CyanConnode (CYAN) , a global provider of Narrowband Radio Frequency Smart Mesh Networks, announced its audited results for the year ended 31 March 2023, reporting a  23% revenue increase and an improved market position, particularly in India. 

Revenue hit £11.7m in FY23, up from 9.6m in FY22, and the highest annual revenue for CyanConnode after four consecutive years of growth. Revenues were up as a result of major contracts in India which started deploying during the year, and contracts delivered in the MENA region.

However, adjusted EBITDA dropped to a £1.6m loss from a £0.06m profit in FY22, as a result of lower gross margin, increased operating costs, while the EBITDA loss increased from a loss of £0.4 million in FY22 to a loss of £2.9 million in FY23 also as a result of lower gross margin and increased operating costs, as well as an impairment of intangible assets.

However, the cash position improved to £4.1m in FY23, up from £2.4m in FY22 due to strong cash received from customers of approximately £10.7m, up 30% from a year ago.

The company received orders for 2.3m Omnimesh modules in FY23, up from 1.3m units orders in all years prior to FY23. An order for a further 0.6m Omnimesh modules was received in Q1 FY24.  Also in Q1 FY24, the company has delivered 291k Omnimesh modules, compared to 391k units delivered in all of FY23, setting strong revenue momentum for FY24. 

In the new financial year, revenue for the first quarter was greater than £2.8 million, more than double that of the whole of the first half of FY23. 

John Cronin, Executive Chairman of CyanConnode, commented: "FY23 has once again shown record revenues and orders won, and a fourth consecutive year of growth. Since the year end the number of live tenders in India has continued to increase and move through the tendering process, and the Company has won a further 0.6m Omnimesh units.”

 

View from Vox 

A strong set of results from CyanConnode, demonstrating its market leading position, particularly post-period as revenues continue to soar. Notably, CyanConnode’s products have been proven across a broad portfolio of more than 2.7m global deployments across more than 20 customers.

In light of today’s results, the broker Zeus forecasts revenue growth of 39% in FY24 and 111% in FY25.

CyanConnode is a leader in Narrowband Radio Frequency Smart Mesh Networks, which are used for machine to machine communication. CyanConnode's RF Smart Mesh Networks are designed for rapid deployment, whilst giving exceptional performance and competitive total cost of ownership.

CyanConnode‘s technology is positioned at the forefront of the new ‘smart cities’ transformation whereby IoT (Internet of Things) is remodelling urban landscapes across the world, creating cities where machine-to-machine communication is central. CyanConnode is helping to drive the transformation with solutions and apps based on reliable, secure Narrowband RF mesh networking. This enables cost and energy savings, allowing governments, metropolitan authorities and businesses to monitor and manage services such as utilities and street lighting with greater efficiency.

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