Shares in Pro Medicus have tumbled following a revenue miss in the first half of the financial year. According to Citi analyst Laura Sutcliffe, the company’s $125 million revenue was 5 per cent below consensus estimates, and underlying EBIT of $86.5 million missed by 14 per cent. Pro Medicus provides medical imaging software and services to hospitals, imaging centres, and healthcare groups. Their solutions help improve the efficiency and accuracy of medical image interpretation and management.
Reported profits benefited from a one-off revaluation of its 4DMedical stake by more than $100 million. However, Sutcliffe attributed the overall shortfall to contract phasing and slightly elevated operational costs. Underlying profit before tax (PBT) increased 30 per cent year-on-year, reaching $90.7 million, but this figure still fell 14 per cent short of consensus expectations.
While the second half is anticipated to show stronger performance, Sutcliffe noted the critical question is whether the missed revenue from the first half can be recovered or if it will be further delayed. She indicated that persistent costs could impact margin modelling, but the primary focus for investors remains the company’s revenue trajectory.
Despite the revenue shortfall, Citi has maintained a ‘buy’ rating on Pro Medicus shares. The firm emphasised the significance of management’s guidance on achieving revenue targets for the 2026 financial year. At last check, shares in Pro Medicus were down by 22.1 per cent following the news.
