Craneware has reported strong growth for FY24 guiding to revenue in excess of US$188m, above the top end of current market expectations, and adjusted EBITDA of at least cUS$58m, at the top end of expectations. The group continues to pay down debt ahead of schedule. We will revise our figures on the full-year results, with a likely increase on the cards. We calculate a DCF based fair value of 2,541p, 10% above the current share price which could easily prove conservative on stronger medium term revenue growth including the potential promised by the recently announced alliance with Microsoft. Craneware sits in the sweet spot of the structural transformation underway in the US healthcare market to value-based care which is currently also the hottest area of healthcare SaaS M&A activity.
