Canadian Halal Investor.

Screened September 30, 2026 · TSXV: PNG · Q2 2026 results

FAIL

Is Kraken Robotics Inc. (PNG) halal?

Kraken Robotics Inc. (TSXV: PNG) supplies advanced sonar, batteries and underwater robotics "for military and commercial applications" (Q2 2026 interim financial statements, Note 1) — and the military side is material: KATFISH sonar delivered for a navy minehunting program, batteries for extra-large unmanned underwater vehicles, a dedicated Defense Group, and a ~C$615M acquisition of naval-warfare supplier Covelya Group. The financial ratios pass (debt ~2.5% of market cap, interest income ~2.21% of Q2 revenue, cash ~5.7% of market cap). The FAIL comes from the business gate alone. Data from Q2 2026 results, screened September 30, 2026. (Note: PNG trades on the TSX Venture Exchange, TSXV: PNG — not the TSX main board.)

The two-gate Shariah screen

Every screener on this site runs the same two gates: first, the business must be halal (no conventional insurance, banking, alcohol, gambling, weapons manufacturing, and the like); second, the financial ratios must clear (debt under roughly 33% of market cap, non-compliant income under roughly 5%).

Gate one: the business — material military/defense segment, fails

Kraken Robotics (TSXV: PNG; also OTCQB: KRKNF) is a marine-technology company. Its own Q2 2026 interim financial statements describe its principal business as "supplying advanced sonar and optical sensors, batteries, and underwater robotics equipment and services for military and commercial applications" (Note 1). The military side is not incidental:

Defense/military hardware is one of the company's two named end markets and the stated growth driver. The business gate fails.

Gate two: the ratios — all pass

All three ratios pass — the FAIL comes from the business gate alone. (Context: after quarter-end, Kraken added a ~C$125M term loan to fund the Covelya acquisition; pro forma debt is ~10% of market cap — still under the ceiling. The company reported a Q2 net loss of C$(7,518)K, including a C$6,911K arbitration provision.)

What other screeners say

The bottom line

This screener gives Kraken Robotics Inc. (TSXV: PNG) a FAIL. The ratios are clean (debt ~2.5%, interest income ~2.21%, cash ~5.7%), but the business is "for military and commercial applications" — sonar for navy minehunting, batteries for military unmanned underwater vehicles, a dedicated Defense Group, and a ~C$615M naval-warfare acquisition — a material defense segment. Snapshot dated September 30, 2026; re-checked quarterly after earnings.

Sources

Related screeners

Frequently asked questions

Is Kraken Robotics (PNG) halal?

Our screener gives Kraken Robotics Inc. a FAIL screening result. The business — advanced sonar, batteries and underwater robotics “for military and commercial applications” (Q2 2026 interim financial statements, Note 1) — includes a material defense segment: KATFISH sonar for a navy minehunting program, batteries for extra-large unmanned underwater vehicles, a dedicated Defense Group, and the ~C$615M acquisition of naval-warfare supplier Covelya Group. The financial ratios pass (debt ~2.5% of market cap, interest income ~2.21% of Q2 revenue, cash ~5.7% of market cap), but the business gate fails. Note: PNG trades on the TSX Venture Exchange (TSXV: PNG), not the TSX main board.

Why does Kraken Robotics fail the business gate?

Kraken's own Q2 2026 interim financial statements describe its principal business as supplying “advanced sonar and optical sensors, batteries, and underwater robotics equipment and services for military and commercial applications” (Note 1). Its Q2 2026 results press release reports delivery of a KATFISH towed sonar system “for a Navy customer for its minehunting program” and a battery supply agreement for extra-large unmanned underwater vehicles. The company has a Defense Group (its VP of the Defense Group, Bernard Mills, is now President), and on July 2, 2026 it closed the ~C$615M acquisition of Covelya Group, a naval-warfare marine-technology supplier, with the CEO citing rising global defence budgets as the growth outlook. That is a material military/defense segment.

Do Kraken's financial ratios pass?

Yes, all three pass at June 30, 2026. Interest-bearing debt of ~C$39.7M (long-term obligations C$25,740K plus lease liabilities C$13,956K) against a ~C$1,593M market cap is ~2.5% (under the ~33% AAOIFI ceiling). Interest income of C$605K against Q2 revenue of C$27,320K is ~2.21% (under the ~5% ceiling; six months: C$1,244K vs C$49,025K = ~2.54%). Cash of C$91,266K is ~5.7% of market cap (under the ~33% ceiling). The FAIL comes from the business gate alone.

What do Zoya, Musaffa and ShariaPortfolio say about Kraken Robotics?

A December 2023 thread on Zoya's community forum quotes the Zoya app rating Kraken non-compliant (under its “Sensors and Platforms” category). We found no public Musaffa rating page and no ShariaPortfolio coverage for PNG as of September 30, 2026. Our screener reports its own figure-by-figure analysis above.

Could Kraken Robotics become halal?

Only if the military/defense business were exited or shrank to immateriality — a high bar given the CEO cites rising global defence budgets as the growth driver and the company just spent ~C$615M acquiring naval-warfare supplier Covelya Group. Note the company also added a ~C$125M term loan after quarter-end to fund the acquisition; pro forma debt is ~10% of market cap, still under the ceiling. Re-screen quarterly.