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Kromek – full-year results argue “delivered on all our KPIs”, but why also an ‘Update’ announcement that dare not speak its name as to why an “additional loan” is needed?

By Steve Moore | Monday 28 October 2024


Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.


Describing itself as “a leading developer of radiation and bio-detection technology solutions for the advanced imaging and CBRN detection segments”, Kromek Group (KMK) “is pleased to announce that it has agreed an additional £4.9m secured term loan… has a repayment date for the principal sum of 27 March 2025, with an option to extend for a further 12 months. It carries a fixed interest rate of 9.5%”. Hmmm, a high interest rate and a short term then – and the “Financing Update” announcement omits why it is needed. What about also-announced results for the group’s year ended 30th April 2024 then?
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