IMEXHS (ASX: IME) has secured a significant public tender win in Mexico to deploy its Aquila+ AI-integrated radiology platform.
Secured through distributor partner GOBA, the deal is expected to add $384,000 in new Annual Recurring Revenue (ARR) and a $50,000 one-time implementation fee.
The deployment across 20 hospitals and clinics commenced recently, with completion expected by end-June 2026 and full ARR run-rate anticipated from September 2026.
The comprehensive deployment includes five proprietary AI workflow agents embedded across Aquila+, along with two Gleamer diagnostic algorithms: ChestView and Fracture Detection.
This positions it as one of the more advanced AI-integrated radiology deployments.
FY25 Results Show Profitability Turnaround
This latest win builds on a strong financial turnaround for IMEXHS in FY25. The company reported revenue of $29.0 million, an increase of 9.5% year on year.
After-tax loss also improved significantly to $2.9 million, while underlying EBITDA improved to $1.6 million in FY25, up from $0.5 million in the prior year.
The second half of FY25 was particularly strong, with Underlying EBITDA hitting $1.3 million.
ARR also demonstrated robust growth, rising 16% year on year to $34.8 million, fuelled by both software and radiology services, alongside the continued commercialisation of the Aquila+ cloud platform.
The company's balance sheet was strengthened, with cash increasing to $3.3 million and debt reduced to $0.5 million at 31 December 2025.
AI Platform and Partner Channel Drive Growth
A key strategic focus for IMEXHS is its Aquila+ platform, which is advancing with embedded proprietary AI agents aimed at automating the full radiology workflow.
These agents are designed to improve efficiency from scheduling to report delivery.
The company's partner program has also been scaled, now boasting 27 active partners across 12 countries.
This channel proved effective, contributing 60% of new software ARR in Q1 FY26.
Management has outlined key priorities for FY26, including accelerating software growth, expanding the partner channel, and deploying further AI agents.
IMEXHS aims to exceed its FY25 underlying EBITDA and achieve cash positivity for FY26, with growth expected to be weighted towards the second half of the year.
Execution Risks Remain Key
Despite positive momentum, investors should recognise certain execution and market risks, including a reliance on the ability to raise further capital if required.
Operational complexity in key markets, particularly Colombia, presents ongoing challenges, including healthcare reform and policy-driven payment behaviours.
The business also faces customer concentration risk, with one customer contributing approximately 33% of external revenue in FY25.
Near-term success for the Mexico tender depends on smooth implementation across all 20 sites by end-June 2026 and achieving the full ARR run-rate by September 2026.
IMEXHS Wins Mexico Tender, Extends Growth Trajectory
The public tender win in Mexico is a significant step for IMEXHS, adding substantial recurring revenue and validating its public sector procurement capabilities.
Combined with a strong FY25 financial turnaround and strategic progress on its AI platform and partner channel, the company is well-positioned for continued growth, although timely execution will be crucial for realising the full financial benefits.
