Ann: Appendix 4C - quarterly, page-16

You can't look at the figures for a single quarter in isolation and extrapolate it to value the company, particularly for a business that remains clearly in the growth stage and is also at the start of transitioning to a new sales strategy.

The transition to the hybrid sales model through both direct sales and GE healthcare has been flagged well in advance. I don't know what others had been expecting but I had expected growth to slow for a quarter or two, with a large increase in expenses as they built up the new sales team and as GE Healthcare reduces its inventory.

What I'm looking out for over the next few quarters is the the impact of this transition on overall sales growth, and the impact on margins. Selling direct enables Nanosonics to capture the full margin, and as I've mentioned before, not just for the first sale, but for all future sales of consumables, and future replacements of the trophon unit. I'm also curious about how much 'deeper' they can get into hospitals and what this may mean for sales as the CEO has mentioned this a number of times.

The continued fall in the AUD has also been a good tailwind for the company as well.
As others have highlighted, while the U.S is an important market, it is not the only market.
I don't think this is a screaming bargain, particularly given the risks of pursuing a new sales strategy, but there is still a lot of potential left on the table to keep me interested.