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Kebni: New strategy with payback on investments from 2022 - Emergers

With a new strategic plan for 2022-2026, a product portfolio geared to the forefront of technology, and strong double-digit market growth to support multiple verticals, KebNi will grow its two segments, SatCom and Inertial Sensing, to matching size by 2025. Strong expected growth, especially in IMUs, will translate into positive numbers by 2023/2024, in line with the company’s plan. Meanwhile, the development work has eaten away at the cash reserves and is not expected to be converted into revenues until 2022. Adjusted for a renewed capital requirement during the winter, our forecast now supports a fair value of SEK 1.2-1.8 per share on a horizon of 18-24 months.

With a new strategic plan for 2022-2026, a product portfolio geared to the forefront of technology, and strong double-digit market growth to support multiple verticals, KebNi will grow its two segments, SatCom and Inertial Sensing, to matching size by 2025. Strong expected growth, especially in IMUs, will translate into positive numbers by 2023/2024, in line with the company’s plan. Meanwhile, the development work has eaten away at the cash reserves and is not expected to be converted into revenues until 2022. Adjusted for a renewed capital requirement during the winter, our forecast now supports a fair value of SEK 1.2-1.8 per share on a horizon of 18-24 months.
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