He also notes several tailwinds for the company, including an expected increase in satellite launches in FY2026 to FY2030, a higher customer base — from four to five clients eight years ago to over 20 clients as of 2025, a surge in the pace and size of orders, as well as rising demand and investment in the space sector including for drone solutions.
Addvalue, which returned to profitability in the FY2025 ended March 31, 2025, was also removed from the Singapore Exchange’s (SGX) watch-list in October 2025.
The company had been on the exchange’s financial watch-list since December 2023 and said it would have fulfilled the criteria of existing the watch-list by its own merits by the end of the six month review period on Dec 1, 2025.
“After almost going under, Addvalue is benefiting from the two highest growth and sexiest themes besides AI (artificial intelligence) – drones and space,” says Seet.
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“We expect to see a rapid growth phase in coming years following an inflection point in FY2025,” he adds.
The company is deemed by the analyst as a “rare Asian space/drone play in rapid growth mode”. In addition, its peers’ valuations are “much higher” with most of them not yet profitable, he points out.
From FY2026 to FY2028, Seet expects Addvalue to report revenues of US$20 million ($25.3 million), US$30 million and US$45 million respectively.
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Core net profit for the three years are expected to be at US$4 million, US$8 million and US$13 million respectively. The figures are backed by the company’s record orderbook of US$26 million.
To Seet, risks include delays in satellite launches by its customers, client concentration risk and execution risk in overseas markets.
Shares in Addvalue closed 0.5 cents higher or 6.02% up at 8.8 cents on Feb 19.
