The Pro Medicus Ltd (ASX: PME) share price just took a huge leg up in intraday trading.
Shares in the S&P/ASX 200 Index (ASX: XJO) health imaging company closed yesterday at $228.41. They were trading 1.5% higher at 1.30pm AEDT today before rocketing to $258.87, up 13.3%.
After some likely profit-taking, Pro Medicus shares are currently changing hands for $247.25 each, up 8.4%.
As you can see on the chart below, this sees the Pro Medicus stock up an eye-watering 184% in just 12 months.
Here's what's spurring ASX 200 investor interest this afternoon.
Image source: Getty Images
Pro Medicus share price soars on $330 million deal
The Pro Medicus share price just took off after the company released an intraday update regarding a major new contract.
Pro Medicus reported that its wholly owned United States subsidiary, Visage Imaging, has signed a 10-year $330 million contract with Trinity Health.
Trinity Health is one of the largest not-for-profit healthcare systems in the US, with 93 hospitals, 107 continuing care locations, and 142 urgent care locations.
The contract will see the ASX 200 healthcare stock's cloud-based Visage 7 Enterprise Imaging Platform implemented throughout Trinity to provide a unified diagnostic imaging platform.
Pro Medicus noted that Trinity Health, like all its recent Visage 7 clients, has opted for a fully cloud-based solution. The company said this is a trend that is "fast becoming the standard in the North American healthcare IT market".
Management said that planning for the rollout would start immediately. The rollout will be based on Visage's proven cloud-based implementation process. Multi-phased go-lives are targeted to begin in early Q3 of the 2025 calendar year.
Commenting on the contract sending the Pro Medicus share price soaring, CEO Sam Hupert said:
Trinity Health is our largest customer to date and the first with a national footprint. Our initiative with Trinity Health is noteworthy for its scope and scale which will see the Visage 7 platform used by over 650 Radiologists and thousands of clinicians who will benefit from the proven differentiation of Visage 7…
Our pipeline remains strong and spans all market segments. As has been the case with many of our recent contracts, this deal is for our 'full-stack' comprising all three core Visage products, a trend we see continuing.
If the Pro Medicus share price manages to hold onto the gains at close, as looks likely to me, this will mark another new all-time closing higher for the ASX 200 health imaging company.
