DeepVerge has released a post-31 December 2021 year-end trading update along with a statement detailing its outlook for the current year.
Unaudited figures point to another year of triple-digit percentage growth, taking revenues to £9.33m (2020: £4.48m – audited) on the back of higher margins and an increase in recurring revenues despite supply chain delays and reduced production staff due to COVID infection/isolation in the fourth quarter.
With several substantial 2021 shipments plus a backlog of regular reagent supplies needing to be pushed into Q1 2022, continued expansion of order books across all divisions supported by an exceptionally strong balance sheet provides strong foundations for the current year.
Based on this, the ambitious forecasts and valuation that TPI published back on 3 August 2021 remains unchanged, suggesting a target price for the Group, which presently trades on a lowly 8x 2022 EBITDA multiple, of 94.7p/share.
(Please note that TPI’s valuation is based on financial modelling and there is no guarantee that such a valuation will ever be realised, therefore please do not base investment decisions on this valuation alone. Also please note that past performance is not a reliable indicator of future results.)
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