[Edaily Reporter NA EUN-KYUNG ] Coreline Soft Co., Ltd.(384470)has surpassed 100 contracted medical institutions in the German lung cancer screening market. This comes approximately six months after Germany incorporated low-dose computed tomography (CT) lung cancer screening for high-risk groups into its statutory health insurance system last April. Based on its network of local medical institutions, the company plans to expand its usage-based billing (PPU, Pay-Per-Use) business, which generates revenue based on the actual number of screenings performed.

According to Coreline Soft Co., Ltd. on the 4th, as of September 15, the company had signed contracts with 115 of the approximately 310 medical institutions participating in Germany’s lung cancer screening program. This represents about 37% of the total. The number of new clients, which averaged about 10 per year last year, increased to 55 in the first half of this year and reached 77 by the end of July. The company aims to expand the number of contracted medical institutions to 150 by the first half of next year.

Exp

anding Screening Network Centered on Charité… Targeting 150 Facilities by First Half of Next Year

Starting in April of this year, Germany began covering annual low-dose CT lung cancer screenings for high-risk smokers aged 50 to 75 through statutory health insurance. The country has also established an interpretation system that utilizes computer-aided technology for detecting pulmonary nodules and measuring lung volume.

Coreline Soft Co., Ltd. has secured major secondary interpretation institutions, such as Charité University Hospital in Berlin, Germany, and is expanding its supply to primary screening institutions linked to these facilities. This strategy aims to broaden its customer base by aligning with Germany’s screening system, which connects regional screening institutions through specialized interpretation centers.

The company is supplying both its lung cancer screening AI solution, “AVIEW LCS,” and “AVIEW HUB,” which supports multi-center interpretation. AVIEW LCS supports the detection of lung nodules, analysis of their size and volume, and comparison with previous images. AVIEW HUB facilitates multi-center screening operations by linking images and interpretation results across medical institutions.

The number of potential lung cancer screening candidates in Germany is estimated to be approximately 5.5 to 5.8 million. Assuming an initial screening participation rate of 5–10%, this translates to approximately 280,000 to 580,000 participants. As awareness of the program grows and the number of participating medical institutions increases, screening demand is expected to expand gradually.

Approximately

5

Euros per Screening… Revenue Growth Expected from Repeat Usage

Coreline Soft Co., Ltd. anticipates a usage fee of

approximately

5 euros

per lung cancer screening

in Germany. This is a pay-per-use (PPU) model, where fees are incurred each time an actual screening and AI analysis are performed at a medical institution.

Applying the projected unit price, the revenue structure is such that 100,000 paid analyses per year would generate approximately 500,000 euros, while 300,000 analyses would generate approximately 1.5 million euros. While actual revenue will vary depending on the volume of tests performed by each medical institution and the terms of the contract, usage-based revenue is expected to grow as the number of screening participants increases.

Lung cancer screening is characterized by the fact that regular checkups and follow-up screenings continue even after the initial test. In Germany, annual screenings are conducted for high-risk groups, and additional tests may be performed if abnormal findings are detected. This means there is demand for repeat screenings not only from new participants but also from existing ones.

This growth potential is also evident in the Australian case. After launching its national lung cancer screening program in July of last year, Australia saw approximately 100,000 people participate in the program within about a year. An initial market is taking shape as the government supports screening participation through a national registration system and public awareness campaigns.

Various European countries are also moving toward institutionalizing lung cancer screening. France is implementing the “IMPULSION” project to validate an organized lung cancer screening model involving approximately 20,000 participants. Italy and the United Kingdom are also expanding lung cancer screening within their public healthcare systems. Coreline Soft Co., Ltd. is expanding its business footprint in Europe by participating in lung cancer screening initiatives not only in Germany but also in France, Italy, and the United Kingdom.

Coreline Soft Co., Ltd.’s consolidated revenue for the first half of this year reached 2.885 billion won, a 45.7% increase compared to the same period last year. Overseas revenue rose 123% to 1.786 billion won, while total PPU revenue increased 146% to 281 million won.

The company plans to expand software installation and operations at medical institutions it has secured in Germany and to respond to the influx of new screening patients and an increase in repeat screenings. A Coreline Soft Co., Ltd. official stated, “If we expand our local screening network with the goal of reaching 150 contracted medical institutions by the first half of next year, usage-based revenue growth will also accelerate.”