Memphasys has secured its first New Zealand commercial agreement for Felix, committing a government-operated Auckland IVF clinic to a minimum of 1,200 cartridges over two years. The deal expands the device’s installed-clinic footprint, although undisclosed pricing leaves its financial contribution unclear.
- First New Zealand Felix agreement with Health New Zealand
- Minimum 1,200 cartridges over an initial two-year term
- Initial delivery includes 500 cartridges and one console
- Quarterly deliveries and additional orders are possible
- Pricing undisclosed and agreement non-exclusive
First New Zealand Public IVF Contract
Memphasys Limited (ASX:MEM) has landed its first New Zealand commercial agreement for Felix, securing a minimum purchase of 1,200 single-use cartridges from Health New Zealand | Te Whatu Ora over an initial two-year term. The system will be supplied to Fertility Plus, a government-operated IVF clinic at Auckland’s Greenlane Clinical Centre.
The opening shipment is scheduled to include 500 cartridges and one Felix console, with quarterly deliveries to follow. The agreement also allows additional orders, giving Memphasys a route to exceed the stated minimum if clinic demand develops as planned.
Recurring Cartridge Revenue Without a Disclosed Price
For Memphasys, the contract is strategically more important than its headline volume alone. Felix uses a cartridge for each procedure, creating the recurring consumables stream that sits behind the company’s commercialisation model. The New Zealand win adds a direct Australia-New Zealand channel to the company’s record Felix rollout, which had been accompanied by record September-quarter invoiced revenue and wider international clinic activity.
The announcement does not disclose unit pricing, expected revenue, gross margin or cash receipts. That means the 1,200-cartridge minimum cannot be translated into a contract value from the information provided. The filing also cautions that delivery, adoption, revenue recognition and cash receipts are separate measures, an important distinction for a company seeking to convert agreements into repeat orders.
Direct Clinic Strategy Takes Shape
Memphasys says it intends to operate directly across Australia and New Zealand to maximise market penetration, protect margins and provide clinical and technical support. The agreement is non-exclusive, includes contractual termination provisions and gives Health New Zealand a further 24-month renewal option rather than committing the customer to a longer initial term.
The immediate test is execution: the first 500 cartridges and console must be delivered and deployed, followed by the scheduled quarterly orders. The longer-term question is whether Fertility Plus generates additional demand beyond the minimum and whether the relationship is renewed after the initial two years.
Bottom Line?
The contract strengthens Felix’s New Zealand foothold, but delivery, usage and undisclosed pricing will determine whether the headline volume becomes meaningful revenue.
Questions in the middle?
- Will the initial 500-cartridge delivery and console deployment occur on schedule?
- Does Fertility Plus order beyond the 1,200-cartridge minimum?
- What revenue and margin contribution will the agreement generate once pricing and cash receipts emerge?