Overview

* Coda Octopus ( CODA ) fiscal Q3 revenue grows 29% yr/yr

* Company's Marine Technology Business revenue rises 30.7%, Marine Engineering declines

* Gross margin falls to 68.3% from 73.9% due to business mix changes

Outlook

* Company expects DAVD sales of $3.5 mln-$4.0 mln for fiscal year 2025

* Coda Octopus ( CODA ) anticipates U.S. energy policy shift to favor its products

* Company sees potential in Echoscope PIPE NANO GEN Series for defense markets

Result Drivers

* DAVD PROGRAM - Significant progress in DAVD program with deliveries to U.S. Navy and foreign navy, contributing to revenue growth

* MARINE TECHNOLOGY - Marine Technology Business revenue increased by 30.7%, driven by equipment sales

* ENGINEERING DECLINE - Marine Engineering Business revenue declined by 33.2%, impacting overall performance

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss $1.50 $6.76

Revenue mln mln (1

Analyst)

Q3 EPS $0.11

Q3 Net $1.28

Income mln

Q3 Gross $4.80

Profit mln

Q3 19.5%

Operatin

g Margin

Q3 $1.50

Pretax mln

Profit

Analyst Coverage

* The one available analyst rating on the shares is "buy"

* The average consensus recommendation for the electronic equipment & parts peer group is "buy"

* Wall Street's median 12-month price target for Coda Octopus Group Inc ( CODA ) is $10.00, about 12.4% above its September 12 closing price of $8.76

* The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 20 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)