Carasent Group Secures Major Contract to Integrate Medrave M4 with VGR’s EHR system

Västra Götalands Regionen (VGR) has chosen Medrave AB, a subsidiary of Carasent Group, to integrate the Medrave M4 software with their newly adopted Electronic Health Record (EHR) system, Millennium.

This partnership marks a major step forward in operational monitoring and automatic reporting for healthcare quality registries. Under the terms of the agreement, which extends for six years, Medrave AB will provide its advanced Medrave M4 solution, replacing parts of the previous system used by VGR.

This change comes as VGR transitions to a new EHR system, necessitating a fresh tender which Medrave successfully won. The contract guarantees Medrave AB an annual recurring revenue (ARR) of NOK 11 million after the implementation process, with an additional NOK 2 million expected from consultancy services in the first year. VGR will also maintain its current subscription with Medrave for their old EHR system. As long as they do so, the costs for this older service, amounting to NOK 4-5 million, will be deducted from the new contract’s value.

Implementation of the new system is slated for completion by November 2024, after which the new revenue will commence. Daniel Öhman, CEO of Carasent, expressed his enthusiasm about the continued partnership with VGR, highlighting Medrave’s unique capabilities in enhancing primary care quality through its precise follow-up and automated reporting features.

– In a short period, we have now signed the two largest customer contracts in Carasent’s history. Signed but not implemented ARR is now approximately NOK 14 million (NOK 6 million from the new VGR agreement) up from NOK 2 million Q1 2023. Revenue growth is the key to driving our profit margins given that we aim to keep the cost base flat, and this new ARR will contribute significantly, as our gross margins are over 80%.

Medrave Software AB, established in 1996 and later acquired by Carasent Group in 2021, remains at the forefront of healthcare business intelligence solutions in Sweden. It is extensively utilized, serving over 90% of primary healthcare centres and 1,000 outpatient clinics across the country.

For further inquiries, contact Daniel Öhman, CEO at +46 70-855 37 07, or Svein Martin Bjørnstad, CFO at +47 979 69 493.

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