Imricor Medical Systems (ASX:IMR) is nearing a "genuine commercial inflection point" as it transforms almost two decades of platform development into a recurring, high-margin revenue stream, Jarden said in a late Monday note.
The company delivered a first-half underlying net loss of $15.1 million, a modest miss to Jarden's estimate of a $13.6 million loss, due partly to higher research and development spending as well as an increase in selling, general, and administrative expenses following the launch of commercial operations in the US.
However, with Imricor continuing to pursue full regulatory approval for its electrophysiology ablation platform, the primary focus of the results was on the commercialization pathway for the platform and the launch of its Imricor Cardiovascular vertical rather than the financials, the investment firm said.
The Children's Medical Centre of Dallas is the second US customer to purchase Imricor's NorthStar cardiac mapping and guidance system, and several more US hospitals are in the final stage of the purchasing process.
"This growing pipeline, which appears to extend into adult hospitals, further validates Imricor Cardiovascular as a standalone growth driver in its own right, and as a beachhead for the eventual rollout of Imricor's [electrophysiology] ablation platform," the equity research firm said.
Jarden maintained a buy rating on Imricor while raising its target price to AU$3.35 from AU$3.30.
Imricor's shares gained nearly 2% in recent Tuesday trade.
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