Kromek Receives $25m Under Siemens Healthineers Agreement
Why we think this is good
The RNS announcement from Kromek Group plc is positive overall, as it indicates the company has received the first $25.0m payment under its significant multi-year agreement with Siemens Healthineers. This payment will enable Kromek to become profitable in the current financial year, which is a significant milestone. The additional $12.5m in payments over the next four years also provide a robust foundation for delivering significant revenue growth. However, the lack of detailed financial information or guidance limits the ability to fully assess the extent of the impact on the company's performance and valuation.
Key Points
- Kromek receives $25.0m first payment under Enablement Agreement with Siemens Healthineers
- Payment will enable Kromek to become profitable in the current financial year
- Additional $12.5m payments over next four years provide foundation for revenue growth
Summary
Kromek Group plc, a leading developer of radiation detection and bio-detection technology solutions, has received the first $25.0m payment under its Enablement Agreement with Siemens Healthineers. This payment, following Kromek satisfying the first milestone, will enable the company to become profitable in the current financial year - a significant milestone. The additional aggregate payments of $12.5m, payable over the next four years, also provide a robust foundation for delivering significant revenue growth.