Pro Medicus Clinches $20M US Deal as Stock Climbs Past $248

Key Highlights:

• PME signs five-year, A$20M contract with University of Iowa Health Care
• Stock up 4.64% to $248.17; one-year return exceeds 113%
• Visage 7 platform to fully replace legacy imaging systems with cloud-based solution
   

Pro Medicus Ltd (ASX: PME) continued its meteoric run on the ASX, gaining 4.64% to trade at $248.17, as the Australian health imaging powerhouse announced a landmark five-year, A$20 million contract with the University of Iowa Health Care. The deal will see its U.S. subsidiary, Visage Imaging, implement the full Visage 7 stack—Viewer, Workflow, and Open Archive—across the university’s sprawling healthcare network.

Under the transaction-based agreement, Visage 7 will replace legacy PACS infrastructure with a unified, cloud-native imaging platform, further solidifying Pro Medicus’s position as a front-runner in digital diagnostic imaging solutions. The rollout is expected to begin immediately, with a go-live target set for Q4 2025.

The University of Iowa Health Care system includes over 20,000 staff and three patient campuses, making this one of the more significant deployments in recent quarters. The decision to adopt a full-stack, cloud-based model reinforces the company’s CloudPACS strategy, which is rapidly becoming a standard in North American healthcare IT.

“This deal underscores the accelerating shift toward cloud-native imaging infrastructure in U.S. health systems,” said CEO Dr. Sam Hupert, adding that their pipeline remains strong across all segments.

Valued at $25.92 billion, Pro Medicus has delivered a 113.41% one-year return, supported by consistent contract wins, high-margin recurring revenue, and an industry-leading product suite. Despite a modest dividend yield of 0.19%, the company’s P/E ratio of 264.29 reflects investor confidence in its long-term growth trajectory.

With momentum firmly on its side and another Tier-1 U.S. client secured, Pro Medicus appears well positioned to extend its market leadership in global medical imaging.