The Pro Medicus Ltd (ASX: PME) share price has jumped 12% after the company announced its FY26 result.
Pro Medicus is one of the largest healthcare technology businesses on the ASX, providing medical imaging and software to hospitals and other healthcare groups.
FY26 result
Here are the highlights for the 12 months to 30 June 2026:
- Revenue grew by 22.9% to $261.7 million
- Underlying EBIT (EBIT explained) rose 24.4% to $196.1 million
- Underlying net profit after tax (NPAT) increased 24.1% to $144.7 million
- Statutory net profit after tax rose 130.3% to $265.3 million
- Final dividend per share of $0.37
- Total dividend per share up 25.5% to $0.69
What drove these numbers?
A significant portion of the company’s earnings are now generated in the US, so it’s exposed to changes in the exchange rate between Australian dollars (which it reports in) and US dollars.
On a constant currency basis, revenue grew 28.4% to $273.5 million, underlying EBIT grew 30.6% to $206 million and underlying net profit soared by 32.5% to $154.5 million.
Pro Medicus noted that it signed 10 new contracts worth a minimum of A$407 million as well as renewing six out of six contracts worth A$141 million on five-year terms. This is driving revenue higher.
One of the biggest contracts signed in recent times was Trinity – implementation is largely complete and ready for a full-year contribution for FY27.
Impressively, the company’s profit margins continue to increase. Its EBIT margin rose a further 90 basis points (0.90%) to 74.9%.
A key reason for the significant increase in statutory profit is its investment in 4DMedical Ltd (ASX: 4DX), which has risen significantly since the start of FY26. Share price growth is added to Pro Medicus’ statutory net profit.
The ASX healthcare share has also made an investment in EchoIQ Ltd (ASX: EIQ).
Final thoughts on the Pro Medicus share price
The company says it still has a strong pipeline despite its market share reaching 11% in the US. Its growing presence is leading to pleasing network effects. The strengthening profit margins are particularly appealing.
I don’t think AI will be as negative for Pro Medicus as some investors seem to think. It could even be a positive development.
In my opinion, Pro Medicus is one of the highest-quality ASX growth shares, though it’s not cheap. I think it could be a solid buy at a lower earnings multiple, though time will tell if it ever goes that low.
