KTG 0.00% 14.5¢ k-tig limited

Where to now?, page-78

  1. 3 Posts.
    The $130k per tank is the entire tank cost. KTIG doesn't fabricate the tank and all they do is just selling welding machine. Let's said there are total 5 comapnies who are qualified to build the tank. they might only sell to 5 extra customers. If KTIG decided to charge based on usage, then it is compiting with existing labour cost. Somehow customer still need to hire a qualified welder to make sure everything is good.
    In summary I personally don't think the neuclear sector will give big revenue to KTIG. And their margin is limited by the labour cost they save.
    The only way out for KTIG is explore to carbon steel market. 80% or above in welding industry are carbon steel that KTIG didn't enter because of it's technology limitation.
 
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