[Click eStock] "Vuno, H2 DeepCAS US FDA Approval Expected... Target Price Downgraded"

"Limited Impact of Medical Strike"
"Strengthening Mid- to Long-Term Vision for AI Solutions"

On the 29th, Kiwoom Securities commented on Vuno, stating, "Due to medical strikes, patient consultations and hospital admissions at large hospitals have decreased," but added, "The demand for the DeepCARS system, which predicts cardiac arrest and helps manage patient prognosis, is expected to be minimally affected." The investment opinion remains a buy, but the target price was lowered from 46,000 KRW to 36,000 KRW.

On the same day, Minsoo Shin, a researcher at Kiwoom Securities, analyzed, "Cardiac arrest is an area where management and response are more important than the patient's underlying condition. Limited personnel may actually increase interest in artificial intelligence (AI) to efficiently perform tasks." He also stated, "Just as perceptions of telemedicine matured through the COVID-19 endemic, the necessity of cardiac arrest AI solutions has been proven during this period, strengthening the mid- to long-term outlook."

Researcher Shin revealed, "The first-quarter performance this year is estimated at sales of 6.48 billion KRW, a 264.9% increase compared to the same period last year, with an operating loss of 760 million KRW." He added, "The number of hospitals supplied with DeepCARS increased from 62 at the end of last year to 87 at the end of the first quarter, and is expected to reach 100 hospitals by the end of the second quarter. We plan to continue steady quarter-over-quarter growth by adding four tertiary general hospitals with an average of 1,000 beds in the first quarter and two more in the second quarter to our sales network."

The approval of DeepCARS by the U.S. Food and Drug Administration (FDA) is expected no later than the fourth quarter of this year. Researcher Shin stated, "Operations will begin in the first quarter of next year, with significant sales starting from the second quarter." He estimated, "When forecasting U.S. DeepCARS sales, the fee was assumed to be about 10 times the non-reimbursed fee of 7,000 KRW in Korea. The penetration rate is expected to be about half of the domestic quarterly cases." Accordingly, the projected U.S. DeepCARS sales are 950 million KRW next year, 5.55 billion KRW in 2026, and 11.38 billion KRW in 2027.