Interim results for the 6 months to 30 June 2021

Over 490% bookings growth, 140% revenue growth and 50% adjusted EBITDA margins 1

Multiple tier 1 strategic client wins and accelerated investment to drive future growth 

Raising full year guidance based on strong global demand and execution 

New framework agreement closed with one of the world’s largest chip makers

Alphawave IP Group plc (LSE: AWE, “Alphawave IP”, the “Company”), a global leader in high-speed connectivity for the world’s leading technology infrastructure, has published its interim results for the 6 months to 30 June 2021. In addition to the results, the Company is pleased to announce several business and technology execution highlights. 

Interim Results Highlights

  • US$196.1m of bookings2 in H1 2021, over 490% growth compared to H1 2020 (over 460% excluding royalties), underpinning strong future growth
  • H1 2021 revenues of US$27.6m, representing 140% growth compared to H1 2020 (US$11.5m)
  • Adjusted EBITDA1 of US$13.9m and margin of 50% (H1 2020: US$6.3m and 55%)
  • Increased revenue diversification across customers, end markets and regions with 6 new customer wins spanning storage, networking, 5G wireless, AI and optical
  • All definitive agreements from China Product Partnership (“CPP”) executed with first revenues expected to be recognised in H2 2021
  • Successful IPO on the London Stock Exchange, raising net proceeds of £347.1m (US$492.1m)

Outlook & Guidance

  • Following a strong first half in 2021, we are increasing our FY2021 guidance based on our order book and visibility on new opportunities
  • Continued and accelerated momentum in new contract wins with FY2021 bookings expected to exceed US$230m, reflecting exceptional H1 multi-year subscription deals and with multiple US wins expected in H2 2021
  • FY2021 revenue expected to exceed US$75m, representing over 125% year-on-year growth and ahead of 100% year-on-year guidance at IPO
  • FY2021 adjusted EBITDA margins expected to increase to over 55%

1 Adjusted EBITDA excludes IPO-related costs, foreign exchange adjustments, share-based payments and one-time legal fees associated with CPP. See note 4 (Alternative Performance Measures) on page 19 of the full report

2 Bookings comprise license fees, non-recurring engineering and support and maintenance from contracted and typically non-cancellable orders in addition to, where appropriate, company estimates of potential future royalties. See note 4 (Alternative Performance Measures) on page 19 of the full report

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