"Revenue in the second quarter of $8.2M was in-line with our previously communicated guidance that more than 70% of revenue will be in the second half of the year as supply chain disruption continued to impact production timing and associated deliveries.
After the end of the quarter, we updated the market on the company's outlook for the rest of 2022. We lowered the revenue outlook to $55M to $60M compared to the previously stated $65M to $70M due to the impact of continued supply chain disruption on our production volume and technology deployment.
Cash at the end of the quarter was $30.2M. We are managing our cash profile through careful management of quarterly spending and driving improved payment terms with both vendors and suppliers, while continuing to explore strategic financing opportunities.
Market demand continues to gain pace, strengthening from quarter to quarter, and we're well positioned to benefit from the long-term trends. Our order backlog has grown to $72M with additional orders expected in the back half of 2022, driving our expected orders intake to between $100M to $120M for 2022, with more than half coming from key customers in the UK, Australia and Colombia."
CEO of Smart WiresThe Company's Key Business Highlights for Q2 2022:
- As anticipated, global supply chain disruptions led to a low-volume quarter
- Given continued supply chain challenges, full year revenue outlook was reduced to $55 million to $60 million
- Orders outlook remains on track for $100 million to $120 million
- Current order backlog at $72 million slated for 2022 and 2023 delivery
- Q2 Revenue of $8.2 million, -20% vs. Q2 2021
- Q2 Net loss of $18 million, +26% vs. Q2 2021
- Q2 non-GAAP adjusted EBITDA loss of $16.1 million, -7% vs. Q2 2021
- ~50% of order target contracted already or in late contracting stage; $120+ million of high-probability, new opportunities identified this year from lighthouse customers; strong position and potential for order upside in 2022
- $18 million - $20 million order received for second largescale project with ISA Transelca
- New global HQ opened in North Carolina; Colombian subsidiary officially incorporated
- Organization strengthened with key appointments
- Reseller partnership with ELES Group subsidiary Operato broadens commercial offering to include dynamic rating software SUMO
Smart Wires Technology Ltd ("Smart Wires") presents its Q2 2022 Interim Report at 15:00 CEST on 11 August 2022 via audiocast teleconference at the following link: https://tv.streamfabriken.com/smart-wires-q2-2022. Teleconference: Dial-in number SE: +46850558366 UK: +443333009271 US: +16467224957
The full Smart Wires Technology Ltd Q2 2022 Interim Report is attached to this release, and can be found at: https://www.smartwires.com/investors/financial-reports-presentations/.
Important notice about forward-looking information
This interim report contains certain forward-looking information and statements that reflect the Company's current views on future events as well as financial and operational developments. Words such as "refer", "assess", "expect", "can", "plan", "estimate", "calculate", "could" and other expressions that indicate indications or assessments regarding future developments or trends, and which does not relate to historical facts, constitutes forward-looking information. Forward-looking information is inherently associated with both known and unknown risks and uncertainties because it is dependent on future events and circumstances. Forward-looking information does not constitute a guarantee regarding future results or development and the actual outcome may differ materially from what is stated in forward-looking information. Neither the Company nor anyone else make any representations about publishing updates or revisions of forward-looking information as a result of new information, future events or similar circumstances other than as provided by applicable mandatory rules and regulations.
Julie Andrews, CFO
Tel: +1 901 687 8314
Smart Wires' Certified Adviser is Erik Penser Bank AB, Apelbergsgatan 27, Box 7405, SE-103 91 Stockholm, E-mail: email@example.com,Tel: 08-463 83 00, www.penser.se.
This information is information that Smart Wires Technology Ltd is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2022-08-11, 07:30 CET.
ABOUT SMART WIRES TECHNOLOGY LTD.
Smart Wires conducts grid technology business that helps utilize, modernize, optimize, and monetize grid capacity to meet the demands and opportunities of the energy transition. The Company operates in the global transmission grid technology market and is a leader in modular power flow control technology. Power flow control technology controls and directs power flow on high voltage electric transmission systems. Smart Wires serves transmission owners, primarily electric utilities. Transmission owners use power flow controllers to eliminate line overloads by redirecting power to other lines, to reduce transmission congestion, and to enable renewable energy connection and dispatch. Currently, Smart Wires' main projects are located in Europe, the United States and Australia with upcoming projects in South America and Canada. The Company has a large customer base comprised of utilities globally. Smart Wires Technology Ltd is listed on the Nasdaq First North Growth Market. For more information, please visit www.smartwires.com.