Pro Medicus (ASX: PME) – A$90M Seven-Year Deal with Lahey Health

Pro Medicus Limited has secured a A$90 million seven-year contract with Boston-based Beth Israel Lahey Health, marking a significant win for the Australian healthcare IT company’s cloud-based medical imaging platform. The contract spans the company’s full Visage 7 product suite, encompassing viewer, workflow and open archive components, and will be deployed across Beth Israel Lahey Health’s fourteen hospitals serving Eastern Massachusetts and Southern New Hampshire.

Beth Israel Lahey Health operates as an integrated healthcare system comprising academic medical centers, teaching hospitals and specialty facilities. The system employs 39,000 people across more than 4,700 physicians, making it a substantial institution within the U.S. healthcare landscape. This scale is significant for Pro Medicus as it demonstrates the Visage 7 platform’s capacity to serve large, complex healthcare networks requiring enterprise-wide imaging distribution and integration with electronic health records.

The deal structure incorporates a transactional licensing model with upside potential, rather than a flat-rate arrangement. This approach aligns with Pro Medicus’s CloudPACS strategy and provides the company with revenue that scales with Beth Israel Lahey Health’s imaging volume and usage. The cloud-based implementation will see Visage handle the migration of Beth Israel Lahey Health’s legacy picture archiving and communication systems archives to the Visage 7 Open Archive, a data transition that can be complex and costly when executed poorly.

Pro Medicus Chief Executive Officer Dr Sam Hupert noted that full-stack deals represent a growing trend among new Visage 7 clients, with the cloud platform becoming the standard in North American healthcare IT. Planning for rollout commences immediately, with go-live targeted for the first quarter of 2027, providing a concrete milestone against which to assess implementation progress and execution capability.

For investors, the contract validates several strategic priorities for Pro Medicus. The deal demonstrates sustained demand for cloud-based imaging solutions among major U.S. healthcare systems, a market segment that has faced transition challenges from traditional on-premise PACS deployments. The full-stack nature of the sale suggests deeper penetration of the Visage 7 ecosystem compared to point-solution deployments, while the transaction-based revenue model provides visibility into ongoing usage patterns and potential for contract expansion as Beth Israel Lahey Health optimizes its imaging workflows.

Investors should monitor progress towards the Q1 2027 go-live milestone, the extent of scope changes during implementation and any management commentary regarding the broader pipeline of similar full-stack opportunities. This announcement has been classified as price sensitive under ASX regulations.

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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