Small Caps | Dec 16 2025
It's been a long road for medical device manufacturer ImpediMed, but analysts believe the company is now ready to increase scale.
- Impedimed offers unique medical technology
- US take-up established and set to accelerate
- Installed base of over 600 devices in the US across some 300 hospitals
- Bell Potter initiates with Speculative Buy
By Greg Peel
Through a unique non-invasive 30 second test, ImpediMed ((IPD)) uses Bioimpedance Spectroscopy (BIS) to measure the electrical properties of biological tissues to assess physiological parameters, including body composition and fluid distribution.
The company’s Sozo device uses proprietary technology that sends 256 unique frequencies through the body to assess both intra and extracellular fluid.
The precise detection of fluid provides accurate indicators for routine monitoring and patient health management across a range of applications including cancer, heart failure and other tissue composition analytics.
Sozo is the world’s most advanced non-invasive BIS system, Bell Potter notes, and provides highly accurate indicators for routine monitoring and patient health management.
Key US hospital system utilisation lays a strong foundation. Although adoption to date has been slower than Bell Potter expected, the acceptance by key hospital customers provides cause for optimism.
Gaining adequate private payer coverage has been a slow process to date but ImpediMed is nearly at an inflection point with national reimbursement coverage reaching 90% as at early December covering circa 314 million lives.
Given the expected near-term improvement in reimbursement coverage, Bell Potter considers Impedimed is close to finally accelerating adoption.
Long Road
It has been a long journey since the 2007 IPO for ImpediMed to work through various phases of building its business, Bell Potter points out.
These include technological development, US FDA and CE Mark (Europe) clearances, the post approval of trials, multiple clinical guideline inclusions, building wide US reimbursement coverage (now around 90%), and an effective sales and marketing engine.
ImpediMed now has an installed base of over 600 devices in the US across some 300 hospitals, with more than a million patient tests globally to date. Bell Potter considers the company now has the elements and management in place to deliver upon Sozo’s potential.
It hasn’t all been smooth sailing. The September quarter cashflow report in early November proved below Morgans’ expectations, impacted by hospital approval delays and forex headwinds. The installed base growth in the US of 26 units was below expectation of 40 units, but the broker expects subsequent quarters will step back up over 40 units.
The company’s -$5.5m cash outflow was higher than usual, but related to advance inventory purchases of -$1.1m which was well flagged by management. December quarter cash outflow is expected to be back around -$3.0m. Management noted it has a runway of five quarters of funding available.
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