PKS signs its largest ever single agreement for a USD$1.65 million (~AUD$2.25 million) strategic consultancy engagement to audit health data in public hospitals in the Kingdom of Saudi Arabia
The value of this agreement will be a material driver of revenue and earnings for PKS in FY21 and FY22 and is equivalent to approximately 30% of total PKS FY20 pro-forma revenue
The engagement is expected to run over a 12-month period and will involve analysing the data of more than 270 hospitals and generate similar or better gross margins as per other data audit contracts it has conducted in the past
PKS’ core software products PICQ® and RISQTM will be integral in the delivery of the health data audit consulting services
Following the completion of these audits, customers often license PKS software products such as PICQ® and RISQTM on an ongoing basis which drives ongoing software recurring revenues
The Board of PKS Holdings Limited (ASX: PKS) (“PKS” or the “Company”), is pleased to advise that PKS has entered into a new material contract to provide health data audit services to more than 270 hospitals in the Middle East. This underpins the international expansion strategy to provide further health data audit services as a precursor towards the provision of its wholly owned SaaS-based products including PICQ® and RISQTM.
Pavilion Health, a wholly owned subsidiary of the Company, has signed a significant strategic advisory services engagement worth AUD$2.25 million (USD$1.65 million), to conduct a nation-wide audit of health data throughout the Kingdom of Saudi Arabia’s Ministry of Health hospitals.
Following the recent agreement between the Australian Government’s Independent Hospital Pricing Authority (IHPA) and the Kingdom of Saudi Arabia to licence the 10th Edition of the Australian Health Classification, ICD-10-AM/ACHI/ACS and AR-DRG, this agreement continues PKS/Pavilion Health’s successful expansion into the Middle East region with our range of SaaS-based products and advisory services. Currently, there are 18 countries globally who licence the Australian Government’s health data classification.
As part of the Ministry of Health’s Visualisation Realisation Office 2030 program to assess the readiness of hospitals for the introduction of the Australian Government’s classification of health data, this engagement is estimated to take 12 months to complete and will involve Pavilion Health analysing the data from more than 270 Ministry of Health hospitals.
Pavilion Health will work with the Dubai-based team from IQVIA (NYSE: IQV), who will act as the regional representative for this engagement.
PKS’ Managing Director Ron van der Pluijm said, “PKS is extremely pleased to sign its largest single deal worth more than AUD$2 million to audit the health data of public hospitals in the Kingdom of Saudi Arabia and to work closely with the Kingdom of Saudi Arabia’s Ministry of Health to contribute to their efforts in achieving their goals of the Visualisation Realisation Office 2030 program. We see this engagement as an excellent opportunity to further expand our presence throughout the GCC region”.
PKS signs USD$1.65 million agreement for national health data audit
Pacific Knowledge Systems
/Public Release.
