To my surprise, Krabs has very good Stamina.
Stamina: Extremely high (Worked a 43-day, 24-hour per shift alongside Squidward and SpongeBob)
He's also got seemingly better Intelligence, & as an 8-B, surprisingly good Range in this matchup.
Milas:
"
Range: Extended Melee Range, several meters with projectiles. Kilometers with septima (Able to attack Gunvolt throughout his stage, albeit his attack are non-damaging at this range)"
Krabs:
Range: A few centimeters | Standard melee range, Tens of meters when firing his claws
Although Milas edges him out in physical combat, but in terms of combat where they're not close together, it's unclear how close Milas needs for his septima to be damaging, so Krabs's claws seem more useful there.
Not to mention, if Mr. Krabs has his Mid-High Regenerationn as Sir-Pinch-A-Lot, he'll be very hard to take down. Toon Force, Gag Teleportation & Homing Attack (Especially if reusable.) also help a lot.
Is Milas able to use his water clones to gang up on him, or are they just temporary?
So far, without knowing the AP/Durability statistics, I'd vote Mr. Krabs, High Difficulty. He seems to have better stamina & intelligence, & good utility through his abilities. Also, his Regenerationn makes him really hard to put down for Milas, as far as I can tell.
Mr. Krabs may also even be able to give Milas a challenge in terms of skill, given, as his Intelligence section points out:
"As a former Navy Cadet, Mr. Krabs should also be pretty skilled in hand-to-hand combat".
The main difficulty for him is Milas outranging him in close combat & possibly being more skilled in combat; But not knowing the AP/Durability for either of them, I'd say those edges that can only compensate for so long against an opponent with so much more survivability & seemingly better intelligence, too, among other reasons.