Geodrill Limited's recent earnings report shows a big gap between record revenue and disappointing profits, which has investors worried.
In its second quarter earnings report for 2026, Geodrill Limited (GEO.TO) reported an EPS of -$0.0005, missing the consensus estimate of $0.05 by 101%. This highlights the company's ongoing struggle with profitability, even as it achieved record revenue. These challenges could affect future performance.
Recent earnings trend
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Geodrill Limited
GEO.TO
GEO.TO
Geodrill Limited
WealthAwesomeMarket cap
$130.66M
52W high
$4.29
52W low
$2.37
1W change
+2.96%
Beta
0.65
Analyst Price Targets
Based on analyst covering GEO
Wall Street analysts forecast GEO stock price to rise 22.3% over the next 12 months.
Consensus
BullishBased on avg. target vs last close (formal rating unavailable for Canadian listings)
Avg. Target
C$3.40
+22.3% Upside
Current Price
C$2.78
Last close
Analyst ratings and price targets are updated periodically. Not financial advice.
Wealth Awesome Price Forecast
WA ModelStatistical 90-day price range based on GEO's historical volatility
30-Day Vol
47.4%
Annualized
90-Day Vol
48.2%
Annualized
Trend (90d)
+1.5%
Annualized drift
90d Mean
C$2.80
Expected price
| Horizon | Expected | 68% Range (1ฯ) |
|---|---|---|
| 30 trading days | C$2.79 | C$2.37 โ C$3.28 |
| 60 trading days | C$2.79 | C$2.21 โ C$3.52 |
| 90 trading days | C$2.80 | C$2.11 โ C$3.71 |
Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ยฑ1ฯ, 95% band = ยฑ2ฯ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.
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Analyst coverage: 1 analyst(s) cover this name; upcoming EPS consensus is available.
| Fiscal period | Report date | Actual EPS | Estimate | Surprise |
|---|---|---|---|---|
| 2026-06-30 | 2026-08-10 | -0.0005 | 0.0500 | -101.0% |
| 2026-03-31 | 2026-05-11 | -0.0032 | 0.0400 | -108.0% |
| 2025-12-31 | 2026-03-02 | -0.2300 | 0.0100 | -2400.0% |
| 2025-09-30 | 2025-11-13 | -0.0300 | 0.0200 | -250.0% |
| 2025-06-30 | 2025-08-11 | 0.1100 | 0.0400 | +175.0% |
| 2025-03-31 | 2025-05-12 | 0.1200 | 0.0500 | +140.0% |
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Investor takeaway: Investors should keep a close eye on Geodrill's efforts to improve its margins and profitability, especially in Chile, where operational issues have been significant. The company's ability to operate efficiently and adjust contract pricing will be crucial for turning around its financial situation.
Record Revenue of $55.1 Million Amidst Profitability Decline
Despite a 10% increase in revenue year-over-year, Geodrill's gross margin dropped to 16%, down from 24% a year ago. This decline reflects rising costs and operational challenges.
Bull case
Geodrill's record quarterly revenue of $55.1 million shows strong demand for its drilling services, backed by healthy exploration budgets. There's also potential for better contract terms in a rising cost environment.
Bear case
The sharp decline in gross and EBITDA margins, along with a net loss, raises concerns about the company's operational efficiency and profitability, particularly in the tough Chilean market.
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Wealth Awesome
Timely coverage of Canadian stocks, earnings, dividends, and market movers for DIY investors. Stories are checked against exchange data and public filings.
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