Yahoo Finance Intelligent Bio Solutions Inc.'s (NASDAQ:INBS) Profit Outlook
We feel now is a pretty good time to analyse Intelligent Bio Solutions Inc.'s (NASDAQ:INBS) business as it appears the company may be on the cusp of a considerable accomplishment. Intelligent Bio Solutions Inc., a medical technology company, developing non-invasive, real-time monitoring, and diagnostic tests for patients and their primary health practitioners. The US$5.3m market-cap company posted a loss in its most recent financial year of US$8.3m and a latest trailing-twelve-month loss of US$10m leading to an even wider gap between loss and breakeven. The most pressing concern for investors is Intelligent Bio Solutions' path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts’ expectations for the company.
Check out our latest analysis for Intelligent Bio Solutions
According to the 2 industry analysts covering Intelligent Bio Solutions, the consensus is that breakeven is near. They expect the company to post a final loss in 2025, before turning a profit of US$9.1m in 2026. The company is therefore projected to breakeven around 3 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 53%, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.
Underlying developments driving Intelligent Bio Solutions' growth isn’t the focus of this broad overview, though, keep in mind that generally a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.
One thing we’d like to point out is that The company has managed its capital judiciously, with debt making up 20% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.
Next Steps:
There are key fundamentals of Intelligent Bio Solutions which are not covered in this article, but we must stress again that this is merely a basic overview. For a more comprehensive look at Intelligent Bio Solutions, take a look at Intelligent Bio Solutions' company page on Simply Wall St. We've also compiled a list of essential factors you should further examine:
Historical Track Record: What has Intelligent Bio Solutions' performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Intelligent Bio Solutions' board and the CEO’s background.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
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