Nano X at Q2 Virtual Investor Summit: Imaging Innovations and Strategic Growth

On Tuesday, 10 June 2025, Nano X Imaging Limited (NASDAQ:NNOX) participated in the Q2 Virtual Investor Summit Event, presenting a strategic overview of its advancements in medical imaging technology. The conference, led by CFO Rand Daniel, highlighted the company’s progress with its Nanox ARC system and AI solutions, while also addressing the early stages of commercialization efforts in the US market.

Key Takeaways

• Nano X Imaging received FDA and CE clearances for its Nanox ARC system and AI solutions, paving the way for US market entry.
• The company offers a Medical Scan as a Service (MSAS) model, charging $30 per scan, which is gaining traction in the US.
• Financially, Nano X holds $73 million in cash with a quarterly run rate of $3 million.
• The company is expanding its AI solutions and plans to deploy over 100 units globally.
• Installations are currently in the US, Israel, and Ghana, primarily for clinical trials.

Financial Results

• Cash and Cash Equivalents: $73 million as of March 31, 2025
• Quarterly Run Rate: $3 million
• Full-Time Employees: Approximately 165
• Revenue Streams: Derived from the ARC system and OEM business

Operational Updates

• Regulatory Clearances: FDA clearance for MSK in May 2023 and general use in 2024; CE for all body in February 2025
• Commercialization: Targeting the US market with direct sales and distributors; current installations in eight states
• Business Models: CapEx sales, multiyear maintenance contracts, and MSAS model at $30 per scan
• Installations: Three in the US, two in Israel, and one in Ghana
• AI Solutions: Expanding offerings to include bone, cardiac, and liver solutions

Future Outlook

• Deployment Target: Plans to deploy more than 100 units in the US and globally
• AI Expansion: Future applications in ortho and full body composition in collaboration with US universities
• NanoxArc Upgrades: Ongoing improvements to the system and software enhancements

Q&A Highlights

• Deployment Timeline: Guided by previous earnings releases
• Revenue Streams: Current revenues from the ARC system are not significant
• Buyout Offers: No current offers disclosed, with any developments to be reported per SEC regulations
• Commercialization Progress: Emphasized early stages of US market entry, following recent regulatory clearances

In conclusion, Nano X Imaging Limited is poised for growth with its innovative imaging solutions and strategic market entry. Interested readers can refer to the full transcript for more detailed information.

Full transcript - Q2 Virtual Investor Summit Event:

Operator: Good day, and welcome to Q2 Investors Summit Virtual. We appreciate your participation in today’s virtual event. Up next, we are pleased to introduce Nano X Imaging Limited. If you would like to ask a question during the webcast, you may click the q and a icon button on the right side of your screen. Please type your question into the box and click send to submit it.

At this time, it is my pleasure to hand over the session to Rand Daniel, CFO at NanoX Imaging Limited, who will lead the presentation. Sir, the floor is yours.

Rand Daniel, CFO, Nano X Imaging Limited: Thank you very much, and thank you for hosting us today. I’m the CFO, not the CEO. Before I’m starting, I would like to remind everyone that I will be making statements during this presentation that may be deemed forward looking statements regarding the company’s com commercialization activities and other matters. This is our disclaimer. Please two seconds and and read it.

I’m very pleased to say that we are making progress in our mission to to to progress the medical imaging and improve patient outcomes. Our innovative technologies, including Nanox ARC and our AI solutions are gaining tractions in the market. I’m going to start with who we are and from where we came. So the short history, the the the company’s history has come from from Sony on the from the days for the race for the thin TVs. The group of scientists developed this chip, which you can see over here on the bottom, which this is our source.

And at some point, Sony retired from the race and spun off this technology to this this group of scientists that went to the University of Tokyo. In December of in during 02/2018, the current Nanox was was established after development of of the technology by our founder and those group of scientists, which were partnered together a long time ago. And the the the application of their technology was was applied in medical device sector. You can see here, this is our Flak product. This is the the three d multisource product.

We developed these systems, which are actually, you can see behind me. It combines the multisource NanoX ARC imaging device with our cloud based NanoX cloud platform. The system uses a proprietary X-ray source, which you can see over here, our source as opposed to warm hot cathode. In our case, it’s a cold cathode. It’s the source itself.

This is the MEMS MEMS chips that was developed by us and tube, which also also our proper proprietary tube that we also developed in our fab in Korea. The system actually produces three d tomosynthesis images, and I’ll show you some example later this presentation, with the multiple stationary tubes arranged around the patient. If you can see here the the machine the machine itself, actually, if you see if you see on the bottom of the of the of the slide, you can see the the tube and the source goes into together. We put five tubes spaced evenly on the arm on the on the assembly house of the of the of the tubes and over the camera. This the bed simply goes back and forward with the patient on it, and the arc and the arc itself is 15 to 18 degrees to each side, which creates the tomosynthesis effect.

What it brings us

Stefan: Excuse me. Your slides didn’t go

Rand Daniel, CFO, Nano X Imaging Limited: It’s okay. I’m still on the same slide.

Stefan: Tell me.

Rand Daniel, CFO, Nano X Imaging Limited: It’s the the system is designed you you don’t see the you see the you see the picture, correct, with the?

Stefan: Mhmm. That’s what.

Rand Daniel, CFO, Nano X Imaging Limited: Okay. Alright. So what’s so unique about our our system? It’s small. It’s lighter.

You can see the the system over here, and it’s a very it’s simpler from a it’s a simpler X-ray sis X-ray system. It’s not complex. There’s no there’s no requirement to the oldest all the the all the the system is designed to streamline the medical imagings from scan to diagnosis. We’re offering a scalable cost cost effective solution for an early global detection. If you think about, you see only the the the machine over here, but on the top of the machine, you should you should imagine our platform our cloud platform, which contains all of our various solutions such as, of all, the the processing of the imaging is is being done on our cloud platform, on our own proprietary software that we have developed.

Then you can also find over there the AI solutions and also our tele teleradiology solutions also been done on the cloud. Even our billing system is being done on the cloud. So you can think about it once the image goes to our cloud, then then it’s everything is really done on a real time basis. I want to show you a demonstration of how how the scan is being done. Now you can see over here that all you need over here is a technician with an iPad.

Okay. The iPad over here, you can see its size. It’s a regular iPad. The technician programs software. The patient lays on the bed, and then the bed is moving.

And you can see in this case, it’s a chest scan, and the the the arc is simply tilting to each direction 15 to 18 degrees, which creates the photo the the thermosynthesis effect. And the end results, it’s 30 to 62 d images that are going to our cloud and reconstructed to one three d images. I’ll let the illustration finish, and I’ll move back to presentation mode with your permission. So what are the tomosynthetics clinical benefits? of all, the visuality is much better.

It’s a re reduced superimposition of the normal structure that may reduce a false positive cases. It’s more details, more sensitivity, depth view. And as I said, it gives you the opportunity to expedite the diagnosis, which is important. Actually, we are in as I said, we are in the Thomas and Thetis world, but we are actually between the spectrum of an X-ray and the CT machines. So while an X-ray produces only one image, the reading time is relatively short, and the dose amount is relatively short.

It’s it’s low. The the CT machine produces hundreds of images. The reading time is much is much lower, and the dose is much higher. You can see that with regards to the images, we’re somewhere between the X-ray and the CT, and the reading time and the dose were very close to the X-ray. So, actually, the the the the main benefit you can see it as a main the main benefit of of our machine that it gives two main benefits.

economically, our cost and the the the cost for the patient is is much lower than a CT. On the other hand, we produce three d images such as CT. We don’t cover 1% of the the procedures or the intended use of the CT, but we do cover various cases that you that can can be done in lieu of the CT. This is just an example of a compression between a two d and our image. Over here a patient with a cast.

Usually, when the patient come with a cast for a checkup or a follow-up, he needs to remove the cast, then it goes through the examination, and then they put the cast again. Our case, you can see that there’s no need to remove the cast because simply the machine read through the cast. Actually, it read through as I said, it read through the layers of the human body. This is another example of hip fracture. And my favorite example, which is this one, you can see over here you can see over here a noodle over here, which simply cannot see in the can be seen in a regular X-ray image.

Okay. What we have done, what we have achieved regulatory wise, we have achieved of all, we got to this machine, the FDA, the five ten clearance of the FDA in The US for MSK in in May 2023 and in general, it was in 2024. We also got in February of twenty twenty five, we got our CE for all body. In April of twenty twenty five, we actually got a a general use clearance for the next version of this of our of our machine. I will discuss it later.

And we have clearance we have clinical clearance in in in several other various countries. We also with regards to our AI solutions, most of our AI solutions are cleared by the FDA and the FDA. So regulatory wise, we are in a very progressed status. Commercialization. We’ve we’ve currently planning to target in The US market where we work direct imaging center, multi special medical centers, orthopedic groups, urgent cares, and etcetera.

We do have our internal sales team and consultants and business partner. Actually, I’m sitting I’m based in in Richfield, New Jersey where our headquarter in The US is based. We have we have a team of that that that includes the sales team, marketing sales team, team person, and clinical support personnel. Technical support personnel are very important to us because those are the guys that goes from one customer to another and goes on the functionality and the clinical value that our devices have. Other than the our direct Salesforce, we have we have we have also we have also partnered with some distributors and business partners in The US.

Those are covering geographic areas and some other niche that we don’t cover directly. We have the deployment in The US of eight states, and we are going forward. In in other in the ex US, we work usually only via distributors. This is just an illustration. It’s pretty straightforward, so I’m going forward.

By the way, you can find this presentation on our investor section in the website. So I’m just going to, you know, explain things that, you know, needs to be explained. Over here, you can see our business models that we we do work on in a in a various business model. of all, of course, we have the regular CapEx sales model where you can come and buy the machine. On the top, we we also offer the the client maintenance contract, a multiyear maintenance contract.

On the other end, and this is the most of the transaction that we have right now in The US, and they actually are MSAS model, medical scan as a service, or simply pay pay per use. We do charge $30 per scan. We require a minimum scans per day of seven scans per day with a multiyear multiyear agreement. As for the the rationale that go goes behind our pay per use model in The US, Just as a general explanation, our system is covered procedure with is established CPT code of 76100 in The US. It actually covers most, if not all, of the total synthesis intended use that we are doing.

The global amount to end user totals approximately 88 to $109 depending on the location. The total the total the the amount the the portion of the professional amount is usually $30 per procedure, which leaves 7 58 to $79 for the technical portion for the operator. We charge $30 per scan for the technical portion for the scan itself for the usage of this machine. And then we also charge $20 for the reading itself through our teleradiology division, which is based in Florida. All in total, you can see that it leaves a net to a very hefty margin to the operators somewhere between 43 to 54 estimated 43 to 54.

It’s a win win win situation. We the operator enjoy an empty margin, and it doesn’t need really to invest, you know, a big CapEx outlay, doesn’t and doesn’t need to go through all the sales process. It’s actually you can deem it as an operation list. And for us, we have a a pretty nice margins from the service that we provide. We have a few installations in within some hospitals worldwide.

We have three installations in The US. We have mostly, they are being used for clinical trials that we conduct in Rabin Medical Center in Israel. We have two devices. One is this version, and the other one is the the new version, which I’ll explain later. In Shamim Medical Center, we have one machine, and the the largest hospital in in Ghana, we have another machine.

Okay. So the Nanoxar, we always we’re constantly working on product and technology future developments. After we got our FDA clearance for that version, we worked and upgraded you know, created an upgraded version of the machine. This it’s our latest this is going to be our latest three d g g digital multi source thermal synthesis system. It’s improved design, which results in a smaller footprint and enables us for more software upgrades and more new capabilities to be added remotely following future regulatory clearances, namely some of the outputs.

At the moment, both version comes with the same output. On the other end, this version, you can see that it’s it’s a smaller print footprint. This this version, the new version, it’s actually comes with 15 foot full span of the bed. It may be very, very long. We found out that some locations, it simply it doesn’t fit to the rooms because because sometimes, you know, real estate in New York City, for example, it’s very expensive.

You want to get it to full utilization. So this version actually with the smaller footprint of nine nine foot will enable us to, you know, even to install it in much smaller rooms. It’s of course, it’s a multi axis tomographic systems, same as the the other the other version. It has five tubes, five cold cathode tubes. The main difference that in this system is we use our own proprietary ceramic tubes.

In the in the in this in this version, we use our own glass tubes, which are much cheaper, makes these systems more cheap. Excuse me, Randy. Yes.

Stefan: They were asking if they were asking if you could, you know, show them the other slides.

Rand Daniel, CFO, Nano X Imaging Limited: The other slides of what?

Stefan: Of your presentations.

Rand Daniel, CFO, Nano X Imaging Limited: I’m showing the other slides.

Stefan: Alright. Yeah. Go ahead.

Rand Daniel, CFO, Nano X Imaging Limited: You don’t see the the the the the slides with the the machine?

Stefan: We can see it now.

Rand Daniel, CFO, Nano X Imaging Limited: Because I that’s what I see. You know, it’s a lot of work over here. It’s it just it’s not convenient, but it’s okay.

Stefan: Yeah. Alright. Thanks, Brent.

Rand Daniel, CFO, Nano X Imaging Limited: Alright. So this is so this is I can’t see it. It’s a little bit too small for me. But okay. So it’s a small foot smaller footprint multi access tomographic system.

And and, yeah, try the presentation mode. That’s what it is. And it’s a plug and play. If you can see this version, we have the elect electric cabinet in the the other side of the room. In the the new version, the electric cabinet and all the other parts are simply going into the bed.

So, actually, what we created, it’s a one sleek design that goes into a corner of the room. You simply need to plug and and use it. Okay. Tell me if I’m if I’m going to flip into the next slide. You can see that.

You can see the the slides on our AI solutions?

Stefan: Yep.

Rand Daniel, CFO, Nano X Imaging Limited: Okay. Alright. So so as I said, we we we have, as of today, we have three business divisions. The one is the hardware, which I just explained. The product is the the the the Nanox Arc and the Nanox Arc X.

We had also acquired in November of twenty twenty one our AI division formerly from Zebra Medical Solutions in Israel, and we also acquired our teleradiology division in the same the same time. I’ll explain a little bit of what we offer with our AI solution where as of date because I see that the time is getting short. We have several solutions that were cleared, as I said. But today, we are offering three main solutions. The one is the both solutions.

This is actually the version of the of of this product actually is is made to to address vertebral compression fracture and low bone mineral density. The product is cardiac solution, which works on a coronary artery calcium measurement, and the one is a liver solutions. In the pipeline, we have also future application that can be applied to the ortho and the full body composition, which we do in venture with some universities in The US. We have a few customers in The US. The the largest one is Core Health, which enter in into his fourth year of engagement with us.

He actually expanded scope of of it AI portfolio from the two, three that you can see on the screen. Those three solutions actually compose our broad suite of population of solution, which will add the future development, as I said before. Besides the cobalt solutions, we see we have clients such as Intermountain, Covera Health, Dundee Health. And recently, we also engage with Ezra Medicals as as well as medical in New York City. Mostly mostly, this is a stand alone solution, but in the future and it can also we’ll work on our images.

Right? But it you can also use it on your PAC systems. Usually, the the customers will take it and install it on the PAC systems to scan the all those CT scans that they do to their to their patients, of course, in those specific applications. In The UK, we had a a big project with the US health minister for quite a while. We which we install our bone cell solution in five different location in The UK.

As of this year, this this project went into its commercials commercialization phase. Since the time is short, I’m just going to I don’t know what if you can see the slides. I’ll I’m just going to say some more words about our some some about our financials. Besides that, we have also our teleradiology division, and we also have our OEM business where we have we have partnering with different customers regarding our core technology, which is the chip and the tube that I showed before. Some financial highlights.

As of March thirty first of twenty twenty five, we had $73,000,000 in cash and cash equivalents. We have we have a run rate of $3,000,000 a quarter, so we inspire to increase it, of course. And we have approximately one sixty five full time employees. Now I’m open for questions if there are some. I see how we can get a user manual for the new arc ArcX.

There’s there’s a lot of materials that is available on our website, but usually use you you use the manuals going to goes to our So I think it’s our it’s our customers. Is is there any any other questions over here? Stefan?

Stefan: You can look it up from in the q and a section.

Rand Daniel, CFO, Nano X Imaging Limited: Okay. The q and a sec section. Alright. Okay. I’m going to open it.

I’m going from the last one. Can you provide a clear timeline for the world of the systems? As for the the the time out and the the milestones of the world wall out of the systems, you I will refer you to our latest earnings. We gave some kind of guidance in our earnings. We said that we estimate to to have more 100 units or more deployed in The US and the rest of the world.

We do report revenues from the ARC. Maybe they are not significant, but there are some revenue from the ARC in the OEM business. We don’t we don’t engage with development solutions, although it’s an option for the future. And as for the Armani Arcs, I’ll again, I’ll refer I’ll refer to the language the language that we had in the latest earnings. I think you should read over there.

It’s there’s a few dozens of systems that are deployed in various stage of stages of deployment, but the accurate language is is there. Is there any other questions? Okay.

Stefan: Hell also receive any buyout offers? Someone is asking

Rand Daniel, CFO, Nano X Imaging Limited: on the chat. Even if we received received the buyout offers and and well, of all, we have to disclose it if we are about to talk about something like that. So I assume if there will be if there was were something that we had to report to you know, through the SEC and according all the regulations and the laws of security laws that I know. So I think it will be public information. Bye now.

Any other questions?

Stefan: There’s also someone from Alistair Mhmm. From the chat.

Rand Daniel, CFO, Nano X Imaging Limited: From the chat. Alright. I’m going back to the chat. I Alistair. Where is it?

And once the installation is the Nanox systems, the combined spend seems very low on this. I I I think that what Alistair refers to is commercialization. We are in the beginning of the commercialization in The US market. We have received the FDA clearance for an MSK only in mid of twenty twenty three, and we have started the commercialization in The US market only in the beginning of twenty twenty four. So it’s a very short time, of course, with the the new with the additions of the clearance for the general use.

So we have more opportunities in The US market. We have received only the CE this February. So for the Europe European market, so, obviously, we only need the beginning over there. What is the NanoX portable device? Can you be more specific?

The the question is for Geely. If you are referring to the connect, so there’s no new any other new updates. You can read all about it in our Okay.

Stefan: Any any other questions, guys?

Rand Daniel, CFO, Nano X Imaging Limited: As I said, you can find a copy of the deck in our investors section in our website. If anyone wants to have a call with me, he’s more than welcome to call to contact our IR person. His name is Mike. His contact details is also on our website. We would love to to to to answer any questions that any investor has.

Okay? Alright. Okay. Thank you very much.

Stefan: Thank you, Ren.

Rand Daniel, CFO, Nano X Imaging Limited: Thank you, Have a good one. You too.

Stefan: Thank you. I appreciate you.

Rand Daniel, CFO, Nano X Imaging Limited: No problem.

Operator: That concludes Nano X Imaging Limited’s presentation. You may now disconnect. For details on upcoming presentations, please refer to the conference agenda. Thank you for your participation, and we look forward to welcoming you to the next session.

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