Clavister Holding AB (publ.) (STO:CLAV) Is Expected To Breakeven In The Near Future

Clavister Holding AB (publ.) (STO:CLAV) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Clavister Holding AB (publ.), together with its subsidiaries, develops, produces, and sells cybersecurity solutions in Sweden, rest of Europe, Asia, and internationally. The kr1.1b market-cap company’s loss lessened since it announced a kr56m loss in the full financial year, compared to the latest trailing-twelve-month loss of kr35m, as it approaches breakeven. The most pressing concern for investors is Clavister Holding AB (publ.)'s path to profitability – when will it breakeven? In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

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Clavister Holding AB (publ.) is bordering on breakeven, according to some Swedish Software analysts. They anticipate the company to incur a final loss in 2025, before generating positive profits of kr17m in 2026. Therefore, the company is expected to breakeven just over a year from now. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 114% is expected, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.

We're not going to go through company-specific developments for Clavister Holding AB (publ.) given that this is a high-level summary, though, keep in mind that by and large a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

See our latest analysis for Clavister Holding AB (publ.)

One thing we would like to bring into light with Clavister Holding AB (publ.) is it currently has negative equity on its balance sheet. Accounting methods used to deal with losses accumulated over time can cause this to occur. This is because liabilities are carried forward into the future until it cancels. These losses tend to occur only on paper, however, in other cases it can be forewarning.

Next Steps:

This article is not intended to be a comprehensive analysis on Clavister Holding AB (publ.), so if you are interested in understanding the company at a deeper level, take a look at Clavister Holding AB (publ.)'s company page on Simply Wall St. We've also compiled a list of pertinent factors you should look at:

1. Valuation: What is Clavister Holding AB (publ.) worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Clavister Holding AB (publ.) is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Clavister Holding AB (publ.)’s board and the CEO’s background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.