Image credit: Genoray booth RSNA 2019, Genoray.com
On 27th March, audited 2019 financial results for Genoray were published by DART. These results show that sales revenue grew at an explosive pace during the fourth quarter, following weaker sales activity during the first half of 2019. The Q4 2019 sales revenue reached ₩22.3 billion, compared with ₩16.5 billion in Q4 2018, an increase of approximately +35% year-on-year. This propelled 2019 full-year sales revenue to ₩65.1 billion, compared with ₩56.3 billion in 2018, an increase of +15.7% year-on-year. The annualised result is in-line with companies medium-term growth trend which has averaged +19.5% sales growth between FY 2015 and FY 2019.
Sales growth during 2019 was driven predominately by higher sales revenue from customers based internationally, although domestic market sales were also higher. The sales revenue from exports reached ₩46.9 billion, an increase of approximately +20% year-on-year. The sales revenue from domestic customers reached ₩18.2 billion, an increase of approximately +7% year-on-year. With respect to exports, the company currently operates internationally through three subsidiaries in the United States, Germany and Japan as well as approximately 40 global distribution partnerships. The sales growth during 2019 was predominately driven by higher sales from the EMEA region, although the company achieved high-level sales growth across all of its major geographies.
From a product mix perspective, the sales growth during 2019 was driven by a combination of higher sales revenue from c-arm, computed tomography and mammography imaging solutions, partially offset by lower sales revenue from dental imaging solutions.
The sales growth was centred around c-arm imaging solutions which accounted for approximately 40% of total company revenues during 2019. The revenues generated from the sale of c-arm solutions reached ₩25.7 billion, an increase of approximately +28% year-on-year. Higher demand was from both domestic and international customers. The company tends to perform well within its domestic market for interventional c-arm solutions and according to the companies internal estimates, it has approximately a 70% market share. The company is seeking to replicate this success within international markets and has been developing out its portfolio in order to compete with a few larger OEMs, mainly GE Healthcare, Siemens Healthineers, Philips Healthcare and Ziehm Imaging GmbH. It’s recent product launches include offering a line-up of “compact” and “premium” options targeted toward specific customer segments as well as incorporating FPD technology to enhance image quality. The companies original portfolio of c-arm systems were predicated upon image intensifier technology although Genoray subsequently launched the OSCAR Prime and OSCAR 15 platforms which incorporates digital FPD technology. The OSCAR Prime platform acquired CE certification during June 2017 and the OSCAR 15 platform secured U.S. FDA certification during February 2018.
In contrast, revenue originating from the sale of dental imaging solutions weakened and contracted by approximately -25% year-on-year. Its dental imaging portfolio encompasses the PAPAYA series which includes panoramic, cephalometric and 3DCT used for diagnosis, surgical treatment and treatment planning. These systems are typically used within an orthodontic setting at individual dental practitioners as well as SME hospitals or clinics with dental departments.
The Genoray Group
The Genoray group encompasses a number of companies including, Genoray Co., Ltd (Korea), Genoray America Inc (USA), Genoray EU GmbH (Germany) and Genoray Japan Co., Ltd (Japan).