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With the business potentially at an important milestone, we thought we'd take a closer look at Mach7 Technologies Limited's (ASX:M7T) future prospects. Mach7 Technologies Limited provides enterprise imaging data sharing, storage, and interoperability for healthcare enterprises in North America, the Asia Pacific, the Middle East, Europe and internationally. With the latest financial year loss of AU$1.0m and a trailing-twelve-month loss of AU$5.6m, the AU$139m market-cap company amplified its loss by moving further away from its breakeven target. As path to profitability is the topic on Mach7 Technologies' investors mind, we've decided to gauge market sentiment. Below we will provide a high-level summary of the industry analysts’ expectations for the company.
See our latest analysis for Mach7 Technologies
According to the 5 industry analysts covering Mach7 Technologies, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of AU$2.8m in 2026. The company is therefore projected to breakeven around 2 years from today. How fast will the company have to grow each year in order to reach the breakeven point by 2026? Working backwards from analyst estimates, it turns out that they expect the company to grow 70% year-on-year, on average, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.
We're not going to go through company-specific developments for Mach7 Technologies given that this is a high-level summary, however, keep in mind that by and large healthcare tech companies, depending on the stage of product development, have irregular periods of cash flow. This means that a high growth rate is not unusual, especially if the company is currently in an investment period.
Before we wrap up, there’s one aspect worth mentioning. Mach7 Technologies currently has no debt on its balance sheet, which is rare for a loss-making healthcare tech company, which usually has a high level of debt relative to its equity. The company currently operates purely off its shareholder funding and has no debt obligation, reducing concerns around repayments and making it a less risky investment.
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There are too many aspects of Mach7 Technologies to cover in one brief article, but the key fundamentals for the company can all be found in one place – Mach7 Technologies' company page on Simply Wall St. We've also compiled a list of important aspects you should further examine: