Cyclopharm Reports U.S. Sales of Technegas Surpass US$1M Milestone

Key Highlights:

• U.S. Technegas® revenue tops US$1M within 12 months of FDA approval
• Installed systems in the U.S. jump 59% in Q1 2025
• Cyclopharm targets U.S. as top global market by year-end
• Stock rises 7.8% intraday after announcement; CYC down 31% YoY

Cyclopharm Ltd (ASX: CYC) is enjoying renewed investor interest after announcing it has passed a major sales milestone in the United States. The company revealed that U.S. revenues for its flagship lung imaging agent, Technegas®, have exceeded US$1 million (~A$1.6 million) since commercial sales commenced last year.

The stock climbed 7.83% intraday to $1.24, recapturing investor attention following months of underperformance. Year-to-date, CYC remains down over 21%, with a one-year loss of nearly 31%, but today’s momentum hints at a possible turning point.

Technegas® Gains Ground in the World’s Largest Healthcare Market

Cyclopharm reported that its installed base in the U.S. has grown to 27 systems as of March 31, 2025, up from 17 systems at the end of December—a 59% increase in just one quarter. Each installation is not only a validation of Technegas®’s clinical relevance, but a recurring revenue engine via consumables and servicing.

The company’s entry into the U.S. market was de-risked by its FDA approval in 2023 and bolstered by federal government contracts, including with the U.S. Department of Veterans Affairs (VA). The U.S. now ranks as Cyclopharm’s fourth-largest market by revenue and is expected to become the top market globally by the end of 2025.

According to CEO James McBrayer, the milestone “validates our commercial strategy. Every Technegas® installation at a key opinion leader site across the U.S. not only creates recurring revenue but also provides a powerful foundation for the company’s long-term growth.”

A De-Risked U.S. Growth Strategy in Motion

Cyclopharm is positioning its U.S. expansion as a de-risked growth platform, underpinned by multiple structural tailwinds:

• Established Reimbursement Pathways: Enabling predictable income for hospitals and Cyclopharm alike.
• Broad FDA Indications: Supporting use beyond pulmonary embolism (PE), including for COPD, asthma, and long COVID.
• Onshore Inventory: Shortening delivery timelines and reducing trade disruption risks.
• Local Manufacturing Plans: The company aims to open a second manufacturing facility in the U.S. within five years.

These measures not only improve access but also help protect margins and reduce exposure to global supply chain volatility.

Is the Worst Behind for CYC Investors?

Despite the upbeat announcement, Cyclopharm still has work to do to regain its market valuation highs. The stock is currently trading near the lower end of its 52-week range ($1.10–$2.50) and ranks 813 out of 2,325 on the ASX by market cap, with a current value of $137.8 million.

The company also faces near-term challenges: EPS remains negative (-$0.128), dividends are absent, and sales growth will need to accelerate to justify longer-term optimism. That said, with rising system installs, real revenue traction, and recurring income from consumables, the foundation for a turnaround is firming.

Outlook: Clinical Expansion Could Drive Next Leg of Growth

Looking ahead, Cyclopharm’s strategic focus on expanding Technegas® usage beyond pulmonary embolism into chronic respiratory conditions could substantially widen its addressable market. The company is also leveraging multimodality imaging advancements to push Technegas into interventional pulmonology use cases, such as lung cancer surgeries and volume reduction procedures.

If current growth trends in the U.S. persist—and further government or private sector contracts are secured—Cyclopharm may yet reprice meaningfully higher, especially as it becomes a true player in the global nuclear medicine landscape.