Vysarn Limited (ASX:VYS) and EBR Systems Inc (ASX:EBR)

Hi Mark,

Vysarn Limited (VYS): has evolved into a $400mn vertically integrated water service provider operating across four segments — Industrial (hydrogeological drilling), Technology (Project Engineering/ProEng), Advisory (CMP Consulting Group and Pentium Water), and wastewater treatment via Waste Water Services, serving resources, urban development, government and utilities across Australia.

Recent acquisitions have broadened its capability and earnings base, positioning the company across resources, utilities and government markets. The numbers reflect this shift, with 1H26 revenue and EBITDA both beating expectations, margins holding up well, and the stock up ~65% over the past year.

The structural story remains compelling. VYS is leveraged to long-term themes including water scarcity in WA mining, where dewatering is critical to production, while its exposure to advisory services through CMP adds a higher-margin, more recurring revenue stream. The Kariyarra water resource also provides longer-term optionality beyond the core services business, which the market may not fully appreciate yet.

However, there are still risks, VYS is still a relatively small and illiquid name, meaning share price volatility can be amplified, as we’ve seen a few times over recent years. Exposure to WA resources also leaves earnings sensitive to mining capex cycles, and at ~27x PE the stock is no longer obviously cheap. Execution from here, particularly delivering on second-half earnings and integration benefits, will be key to justifying the recent re-rating.

• We like VYS ~75c but would leave some flexibility to add into dips.

EBR Systems Inc (EBR): has developed the WiSE system, the world’s only wireless cardiac pacing technology, enabling left-ventricle pacing without the need for leads or wires. It’s a genuine first-mover innovation targeting heart failure patients who have failed conventional CRT, with no directly comparable system currently available commercially.

This $275mn business is cleared two major milestones in 2025, securing FDA approval in April followed by Medicare reimbursement in October – effectively removing the biggest barriers to US commercialisation, a step many ASX medtechs never reach.

Early traction is encouraging, with Q1 2026 revenue of ~$US2.25–2.36m and 41 implants completed in the quarter, more than doubling Q4 volumes and taking total commercial implants to 71. For a Limited Market Release, that sort of acceleration is exactly what you want to see at this stage.

However, EBR is burning approximately $67m annually in operating losses and has not yet reached profitability, with future capital raises likely to fund the US rollout. The shares have fallen ~60% over the last year, and underwent a 1-for-10 reverse stock split last month.

• We stress this is a very aggressive play ~60c but we like the story for the brave.

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Vysarn Limited (ASX:VYS)

LAST UPDATED 01/05/2026 11:33

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Vysarn Limited (ASX:VYS)

LAST UPDATED 01/05/2026 11:33