Highlights

  • Compumedics reported about AUD60.3mn of FY26 shipped and invoiced revenue, up roughly 18%.
  • Recurring Somfit and Nexus 360 software Revenue reached about AUD10.2mn, up from roughly AUD6mn.
  • MEG capital-equipment revenue contributed AUD9.7mn, although helium-related timing affected shipments.
  • FY27 guidance points to double-digit revenue growth with EBITDA expected to grow faster than sales.

The sleep-and-brain-imaging group posted record FY26 revenue of about A$60.3 million, but helium-hit MEG shipments, a delayed US Somfit launch and a surprise director exit left investors underwhelmed ahead of the audited result due late August.

On 6 July 2026 Compumedics handed shareholders a record: about A$60.3 million of shipped and invoiced revenue for the year to 30 June, up roughly 18 per cent. The market's response was not celebration.

The stock, which had spiked about 14 per cent to near 27 cents a fortnight earlier, drifted back toward 22 cents, an 8 per cent-odd slide on the update, as investors looked past the headline number to what sat beneath it. A record that lands short of a company's own earlier ambitions can read as a miss, and that is roughly how this one was received. The abiding worry is not the Top Line but the timing behind it.

What the company announced

The FY26 preliminary update confirmed the A$60.3 million of shipped and invoiced revenue, sales orders of about A$62.7 million, and FY26 EBITDA expected to rise on the prior year, subject to audit.

Recurring software revenue from the Somfit sleep wearable and the Nexus 360 platform reached roughly A$10.2 million, up from about A$6 million, a jump near 70 per cent. Capital-equipment revenue, driven by magnetoencephalography (MEG) brain-imaging systems, contributed A$9.7 million versus effectively nil the year before. Management guided FY27 to double-digit revenue growth with EBITDA growing faster than sales. Separately, non-executive director Christopher Barys, who joined only in September 2025, resigned by mutual agreement in July, with no replacement named.

The numbers investors need to know

Compumedics runs a June balance date, so FY26 revenue of about A$60.3 million compares with roughly A$51 million in FY25. The software line is the standout: A$10.2 million of recurring Somfit and Nexus 360 revenue now underpins an Earnings quality the old device-sales model lacked.

On valuation, the shares changed hands near 27 cents on 21 July for a Market Capitalisation around A$51 million, easing to roughly A$42 million at 22 cents later in the month. Net Book Value sits near 11.7 cents a share. The company swung from a FY25 net loss of about A$1.3 million to a slim trailing profit near A$0.1 million. No Dividend is paid.

Why the shares moved

Two disappointments explain the cool reception. First, MEG shipments and invoicing slipped because of helium Supply disruptions and pricing pressure tied to Middle East conflict; management framed this as timing, not lost demand, with some MEG invoicing pushed into June.

Second, the Somfit D device for the large US home-sleep-testing market remains short of commercial release, deferring a growth engine investors had been promised into FY27. Add a director walking out weeks before the audited result, and a record year still felt like execution slipping. The full FY26 accounts, expected around 28 August, loom as the real test of whether these are hiccups or a pattern.

What the market may be worried about

Beneath the headline sits a pattern of timing slippage. April's update already flagged timing impacts to FY26, and the July result confirmed them. Helium is a genuinely constrained global input, and if MEG deliveries keep sliding quarter to quarter, the lumpy capital-equipment line becomes hard to forecast.

The US Somfit delay matters because America is the prize market; every deferral hands competitors room. There is also China: a meaningful slice of MEG and sleep-diagnostics Demand comes from Chinese hospitals, exposing Compumedics to Beijing's procurement cycles, tariffs and broader geopolitics. For a company capitalised around A$50 million, any of these levers can move the numbers materially.

The bull case

The optimistic read is that Compumedics is finally converting a decades-old diagnostics Franchise into a higher-quality, recurring-revenue business. Software revenue growing near 70 per cent, if sustained, reprices the whole company: subscription dollars deserve a richer multiple than one-off box sales.

MEG is a scarce, high-value technology with few global suppliers and a genuine order book; helium is a delay, not a cancellation. A US Somfit D launch in FY27 opens a vast market, and the recent hire of a US chief commercial officer signals intent. FY27 guidance for double-digit growth and faster EBITDA expansion, if delivered, would validate the turnaround at what remains a modest valuation.

The risks

The bear case is equally clear. Compumedics has a long history of promising jam tomorrow; record revenue has repeatedly arrived alongside a downgrade or a delay. Cash generation is thin, the Balance Sheet modest, and a sub-A$60 million small-cap has little room for error before it may need to tap the market.

Helium constraints sit outside management's control. The US Somfit rollout has slipped more than once. China exposure cuts both ways, adding demand but also political risk. And the abrupt exit of a director with US MedTech and capital-markets expertise, only months after his appointment, is the kind of governance signal cautious investors do not simply wave through.

What investors should watch next

The near-term catalyst is the audited FY26 result expected around 28 August, which should confirm the actual EBITDA figure, the net cash position and, crucially, the detail behind FY27 guidance. Watch whether MEG invoicing normalises now that helium pressures are said to be easing, and for any firm date on the US Somfit D commercial release and its FDA pathway.

Software's growth rate is the single metric most likely to drive any re-rating. Finally, a replacement for the departed director, and fresh commentary on China order flow, will tell investors whether July's wobble was a timing hiccup or the start of a longer stall. This is journalism, not personal Investment advice.