Q3 Highlights
* Continued turbulent market conditions affecting sales development.
* Solid progress with our Data Quality initiative as we secured key approvals
allowing us to initiate patient recruitment.
* Strategic product adjustments to align our long-term Image Quality offering
with evolving market dynamics.
* Collaborations with OEMs to support a larger part of the image processing
chain going forward.
* Preparation to launch the first product from our new line of clinically
focused products at the RSNA in Q4.
* Initiated our share buyback program, as authorized by the AGM in May.
Q3 Financial Data
* Revenue of 23.7 MSEK (30.1) , down --21.2%.
* EBITDA amounted to 1.4 MSEK (9.4) with an EBITDA margin of 5.7% (31.1).
* Adjusted EBITDA amounted to 4.0 MSEK (11.4) with an adjusted EBITDA margin
of 16.7% (37.9).*
* Cash flow from operating activities was --2.0 MSEK (3.3).
* Earnings per share was 0.00 SEK (0.07).
* Adjusted earnings per share was 0.03 SEK (0.10).*
Nine Months Financial Data
* Revenue of 78.6 MSEK (96.5), down --18.6%.
* EBITDA amounted to 2.0 MSEK (29.5) with an EBITDA margin of 2.5% (30.6).
* Adjusted EBITDA amounted to 11.2 MSEK (34.4) with an adjusted EBITDA margin
of 14.3% (35.7).*
* Cash flow from operating activities was --0.2 MSEK (23.9).
* Earnings per share was --0.04 SEK (0.24).
* Adjusted earnings per share was 0.08 SEK (0.30).*
* ContextVision adjusts for investments in Data Quality to facilitate analysis
of the underlying business. The investments amounted to 2.6 MSEK in Q3 and 9.2
MSEK in the first nine months of 2025.
Navigating market uncertainty while making solid progress with our Data
Quality initiative
During the third quarter, we continued to experience a turbulent market, as
our customers faced ongoing price pressure and trade-related challenges,
leading to general uncertainty and hesitation. While navigating these complex
market dynamics, we made solid progress with our Data Quality initiative as we
secured key approvals allowing us to initiate patient recruitment. In
parallel, we started our share buyback program, reflecting our confidence in
the long-term development of ContextVision.
Revenue for the third quarter amounted to 23.7 MSEK (30.1), a decline of
-21.2% compared to Q3 2024. This was mainly due to lower license sales and a
translational FX effect of 1.1 MSEK. While our market-leading customers manage
current market conditions with less impact on our license sales, customers
with a smaller global footprint and lower volumes are more directly impacted,
also affecting our sales directly.
The broader healthcare sector remains challenging, with geopolitical and
structural headwinds resulting in increased price pressure, shifting demand
from premium to mid-range segments, and delayed procurements in key regions.
While we have not lost customers during the period, we expect the market
conditions to persist in the short term.
Adjusted EBITDA came in at 4.0 MSEK (11.4), corresponding to a margin of 16.7%
when excluding investments in Data Quality of 2.6 MSEK. The decrease in
profitability is explained by lowerrevenue, increased R&D, FX effects, and
non-recurring foreign tax expenses of 2.9 MSEK. We expect costs related to the
Data Quality initiative to increase going forward, while we are simultaneously
implementing cost reductions elsewhere.
While financial performance reflects market uncertainty, our strategic
initiatives in Image Quality and Data Quality continue to advance as planned,
reinforcing the foundation of our business. To unlock the value of our
investments in Image Quality and Data Quality we also invest in the
infrastructure of the company; for example, in our IT, QA-function and R&D
equipment.
Strategically, we continue adapting our long-term image quality offerings to
serve market segments that are increasingly attractive within the evolving
market landscape as we continue to deepen our long-standing partnerships with
leading OEMs. We have previously initiated collaborations with OEMs to support
a broader part of the image processing chain, and these are moving forward
according to plan, with positive response on presented prototypes. In Q4, at
the RSNA (Radiological Society of North America), we also plan to launch the
first product from our new line of clinically focused products.
In the third quarter, we devoted significant efforts in the Data Quality
initiative as we took important steps in our plan. We made further progress by
securing Institutional Review Board (IRB) and Ethics Committee approval of the
clinical protocol, allowing us to initiate subject recruitment. Currently, our
collaboration partner University of Washington, USA, is actively screening
patients with the goal of enrolling the first study participant in the near
term.
The study aims to develop a novel, AI-powered, ultrasound-based biomarker for
quantifying hepatic steatosis in patients with metabolic
dysfunction--associated steatotic liver disease (MASLD). We will collect data
from different modalities, patient demographics as well as clinical data, from
more than 100 participants, spanning the full MASLD spectrum, to build
disease-specific biomarker and organ specific diagnostics solutions. The
initiative represents an important step toward non-invasive, quantitative, and
scalable diagnostics, addressing a global health challenge that affects nearly
one in four people worldwide, thus representing a large market potential for
ContextVision.
During the period, we also initiated our share buyback program, as authorized
by the AGM in May. The program reflects our confidence in our future. Step by
step we are position ContextVisionfor the future of healthcare and
technological innovation.
Dr. Dr. Gerald Pötzsch
Chief Executive Officer
For more information, please contact
Richard Hallström
Chief Financial Officer
richard.hallstrom@contextvision.com
About ContextVision
ContextVision is a software company specialized in image analysis and
artificial intelligence. As the global market leader within image enhancement,
we are a trusted partner to leading manufacturers of ultrasound, X- ray and
MRI equipment around the world. Our expertise is to develop powerful software
products, based on proprietary technology and artificial intelligence for
image-based applications. Our cutting-edge technology helps clinicians
accurately interpret medical images, a crucial foundation for better diagnosis
and treatment. The company, established in 1983, is based in Sweden with local
representation in the U.S., Japan, China and Korea. ContextVision is listed on
the Oslo Stock Exchange under the ticker CONTX.
This information has been submitted pursuant to the Securities Trading Act §
5-12 and MAR Article 17. The information was submitted for publication at
2025-11-06 08:00 CET.