Ekinops reported consolidated revenue of €39.2m in Q2 2023, up +10% Y-o-Y. As a reminder, Q2 2022 recorded strong growth of +29%. This year’s quarterly growth at constant exchange rates was 11%. Compared to Q1 2023 (€31.9m), Q2 sales were up +23%, reflecting buoyant activity.
Over H1 2023, revenue amounted to €71.0m, representing overall growth of +12% vs. H1 2022, which was a particularly challenging basis for comparison (+25% growth last year).
Didier Brédy, Chairman and CEO of Ekinops said: “Ekinops delivered a good H1 2023, fully in line with our expectations. This robust H1 performance, achieved despite the very challenging comparative figures after an exceptional 2022, comes in an overall less buoyant market context and a weaker economic environment. Despite this, we expect H1 sales to show good profitability in terms of gross margin.”
“Visibility is weaker for H2 given the economic environment, and Ekinops is making it a priority to ramp up its commercial activity across all its geographies.”
Some highlights
- In continuity with FY 2022, Optical Transport activity continued its strong growth trajectory, achieving a further jump of +41% in H1 2023 compared to the same period last year (vs. +32% in Q1 2023 and +49% in Q2 2023), thanks to the success of WDM solutions and the appeal of OTN technology both in the US and Europe.
- Access solutions were down by -5% over H1 2023 (vs. +21% in H1 2022), mainly due to lower sales in Asia-Pacific. Access sales were virtually flat in France (-1%), but up +7% in EMEA.
- Software & Services revenue, which accounted for 14% of Group revenues in H1 2023 (vs. 15% over full year 2022), showed slight growth over the period (+1%).
- International growth came in at +14% in H1 2023. Sales outside France represented 66% of the Group’s total revenue, compared with 65% a year earlier.
- North America reported revenues of €18.2m up by a robust +42% year-on-year (identical in US dollar terms), driven by strong demand for Optical Transport solutions. This key strategic region represented 26% of Group revenue in H1 (vs. 20% a year earlier).
- After a dip at the start of the year (-7% over Q1 2023), the EMEA region (Europe – excluding France – Middle East & Africa) has returned to growth, posting a +13% increase over H1 2023. This recovery was mainly driven by solid growth in sales of Optical Transport solutions in the region, which account for 39% of sales.
- Business in Asia-Pacific was down -65% at mid-year, following a +80% growth in H1 2022. Ekinops generated 2% of its revenue in Asia-Pacific in H1 this year.
- Lastly, in its domestic market, Ekinops posted H1 revenue growth of +9% vs. the year-earlier period, particularly driven by a doubling in sales of Optical Transport solutions. Ekinops generated 34% of its H1 revenue in France.