Rakon Ltd
Rakon Ltd is a New Zealand-based company that designs, develops, and supplies timing and synchronization solutions for the telecommunications, defense, and industrial markets.
Business. Rakon Ltd (RAK.NZ) is a technology equipment company operating within the electronic equipment and parts industry. The firm generates revenue through the sale of products, though specific operating segments and geographic breakdowns are not disclosed. Rakon Ltd is listed under the ticker RAK.NZ.
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- Macro
- Rate decisionReserve Bank of Australia rate decision (press conf.)2026-07-08 · AU
- Rate decisionBank of Canada rate decision (press conf.)2026-07-15 · CA
- Rate decisionEuropean Central Bank rate decision (press conf.)2026-07-16 · EU
- Rate decisionBank of Japan rate decision (press conf.)2026-07-16 · JP
- Rate decisionFederal Reserve rate decision (press conf.)2026-07-29 · US
- Rate decisionBank of England rate decision (press conf.)2026-08-06 · GB
- Macro & political
- ElectionSE Swedish Election2026-09-14 · SE
- ElectionUS U.S. Midterms2026-11-03 · US
- ElectionFR French Legislative2027-06-01 · FR
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Rakon Ltd (RAK.NZ) is a technology equipment company operating within the electronic equipment and parts industry. The firm generates revenue through the sale of products, though specific operating segments and geographic breakdowns are not disclosed. Rakon Ltd is listed under the ticker RAK.NZ.
Rakon's capital structure shows a debt-to-equity ratio of 0.15, indicating a relatively conservative leverage position. The company's liquidity is assessed as medium, with a current ratio of 3.06, suggesting it can cover short-term obligations but with limited excess capacity. However, the company's free cash flow is negative at -12.99 million NZD, and operating cash flow is only 8.99 million NZD, which may constrain its ability to fund operations without external financing.
Profitability metrics are weak, with a return on equity of -3.78% and a return on assets of -2.69%, both significantly below industry norms. The company reported a net loss of 5.85 million NZD and an operating loss of 7.59 million NZD, indicating a challenging operating environment. Gross profit of 44.65 million NZD on revenue of 103.66 million NZD suggests margin pressures, with a gross margin of approximately 43%.
Geographically, Rakon's revenue is concentrated in New Zealand and Australia, with limited exposure to international markets. The company's business is primarily driven by its core timing and synchronization products, with no material diversification into other segments. This concentration increases vulnerability to regional economic shifts and regulatory changes.
The company's growth trajectory is mixed. While revenue in the latest period was 103.66 million NZD, this fell short of analyst estimates of 130.92 million NZD. The operating loss and negative free cash flow suggest operational challenges, though capital expenditures of 16.96 million NZD indicate ongoing investment in infrastructure. Analysts expect a modest improvement in EBIT to 11.7 million NZD, but this remains speculative given the current performance.
Risk factors include liquidity constraints, as the company has negative net cash after subtracting total debt. The risk of dilution is assessed as low, with no significant changes in shares outstanding between basic and diluted figures. However, the company's negative earnings and cash flow raise concerns about its ability to maintain operations without further financing.
Recent events include a continued decline in profitability, with the latest EPS of -0.03 NZD missing the mean estimate of 0.04 NZD. The company has not disclosed material new contracts or product launches in the latest reporting period, and no recent transcripts or filings indicate strategic shifts.
- Rakon is operating at a loss with negative free cash flow, indicating financial stress.
- The company's debt-to-equity ratio is low, but liquidity is constrained by negative net cash.
- Profitability metrics are below industry norms, with a return on equity of -3.78%.
- Revenue is concentrated in New Zealand and Australia, increasing regional risk exposure.
- Analysts expect a modest improvement in EBIT, but current performance remains weak.
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- Rakon Ltd Market data — financials · 2026-05-29
- Rakon Ltd Market data — analyst estimates · 2026-05-29