What Consumables Could Mean to EMVision in $, page-2

First 2 Last

Share
Profile

Follow
AgentQ

246 Posts.

95

01/11/22

20:10

Post #: 64531594
Share

Originally posted by StevieBuoy: ↑

EMVision is the highest quality company I own.

First class management, a first class technology, and a major prospective market which is crying out for exactly the technology and product which EMV is aiming to provide.

I also spotted it quite early so have been holding from shortly after it listed on the ASX and so have followed it's developments and story intricately for a number of years now.

It has done very well for me so far although I believe we've really seen nothing yet (in terms of share price performance.)

A couple of points I cobbled together from the recent South-West Connect ASX Showcase 2022 presentation, the most recent quarterly, and also from the history of Nanosonics (whose excellent business model EMV is seeking to emulate) may give us an interesting look into future revenue and gross profit possibilities when it comes to EMVision's consumables....

From the most recent presentation....

"we also have a consumable annuity revenue stream... that I've learned from Nanosonics that these sort of consumables are actually really valuable so you want to be able to clip the coupon for every stroke scenario or patient scan, and we have both a cap and a liquid consumable and the liquid is used to inflate the membrane to fit the head and the head size and we're looking at approximately $25 US dollars per scan for that." (emphasis my own.) -Dr Ron Weinberger

From the most recent quarterly.....

IDR Medical commissioned to explore unmet needs in stroke care and assess the US market opportunity; uncovered valuable insights"An assumed scan volume of 5 scans per day per system at stroke centres was considered too low if being used for routine monitoring, with closer to ~20 scans per day considered reasonable." (emphasis my own.)

We now can form some kind of idea as to what $ figure each Gen 1 device may be generating per day (assuming each scan = 1 new cap which I've heard Dr Ron mention in a previous presentation and US$25 = AU$38.85 at current exchange rates.)

So $38.85 x 20 = $777 per day per machine in consumable sales!

On a yearly basis we have 365 x $777 = Au $283 605

and that's for 1 machine!

At 10 machines we'll be generating $ 2 836 050 in consumable sales....

And at 100 machines we'll have annually recurring revenue of $28 360 050

(assuming the variables of prices for consumables and scans per day per machine I listed above become reality.)

I wont venture an estimate at how much of that revenue will flow to net profit for EMV although if we take as an example the gross profits earned from the consumables which are used by the Nanosonic's Trophon devices the gross profit % is at 90% or slightly above....

If we are able to replicate this (Nanosonics gross profit % from its consumable sales) then .9 x $283 605 = Au $255 244.5 per year, per machine in gross profits from consumables.

Very impressive.

And first sales could be in around one and a half years.

We have some very smart and well informed people on this forum so if anyone sees any problems or errors with my reasoning please point them out!

Thanks.

Expand

Nice post.

My only question from a monitoring perspective is if the cap is definitely single use per scan..or if they would be possibly using the same cap for another scan for the same patient...or for example..one cap for the whole day of monitoring..

With the gel required for the cap, I assume cleaning that out would not be ideal or may impact on the quality of the scan.

So I appreciate the revenue stream (being a shareholder), however at the same time I would hope that these consumables could be somewhat environmentally friendly/ or could be recycled.

EMV Price at posting: $1.38 Sentiment: Buy Disclosure: Held
10 Upvote

0 Great analysis

Reply

Top Stories

NSM

North Stawell Minerals set to raise $1.3M in capital raising for exploration in Victoria

SGR

Thousands eye Star on HotCopper, SkyCity in strife – are ASX casino stocks safe anymore?

CRI

Critica unveils fresh REE hits near Jupiter play in WA – and 5 new prospects

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

THB

Thunderbird picks up plethora of uranium targets based on EM survey in Canada

There are more pages in this discussion • 17 more messages in this thread...

First 2 Last

Add EMV (ASX) to my watchlist

(20min delay)
Last $2.02		Change 0.020(1.00%)		Mkt cap ! $172.7M

Open	High	Low	Value	Volume
$2.00	$2.03	$2.00	$60.14K	29.91K

Buyers (Bids)

No.	Vol.	Price($)
1	75	$1.99

Sellers (Offers)

Price($)	Vol.	No.
$2.03	4543	2

View Market Depth

No.	Vol.	Price($)
1	75	1.990
1	350	1.985
1	1000	1.960
3	15500	1.950
1	518	1.930

Price($)	Vol.	No.
2.030	4543	2
2.050	700	1
2.060	2346	1
2.200	8744	1
2.220	18000	1

Last trade - 16.10pm 17/10/2024 (20 minute delay)

EMV (ASX) Chart

What Consumables Could Mean to EMVision in $, page-2

North Stawell Minerals set to raise $1.3M in capital raising for exploration in Victoria

Thousands eye Star on HotCopper, SkyCity in strife – are ASX casino stocks safe anymore?

Critica unveils fresh REE hits near Jupiter play in WA – and 5 new prospects

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Thunderbird picks up plethora of uranium targets based on EM survey in Canada

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

What Consumables Could Mean to EMVision in $, page-2

Top Stories

North Stawell Minerals set to raise $1.3M in capital raising for exploration in Victoria

Thousands eye Star on HotCopper, SkyCity in strife – are ASX casino stocks safe anymore?

Critica unveils fresh REE hits near Jupiter play in WA – and 5 new prospects

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

Thunderbird picks up plethora of uranium targets based on EM survey in Canada

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News