We feel now is a pretty good time to analyse 17LIVE Group Limited's (SGX:LVR) business as it appears the company may be on the cusp of a considerable accomplishment. 17LIVE Group Limited operates live streaming platform. The S$159m market-cap company announced a latest loss of US$248m on 31 December 2023 for its most recent financial year result. The most pressing concern for investors is 17LIVE Group's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts' expectations for the company.

Expectations from some of the Singaporean Entertainment analysts is that 17LIVE Group is on the verge of breakeven. They expect the company to post a final loss in 2023, before turning a profit of US$12m in 2024. Therefore, the company is expected to breakeven roughly 12 months from now or less. We calculated the rate at which the company must grow to meet the consensus forecasts predicting breakeven within 12 months. It turns out an average annual growth rate of 144% is expected, which is extremely buoyant. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

Given this is a high-level overview, we won't go into details of 17LIVE Group's upcoming projects, however, bear in mind that generally a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there's one aspect worth mentioning. 17LIVE Group currently has no debt on its balance sheet, which is rare for a loss-making growth company, which usually has a high level of debt relative to its equity. This means that the company has been operating purely on its equity investment and has no debt burden. This aspect reduces the risk around investing in the loss-making company.

Next Steps:

This article is not intended to be a comprehensive analysis on 17LIVE Group, so if you are interested in understanding the company at a deeper level, take a look at 17LIVE Group's company page on Simply Wall St. We've also compiled a list of pertinent factors you should further research:

1. Valuation: What is 17LIVE Group worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether 17LIVE Group is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on 17LIVE Group's board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com