Ekinops reports record revenues of €50.8m

Didier Brédy - Ekinops.jpg

Ekinops confirms revenues of €50.8 million for its H1 2021 financial report, for the period ended 30 June 2021.

Hailed as company first, revenue for the period was up 11% in total (13% at constant exchange rates). It also meant that the Group was line with its target of a double-digit annual growth in 2021

"Ekinops posted a high-flying first half, with major symbolic milestones reached over the period. It posted record business activity in the second quarter, topping for the first time ever the €10m mark in quarterly revenue for the Optical Transport business as well as the €50m mark in half-year revenue,” said Didier Brédy (pictured), chairman & CEO of Ekinops.

Specifically, the company saw growth across all its products lines including optical transport, access and software. Optical transport showed the strongest growth with an increase of 26% in H1, of which generated over €10 million in revenue in a single quarter and contributed greatly to the overall H1 results.

Following closely behind, software and services increased to 12% of revenue for the reporting period, compared with 8% in H1 2020), driven in particular by the success of network function virtualisation solutions.

“Illustrating this momentum, the Group's Access business is booming in North America as a result of the substantial sales efforts made in the region and the segment. These efforts have served to win major contracts, in particular with a Tier-1 North American operator, which has selected our Access solutions,” said Brédy.

At the same time, Ekinops also published its Q2 2021 result, which were €27.6 million in revenues, an increase of 12% compared with Q2 2020, which translates to quarterly of 14% at constant exchange rates.

Geographically, North America and EMEA (Europe, Middle East & Africa excluding France) were the strongest performers for H1 2021.

Growth in North America increased by 15%, rising to 25% in US dollars, while the EMEA region ended the first half with growth of 22%.

First-half growth in France amounted to 4%, with a slight slowdown in Q2 2021 and in Asia-Pacific, the business activity remained down -29%, due to the effects of the pandemic.

“While we remain vigilant as to the evolution of the health situation and its consequences on the supply of certain components in the coming months, we are increasingly optimistic for the rest of the year and the positive impact of this sustained growth on our results," added Brédy.

Overall international business accounted for 67% of Group revenue, of the total, EMEA accounted for 45%, the US for 17% and APAC for 5%. France accounted for 33% of business activity in the first half.

Looking ahead, Ekinops confirms its annual guidance for double-digit growth in 2021 with a gross margin of between 52% and 56% and an EBITDA margin of 12% to 16% in FY 2021.