But with the stock trading on close to 60 times forecast current year earnings, investors are waiting for the unveiling of one or more extension products the company has been quietly developing.
Flagging its intent, Nanosonics last month appointed ResMed’s former R&D chief Steven Farrugia as senior vice president of design and development.
“Other than that, they have kept their cards very close to their chest,’’ says Morgans analyst Scott Power. “But at some point they will come out with a broader application of their technology.’’
He said potential markets were dentistry or broader sterilisation of surgical equipment.
Mr Kavanagh declined to elaborate on the company’s plans but said investors should expect a three-year wait for commercialisation. “One of the technologies has the capacity to be as big as, if not bigger than, the Trophon.”
Mr Kavanagh said he learned from his Cochlear days not be driven by technology but by what products customers were demanding. “We are taking a strategic approach to what we are working on.’’
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