Pulsar Group plc (LON:PULS) Is Expected To Breakeven In The Near Future
We feel now is a pretty good time to analyse Pulsar Group plc's () business as it appears the company may be on the cusp of a considerable accomplishment. Pulsar Group plc, together with its subsidiaries, engages in the provision of Software-as-a-Service products and services to consumer brands and blue-chip enterprises, marketing agencies, and public sector organizations in the United Kingdom, North America, Europe, Australia, New Zealand, Asia, and internationally. The UK£55m market-cap company announced a latest loss of UK£6.6m on 30 November 2024 for its most recent financial year result. The most pressing concern for investors is Pulsar Group's path to profitability – when will it breakeven? We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.
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Pulsar Group is bordering on breakeven, according to some British Software analysts. They expect the company to post a final loss in 2025, before turning a profit of UK£800k in 2026. So, the company is predicted 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 102% is expected, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.
Given this is a high-level overview, we won't go into details of Pulsar Group's upcoming projects, however, take into account that by and large a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
View our latest analysis for Pulsar Group
One thing we'd like to point out is that The company has managed its capital prudently, with debt making up 14% 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.
There are too many aspects of Pulsar Group to cover in one brief article, but the key fundamentals for the company can all be found in one place – Pulsar Group's company page on Simply Wall St. We've also compiled a list of important aspects you should further research:
Valuation: What is Pulsar Group 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 Pulsar Group is currently mispriced by the market.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Pulsar Group's 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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