Wisekey International Holding AG

SIX:WIHN

Earnings Call Analysis

Earnings Call Transcript 2024-Q2

[Operator]

Greetings, ladies and gentlemen, and welcome to the WISeKey International Holdings First Half 2024 Financial Results Earnings Conference Call.

As a reminder, this conference call contains forward-looking statements. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of WISeKey International Holding Ltd to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. WISeKey is providing this communication as of this date does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.

[Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce Carlos Moreira, Founder and Chief Executive Officer of WISeKey. Mr. Moreira, you may begin.

[Carlos Moreira, executive]

Thank you very much. Good afternoon to all of you joining us today for Europe, and good morning to all of you joining us from the United States. I am joined today by our Chief Financial Officer, John O'hara. And I will start this call by providing highlights on the company's performance on subsidiary level initiatives for the first half of 2024. Then John will provide commentary and/or financial conditions in greater detail. And before opening the floor to Q&A, I will discuss growth opportunity for the second half of the year and beyond.

So we continue the gradual restructuring that we announced a few months ago of WISeKey into what we call a computer infrastructure company which is specialized in different assets, such as cybersecurity, digital identity, blockchain, IoT solution and now lately post-quantum semiconductor. As a computer infrastructure provided WISeKey delivers secure platforms for data and devices management across various industries, including finance, health care, government and also IoT industrial applications. Leveraging its robust cybersecurity and public infrastructure of over 25 years, WISeKey ensures traditional encrypted communication and a strong authentication while also focusing on next-generation security through post-quantum cryptography.

WISeKey has evolved into a Swiss holding company encompassing several specialized operational subsidiaries, each covering an area of activity of whiskey technology ecosystem and platform. Some of them are SEALSQ, formerly WISeKey Semiconductor, which was listed on the NASDAQ in 2023 under the symbol LAES, L-A-E-S, SEALSQ focuses on advance conductor technologies. WISeID and the PKI component, the Root of Trust and PKI segment central to the WISeKey identity and Trust encryption services. WISeSat.Space, which is a space technology division, which has been now spin off into a full company utilizing picosatellite for secure communication front space. WISe.ART the trusted blockchain and NFT segment, offering secured digital asset solution and lastly, SEALCOIN AG, incorporated this year to develop SEALCOIN platform and focus on the decentralized physical Internet, what you call DePIN. Each subsidiary plays a crucial role in the WISeKey ecosystem contributing through independent research development and expertise while integrating their technology in WISeKey platform. WISeKey revenue generated strategies focus on combining stable mature revenue stream with high potential pre-revenue companies to create a balanced and sustainable business model. And this approach is actually allowing WISeKey to leverage its diverse portfolio technology portfolio -- technology portfolio capturing both immediate and future revenue opportunity. The core of the WISeKey revenue, as you all know, comes from SEALSQ, the semiconductor business then spin out into a full company last year and was listed in the NASDAQ -- is listed in the NASDAQ Stock Exchange, which serves as the company's financial backbone. This segment provides consistent income, thanks to a strong marketing presence in sectors such as IoT, cybersecurity, digital identity, Matter certification, the Cyber Trust Mark in the United States and many other movements, and they are making IoT devices requiring this level of security. Complementing this stable revenue source, WISeKey is investing in high-growth potential ventures like WISeSat.Space, although still in development, WISeSat.Space is [ poised ] to become a significant revenue generator starting in 2025 by leveraging picosatellites to deliver secure communication solutions, tracking IoT device. It targets industries like logistics, agriculture, defense, drones that require secure IoT services.

Another key component of WISeKey strategy is SEALCOIN AG, which is the [ Swiss-based ] company, created this year, which is scheduled for launch in 2025. SEALCOIN aims to capitalize on the good centralized economy by providing a secure blockchain-based platform for digital transaction and asset management. This venture will create new revenue channels through tokenization, digital asset management and blockchain services, tapping into the expanding market for blockchain-based solutions. By blending this steady income from its established semiconductor business with the future revenue potential of its emerging ventures, WISeKey ensures financial resilience. This approach allows the company to invest in high potential technologies like space-based communication and blockchain platform while maintaining revenue flow from its mature operations.

By 2025, WISeKey expect these new ventures to significantly contribute to overall revenue working alongside its traditional semiconductor business. Before John covers our financial result for the 6 months period ended in June 30, 2024, I'd like to highlight that WISeKey performance represent our resilience and strategic ability to adapt rapid technology changes and a year of transitional demand.

For the first half of the year, we announced $5.2 million in revenue, reflecting the expecting slowdown in traditional semiconductor revenue and [ commenced ] $26.3 million in cash end of June 30, 2024, and $2.9 million investments in R&D projects and technology. As we expected, 2024 to be a transitional year driven, as mentioned, by a slowdown in traditional semiconductor demand. We demonstrated our ability to adapt to ever-changing environment through investment across all subsidiaries in projects and technology that we expect to drive recurring revenue for the years to come, and which will solidify WISeKey position at the forefront of the Fourth Industrial Revolution. Key areas on the investment for this half of 2024 include SEALSQ post-quantum chip, SEALCOIN and our WISeSaT satellite and the next generation of this technology. Along this line, I would like to briefly highlight the strategic initiative, which we are undertaking in each of the subsidiaries and which we have made progress in the first half of 2024.

Beginning with SEALSQ. For which as announced, we secured $20 million in additional funding during the H1 2024 to expand production facility. The funds are earmarked for the development of the post-quantum semiconductor which are increasingly critical as quantum computer process challenges to traditional encryption system, SEALSQ is preparing to release engineering sample of its QS7001 Quantum-Resistant Secure Chip before the end of the year. This will position SEALSQ is one of the few players on the ever increasing industry, which is TPM. Our semiconductor subsidiary is also expanding its U.S.-based day sales team made significant progress towards the establishment of several OSAT cybersecurity chip design and consolation centers and secured global partnership. More details on these initiatives can be found by accessing the CLSQ H1 2024 earnings news release and [ on archived ] website available on its site.

Another one is WISeSat.Space is also working on a variety of projects expected to drive growth in H2 2024 and beyond. This includes launching a constellation of 88 low-orbit satellite by the end of 2027, a total of which 17 satellite had been already launched today in partnership with FOSSA Systems and SpaceX, which is the carrier for the satellite. Utilizing picosatellite to offer a cost-effective IoT connectivity solution from space and launching a new generation of satellite from California with the SpaceX expected to take place in early 2025, although we depend on the launching a slots that they are provided by the SpaceX, which we don't have control. The installing of a satellite antenna in Switzerland, which has been done for constellation, monitoring and management. We also have another antenna installed in the southern part of Spain, which is diversifies the monitoring aspect and developing a European-based neutral satellite constellation, aiming at ensuring data sovereignty and enhancing international cooperation. And lastly, a collaboration with the Swiss Army to leverage WISeSat secure IoT connectivity solution for defense and national security purposes on a strategic partnership signed last year and reinforced this year during the H1 period.

WISe.ART, we are working towards the development of the WISe.ART 2.0 platform after a very successful launch on the initial platform with over 1,000 artists already using on daily basis this platform to negotiate their digital art, a highly secure for trading NFT digital art and even now physical objects and conducting authenticated online transaction. WISeART growth is further fueled by the strategic investment from the Hashgraph Association, a Swiss nonprofit organization focused on promoting the global adoption of the Hedera network, which as you probably know, is the promoter and deployer of the HBAR token, which is a very successful token in the digital economy. This partnership is expected to significantly bolster WISe.ART growth by leveraging Hedera decentralized sustainable public ledger. The WISeKey WISeID ledger, which is our identity platform, or INeS Platform, which is our digital certification platform, offering PKI as a service is gaining significant traction, the platform allows company to manage Device Attestation Certificate without the need to costly infrastructure and investment. This area will grow substantially again over the next year as this certification of the object level issuing a digital certificate is becoming compulsory in many industries on which IoT devices need to be secured before they are deployed. SEALCOIN AG, which secured $50 million token investment commitment from GEM Digital Limited during this H1 period to support the SEALCOIN project.

Additionally, the Hashgraph Group has committed to providing engineering expertise and strategic guidance in the Web 3.0 economy. SEALCOIN is poised to become a key player in the transactional IoT, t-IoT ecosystem, expanding semiconductor sales while enabling autonomous unsecured transactions between IoT devices. A proof of concept of the token is already available on our website. And the SEALCOIN project leverage Hedera [ IoT ] decentralized ledger technology is actually targeted to revolutionize the IoT landscape because this technology has not been deployed anywhere by anyone. So we are the first group that is fully deploying a t-IoT infrastructure. The state-of-the-art platform will facilitate autonomous transactional services for payment exchanges among IoT devices, addressing the growth demand for efficient and trustworthy transaction in the IoT sector. Key features and time line for the SEALCOIN are as follows: A proof of concept was successfully executed on July 25, 24, demonstrating the platform capability to handle secure autonomous IoT devices. This video of the proof of concept is also available on the sealcoin.ai website. Preceding investment was completed with a raise of $2 million in mid-2024, positioning SEALCOIN for ancillary growth and development. And FINMA application, which is in process, FINMA is the regulatory body in Switzerland, which requires to give the go ahead and non-action letter in order to deploy the token. SEALCOIN AG is about to submit its application to FINMA ensuring full regulatory compliance as the project progresses. The platform has been developed, and it was officially launched in Q3 2024, utilizing Hedera hashgraph technology, for enhanced scalability and security. The SEALCOIN platform is expected to go live fully commercially by -- with a token issued by mid-2025. In -- SEALCOIN is also targeting a digital exchange listing by Q3 2025, providing liquidity and accessibility for the token holders worldwide. Before that happens, it is the objective of the company to raise prelisting funding, extra funding, then we'll finance its operation without any dependency from the WISeKey budget.

With SEALCOIN, we are not only defining the IoT ecosystem, but also unlocking new revenue avenues for WISeKey. This is an ambitious project and position SEALCOIN as a front runner in both the t-IoT and Web3 economy. With that, I will now turn the call over to John, who will provide further insight into the first financial year highlights. John, please go ahead.

[John O'Hara, executive]

Thank you, Carlos. As Carlos mentioned earlier, half year 2024 results demonstrated WISeKey's resilience during a transitional year. WISeKey revenue for the 6-month period ended June 30, 2024, was $5.2 million as compared to $15.1 million in the 6 months ended June 30, 2023. This reduction is in line with our previously announced expectation that 2024 would be a year of transition for WISeKey and our subsidiaries.

Revenue decline at the WISeKey level is primarily attributable to our semiconductor vertical, SEALSQ, which announced revenue for H1 2024 of $4.8 million compared to $14.8 million in H1 2023. This decline was driven by a decrease in traditional semiconductor demand and high levels of supply at many of our legacy customers, a leftover impact from the supply challenges we and our clients faced in the past year. As customers use their stock, we expect revenue to begin showing signs of recovery in the second half of 2024 with a material that we expected in 2025 and beyond.

60% of our net sales for half year '24 came from North America, the trend that we have seen increasingly and which we expect to continue. We've, therefore, made advancements to further our presence, specifically in the United States by hiring a sales director for SEALSQ and announcing the establishment of SEALSQ USA Limited.

Our next largest market was EMEA, which consisted of 23% of our net sales for H1 '24 and Asia Pacific represented the remaining 17%.

Moving on to gross profit. We saw a similar trend to revenues for the first half of the year. Our gross profit margin decreased from 53.6% in H1 2023 to 21.5% in H1 2024. This decline is expected to be temporary and is primarily due to high cost of inventory, coupled with some incompressible fixed costs, while our customers are using their previously accumulated stock. As customers stock levels are depleted and they recommend ordering new products, we expect the revenues to grow and the gross margin to return to our traditional levels.

The OpEx, our R&D expenses increased by $0.8 million between H1 2024 and H1 2023. We as we are working on the development of our next-generation products and revenue streams, including our post Quantum QUASARS project and SEALCOIN t-IoT project. R&D remains a large part of operating expenses with $ 2.9 million spent in the 6 months ended June 30, 2024, which represents 19% of total operating expenses. Our G&A expenditure of $8.3 million has increased by $0.4 million in comparison with the G&A expense for 6 months ended June 30, 2023. This increase of around 5% is mainly due to additional legal and audit expenditure of $0.9 million and $0.2 million, respectively, in relation to various SEC filings required during the first half relating to the financing we raised via our convertible notes with L1 and Anson.

These additional expenses were partially offset by a reduction in professional fees by $ 0.5 million relating to one-off costs incurred in 2023 for the initial partial spinoff and listing on the NASDAQ of our subsidiary SEALSQ Corp. Our net loss half of the year increased to $15.5 million as compared to a net loss of $7.1 million in H1 2023. This includes a $1.4 million increase in income tax expenses related to deferred income tax asset write-offs. Additional information on this is available in our H1 2024 semi annual report.

Our cash and cash equivalents at June 30, 2024, was $26.3 million compared to $15.3 million at December 31, 2023. The most significant source of funding was the $ 20 million funded by the share purchase agreements with L1 Capital and Anson Investor Master Fund. This strong cash position indicates not only our strong financial stability, but the ability to fund strategic initiatives at all our subsidiaries throughout this transitional year. I'll turn the line back to Carlos, who will discuss these initiatives and our growth plan for the second half of 2024 and beyond. Carlos, please go ahead.

[Carlos Moreira, executive]

Thanks, John. In regard to the outlook, we expect the projects and technology investment previously discussed across subsidiaries to being realized in the second half of 2024. Offering improved performance at WISeKey subject to that timing. For the remainder of 2024, we anticipate improved performance as compared to H1 '24 subject to the materialization timing of previously announced projects and transition demand for the next-generation semiconductor products. However, we do expect a return to growth in 2025 and beyond, evidence by our strong business pipeline.

And the fact, as announced earlier in the year, we are in final negotiation process to deploy a full personalization center in Murcia in Spain, with the participation of the Spanish government through their specialized purpose vehicle created with a name SETT, S-E-T-T, that has a total of $18 billion to be invested in creating a semiconductor focused industry in Spain on which our project will be one of the first projects to be announced. Our pipeline of current and new opportunities stood at $71 million as of September 20, '24, driven by the launch of the next generation of semiconductors mainly, which we expect to release in 2025 the development of WISeSaT satellite-based security solution following the launch of its new picosatellite in the first quarter of 2025 and the introduction of SEALCOIN, machine-to-machine transaction IoT, services and token.

On WISeKey, we are gearing up to long-term growth driven by full scale production of next generation post-quantum semiconductor further investment in the space satellite technology with a focus of expanding WISeKey market share and the satellite communications sector. The launch of SEALCOIN is expected to drive significant growth in the transaction of t-IoT services and machine-to-machine interaction and transaction space. and the potential public listing of additional subsidiary as we continue to mature then -- a mature diverse portfolio in blockchain cybersecurity, IoT [ and ] space.

Overall, despite a year transition in 2024, we believe WISeKey is well positioned for long-term success in supporting customers across all subsidiary and continued technology advances across the cyber security landscape. As you know, business case is highly competitive with very large players nearly monopolized in this space and companies like WISeKey are not only essential to ensure a decentralization on future capability by those platforms, but also due to its neutrality being located in Switzerland. So this concludes our prepared remarks. I would like now to open the line.

[Operator]

[Operator Instructions] Our first questions come from the line of Kevin Dede with H.C. Wainwright.

[Kevin Dede, analyst]

Could you just give me a little bit more color on the restructuring? I get the sense that a lot of the points that you spoke to today are pretty consistent with everything that you offered back in May when you discussed year-end 2023. And it's not really clear to me, I guess, what you're referring to, particularly about restructuring.

[Carlos Moreira, executive]

Yes. Thank you, Kevin. Yes, I mean what I mean by restructuring is that before we have all these verticals inside WISeKey. So there was only one company that was using several verticals, powering by the cybersecurity platform. But some of those verticals are pretty independent, do not necessarily need 100% WISeKey integration, like, for instance, in the case of the satellite, right, the satellite, we need to build the platform. So rather of raising money at the WISeKey and further put the company in a situation of dilution for its shareholders, we are diversifying by letting those verticals to have this own autonomy. In the case of SEALCOIN is a good example. We raised money from Hedera. In the case of WISe.ART, we raised money for WISe.ART. But this is as a shareholder of each individual company versus as diluting WISeKey to raise the money, right? So that's what we mean by restructuring is basically restructured the model. It is also a [indiscernible] as we say, to potentially spin off one of those verticals companies into a full flash IPO in the future, right? I mean they have different growth model. For instance, in the case of WISeSAT.Space, we financed the initial 17 picosatellite lounge in cooperation with FOSSA. But in the future, if we're going to launch 88, we will need the help of other clients, and they would like to share space satellite ecosystem with us. That's launching one satellite to space is around $300,000 per satellite, and that includes the launch costs with SpaceX. So that's why we verticalized now. So now, let's say, an investor that wants to invest in space, but now in cybersecurity can go into a WISe.SAT.Space or an investor that wants to buy token, invest in token or deploy the token platform with us, they will invest in SEALCOIN or a blockchain NFT art focus exchange platform investor, then they would like to invest in art they will go to WISe.ART. So that obviously reduces the need for WISeKey to keep investing into this platform and creates autonomous process towards a potential IPO of each of them or different type of exit for one of them.

[Kevin Dede, analyst]

But doesn't the funding for each of them still fall onto WISeKey's balance sheet?

[Carlos Moreira, executive]

Yes, yes, absolutely. Yes. The only thing, it aggregates, right? Because WISeKey consolidated revenue -- but in the case and this is public information, we raise money for WISe.ART with Hedera, which is the blockchain company. And we did also for SEALSQ as a concrete examples. But on all of them, WISeKey maintains majority shareholder. And we also spin off SEALSQ, as you know, which was not another spin-off of one of the core business.

[Kevin Dede, analyst]

Okay. You mentioned launching what satellite #18 for WISeSaT, next year is a function of SpaceX scheduling. I was wondering if you could dig a little bit more to that. Give us your view of how consistent the SpaceX has been in allocating payload to WISeSaT. And a little more insight on the customers that you have that have expressed interest. I mean, obviously, you still have a Swiss Army. So congratulations on that. But just looking a little bit more on the business development side, given that should probably go hand in hand with developing the network itself.

[Carlos Moreira, executive]

Yes, sure. So yes, on the SpaceX, as you know, and this is being published by SpaceX, they have some delays which is pushing some of the clients to a later launch. We don't know exactly what are the reasons for -- this is a SpaceX information. But we knew -- I mean originally, we wanted to launch the satellite in November. And now we are postponing that on a newer slot provided by them in January. So there has been 2 months, 3 months delay. The -- this is because we already launched 17 satellites, so they [ know us ], they know of course. I mean we are in very good terms with them. We don't expect any issue only space, as you know, is very subject to many -- could happen many things that avoid the launch to happen. And this is for even a much bigger operation than we have. So -- but anyway, we are also diversifying the strategy of launchers. We did sign a partnership agreement with PLD Space, which is a European launcher in Spain, which will -- once they are operational, they are now in the testing process being available to use if we want to use that launcher. And there are other options in New Zealand and a few other places. So we are monitoring that process very closely.

In terms of the clients, so I mean the model now is two models, either you buy from us a $300,000 satellite because you need a satellite in your work, let's imagine a truck company, then they want to track and trace trucks in the middle of the road that we are discussing with them or as announced, port authorities, we did more use MOUs, one with the DP World Dubai and also Algeciras port, which is the large -- one of the largest ports here in Europe using this technology to track and trace containers from the space.

So this is a market that is slowly developing because it's a very new thing. Obviously, you need to have the constellation of satellites first before you are able to offer that service. But now there we have at least 18 of them, we can start to approach these potential buyers of this technology. And they have two options to buy either they say we're going to aggregate two, three, 10 satellite to your constellation. So they will speed up our capability of delivering the ETA or they're going to say, we will provide satellite-as-a-services like telco, basically, we're going to buy capacity on the satellite so we can connect our objects to the satellite. Obviously -- and this is the spirit of this ecosystem of company that we have created. This also opens the interest of these companies to buy the chips as well because you need to have chips in the sensors than they are the one tracked by the satellite. So that creates across enterprise movement where people buy not only one service, but buy other services. And then once you have the satellite in orbit, which is the case when you have the contract with the port authorities for tracking containers, then you can use SEALCOIN as a way to create secure payment transactions between objects. And this is another company now with a name SEALCOIN AG. Now SEALCOIN can also -- always owned by WISeKey can also accelerate the deployment of chips because you need to have a secure element in order to connect your objects with another object and exchange SEALCOIN, right? So SEALCOIN is a very large project, and we are issuing 10 billion SEALCOIN which are going to be traded around $0.005 per coin. That is about addressable market of $500 million over the next 10 years. And that will obviously not only generate revenue for WISeKey also will increase the number of microchips than they would be required to make those objects transactional through the coin. So everything is match. The one company reinforces the other, the growth in one company will guarantee the growth of the other. And this is the kind of interaction. What I mean we're structuring. This is the kind of revenue interaction we are trying to generate here.

[Kevin Dede, analyst]

Okay. Last question for me is just a little more background on the confidence you have with regard to SEALSQ return to growth? If you could talk a little bit more about the backlog, you say some of your key customers have, how fast you think they've moved through it, whether or not you think they withheld purchases because they understand the new QUASARS chip is coming. Maybe just a little more insight on that, please.

[Carlos Moreira, executive]

Yes. I mean the fact that we are a public company in SEALSQ is actually maybe handicapping [ house ], we will be a private company, will be a total different discussion, right? Because what has really happened here, I mean you cannot evaluate companies than they are doing what SEALSQ is doing on a quarterly basis, right? You need time before you move one generation ship to the post-quantum chip. But the problem with post-quantum chip, it is not our problem only, it's an industry problem. Chips are going to be vulnerable to a quantum attack, and people have to change chips, right? Everybody, we are talking about trillions of chips, then they need to migrate a post-quantum chip. So the current market for TPM is 500 million chips. That's what -- that's what the market needs now today. And our target is to capture 10% of that market because there are only four companies in the world, and they are able to provide TPM chips, and we are one of it. So the 500 addressable market per year, will obviously is only covering something like 1% to 2% of the number of microchips installed, and they will need to be upgraded to post-quantum chips. So it's a phenomenal potential growth, right? But what is happening now is that clients like clients that they are using our or current chips we'll continue using that current chip. And this inventory issue this year because last year, we sold $30 million, many of them, especially after we exit the COVID period, they got concerned that there maybe a supply chain issue, actually, maybe now with the new geopolitical instability, they are going to go back again and buy more jets because they need to buy chip. There is no way that they can sell their products with our chips or chips are part -- integral part of their product. So whatever we didn't sell this year, we're going to sell next year. We know that. The numbers of objects and the need of chips are very well established. And the good news is that because we have now the TPM chip, the QUASARS chip ready to go also next year, they are going to start to move to the next-generation chip. And as I say, Infineon and XP, those are the other guys and they have TPM capabilities, but there is no more. So what companies normally do because they are concerned to have dependency on one provider is that they want to have three or four providers. And we've got going to be one of them. Actually, or TPM chip that has even further capabilities to the existing road maps and this information we got from the market, from the existing road map on those companies developing also TPM chip. So our objective is very clear. We want to capture 10%. That will give us $50 million revenue just by TPM that will be added by the revenue we are going to collect for the ongoing chips, which we sure will be back again to normal next year once the inventory is done, plus projects the like the OSAT project, that developed then we are in the process of developing in Spain, but there are also other territories, including in the United States. That they will increment the number of chips because that is actually a capability for decentralized the production. It's like a factory, right? We have a huge factory and then we're going to create a small factory at a national level than increment.

So I don't expect at all the -- I mean we are trading in SEALSQ less or valuation is lesser than the money is on the company, makes absolutely no sense, right? But this is what it is. The market is crazy, and we are paying the consequence of a very hostile market. But the projections are very concrete. The technology is amazing. We are now in the certification of that technology, which costs all of the money, only certification is a $5 million investment certification. But the reward is that we can capture 10% of the market immediately. And this will grow not only because we get a higher market share moving from 10 to 20, but also for the fact that the total addressable is going to be exponentially growing due to the regulations now that we have in place. to protect companies against the rival of quantum. Imagine you're on -- the Davos next year, it's going to be all about quantum with a strong presence. Imagine what will be if quantum capabilities arrive next year, if that quantum computer falls in the hands of hostile players, imagine the damage that they create in the society, right? So post-quantum security is going to be a major driver in the next five years.

[Kevin Dede, analyst]

Okay, Carlos. Thank you very much for the further explanation. I appreciate it.

[Carlos Moreira, executive]

Thank you, Kevin. Thank you very much for your questions.

[Operator]

[Operator Instructions] I'm showing further questions at this time. I'd now like to hand the call back over to Mr. Moreira for closing comments.

[Carlos Moreira, executive]

So thank you very much for your time, questions and for the team organizing this call. If you need any further clarifications, John and I, we are available. Otherwise, you can also access the WISeKey.com website, investor side, where you will see a transcript of this event, at this meeting, plus obviously all the financial information published by the company. Thank you very much, everybody, and have a great day.

[Operator]

Thank you. This does conclude today's teleconference. We appreciate your participation. You may disconnect your lines at this time. Enjoy the rest of your day.