High Gross MarginAn 88% gross margin is characteristic of a software-centric business and supports durable profitability once operating leverage improves. High gross margins allow Alcidion to reinvest in product development and sales without proportional cost increases, aiding scalable margin recovery over months.
Recurring, Diversified Revenue StreamsA mix of subscription licensing, maintenance and professional services creates recurring revenue and multiple upsell pathways. This structure improves revenue predictability, increases customer stickiness, and supports steady cash flows as hospitals renew and expand deployments over medium term horizons.
Strong Free Cash Flow ImprovementA dramatic FCF uplift and near 1:1 FCF-to-net income conversion show the business turning accounting earnings into real cash. Strong cash generation enhances investment capacity, funds organic growth and reduces reliance on external financing over the coming quarters.