Friday, 10 August 2007

Backlog Grows For LMS Medical

LMS Medical Systems (LMZ - TSX / AMEX) has released Q1F08 (June 30), which saw revenues of just under a million dollars at $962 thousand representing an increase of 52% over Q1F07 of $631 thousand.

There was a slight increase of $200 thousand of backlog contracts over Q4F07 to $4.6 million from $4.4 million.

The total realized and signed contracts in the quarter was $1.2 million.

LMS continues to reduce the gap to cash sustainability as demonstrated by cash and cash equivalents as at June 30th being $3.13 million versus $3.35 million on March 31st. This gap was close to $2.0 million per quarter a year ago.

The pipeline of identified sales opportunities remains at $25 million. To be noted is that just a few days ago we wrote about the launch of McKesson's integrated hospital information management system in which is embedded LMS' predictive technologies for Obstetrics.
McKesson has a major commitment both in financial terms and reputation to the obstetrics space. Their growth in this area where they intend to be the outright industry leader will directly benefit LMS. With some of 900 of the 3000 hospitals doing obstetrics already doing business with McKesson we look to this multi billion dollar partner to capture a meaningful percentage of the aforesaid 900 accounts for the integrated product over the coming three calender years.