- Digital healthcare company Alcidion Group (ALC) says the March quarter was a “very strong” period for the company
- Alcidion earned $12.5 million in new sales which contributed to nearly $43 million in year-to-date sales
- At the end of the third quarter, contracted revenue totalled $31.7 million and included $4.4 million from recently-acquired Silverlink
- Alcidion also renewed existing contracts and won a number of new, long-term contracts with UK customers
- Shares in Alcidion Group are currently steady at $0.20 each
Alcidion Group (ALC) said it experienced a “very strong quarter” in the three months ending March 31, 2022.
The healthcare company generated positive operating cash flow of $1.6 million after excluding the settlement of costs related to the recent acquisition of patient software specialist Silverlink.
Alcidion offers technology solutions, such as its Miya Precision digital health platform, that aim to improve the efficiency and quality of patient care in healthcare organisations around the world.
The company earned $12.5 million in new sales with 74 per cent coming from recurring product revenue and 26 per cent from non-recurring services revenue, which includes product implementation.
In terms of year-to-date sales, Alcidion recorded $42.9 million in new sales by the end of March, up 93 per cent on cumulative new sales at the same time last year.
At the end of the third quarter, contracted revenue able to be recognised in the current financial year was $31.7 million, including $4.4 million from Silverlink.
A further $1 million of scheduled renewal revenue is expected to be converted to contracted revenue over the rest of FY22.
During the three-month period, Alcidion signed two new five-year contracts — the first being a $1.9 million contract with NHS Tayside (Scotland) to implement the Miya Observations and Assessments modules of Miya Precision.
The second was with the Herefordshire and Worcestershire Health and Care NHS Trust to implement the Miya Flow module of Miya Precision. This contract was valued at $1.35 million.
Alcidion also expanded a contract with the Dartford and Gravesham NHS Trust to procure a new module, Miya Emergency, together with resale of new partner’s anaesthetics module. It also renewed two contracts with Silverlink customers.
Following the March quarter, Alcidion signed a five-year contract with East Lancashire Hospitals NHS Trust to implement the Miya Flow module. It also penned a five-year contract with NT Health to upgrade to Miya Precision and deploy the Miya Flow, Access and Command modules in the five main hospitals in the Northern Territory.
“This active start to the calendar year demonstrates Alcidion is executing its strategy to attract new customers, upsell additional modules and upgrade existing customers to Miya Precision, as evidenced by these recent contract wins,” Managing Director Kate Quirke said.
At the end of the quarter, the company had $17.5 million in cash.
Shares in Alcidion Group are currently steady at $0.20 each.