Wisekey International Holding AG – ADR (NASDAQ: WKEY), a leading Swiss Cybersecurity and IoT service, announced the preliminary results showing significant improvement in their performance compared to H2 2020.
Revenue Increased 24%: As per the preliminary report published by the company, it seems that the company has substantially improved its overall performance in H1 2021 compared to H2 2020. The last year was impacted by the COVID-19 pandemic. The company invested in developing new technologies expanded its footprints in the global market and client base. These factors helped the Wisekey report a 24% year-on-year increase in revenue to $9.9 million. In addition, the company’s overall cash position strengthened further, with total cash and cash equivalents of $27.9 million at the end of June 30, 2021. The cash reserves further increased to $35.9 million as of July 9, 2021. Effective management of working capital also
Strong visibility: The company further stated that the revenue visibility for existing product offerings remains strong. In addition, as per Wisekey the new opportunities in the CyberSecure Automation space, they are well poised to capitalize on the market opportunities. It is believed that the new product will supplement the existing product mix, thereby strengthening the overall product portfolio result in higher revenue. In addition, the new product development will come with a higher margin, which is expected to provide higher returns to the shareholders.
The expectance of higher profitability will further increase the overall cash position. The company is expected to grow and expand its footprints further organically or through acquisition. The company had made a significant investment in research and development and the new microchips design to maintain the edge. Moreover, the company invested in the new talent and expanding its sales force. All the steps by Wisekey help the company quickly come out from the impact of the pandemic and growth organically or through acquisitions.