Medical technology company Compumedics said it suffered a blow-out in its losses during 2002-03, but expected margins and earnings to improve. It posted an $18.56 million net loss compared with a $1.9 million net loss the previous year.

The loss was driven by an $18 million "accelerated amortisation charge", in which it wrote off research costs and intellectual property. Revenue jumped 62 per cent to $32.06 million through increased sales of its machines for diagnosing sleep disorders, despite accounting adjustments, foreign currency movements and the impact of SARS. Its shares closed 1.5 ¢ down at 40.5 ¢ yesterday. It did not declare a dividend.