The Australian share market may be struggling to move higher today, but the same cannot be said for one ASX All Ords stock.
In morning trade, this stock is up a sizeable 14% to 33.75 cents.
Which ASX All Ords stock?
The stock in question is 4DMedical Ltd (ASX: 4DX), which is medical technology company aiming to revolutionise respiratory care.
The company notes that by harnessing advanced imaging and AI-powered solutions, it delivers unprecedented insights into lung function, enabling earlier and more precise diagnoses of respiratory diseases.
Why are its shares rocketing?
Investors have been bidding the ASX All Ords stock higher today after it announced the execution of a commercial contract with Intermountain Health.
According to the release, the commercial contract will see the implementation of 4DMedical's recently FDA-cleared Pulmonary Hypertension Analysis product.
Intermountain Health is a major U.S. health system that is headquartered in Utah. It comprises 33 hospitals, 400 clinics, and includes nearly 4,000 physicians. The release notes that it is widely regarded as a leader in value-based care, innovation, and the early adoption of advanced technologies that improve patient outcomes.
The ASX All Ords stock believes that Intermountain Health's scale and clinical excellence provides an ideal launchpad for its Pulmonary Hypertension Analysis product, which is an AI-based algorithm designed for use in acute care settings, supporting Pulmonary Embolism Response Teams (PERTs) in the rapid assessment of pulmonary hypertension secondary to pulmonary embolism (PE).
It provides automated measurements of right ventricle (RV) and main pulmonary artery diameters, along with clinically relevant ratios, which serve as key indicators of pulmonary hypertension resulting from PE-related thrombus.
The contract was secured through Nuance Communications, which is a Microsoft (NASDAQ: MSFT)-owned company, as part of 4DMedical's strategic distribution partnership. Nuance provides AI-driven clinical documentation and diagnostic imaging solutions to healthcare providers across the United States.
'A very exciting moment'
The ASX All Ords stock's CEO, Andreas Fouras, was very pleased with the news. He said:
We are thrilled to partner with Intermountain Health through our distribution agreement with Nuance. Intermountain's leadership in data-driven, high-quality care makes them an ideal partner to lead this important innovation in cardio-pulmonary health care delivery. This contract establishes us within a health system of 33 hospitals and nearly 4,000 physicians.
As the contract transitions to full commercial terms this revenue stream will become meaningful for us. Furthermore, under those terms we can grow revenue through increased usage of PHA and expansion to other products in the portfolio, further growing the opportunity within this large health system.
Fouras then concludes:
4D stands at a very exciting moment, with rapid growth in sites and scans month on month. This growth is soon to be boosted as our investment in the relationship with Philips matures, and preparations for the CT:VQ submission to the FDA for 510(k) clearance nears completion, paving the way for market entry later in CY2025.
