New $7.8m CZT baggage screening contract
Kromek is cutting edge CZT (cadmium zinc telluride) detectors that have the potential to transform the medical imaging, home security and nuclear detection industries. Today the firm announced that it had won a ground-breaking contract (commencing immediately) worth a minimum of $7.8 million over 5 years, for the provision of next generation baggage screening systems with an existing X-ray OEM client.Although at this stage there is no change to forecasts, we reiterate our 40p valuation on the shares, and note that the deal further enhances visibility, along with de-risking expectations for FY19 & beyond.
What’s more, it could have a hugely beneficial effect across the wider baggage screening sector. You see, by deploying CZT we think this will significantly lift the bar in terms of product performance. Meaning that in response, rivals might also need to upgrade quickly from legacy solutions - in turn, improving border security and generating a virtuous circle of demand for KMK.
Kromek Group is a developer of radiation detectors based on cadmium zinc telluride, providing detection and characterization capabilities within the medical imaging, nuclear detection and security screening markets. Co. designs, develops and produces x-ray and gamma-ray imaging and radiation detection products.
Equity Development enables companies to become better understood and supported by investors. Since our launch in 1996 we have consistently focused on helping our clients improve their communication and relationships with both existing and potential shareholders. Our clients have come from a wide variety of sectors and domiciles, are both private and quoted and range in size from micro-cap to $multi-billions. We offer free access to company research notes written by experienced analysts. These notes include detailed forecasts, financial models and a fair value. We host regular Private Investor Forums at which investors have the opportunity to hear company directors present, and to ask questions. These are free to attend. We broadcast live Webinars with company management that include active Q&A. We also make the recordings available online. We arrange face to face meetings between private investors and company management. We are active users of Twitter, commenting daily on company news, share price moves, Directors’ Dealings, Equity Development Research Notes & Events.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.