Gorilla Technology Pulls Back As Investors Digest Strong Profit Turnaround, Cash Strength

Core Viewpoint - Gorilla Technology Group has shown a significant turnaround in profitability and revenue growth, despite a decline in share price during premarket trading following its earnings report [1]. Financial Performance - In Q4, the company reported adjusted EPS of 34 cents, exceeding the estimate of 23 cents, and sales of $35.56 million, surpassing the $33.88 million estimate [2]. - For the full year 2025, Gorilla achieved record revenue of $101.4 million, reflecting a year-over-year increase of 35.7%, and narrowed its IFRS operating loss to $(13.7) million from $(66.9) million, marking a $53.2 million improvement [2]. - Total operating expenses were reduced by 54.4% to $47.5 million, while the IFRS net loss improved to $11.3 million from $64.8 million [3]. - The company reported Adjusted EBITDA of $19.1 million, non-IFRS net income of $19.9 million, and adjusted basic EPS of 89 cents [3]. Cash Position and Debt - Gorilla ended 2025 with total cash of $104.8 million (including $5.3 million restricted) and reduced its debt to $13.8 million [3]. - The company spent $3.5 million on buybacks in 2025 and collected over $22 million in early 2026 related to 2025 deliveries [4]. Stock Performance - The stock is currently trading 9.8% below its 20-day simple moving average (SMA) and 4.1% below its 100-day SMA, indicating a bearish short-term trend [5]. - Over the past 12 months, shares have significantly decreased and are closer to their 52-week lows than highs [5]. - As of the latest trading session, shares were down 5.78% at $11.74, near the 52-week low of $10.49 [7]. Technical Indicators - The RSI is at 44.45, indicating neutral territory, suggesting the stock is neither overbought nor oversold [6]. - The MACD is at 0.15, below its signal line at 0.22, indicating bearish pressure on the stock [6]. - The combination of neutral RSI and bearish MACD suggests mixed momentum [6].