Slides
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First quarter 2025 Webcast May 8th, 2025 2025-05-08 Vickram Vathulya Group CEO Lottie Saks Group CFO
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Executive summary
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Interim Report Q1 FY25 Financials Fourth Quarter • Revenues at 78.5M SEK, 40% YoY for Q4, +2% sequentially from Q4 to Q1 • AEBITDA of (2.6)M SEK, 65% improvement YoY • Strong growth in Wireless, +85% YoY Highlights Strong revenue quarter for Company Continued progress on road to profitability Product revenues grow YoY Healthy order intake continues for 2025 Expanding Opportunity Pipeline Finalized debt refinancing
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Financial overview Q1
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• Strong Growth in Q1 of 40% yoy with record sales of 78,5 MSEK. • Wireless sales increased 85%. Photonics decreased (18)% albeit growing product sales and getting in position for inflection point • Trending in line with new baseline for quarterly Revenue. • Sivers continues to drive overall agenda of Capital Efficient Profitable Growth. AEBITDA was (2,6) MSEK which is strong improvement yoy Growing Revenue in Q1 >40% yoy Another quarter with highest recorded Revenue in the history of Sivers 5 AEBITDA (%) 27 27 28 50 58 46 58 74 56 52 59 7779 Q1 Q2 Q3 Q4 +40% Actual 2022 Actual 2023 Actual 2024 Actual 2025 Sales (MSEK) -100 -80 -60 -40 -20 0 20 40 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25
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Maintaining high level of Product Sale in the Quarter Product sales continue to increase in line with strategic transformation Sivers Product sales MSEK 9 7 9 8 9 7 18 13 17 20 17 25 25 0 5 10 15 20 25 30 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 17 25 7 Q1 2024 Increase Q1 2025 +41% Q1 • Strong Q1 Sales with 7 MSEK and 41% Growth in Product Sales • Photonics grew Product sales with 5 MSEK • Wireless grew Product Sales with 2 MSEK MSEK
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Sales by business, type and geography Furhter strengthened presence in North America with Product Sales ~31% 7 26% 74% Photonics Wireless 31% 69% Product NRE 64% 32% North America Europe 4% Asia
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Today’s agenda • Executive summary • Financial results • Market & Business update • Key Takeaways • Q&A Presenters Vickram Vathulya, CEO Lottie Saks, CFO Q1 Results
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Markets & Customers Critical Enablers of a Greener Data Economy With Energy Efficient Photonics & Wireless Solutions
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Two Long-Term Secular Trends Two “Momentum” Markets Why? larger training models, deep learning, real-time inference Why? higher capacity, lower latencies, lighter payloads, threat mitigation 1 AI Acceleration 2 mmWave adoption AI Datacenters Healthcare Automotive Aerospace & Défense Industrial Satellite Communications Fixed Wireless Access (FWA) 5G RAN/ORAN Track-to-Train High Performance Radar Sivers Value Proposition: EnergyEfficientLaser Arrays and RF Beamformer Solutions
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Momentum Markets: AI datacenters • CPO for Scale-up and Scale-out architectures • Pluggable optics: architecture, economics needs to adapt • Lasers stay external, Light Source TAM increases What this means for AI datacenters What this means for Sivers Laser Arrays • Arrays Critical enablers for ultra-high bandwidth solutions • SAM advantage with better production economics • Opportunity pipeline, customer interest ↑ Scale-Out Scale-Up nVIDIA affirms Co-Packaged Optics (CPO) for high speed, low power interconnects 2025
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Momentum Markets: AI datacenters Ayar Labs demos functional scale-up architecture at OFC event (April 2025) Live demo at OFC Sivers Laser Arrays Laser Array Trays in AI datacenter racks Source: Ayar Labs website and OFC show
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Momentum Markets: SATCOM • Key Customer making strong deployment progress • Virtualized ground terminals (RF unit + Remote processing) • Geopolitical: Europe pushes space infra modernization What’s happening in SATCOM What this means for Sivers Wireless • RF beamformer value proposition strengthens • SAM expansion with Antenna Arrays, Digitizers • Opportunity pipeline, customer interest ↑ Architectural shift + customer preferences expand Sivers SAM and product lines Source: ALL.SPACE Website PR, March 2025 Source: DiFi consortium
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Product Proliferation: A Key Theme Emphasis on ROI from product shipments • Selective custom work emphasizing product ROI • Conscious planning for broad market configurations • Broad market SATCOM IC samples in H2 2025 • O-Net partnership for broad market laser arrays • Layering in product ramps for future growth • Distribution partnerships to expand reach • RFPD, PALTEK (Japan, Asia) & now Nisko (Israel) • Expanding sales and customer applications resources FY25: Disciplined shift in R&D mixSivers Product Revenues 9 7 9 8 9 7 18 13 17 20 17 25 25 0 5 10 15 20 25 30 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025
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Lean & Agile Supply Chain Blue-Chip Merchant Foundry partnerships Manufacturing Capacity assured Reduced Sivers CAPEX spend Glasgow facility: Tech R&D, low volume/pilot line Fabless production at scale 15
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The Sivers Opportunity Shareholder Value Creation $2B+ Serviceable Available Market 2028+ Attractive Sivers value Proposition + Growing pipeline + Sivers high single digit share ambition + 2 Secular Trends + 2 Momentum Markets + $100M+ business in 4 years Sizeable Market Valuation at comparable multiples* * Semiconductor industry EV/Sales, EV/EBITDA multiples (KPMG Summer 2024 Report) Sivers provides a unique investment opportunity in Europe to participate in two of the hottest global secular trends in the i ndustry!
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Key Takeaways 1. Strong Q1 Financials. Highest revenue quarter! 2. Product revenue growth trajectory gathering momentum 3. Asset-Lite manufacturing model in place 4. Opportunity pipeline expanding. Strong reception at key industry events 5. Finalized debt refinancing. Long-term capital structure optimization continues CEO commentary
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Q&A
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