GENEVA - SEALSQ Corp (NASDAQ:LAES), a developer and seller of semiconductor, PKI, and post-quantum technology products, announced its preliminary financial results for the first half of 2024 today. The company reported preliminary unaudited revenue of $5 million, which aligns with its forecasted transition period due to a slowdown in traditional semiconductor demand.
Despite the expected dip in revenue, SEALSQ maintains a strong cash position of $19 million and a robust new business pipeline valued at $71 million as of June 30, 2024. Carlos Moreira, CEO of SEALSQ, acknowledged the current year as challenging but expressed confidence in a stronger second half and a return to growth in 2025.
The company's optimism is partly based on the development of its post-quantum solutions, including the QUASARS project, which is advancing rapidly. SEALSQ expects to deliver the first engineering samples of its QS7001™ RISC V quantum-resistant platform by the end of 2024.
This platform will underpin the next-generation secure microcontroller and TPM products, QVaultQ™, which are expected to meet high-level security certifications.
SEALSQ also plans to enter the TPM market, targeting a 10% share of the 400 million units projected by ABI Research. Moreover, the company is negotiating a significant ASIC project with a major technology player, which could result in a multi-year, multimillion-dollar revenue agreement before the end of 2024.
The company is in the final stages of discussions for three Personalization Center projects across Europe, the Middle East, and the Far East. These centers will focus on designing chips using SEALSQ's RISC-V technology to meet the highest security standards.
This announcement is based on a press release statement and contains forward-looking statements regarding SEALSQ's business strategy and financial performance. These statements are subject to risks and uncertainties, and actual results may differ materially from those projected. SEALSQ does not undertake to update any forward-looking statements as a result of new information or future events.
In other recent news, SEALSQ Corp has been making significant strides in the technology sector. The company recently announced the development of a new cybersecurity solution designed to protect Electric Vehicle (EV) charging stations. This innovation aims to address vulnerabilities in the rapidly expanding EV charging infrastructure, offering secure and reliable operations.
The solution, built to comply with the international standard ISO 15118, incorporates blockchain technology to enhance security and features SEALCoins, a digital currency developed by SEALSQ for machine-to-machine payments.
Simultaneously, SEALSQ Corp has detailed its strategic initiatives during its Investor Day, announcing its intention to establish an Open Semiconductors Assembly and Test (OSAT) Center in the United States by the end of 2025. The company's advancements in Post-Quantum Cryptography (PQC) were also highlighted, a measure considered crucial for countering threats posed by quantum computing.
Moreover, the company has unveiled plans for the launch of its SEALCOIN platform and token. This hybrid payment and utility token is expected to facilitate transactions and services for internet-connected devices within its Decentralized Physical Infrastructure Network (LON:NETW) (DePIN).
The launch is scheduled for October 2024, with a Machine-to-Machine (M2M) Proof of Concept (PoC) demo set for mid-July 2024. These are the latest developments from SEALSQ Corp as it continues to shape the future of digital security and semiconductor technology.
InvestingPro Insights
In light of SEALSQ Corp's (NASDAQ:LAES) announcement, InvestingPro data and tips provide a deeper financial context for investors seeking to understand the company's position. SEALSQ's reported preliminary revenue of $5 million in the first half of 2024 is set against a backdrop of a challenging market environment for semiconductor companies.
One of the InvestingPro Tips indicates that SEALSQ's stock is currently in oversold territory, according to the RSI metric. This could suggest a potential rebound opportunity for investors, especially if the company's post-quantum solutions and anticipated ASIC project materialize into substantial growth.
Still, it is important to note that the same InvestingPro Tips also highlight concerns such as the company's rapid cash burn and the expectation that net income may drop this year. Additionally, analysts do not anticipate SEALSQ will be profitable this year, which underscores the importance of the company's strategic initiatives to drive future growth.
From the InvestingPro Data, SEALSQ's market capitalization stands at $16.34 million, with a negative P/E ratio of -3.98, reflecting investor concerns about profitability. The company's revenue for the last twelve months as of Q4 2023 was $30.06 million, demonstrating a solid growth rate of 29.57%. This growth is a positive sign for SEALSQ's ability to scale its operations despite the reported net income challenges.
For investors intrigued by SEALSQ's future prospects, InvestingPro offers additional insights with a total of 14 InvestingPro Tips available, providing a comprehensive analysis for a more informed investment decision. Interested readers can access these insights and take advantage of the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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