- Kraken Robotics (TSXV:PNG) has booked $34 million in orders for its SeaPower pressure-tolerant batteries from three clients
- The company is also preparing to open a new $10 million battery production facility in Nova Scotia by the end of 2025
- Kraken is a marine technology company providing complex subsea sensors, batteries and robotic systems
- Kraken Robotics stock has added 140.11 per cent year-over-year and 345.92 per cent since 2020
Kraken Robotics (TSXV:PNG) has booked $34 million in orders for its SeaPower pressure-tolerant batteries from three clients as it prepares to open a new $10 million battery production facility in Nova Scotia, meeting rising defense market demand for uncrewed underwater vehicles (UUVs).
The orders include a $31 million purchase, representing Kraken’s largest battery order to date, from a client who provides UUVs to the defense industry. Two commercial clients round off the remaining $3 million.
Kraken’s newly leased 60,000-square-foot production facility, slated to be operational by the end of 2025, will include numerous 6,000-metre pressure-testing tanks enabling the company to triple battery production to just shy of $200 million per year at capacity.
The Nova Scotia facility is near numerous existing customers in the U.S. northeast and will both reduce delivery times and facilitate customer support, creating 200 permanent advanced manufacturing jobs over the next four years, better equipping the company – alongside its original facility in Germany – to keep up with the subsea power industry‘s estimated 13.5 per cent compound annual growth rate through 2032.
According to Wednesday’s news release, “Kraken’s subsea lithium polymer batteries are delivering extended endurance and reduced costs to customers who are providing important national security and commercial subsea survey and inspection work.”
Kraken turned profitable in 2023 and hasn’t looked back, generating positive net income in each of the past three quarters.
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“With the emergence of new larger classes of UUVs and greater adoption of these platforms in naval fleets, reliable subsea power requirements are increasing,” Greg Reid, president and chief executive officer of Kraken Robotics, said in a statement. “These new orders illustrate the robust customer demand we have for Kraken’s SeaPower batteries across the U.S., Europe and Asia Pacific.”
“We have new battery form factors that will be released in late 2025 that are generating strong interest across several vehicle manufacturers,” added Reid. “This will allow us to address a segment of the market that we have not previously had solutions for – small and medium-sized UUVs. Once completed, our new facility will allow us to triple our current battery production capacity.”
About Kraken Robotics
Kraken is a marine technology company providing complex subsea sensors, batteries and robotic systems.
Kraken Robotics stock (TSXV:PNG) last traded at C$2.18 per share. The stock has added 140.11 per cent year-over-year and 345.92 per cent since 2020.
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(Top photo of SeaPower subsea batteries and charger: Kraken Robotics)
