Kromek beat forecasts for gross margin, cashflow and underlying profits in the second half of its latest fiscal year, says house broker finnCap.
The only miss was on revenues, but finnCap suggests this was timing-related given the rise in year-end inventory.
Kromek is now working with nine OEMs in SPECT and CT, with some of these likely to transition to formal significant contracts for final design/integration followed by the supply of cadmium zinc telluride (CZT) detectors and modules in the near term.
The broker has left its 2024 forecasts unchanged with 60% order visibility.
A sum-of-the-parts target price of 25p is also unchanged but finnCap adds that Kromek’s position as the only independent supplier at scale of CZT for imaging systems is not reflected in the current price.
Shares are trading at 5.05p.