Pro Medicus has signed a A$24 million, seven-year contract with Billings Clinic, a 25-hospital health system spanning Montana, Wyoming and the Dakotas. The deal marks another substantive win in the company’s push to dominate cloud-based medical imaging in North America.
Billings Clinic is a unified, not-for-profit system with more than 1,000 beds and an additional 16 regional partnerships across critical access facilities. The contract includes deployment of Visage 7’s full stack: the viewer, workflow, and open archive products. The implementation will migrate existing PACS archives to Visage and integrate imaging distribution into the system’s electronic health record. Go-live is targeted for Q1 2027.
The contract structure includes a transaction-based model with potential upside beyond the headline A$24 million. This pricing approach ties revenue to actual usage, meaning Pro Medicus’s earnings could exceed the base contract value if Billings Clinic volumes grow or utilization patterns shift. The transaction model aligns the company’s interests with client growth, a selling point that appears to resonate in the North American market.
The win reflects Pro Medicus’s strategic pivot toward cloud-based deployments. Chief Executive Officer Sam Hupert noted that cloud implementation has become the standard in the North American healthcare IT market, with the company’s CloudPACS strategy positioning Visage 7 as the default choice for integrated imaging platforms. Billings Clinic’s scale and geographic footprint mean this deployment will test the platform’s ability to serve a distributed, multi-state health system with varying operational models and infrastructure constraints. Success here could serve as a case study for other health systems of similar size and complexity.
Billings Clinic operates across a broad, rural footprint with multiple regional partnerships, a market segment that historically faced challenges with legacy PACS systems. The cloud-based approach eliminates the need for distributed on-premise infrastructure, simplifying operations across multiple sites and enabling faster disaster recovery. For Billings Clinic, this means reduced capital expenditure and operational complexity. For Pro Medicus, it demonstrates the platform’s appeal to health systems seeking to consolidate and modernize aging imaging environments.
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Dr Hupert also commented that the company’s pipeline remains strong across all market segments. With this Billings Clinic deal closed and Q1 2027 implementation underway, investors should monitor the company’s ability to convert its stated pipeline into executed contracts. The North American market represents substantial opportunity for Pro Medicus, and the pace of cloud migration adoption will be a key metric for ongoing growth. Investors should also watch for commentary from management on deal sizes and margins within the transaction-based pricing model, as this will inform expectations for future contract economics. This announcement has been designated price sensitive and flagged as material by the ASX.
View the full ASX announcement (PDF)
About Pro Medicus Limited (ASX: PME)
Pro Medicus Limited is an Australian health imaging software company headquartered in Victoria that develops advanced diagnostic imaging solutions for the global healthcare market. The company’s main business segment centers on its Visage imaging platform, a viewer and analysis solution used by hospitals and medical institutions to manage and interpret medical images. Pro Medicus operates primarily through its U.S. subsidiary Visage Imaging, Inc., serving major healthcare systems across North America and internationally on a transaction-based licensing model.
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