Aiforia strengthens its market position in France

Translation: Original published in Finnish on 10/27/2025 at 3:42 pm EET.

Aiforia announced that it will supply clinical AI solutions for routine use in breast and prostate cancer diagnostics to the French Institut Curie. The company originally announced the customer relationship in connection with its H1 report. In light of the additional information in the release, the ramp-up of the customer relationship will be quite fast, and Aiforia will at least challenge and possibly replace its competitor IBEX's solutions in the customer relationship.

The customer win is in line with our view of the competitiveness of Aiforia's solution and naturally supports our forecasts for strong revenue growth. Our current growth forecasts include expectations of continuous new customer wins, and the customer relationship was announced earlier, so the release does not cause immediate pressure for forecast changes.

Aiforia's position in France strengthens and puts pressure on competitor IBEX

Institut Curie is Aiforia's third announced clinical segment customer in France, following the Paris Hospital District and Nantes University Hospital. We believe that the software implementation and revenue recognition from the contract will be quite rapid, as the contract is for one year. In addition, according to public information, the customer already has the technology required to start using the software installed. The value of the contract was not disclosed in the press release, but it is funded by public money through the health authorities (ARS Ile-de-France).

Institut Curie was, at least at the end of 2024, a clinical customer of Aiforia's competitor IBEX in prostate cancer diagnostics. IBEX was a long-time market leader but quickly lost market share, and by Q1/2025, Aiforia had already risen to a shared leading position in the market alongside IBEX. In light of the release, Aiforia will be implemented at least alongside IBEX for the diagnosis of partly the same (prostate cancer) samples and apparently also more broadly (breast cancer). Thus, Aiforia is at least challenging IBEX in this customer relationship. We have estimated in our extensive report that Aiforia's solution brings greater efficiency benefits in clinical use, so a wider replacement of IBEX with Aiforia at Institut Curie is, in our opinion, very possible. IBEX has previously served Institut Curie in research use, so Aiforia has gained access to the customer despite IBEX's initially strong and longer customer relationship. Thus, the announcement strengthens our view of Aiforia's solution's strong competitive position.

As the market develops, the revenue recognition of contracts may accelerate

In the short term, we believe Aiforia's investment story has been about how quickly the company's numerous customer wins will translate into revenue as software usage grows. As we commented in connection with the H1 report, customer ramp-ups have been slower than we expected, which has delayed the acceleration of revenue growth. In practice, this has been due to digital pathology transformations, where customers need to modernize their pathology laboratories (e.g. by acquiring digital sample scanners) before starting to use Aiforia's image analysis software. We estimate that this has so far led to a delay of approximately 2.5-3 years between Aiforia's contract win and the volume phase.

As the market matures in pathology laboratories, sample digitalization is increasingly already done, allowing Aiforia to grow its revenue faster after a contract. Such a customer has, in our view, been, for example, Memorial Hospitals (Turkey, ~12/2024), but now Institut Curie (~10/2025) also seems to be reaching the revenue phase faster. While we believe that the formation of Aiforia's market will for now be weighted towards customers with slower ramp-ups, the company's revenue growth has room to accelerate as the market matures.