Intelligent Ultrasound (IUG ), the ultrasound AI software and simulation company, said it expects revenue for the year ended 31 December 2022 to have increased 33% to £10.1m, compared to £7.6m the previous year. IUG shares jumped 15% on the news.
Intelligent Ultrasound said it expects its simulation business to have grown 28% to £9.4m, driven by strong sales in the UK. Furthermore, the company expects direct-to-market sales that combine the UK and the US to have grown by almost 50% to £7.7m.
Intelligent Ultrasound's rapidly developing clinical AI business saw 220% expected growth to £0.7m. However, the company's reseller markets in Europe and Asia are expected to have declined 19%, largely due to the impact of Covid-19 on the Chinese market.
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Intelligent Ultrasound took markets by surprise this morning by announcing a stellar revenue forecast for 2022, with a 33% increase in group revenues year-on-year, including a 28% increase in simulation revenue. The company recorded 50% growth in direct-to-market sales, and a 220% increase in the small but rapidly growing clinical AI segment.
The clinical AI side of Intelligent Ultrasound's business made headlines over the past year, most notably with its ScanNav and NeedleTrainer technologies that are transforming medical training. The segment is key to IUG's long-term growth strategy that has so far paid off. We expect to see IUG's AI-related products continue to gain momentum in 2023, helped by the company's "Classroom to Clinic" programme. Cenkos forecasts revenues from IUG's Clinical AI business to reach £2.2m in FY23 and £5m in FY24.
Intelligent Ultrasound continued to build on it partnership with industry leader GE Healthcare with the release of SonoLyst on their Voluson Expert 22 ultrasound machine, and integration of the aforementioned NeedleTrainer simulator into GE's pocket-size ultrasound machine, the Vscan Air. The latter opens up exciting possibilities for commercialisation of ultrasound AI technology beyond the medical sector.
In November, Intelligent Ultrasound raised £5.2m in an oversubscribed placing at zero discount, keeping the company funded as it continues to develop its simulation and clinical AI portfolios. The new capital should be enough to keep IUG funded until it reaches profitability - a major upcoming milestone that should be on the radar of prospective and existing investors.
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