Its been a tough time since Katapult listed trough a SPAC last year. They withdrew forward expectations because of the uncertainty with lockdowns and problems in logistical chains. People can’t finance products that haven’t arrived in the shop. The threat of inflation also put dark clouds on the horizons. The share price went from a high of 19.65$ down to 1.75$ . Finance company Affirm that they have a waterfall deal with has also got hammered. Buy now pay later has also been under bad press lately.
The CEO of Katapult Holdings Orlando Zayas have quietly together with his team worked hard to attract new partners and expand the market share for the company. He is known for his revenue growth strategies and leadership in the eCommerce and retail space. He has led companies such as GE Capital, Safe-Guard Products International, and DRB Capital. Zayas is also highly committed to providing educational opportunities to underprivileged communities through his philanthropic endeavors.
With inflation fears slowly fading away, and the logistical chains overcoming lockdowns and disruption we look towards business as usual again . Katapult have around 100 million in cash available to scale up in 2022, and beat all forecasts for the full year of 2021. That’s why I have quietly scaled up my investments in Katapult. This year could be Katapults time to finally shine !
Full year 2021 results:
EPS: US$0.31 (up from US$0.22 in FY 2020).
Revenue: US$303.1m (up 23% from FY 2020).
Net income: US$21.2m (up US$19.3m from FY 2020).
Profit margin: 7.0% (up from 0.8% in FY 2020). The increase in margin was driven by higher revenue.
Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) also surpassed analyst estimates by 63%.
Over the next year, revenue is forecast to grow 3.1%, compared to a 12% growth forecast for the industry in the US.
GLOBAL RISK FUND 