Micro-X lands $1.5m Rover win with Australian Government
Innovative X-ray technology specialist Micro-X (ASX: MX1) has been awarded a significant $1.5 million contract with the Australian government for its unique Micro-X Rover systems.
The new purchase order comes after the company decided to undertake a major overhaul of its marketing program, which has been redesigned to drive wider awareness and future sales opportunities.
One of the strategies identified in that marketing review was a push for the sales team to focus on selling the company’s significant existing inventory of Rover units.
Reduction in inventory strategy
The Micro-X Rover units being sold to the Australian government have been in that inventory and will now undergo final modifications in Tonsley, Adelaide, before they are delivered in early October.
Subsequent to the marketing review, Micro-X had already been successful in shipping a further $1.3 million of mobile DR systems, including Rover Plus and Nano units.
Micro-X chief executive officer, Kingsley Hall, said the new purchase order lifts the total sales for the quarter to $2.8 million, with the wins achieved through utilising inventory on hand in a plan to convert existing stock to cash.
“We are thrilled that the Australian Government has placed an order for our Rover systems. The government’s purchase of our x-ray systems demonstrates the robustness and utility of our lightweight x-ray technology and goes to our core purpose of creating revolutionary imaging to better lives,” Mr Hall said.
“With this order, our re-energised sales team has delivered a total of $2.8 million in sales and orders of mobile DR units this quarter, which means we have progressed well in our previously announced strategy of increasing sales and converting our inventory into cash.”
New markets being targeted
Micro-X has developed a range of innovative products for global health and security markets, based on proprietary cold cathode, carbon nanotube (CNT) emitter technology.
The Micro-X technology is the first entry into the general radiology market using carbon nanotube and cold electron source material instead of a traditional heated filament.
This allows the system to feature a smaller, lighter and faster electronic x-ray tube which the company says is an upgrade over current systems.
Sports market opportunity
The company has already built a strong connection with existing distributors in hospital and primary healthcare markets. However, the company’s marketing overhaul also identified niche market potential in areas such as elite sports.
Micro-X sales staff recently attended a three-day National Athletic Trainers Association Expo in Indianapolis to demonstrate the advantages of how Rover Plus can better manage elite athletes at their training centres and sport stadiums.
A number of Rover units are already in regular use with US sporting teams such as those in the Major League Baseball (MLB) competition and the National Hockey League (NHL).
Micro-X is also targeting a sell down of all its remaining third party generators, which have a higher cost of goods than the Micro-X manufactured high power generators.