Proactive Investors - Run By Investors For Investors

Kromek lands five-year contract worth at least US$5.38mln

The contract is worth at least US$5,38mln, with revenue starting to flow through in the current financial year (to end-April).
Bone scan
As medtech companies move away from legacy diagnostic systems, CZT-based detectors will become a core technology

Shares in Kromek Group PLC (LON:KMK) opened higher after the radiation technology company announced a new five-year contract from an existing customer.

The customer, which operates in the bone mineral densitometry sector, intends to incorporate Kromek’s cadmium zinc telluride (CZT)-based detector modules in a new medical diagnostics product.

WATCH: Contract 'validates increasing traction of Kromek's CZT-based detectors'

Delivery on the contract, which is worth a minimum value of US$5.38m, is expected to begin in the current financial year, which runs to the end of April 2018.

Dr Arnab Basu, chief executive officer of Kromek, said the order validated the company’s belief that CZT-based detectors will become a core technology in the diagnostics industry.

Kromek expects to be one of the major suppliers to this segment, Dr Basu said.

“The agreement also demonstrates the strong relationships we build with our customers and the company's commitment to securing further contracts in the medical imaging sector," he added.

Kromek’s shares were up 2.2% at 29p.

--Updates for share price and video link--


View full KMK profile View Profile

Kromek Group PLC Timeline

Related Articles

Biohazard symbol
December 10 2018
On 10 December, the group signed a 12-month contract with the agency, part of the US Department of Defense, carrying a value of US$1.99mln
Video game media with player
August 21 2018
Analysts at German bank Berenberg have upped their target price for the firm to 2,150p from 2,060p, saying the company's market is expected to "outgrow the video game segment"
ai graphic
August 26 2018
The company helps commercialise innovations developed in universities around the world. The shares are trading at a 40% discount to the value of its current basket of investments

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use