Conference Call Scheduled for
FY 2023 Key Financial Highlights:
- Revenue of
$31 million represents a significant increase of 30% compared to the$24 million reported in FY 2022. This significant growth reflects the Company’s successful expansion in its key markets and the underlying demand for its advanced cybersecurity solutions. - Gross profit of
$15 million with a profit margin of 48%, shows an improvement of$5 million from the$10 million reported in FY 2022. This growth is directly attributable to higher revenue and enhanced operational efficiencies. - Net loss of
$15 million , a substantial improvement compared to the$29 million net loss reported in the prior year. This positive change is primarily due to the disposal of the loss-making subsidiary, arago GmbH, completed in 2022, alongside strategic cost management initiatives. - Balance sheet remains robust with total assets of
$48 million and a healthy cash position of$15 million , indicating strong financial stability and the capability to fund future growth initiatives.
Strategic and Operational Highlights:
Since 2020, WISeKey has operated as a diversified holding company and now counts four principal operational divisions: SEALSQ Corp (Nasdaq: LAES),
SEALSQ Corp:
Listed on the Nasdaq in
WISeSat.Space:
Emphasizing cost-effective satellite deployment through picosatellites, WISeSat.Space is positioned for growth in sectors such as agriculture, logistics, and environmental monitoring. The subsidiary’s innovative approach to satellite technology is designed to meet the growing demand for satellite services, providing reliable and scalable solutions to a variety of industries. WISeKey is expanding its cooperation with the Swiss Armed Forces in the field of space travel and it plans on launching a communications satellite into space with
WISe.ART:
WISe.ART is advancing in the NFT space and recently announced a partnership with Hedera. This strategic investment underscores the transformative potential of blockchain technology in shaping the next generation of the internet. In 2023, WISe.ART reached new heights with new partnerships and several major charity events, doubling its community of participating artists from around the world with over 2,000 works uploaded on the platform 50% of which are digital artworks with an even balance of phygital packages (blending digital and physical experiences) averaging a total value of artwork of over
Moving Forward
Each of these divisions contributes uniquely to our diverse technology portfolio, which positions us at the forefront of innovation and industry leadership, and we are particularly encouraged by the pipeline of opportunities emerging for IoT semiconductors products, totaling over
Our diversified growth strategy is yielding tangible results, with accelerated progress in sectors such as semiconductors, cybersecurity, and emerging ventures. Projects like the innovative Smart Container initiative and investments in WISeSat.Space and blockchain tokenization for the WISe.ART Digital Platform are emblematic of our forward-thinking approach and commitment to driving value for our stakeholders.
We are witnessing a strong and consistent customer demand for our cybersecurity, semiconductor products, including the CyberTrust Mark and Matter-related offerings, along with a growing market share.
While 2024 may entail a temporary slowdown in growth due to market shifts, we are poised to introduce new revenue streams and capitalize on emerging opportunities.
In 2024, we anticipate generating revenue from innovative initiatives such as Low Orbit satellite projects, cybersecurity and IoT Semiconductors personalization centers, and the maturation of the WISe.ART platform. These endeavors underscore our commitment to driving innovation, enhancing our service offerings, and meeting the evolving needs of our clients.
We anticipate additional revenue streams to emerge from the semiconductor personalization centers. Currently, we are in the process of establishing centers in
While the activities of WISeKey may appear disparate at first glance, when you consider the combination of our security, space, satellite, blockchain, and IoT activities, it becomes evident that they are intricately interconnected. Each facet reinforces the others, culminating in the formation of a robust Web 3.0 platform that leverages synergies across diverse domains.
Furthermore, our sustained investments in research and development, particularly in post-quantum resistant technology, are poised to yield substantial returns in the coming years. This advancement is pivotal in maintaining our leadership position and delivering secure, cutting-edge solutions in an increasingly digital landscape.
Conference Call
The company will host a conference call to review its results on
- Toll-Free Dial-In Number: 877-445-9755
- International Dial-In Number: 201-493-6744
A simultaneous webcast of the call may be accessed online via the Investor Relations section of the company’s website, https://www.wisekey.com/company/investors/.
The archived call will also be available on the Investor Relations section of the company’s website.
Of note, the Company has filed its Form 20-F with the
ADDITIONAL FINANCIAL & OPERATIONAL DATA
Consolidated Statements of Comprehensive Income/(Loss) [as reported]
12 months ended | ||||||
USD'000, except earnings per share | 2023 | 2022 | 2021 | |||
Net sales | 30,918 | 23,814 | 17,646 | |||
Cost of sales | (15,754) | (13,588) | (9,893) | |||
Depreciation of production assets | (420) | (132) | (301) | |||
Gross profit | 14,744 | 10,094 | 7,452 | |||
Other operating income | 167 | 2,073 | 183 | |||
Research & development expenses | (4,398) | (3,862) | (5,618) | |||
Selling & marketing expenses | (6,523) | (7,275) | (9,111) | |||
General & administrative expenses | (17,290) | (11,466) | (14,066) | |||
Total operating expenses | (28,044) | (20,530) | (28,612) | |||
Operating loss | (13,300) | (10,436) | (21,160) | |||
Non-operating income | 2,374 | 3,937 | 2,509 | |||
Debt conversion expense | (562) | (827) | (325) | |||
Interest and amortization of debt discount | (624) | (168) | (1,057) | |||
Non-operating expenses | (3,107) | (5,551) | (3,426) | |||
Loss before income tax expense | (15,219) | (13,045) | (23,459) | |||
Income tax income / (expense) | (230) | 3,238 | (13) | |||
Loss from continuing operations, net | (15,449) | (9,807) | (23,472) | |||
Discontinued operations: | ||||||
Net sales from discontinued operations | - | 1,805 | 4,612 | |||
Cost of sales from discontinued operations | - | (978) | (2,976) | |||
Total operating and non-operating expenses from discontinued operations | - | (5,274) | (2,364) | |||
Income tax recovery from discontinued operations | - | 25 | 106 | |||
Loss on disposal of a business, net of tax on disposal | - | (15,026) | - | |||
Income / (loss) on discontinued operations | - | (19,448) | (622) | |||
Net income / (loss) | (15,449) | (29,255) | (24,094) | |||
Net income / (loss) attributable to noncontrolling interests | (89) | (1,780) | (3,754) | |||
Net income / (loss) attributable to Holding Ltd | (15,360) | (27,475) | (20,340) | |||
Earnings per Class A Share (USD) | ||||||
Earnings per Class A Share from continuing operations | ||||||
Basic | (0.50) | (0.44) | (1.64) | |||
Diluted | (0.50) | (0.44) | (1.64) | |||
Earnings per Class A Share from discontinued operations | ||||||
Basic | - | (0.87) | (0.04) | |||
Diluted | - | (0.87) | (0.04) | |||
Earning per Class A Share attributable to | ||||||
Basic | (0.51) | (1.22) | (1.42) | |||
Diluted | (0.51) | (1.22) | (1.42) | |||
Earnings per Class | |||||
Earnings per Class | |||||
Basic | (5.01) | (4.36) | (16.38) | ||
Diluted | (5.01) | (4.36) | (16.38) | ||
Earnings per Class | |||||
Basic | - | (8.65) | (0.44) | ||
Diluted | - | (8.65) | (0.44) | ||
Earning per Class | |||||
Basic | (5.06) | (12.22) | (14.20) | ||
Diluted | (5.06) | (12.22) | (14.20) | ||
Other comprehensive income / (loss), net of tax: | |||||
Foreign currency translation adjustments | (842) | (1,434) | (1,534) | ||
Change in unrealized gains related to available-for-sale debt securities | - | - | 1,965 | ||
Reclassifications out of the OCI arising during period | - | 1,156 | - | ||
Defined benefit pension plans: | |||||
Net gain (loss) arising during period | (1,151) | 2,934 | 1,572 | ||
Reclassification adjustments | - | - | (7,350) | ||
Other comprehensive income / (loss) | (1,993) | 2,656 | (5,347) | ||
Comprehensive income / (loss) | (17,442) | (26,599) | (29,441) | ||
Other comprehensive income / (loss) attributable to noncontrolling interests | (99) | (964) | 187 | ||
Other comprehensive income / (loss) attributable to | (1,894) | 3,620 | (5,534) | ||
Comprehensive income / (loss) attributable to noncontrolling interests | (188) | (2,744) | (3,567) | ||
Comprehensive income / (loss) attributable to | (17,254) | (23,855) | (25,874) |
The notes are an integral part of our consolidated financial statements.
Consolidated Balance Sheets [as reported]
As at | As at | ||
USD'000 | 2023 | 2022 | |
ASSETS | |||
Current assets | |||
Cash and cash equivalents | 15,311 | 20,706 | |
Restricted cash, current | - | 108 | |
Accounts receivable, net of allowance for credit losses | 5,471 | 2,573 | |
Notes receivable, current | 63 | 67 | |
Inventories | 5,230 | 7,510 | |
Prepaid expenses | 1,290 | 831 | |
Government assistance | 1,718 | 692 | |
Other current assets | 1,008 | 1,380 | |
Total current assets | 30,091 | 33,867 | |
Noncurrent assets | |||
Notes receivable from related parties, noncurrent | - | 64 | |
Deferred income tax assets | 3,077 | 3,295 | |
Deferred tax credits | 15 | 2 | |
Property, plant and equipment net of accumulated depreciation | 3,392 | 842 | |
Intangible assets, net of accumulated amortization | 96 | 98 | |
Operating lease right-of-use assets | 2,052 | 2,289 | |
8,317 | 8,317 | ||
Equity securities, at cost | 486 | 472 | |
Equity securities, at fair value | - | 1 | |
Other noncurrent assets | 275 | 249 | |
Total noncurrent assets | 17,710 | 15,629 | |
TOTAL ASSETS | 47,801 | 49,496 | |
LIABILITIES | |||
Current Liabilities | |||
Accounts payable | 12,863 | 13,401 | |
Notes payable | 4,164 | 4,196 | |
Convertible note payable, current | 190 | - | |
Deferred revenue, current | 217 | 174 | |
Current portion of obligations under operating lease liabilities | 638 | 592 | |
Income tax payable | 4 | 57 | |
Other current liabilities | 832 | 409 | |
Total current liabilities | 18,908 | 18,829 | |
Noncurrent liabilities | |||
Bonds, mortgages and other long-term debt | 1,820 | 1,850 | |
Convertible note payable, noncurrent | 1,519 | 1,267 | |
Deferred revenue, noncurrent | 24 | 23 | |
Operating lease liabilities, noncurrent | 1,443 | 1,727 | |
Employee benefit plan obligation | 3,001 | 1,759 | |
Other deferred tax liabilities | 0 | 8 | |
Other noncurrent liabilities | 2 | 8 | |
Total noncurrent liabilities | 7,809 | 6,642 | |
TOTAL LIABILITIES | 26,717 | 25,471 |
Commitments and contingent liabilities | |||
SHAREHOLDERS' EQUITY | |||
Common stock - Class A | 400 | 400 | |
| |||
Authorized - 2,000,880 and 2,000,880 shares | |||
Issued and outstanding - 1,600,880 and 1,600,880 shares | |||
Common stock - Class B | 8,170 | 5,334 | |
Authorized - 6,194,267 and 3,548,392 | |||
Issued - 3,076,150 and 2,005,890 | |||
Outstanding - 2,954,097 and 1,996,745 | |||
(691) | (371) | ||
Additional paid-in capital | 295,716 | 280,597 | |
Accumulated other comprehensive income / (loss) | 4,041 | 5,935 | |
Accumulated deficit | (280,961) | (265,635) | |
Total shareholders' equity attributable to WISeKey shareholders | 26,675 | 26,260 | |
Noncontrolling interests in consolidated subsidiaries | (5,591) | (2,235) | |
Total shareholders' equity | 21,084 | 24,025 | |
TOTAL LIABILITIES AND EQUITY | 47,801 | 49,496 |
The notes are an integral part of our consolidated financial statements.
About WISeKey
Each subsidiary contributes to WISeKey’s mission of securing the internet while focusing on their respective areas of research and expertise. Their technologies seamlessly integrate into the comprehensive WISeKey platform. WISeKey secures digital identity ecosystems for individuals and objects using Blockchain, AI, and IoT technologies. With over 1.6 billion microchips deployed across various IoT sectors, WISeKey plays a vital role in securing the Internet of Everything. Trusted by the OISTE/WISeKey cryptographic Root of Trust, WISeKey provides secure authentication and identification for IoT, Blockchain, and AI applications. The WISeKey Root of Trust ensures the integrity of online transactions between objects and people. For more information on WISeKey’s strategic direction and its subsidiary companies, please visit www.wisekey.com.
Press and investor contacts:
WISeKey International Holding Ltd Company Contact: Chairman & CEO Tel: +41 22 594 3000 info@wisekey.com | WISeKey Investor Relations (US) Tel: +1 212 836-9611 / lcati@equityny.com Tel: +1 212 836-9612 / kmurphy@equityny.com |
Disclaimer:
This communication expressly or implicitly contains certain forward-looking statements concerning
This press release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities, and it does not constitute an offering prospectus within the meaning of the Swiss Financial Services Act (“FinSA”), the FInSa's predecessor legislation or advertising within the meaning of the FinSA. Investors must rely on their own evaluation of WISeKey and its securities, including the merits and risks involved. Nothing contained herein is, or shall be relied on as, a promise or representation as to the future performance of WISeKey.
Source:
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