Compumedics wins AUD $4.2m MEG order in Chinese deal

Compumedics has secured an approximately AUD $4.2 million sales order for an Orion LifeSpan magnetoencephalography system from Shandong Normal University in China.

The Australian medical device group said the order came through Beijing Fistar, its distributor for neuro-imaging systems in China. Compumedics described Beijing Fistar as a long-standing partner.

The deal marks the sixth Orion LifeSpan MEG system order for the company. It takes total contracted MEG orders to approximately AUD $30 million, according to Compumedics.

The company expects the order to contribute revenue in FY27. Compumedics said delivery will follow its established production and site-readiness timelines.

System scope

Compumedics said the contract includes the Orion LifeSpan dual-helmet adult and paediatric MEG platform. It also includes the company's CURRY neuro-imaging software and associated peripherals.

MEG systems form part of functional neuroimaging. They record magnetic fields produced by electrical currents in the brain. Hospitals and research institutions use the systems for neuroscience research and clinical work.

China pipeline

Compumedics said China continued to show demand for advanced neuroscience research infrastructure. The company pointed to an expanding installed base and reference sites in the country. It also said it had a pipeline of MEG opportunities.

The Shandong Normal University order adds to an MEG order book that Compumedics said supports revenue delivery through FY27. The company also said it is pursuing MEG opportunities in North America and Europe.

Compumedics said MEG revenue recognition reflects the timing of production, delivery and installation. It also said it receives milestone payments across the project lifecycle.

Broader portfolio

Compumedics sells diagnostic technology used in sleep and brain monitoring. It also sells products for ultrasonic blood flow monitoring. The company operates internationally through its own activities and subsidiaries.

The group owns Neuroscan in the United States and DWL Elektronishe Systeme in Germany. Compumedics listed on the Australian Securities Exchange in 2000.

Compumedics has positioned MEG as a specialist segment within its neuro-imaging business. The company said the MEG market has a limited number of suppliers and long sales cycles.

One business leader said the latest order reflected growing institutional demand for the product line.

"Securing a sixth MEG order reflects both the growing maturity of the Orion LifeSpan platform and the increasing confidence of leading research institutions in Compumedics' technology. Demand in China remains strong, and we continue to see active MEG opportunities developing internationally," said Gordon Haid, Compumedics Global Neuro-Imaging Business Director, Compumedics.

Executive comment

Compumedics' Executive Chairman also addressed the significance of the sale and the MEG pipeline.

"This is another significant commercial milestone for Compumedics. The Shandong Normal University order further validates the strategic value of our MEG business, which delivers large contract values, strong differentiation and long-term revenue visibility. With six systems now sold and further opportunities progressing, we believe Compumedics is well positioned to continue scaling this unique global neuro-imaging platform," said David Burton.

They said the Orion LifeSpan platform uses a dual-helmet design for adult and paediatric measurements. The company also said the Orion LifeSpan integrates with its CURRY brain analysis software.

Additional MEG opportunities continue to progress globally, including in China, North America and Europe.