Your business may be on the verge of an important milestone, so we thought we'd take a closer look at: niio Finance Group AG's (ETR:NIIN) Future prospects. niio Finance Group AG offers cloud-based Software-as-a-Service solutions for banks and financial service providers. The company's losses have widened recently after announcing a full-year loss of 3.3 million euros, with losses for the trailing 12 months of 3.4 million euros, moving it further from breakeven. The most pressing concern for investors is niio Finance Group's path to profitability, or when it will break even. Below is a summary of industry analyst expectations for the company.
Check out our latest analysis for niio Finance Group.
Some German IT analysts say Niio Finance Group is close to breaking even. They expect the company to incur a final loss in 2024 before generating a positive profit of his 600,000 euros in 2025. Therefore, the company is expected to break even in just over a year from today. What year-over-year growth would the company need to achieve to break even on this date? Using a best fit line, we calculated an average annual growth rate of 95%. This is quite optimistic. If this rate proves too strong, the company could realize profits much later than analysts expected.
While the underlying developments driving Niio Finance Group's growth are not the focus of this broader overview, we do note that, in general, high growth rates are not uncommon for companies currently in their investment period. Please keep this in mind.
Before wrapping up, there is one aspect worth mentioning. The company has managed its capital wisely, with debt accounting for 38% of its equity. This means that the company primarily funds its operations with equity and has less debt, reducing the risks associated with investing in loss-making companies.
Next steps:
There are too many aspects of niiio Finance Group to cover in one short article, but you can find all the important fundamentals of the company in one place: niiio Finance Group's company page on Simply Wall St. Related aspects require further investigation.
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evaluation: What is Niiio Finance Group worth today? Is its future growth potential already priced in? Free research report's Intrinsic Value infographic shows how Niiio Finance Group is currently misunderstood by the market. It helps you visualize what is being priced.
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management team: Having an experienced management team at the helm increases our confidence in the business. View the biographies of niio Finance Group's board members and CEO.
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Other strong performing stocks: Are there other stocks with a proven track record that offer a better outlook? See our free list of these great stocks here.
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This article by Simply Wall St is general in nature. We provide commentary using only unbiased methodologies, based on historical data and analyst forecasts, and articles are not intended to be financial advice. This is not a recommendation to buy or sell any stock, and does not take into account your objectives or financial situation. We aim to provide long-term, focused analysis based on fundamental data. Note that our analysis may not factor in the latest announcements or qualitative material from price-sensitive companies. Simply Wall St has no position in any stocks mentioned.