Taronis Technologies

US: TRNX

$34.2m market cap

$0.4 last close

Taronis is a technology company that has developed a plasma-based system for renewable fuel gasification and water decontamination. This process generates a hydrogen-based fuel called MagneGas as a by-product that is sold as an alternative metal-cutting fuel to acetylene.

Investment summary

Taronis Technologies (formerly MagneGas) has completed the acquisition of one of the largest independently owned industrial gas distributors in Los Angeles, California, for $2.5m, payable in cash. The business adds $4.5m annualised sales, five depots in the Los Angeles area and a sales route to the Baja California and Sonora regions of Mexico. Importantly it completes the first phase of the acquisition programme initiated in 2017, creating a platform that management intends to deliver at least $100m revenues within five years.

Y/E Dec
Revenue (US$m)
EBITDA (US$m)
PBT (US$m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2017A 3.7 (11.1) (11.0) (306.3) N/A N/A
2018A 9.7 (13.9) (15.1) (6.0) N/A N/A
2019E 23.4 (4.2) (6.0) (0.3) N/A N/A
2020E N/A N/A N/A N/A N/A N/A
Sector
Industrials
Share price graph
Balance sheet
Forecast net cash (US$m) 10.2
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (27.2) (17.2) (91.3)
Relative* (25.7) (19.1) (91.4)
52-week high/low US$8.6/US$0.1
*% relative to local index
Key management
Scott Mahoney CFO