$PNG (-0,51 %) Kraken Robotics presents strong Q1 figures. The share itself reacted cautiously
On Friday, the share fell by 2.4 percent to 4.74 euros. Over the year as a whole, however, the share price has risen by almost 200 percent. The question is: has the market already priced in the growth?
Quarterly figures with light and shade
The Canadian marine technology specialist increased its turnover by 35% year-on-year to 21.7 million Canadian dollars. The product division with subsea batteries and synthetic aperture sonar systems in particular grew by 50 percent. New defense orders worth around 40 million dollars provided an additional boost.
The adjusted operating result (EBITDA) reached 3.0 million dollars. However, the bottom line remained a loss - between 0.7 and 3.3 million dollars, depending on the accounting standard. The balance sheet is solid: 108.7 million dollars in cash. This secures the financing of the upcoming Covelya acquisition, which is expected to be completed in the second quarter of 2026.
High valuation, high expectations
The share has an ambitious valuation. A discounted cash flow model results in a fair value of 6.89 Canadian dollars - the current price of 7.44 dollars is around eight percent higher. The premium is even more evident in the price/sales ratio: 21.2 compared to an industry average of 3.3. Investors are paying a high premium for future growth.
Since the beginning of the year, the share price has risen by 12.5 percent, and even by 198 percent over a twelve-month period. The 52-week high of 6.57 euros is currently around 28 percent away. The RSI of 41 signals a slight cooling off - but no over-indebtedness.
Outlook and analysts' assessment
The management expects sales of between 165 and 175 million dollars for the year as a whole. Adjusted EBITDA is expected to rise to between 40 and 50 million dollars. The order backlog comprises 97 million dollars for the core business and an additional 165 million dollars from the Covelya integration.
Analysts remain optimistic. The average price target is 10.80 Canadian dollars - around 45 percent above the current level. The prerequisite is the successful completion of the Covelya takeover and the timely delivery of underwater energy solutions to defense customers.
The next few weeks will provide clarity on the success of the acquisition and the sustainability of the current valuation. The Q2 figures will show whether the boom in orders justifies the high expectations
PS: Unfortunately I was on vacation so I'm late with the figures, they were published on 28.05
What do you think of these quarterly figures?
