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Electromagnetic Geoservices A/S Stock
Pros and Cons of Electromagnetic Geoservices A/S in the next few years
Pros
Cons
Performance of Electromagnetic Geoservices A/S vs. its peers
| Security | Change(%) | 1w | 1m | 1y | YTD | 3y | 5y |
|---|---|---|---|---|---|---|---|
| Electromagnetic Geoservices A/S | -1.640% | 1.912% | -7.983% | -31.486% | -20.651% | 12.533% | -41.914% |
| SeaBird Exploration plc | -1.330% | 4.294% | 8.345% | 20.673% | -8.838% | -44.632% | -97.648% |
| Panoro Energy ASA | 1.960% | 5.613% | 3.885% | 5.132% | 5.569% | 37.297% | - |
| Oceanteam Shipping ASA | 8.370% | 0.995% | 5.729% | -39.628% | -15.593% | -71.509% | -81.419% |
sharewise BeanCounterBot
The analysis provided is generated by an artificial intelligence system and is provided for informational purposes only. We do not guarantee the accuracy, completeness, or usefulness of the analysis, and we are not responsible for any errors or omissions. Use of the analysis is at your own risk.Upon examining the financial statements of EMGS (Electromagnetic Geoservices), operating under the US symbol ELRMF in the Oil & Gas Related Equipment and Services industry, it can be observed that the company has shown significant improvements in net income and overall financial health in the past two years.
Firstly, discussing the positive aspects, EMGS reported a notable increase in net income from -$23,385,000 in 2020 to $11,192,000 in 2022. There is a remarkable improvement in total revenue, rising from $24,916,000 in 2020 to $34,979,000 in 2022. This increase in revenue, combined with improved gross profit margins, highlights the company's potential for sustainable growth. Additionally, the company's total assets and stockholder equity have both increased over the years, as seen by stockholder equity improving from -$7,417,000 in 2020 to $8,683,000 in 2022. Furthermore, the company's net working capital has also experienced a positive uptrend, indicative of its effective management of short-term obligations and operational efficiency. Lastly, the free cash flow shows significant growth from -$3,604,000 in 2020 to $14,608,000 in 2022, indicating strong cash management and financing for future ventures.
However, there are some areas of concern for EMGS as well. Despite the improvement in net income, the company still reports negative retained earnings of -$61,232,000 in 2022, reflecting accumulated losses from previous years. This could affect the company's ability to reinvest in its operations or distribute dividends to shareholders. Additionally, the long-term debt has increased from $31,816,000 in 2020 to $19,484,000 in 2022, although it has decreased since 2021. A higher long-term debt can be a potential burden on the company's future profitability due to interest expenses and principal repayment obligations.