive experience in European markets although his focus will be on the USA market on his commencement with Compumedics.
In Tom’s new role, he will be responsible for all facets of marketing for the American business and will be based out of our USA head office in El Paso, Texas.
Tom’s appointment is a key step in the Company’s goal to maintain and accelerate our historical growth rates in the critical US market.
Guidance to market
The company also today stated that its current sales activity indicated that its previous revenue guidance to market of $38m to $40m for the full year to 30 June 2005 continued to be the likely outcome.
The company has however invested selectively in key sales and marketing positions in its critical US, Asian and European markets and as a consequence the previous profit guidance is not likely to be met.
The revision of the Company’s profitability expectation is based on the factors identified in the Half Year announcement and a more aggressive implementation of its sales and marketing resource plan this half year. This investment in world class sales and marketing personnel will enable the business to return to its historical growth rates. The Company anticipates its full year earnings to be around break even for the year but the Company will have a much stronger foundation to the 2006 financial year based on the restructure of the sales and marketing resources as indicated.
Management believes the key element to the execution of its world leading global diagnostic strategy is to have the best sales and marketing resources in its keys regions being the USA, Asia and Europe and future announcements will clarify the details of these new resources as and when finalised.
Compumedics Limited Background
Compumedics was founded in 1987 by David Burton, the company’s Executive Chairman and CEO. In that year it established Australia’s first fully computerised sleep clinic at Melbourne’s Epworth Hospital. A major breakthrough was achieved in 1995 when the company was selected to supply equipment to the US Sleep Heart Health Study, which was the largest clinical trial ever undertaken up to that time.
A sleep disorder is a medical condition that affects a person’s ability to have a “normal” night’s sleep. There are 84 classified sleep disorders ranging from snoring, obstructive sleep apnoea (OSA) and insomnia to narcolepsy. It is estimated that nearly one in seven Americans suffer from treatable sleep disorders of which about 50% are attributed to OSA. In Australia, these ratios are comparable.
Research points to a strong link between sleep disorders and a range of other diseases. It is thought that the lowering of blood oxygen during sleep and frequent apnoeic episodes contribute to vascular, heart and brain dysfunction.
The sleep market is broadly divided into three sectors; therapeutic equipment, diagnostics equipment and sleep tests. Compumedics is a global leader in the design and manufacturing of diagnostic devices and equipment for conducting sleep tests.
The company’s core sleep diagnostics technology is now being leveraged into the associated fields of neuro diagnostics and brain research. Combined, these markets have annual sales of more than AUD $1.2 billion.
In 2002, Compumedics acquired US based Neuroscan, the world’s leading developer of brain research instruments. This acquisition boosted its presence in the neuro diagnostics market, where the company supplies EEG and EMG devices to study electrical activity in the brain, spinal cord, nerves and muscles for the diagnosis and monitoring of neurological based diseases.
In 2004, Compumedics acquired German based DWL, which has enabled Compumedics to expand its global operations into neuro and cardio diagnostics and equipment for brain research.
Today, Compumedics is a global medical diagnostic company with world leadership in three of the most exciting high-growth sectors including their core and pioneering Sleep diagnostics (Sleep Division), Neuro-diagnostics incorporating the rapidly expanding Brain Function measurement (Neuroscan and Neuroscience Divisions), and non-invasive blood-flow diagnostics (DWL Division).
Since 1999-2000, the company has increased its sales from $9 million to $34 million reflecting its product development initiatives combined with its own strong distribution network in the United States, which accounts for 55% of sales.
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