How Did Alcidion Secure $8.2M in New Sales to Boost FY26 Outlook?
Alcidion Group Limited has reported a robust start to FY26, posting $8.2 million in new sales and significantly improving its operating cash flow. The company reaffirms its guidance for positive EBITDA and cash flow for the full year.
- Q1 new total contract value sales of $8.2 million
- Expansion of North Cumbria contract by $6.8 million with MediViewer solution
- Operating cash outflow improved to $0.6 million from $3.9 million in prior year
- Contracted FY26 revenue stands at $36.3 million with growth expected
- Cash balance of $16.4 million and zero debt as of September 30, 2025
Strong Start to FY26
Alcidion Group Limited (ASX – ALC) has kicked off its 2026 financial year with encouraging momentum, reporting $8.2 million in new total contract value (TCV) sales during the first quarter. This includes a substantial $6.8 million expansion to its existing North Cumbria contract, where the company will deliver the MediViewer document management solution in partnership with Mizaic. This contract expansion underscores Alcidion’s ability to deepen relationships with existing clients by integrating complementary third-party technologies.
Quarterly cash receipts rose to $8.4 million, up from $6.3 million in the prior corresponding period, contributing to a marked improvement in operating cash flow. The company recorded an operating cash outflow of just $0.6 million, a significant turnaround from the $3.9 million outflow in Q1 FY25, reflecting tighter cost control and stronger revenue collection.
Operational Highlights and Deployments
Alcidion’s delivery teams have been active with key deployments, including the successful launch of Miya Emergency at University Hospitals Southampton NHS Foundation Trust and Miya Flow going live at North Adelaide Local Health Network. Notably, during the first week of live operations at Southampton, the emergency department managed record patient volumes efficiently, demonstrating the practical impact of Alcidion’s technology in high-pressure clinical environments.
At North Adelaide, the replacement of traditional whiteboards with electronic journey boards across two hospitals, along with enhanced bed management and operations centre capabilities, reflects the company’s commitment to improving hospital workflow and patient care through digital innovation.
Financial Position and Outlook
As of September 30, 2025, Alcidion reported contracted and renewal revenue of $36.3 million for FY26, the highest value recorded at this stage in the company’s history. With new sales anticipated to further increase this figure over the coming months, the company remains confident in its growth trajectory. Cash reserves stand strong at $16.4 million, with no debt on the balance sheet, providing a solid financial foundation.
CEO and Managing Director Kate Quirke reaffirmed the company’s guidance for positive EBITDA and operating cash flow for FY26, while noting that the timing of contract progressions through procurement stages will influence the exact financial outcomes. The company’s strategic focus on expanding modular electronic patient record solutions and interoperability with third-party vendors positions it well to capitalize on evolving healthcare IT demands.
Looking Ahead
Alcidion’s strong Q1 performance sets a promising tone for the remainder of FY26. The company’s ability to secure significant contract expansions and deliver impactful technology deployments highlights its growing footprint in the healthcare IT sector. Investors will be watching closely to see how these early gains translate into sustained revenue growth and improved profitability over the year.
Bottom Line?
Alcidion’s Q1 momentum and robust cash position pave the way for a potentially transformative FY26, but contract timing remains a key variable.
Questions in the middle?
- How will the timing of contract renewals and new sales affect Alcidion’s full-year revenue and cash flow?
- What is the potential for further expansion within existing large contracts like North Cumbria?
- How will Alcidion’s technology deployments impact customer retention and new business acquisition?
