Lunar Capital’s Q1 2023 Performance and Outlook Report

Author: Danyaal Munshi

Lunar Capital’s Q1 2023 Performance and Outlook Report

 

Lunar Capital’s Q1 2023 Performance and Outlook Report

Sabir Munshi discusses Lunar Capital’s Q1 2023 performance and their outlook on future mega-trends. He also explains how the funds are positioned for these trends. Full Video: https://youtu.be/Rj1uIx-aJ-w

Connect with us on social media:

LinkedIn: https://bit.ly/413pDnr
Facebook: https://bit.ly/3ScL7Km
Instagram: https://bit.ly/3ICEjCJ

Lunar Capital on Eastwave Radio

Every Tuesday, at 07h45, Sabir chats with Nazia from Eastwave Radio (92.2 fm, live stream on www.eastwave.co.za) on investing and the markets.

Listen to last week’s radio session here: https://youtu.be/N1mCJ8hyCNk

Click here to access your account to view statements, obtain tax certificates, add, or make changes to your investments.

Our email address is: [email protected]

Disclosures
Read our full Disclosure statement: https://lunarcapital.co.za/disclosures/
Our Privacy Notice: https://lunarcapital.co.za/privacy-policy/
The Lunar BCI Worldwide Flexible Fund Fact Sheet  can be read here.
This roundup is prepared for the clients of Lunar Capital (Pty) Ltd. This roundup does not constitute financial advice and is generated for information purposes only.
Share article

Latest Posts

What does the SpaceX IPO say about the broader market.
SpaceX-cluded
What does the SpaceX IPO say about the broader market
CrowdStrike’s latest quarterly results reflect a business that continues to scale at an impressive rate, while also illustrating some of the tensions between growth, profitability, and valuation that increasingly define the cybersecurity sector. The company reported total quarterly revenue of $1.39 billion, up 26% year-on-year, reinforcing its position as one of the fastest-growing large-cap cybersecurity platforms. Growth was supported by strong demand across its Falcon platform, with net new annual recurring revenue (ARR) of $256 million, up 32%. This brought total ending ARR to $5.51 billion, a 24% increase, highlighting the durability of its subscription-based model and the continued expansion of its installed base. Despite this top-line momentum, profitability remains work in progress. CrowdStrike reported a GAAP operating loss of $30.6 million, a meaningful improvement from the $108.7 million loss recorded in the prior period, but still indicative of a business investing heavily in growth. While the trajectory is clearly improving, the pace of margin expansion remains a key area of focus for investors, particularly as the business scales. A central theme in management’s commentary was the growing intersection between artificial intelligence and cybersecurity. The company pointed to what it described as an inflection point, where AI is not only enhancing defensive capabilities but is increasingly being weaponised by attackers. The proliferation of AI-driven threats raises the complexity and frequency of cyberattacks, reinforcing the need for advanced, real-time protection. In this context, CrowdStrike’s access to leading AI models through partnerships with firms such as OpenAI and Anthropic stands out as an important competitive advantage. These relationships, alongside collaborations with Microsoft and IBM, position CrowdStrike at the centre of an evolving ecosystem where cybersecurity, cloud infrastructure, and AI capabilities are becoming deeply interconnected. Stock-based compensation still remains elevated and continues to weigh on the company’s path to sustained profitability. While common across high-growth technology businesses, it represents a real economic cost to shareholders and, at current levels, raises questions about long-term margin structure. Valuation is another important consideration. CrowdStrike continues to trade at a premium relative to its revenue base, reflecting both its growth profile and its perceived strategic importance in the cybersecurity landscape. However, this also leaves less room for execution missteps. Notably, while revenues grew by 26%, this fell short of some market expectations, suggesting that the bar remains high and that incremental disappointments can have an outsized impact on sentiment.
Crowding out the Competition
Cybersecurity for the AI era
How do you compare Walmart to Amazon
Brick and E-commerce
How do you compare Walmart to Amazon

Lunar Capital
on Eastwave Radio

Every Wednesday, at 07h45, Sabir chats with Nazia from Eastwave Radio (92.2 fm, live stream on
www.eastwave.co.za) on investing and the markets.

eastwave-radio