REHOVOT, Israel--(BUSINESS WIRE)--May 22, 2025--
SatixFy Communications Ltd. (the "Company" or "SatixFy") (NYSE American: SATX), a leader in next-generation satellite communication systems based on in-house-developed chipsets, has released its consolidated financial results as of and for the quarter ended March 31, 2025.
Financial Highlights for the First Quarter of 2025
-- Total revenues for the first quarter of 2025 were $4.9 million, an
increase of 158% compared to $1.9 million for the first quarter of 2024.
Revenues from development services and preproduction were $4.0 million,
an increase of 167% compared to $1.5 million in the same period of 2024.
Revenues from the sale of products were $0.9 million, an increase of 122%
compared to $0.4 million in the first quarter of 2024.
-- Gross profit for the first quarter of 2025 was $2.9 million, an increase
of 82% compared to $1.6 million for the same period in 2024. Gross margin
for the quarter was 59%, compared to 83% in the first quarter of 2024.
The first quarter of 2024 margin was particularly high due to delivery of
high margin non-recurring engineering work.
-- Operating loss for the first quarter of 2025 was $6.1 million, an
improvement of 20% compared to $7.7 million in the first quarter of 2024,
reflecting increased revenue.
-- Expenses Breakdown:
-- Research and development expenses, net ("R&D") for the first
quarter of 2025 were $6.4 million, compared to $6.8 million for
the same period in 2024. Gross R&D expenditure decreased by $0.9
million, mostly attributed to lower tape-out costs and
post-silicon costs in the quarter compared with the first quarter
of 2024. Additionally, net R&D expenses were impacted by a
decrease in grants from the European Space Agency ("ESA") and UK
Research and Development Expenditure Credit tax credits, which
were recorded as offsets to R&D expenses of $0.9 million.
-- Selling and marketing expenses for the first quarter of 2025 were
$0.3 million, compared to $0.5 million in the first quarter of
2024.
-- General and administrative expenses for the first quarter of 2025
were $2.3 million, compared to $1.9 million for the same period in
2024.
-- Net loss for the first quarter of 2025 was $10.3 million, an improvement
of 9% compared to $11.3 million for the first quarter of 2024, primarily
as a result of increased revenue in the quarter.
-- Cash and cash equivalents as of March 31, 2025, amounted to $7.8 million,
compared to $14.4 million as of December 31, 2024.
Nir Barkan, Chief Executive Officer of SatixFy, commented, "We are pleased with the strong momentum we have shown in the first quarter, with revenue growing 158% year over year. We are also happy with our lower operating loss which decreased by 20% year over year, reflecting our improving revenue growth coupled with lower operating expenses." Mr. Barkan continued, "Our company is firmly positioned as the global leader in space-grade chip technology, with standout innovations like our advanced processor, digital multi-beam chip and unique solutions including landing stations and terminals. We have successfully stabilized and grown the business, and we are now looking forward to and on the path to an exciting new chapter."
About SatixFy
SatixFy develops end-to-end next-generation satellite space and ground communications systems, including satellite multi beam digital antennas, user terminals and modems, based on powerful chipsets that it develops in house.
SatixFy's products include modems that feature Software Defined Radio $(SDR)$ and Fully Electronically Steered Multi Beam Antennas (ESMA) that support the advanced communications standard DVB-S2X. SatixFy's innovative ASICs improve the overall performance of satellite communications systems, reduce the weight and power requirements of terminals and payloads, and save real estate for gateway equipment. SatixFy's advanced Very Small Aperture Terminal and multi-beam fully electronically steered antenna arrays are optimized for a variety of mobile applications and services, using low earth orbit, Medium Earth Orbit and Geostationary satellite communications systems, for aero/in-flight connectivity systems, high-end communications-on-the-move applications, and more.
SatixFy is headquartered in Rehovot, Israel with additional offices in the UK, US and Bulgaria.
For more information, please refer to www.SatixFy.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks, " "estimates" and similar expressions or variations of such words are intended to identify forward-looking statements. For example, SatixFy is using forward-looking statements in this press release when it discusses the company's momentum, position as the global leader in space-grade chip technology and that the path to an exciting new chapter. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, among others: the Company's planned level of revenues and capital expenditures; the Company's available cash and its ability to obtain additional funding; the Company's ability to market and sell its products; legal and regulatory developments in the United States and other countries; the Company's ability to maintain its relationships with suppliers, distributors and other partners; the Company's ability to maintain or protect the validity of its patents and other intellectual property; political, economic and military instability in the Middle East, specifically in Israel; as well as those factors set forth in the Risk Factors section of the Company's Annual Report on Form 20-F, filed with the Securities and Exchange Commission on April 1, 2025 (the "SEC"), as amended, and other documents filed with or furnished to the SEC which are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.
SAT-FIN
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL
POSITION
(in thousands of USD)
March 31, March 31, December 31,
2025 2024 2024
--------- --------- ------------
Audited
ASSETS:
CURRENT ASSETS:
Cash and cash equivalents 7,810 10,056 14,433
Trade accounts receivable 3,275 1,266 3,905
Contract assets 1,291 3,451 1,486
Prepaid expenses and other 3,106 2,291 2,570
Government departments and agencies
receivables 4,996 3,691 5,888
Related parties 70 108 46
Promissory notes - 11,420 -
Inventory 1,738 1,604 1,279
--------- --------- ------------
Total current assets 22,286 33,887 29,607
--------- --------- ------------
NON-CURRENT ASSETS:
Other long-term receivables - 2,000 -
Right-of-use assets, net 1,522 2,027 1,679
Property, plant and equipment, net 2,825 1,539 2,284
Investment in Jet Talk Ltd 1,517 1,547 1,518
Long term deposits 182 184 186
--------- --------- ------------
Total non-current assets 6,046 7,297 5,667
--------- --------- ------------
TOTAL ASSETS 28,332 41,184 35,274
========= ========= ============
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL
POSITION
(in thousands of USD)
March 31, March 31, December 31,
2025 2024 2024
--------- --------- ------------
Audited
LIABILITIES AND SHAREHOLDERS'
DEFICIT:
CURRENT LIABILITIES:
Trade payables 3,806 1,601 3,121
Current portion of long-term bank
loans, net 70,944 - -
Contract liabilities 223 1,086 186
ESA advance payments 1,073 3,174 1,264
Prepayment from customer 8,416 3,683 8,381
Advanced payments from MDA Ltd.
against future orders 42,076 28,886 39,296
Lease liabilities 782 663 786
Other accounts payable and accrued
expenses 4,782 5,425 8,340
Related parties 750 550 616
--------- --------- ------------
Total current liabilities 132,852 45,068 61,990
--------- --------- ------------
NON-CURRENT LIABILITIES:
Long term loans from financial
institutions, net - 62,702 67,691
Lease liabilities 1,202 1,832 1,392
Derivatives instruments liabilities 5,719 114 5,719
Liability for royalties payable 774 1,196 774
--------- --------- ------------
Total non-current liabilities 7,695 65,844 75,576
--------- --------- ------------
SHAREHOLDERS' DEFICIT:
Share capital - - -
Share premium 453,601 451,436 453,252
Capital reserves 1,444 1,444 1,444
Accumulated deficit (567,260) (522,608) (556,988)
--------- --------- ------------
Total shareholders' deficit (112,215) (69,728) (102,292)
--------- --------- ------------
TOTAL LIABILITIES AND SHAREHOLDERS'
DEFICIT 28,332 41,184 35,274
========= ========= ============
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(in thousands of USD)
Three months ended
--------------------
March 31,
--------------------
2025 2024
--------- ---------
Revenues:
Development services and preproduction 4,049 1,518
Sale of products 863 388
--------- ---------
Total revenues 4,912 1,906
--------- ---------
Cost of sales and services:
Development services and preproduction 1,913 249
Sale of products 113 73
--------- ---------
Total cost of sales and services 2,026 322
Gross profit 2,886 1,584
--------- ---------
Research and development expenses, net 6,432 6,798
Selling and marketing expenses 322 525
General and administrative expenses 2,264 1,926
--------- ---------
Loss from operations 6,132 7,665
Finance income - 48
Finance expenses (4,140) (3,662)
Company's share in the loss of a company accounted
by equity method, net - (4)
--------- ---------
Loss before income taxes (10,272) (11,283)
--------- ---------
Income taxes - -
--------- ---------
Loss for the period (10,272) (11,283)
========= =========
Total comprehensive loss for the period (10,272) (11,283)
========= =========
Basic and diluted loss per share (in dollars) (0.12) (0.14)
Basic and diluted weighted average ordinary shares
outstanding 86,849 83,423
View source version on businesswire.com: https://www.businesswire.com/news/home/20250522834336/en/
CONTACT: Investor Contacts:
Kenny Green & Ehud Helft, EK Global IR, satixfy@ekgir.com
Media Contact:
Aviv Sax Nahamoni, info@satixfy.com
(END) Dow Jones Newswires
May 22, 2025 16:10 ET (20:10 GMT)
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