Qoria Limited (ASX:QOR) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Qoria Limited markets, distributes, and sells cyber safety products and services in Australia, New Zealand, the United Kingdom, the United States, Europe, and internationally. The AU$573m market-cap company announced a latest loss of AU$55m on 30 June 2024 for its most recent financial year result. Many investors are wondering about the rate at which Qoria will turn a profit, with the big question being “when will the company breakeven?” In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

Check out our latest analysis for Qoria

Consensus from 6 of the Australian Software analysts is that Qoria is on the verge of breakeven. They expect the company to post a final loss in 2026, before turning a profit of AU$3.7m in 2027. So, the company is predicted to breakeven approximately 3 years from now. How fast will the company have to grow each year in order to reach the breakeven point by 2027? Working backwards from analyst estimates, it turns out that they expect the company to grow 67% year-on-year, on average, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.

We're not going to go through company-specific developments for Qoria given that this is a high-level summary, however, keep in mind that by and large a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there’s one aspect worth mentioning. The company has managed its capital judiciously, with debt making up 28% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

This article is not intended to be a comprehensive analysis on Qoria, so if you are interested in understanding the company at a deeper level, take a look at Qoria's company page on Simply Wall St. We've also compiled a list of important factors you should look at:

1. Valuation: What is Qoria worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Qoria is currently mispriced by the market.

2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Qoria’s board and the CEO’s background.

3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore 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 based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.