Image credit: Vieworks, CMEF 2018
On 29th March, Vieworks, the Korean originated x-ray solutions OEM, published its audited financial results for 2019. These results show that the consolidated Group sales revenue returned to growth during the fourth quarter, resulting in overall higher sales for the year. The Q4 2019 sales revenue reached ₩38.9 billion, compared with ₩37.6 billion during Q4 2018, an increase of approximately +3.5% year-on-year. This took full-year 2019 sales revenue to ₩136.0 billion, compared with ₩131.4 billion in 2018, an increase of +3.5% year-on-year. Coincidentally, the Q4, as well as cumulative sales growth rates, are the same.
The sales growth during 2019 was driven by higher sales of medical imaging solutions, partially offset by lower domestic sales of industrial imaging solutions. The sales of medical imaging solutions originating both from international export and domestic customers were higher, relative to 2018, resulting in overall sales growth of +11.5%. The sale of industrial imaging solutions originating from exports increased by approximately +8% year-on-year while sales to domestic-based customers in Korea significantly contracted, resulting in overall sales growth of -9.4% year-on-year. The majority of export sales were to customers based within the United States, Europe, China and Japan. The United States remains the companies largest market, in terms of revenue contribution, with sales and distribution occurring through its subsidiaries MedLink Imaging and Vieworks America. From a product perspective, the sales growth during 2019 was driven by higher sales revenue from CCD-type and TFT-type dynamic detectors, mainly the VIVIX-D series, for medical applications such as fluoroscopy and angiography. Higher sales from these product segments were partially offset by lower overall sales revenue from TFT-based detectors for digital radiography, which encompasses the VIVIX-S V series.
Production volumes and pricing
The production capacity of detectors at its facility in Anyang-si, marginally increased for medical detectors and remained stable for industrial detectors, relative to 2018. For full-year 2019, the company reported an overall production capacity of 31,560 units, compared with 30,960 units in 2018, an increase of approximately +1.9%. In terms of production volumes, the production of detectors for medical imaging applications significantly increased which was more than offset by lower production of detectors for industrial imaging applications. The company reported overall production volumes of 18,266 units, compared with 20,055 units in 2018, a decrease of approximately -9% year-on-year. The company reported that the average selling price (ASP) of its detectors, at an overall portfolio level, were lower relative to 2018, driven by price erosion of TFT FPD detectors for both medical and industrial applications. At an overall portfolio level, the ASP of TFT FPD’s were approximately -2.5% lower year-on-year. Price stability and strength was observed in other parts of the portfolio, such as dynamic detectors for R/F medical application. The mix of continued price erosion of TFT detectors, combined with pockets of pricing strength, resulted in a slower pace of price erosion at the portfolio level, compared to prior recent years (2016 to 2018).
The Vieworks Group
Unless otherwise stated, sales results are for the consolidated Group of Vieworks companies. Vieworks subsidiaries include Vision Viewer Ltd, Sinui Tech (Shanghai), New Medical, Vieworks America Ltd, Senso Hub, Vieworks EU GmbH and Medlink Imaging LLC.