Actelis Networks, recognized by the ticker ASNS, has secured a groundbreaking initial order from a prominent telecommunications carrier in the United States. This partnership will see the deployment of Actelis' advanced GigaLine solutions, which are designed to deliver rapid gigabit connectivity specifically for multi-dwelling units (MDUs).
This order signifies a notable achievement for Actelis as it marks their first collaboration with a telecommunications carrier of this magnitude within the U.S. market. The company will supply its cutting-edge GigaLine 800 and GigaLine 900 solutions to this key partner, enhancing connectivity capabilities and reinforcing Actelis' position in the telecommunications industry.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Actelis Networks Inc (ASNS, Financial) is $5.00 with a high estimate of $5.00 and a low estimate of $5.00. The average target implies an upside of 681.25% from the current price of $0.64. More detailed estimate data can be found on the Actelis Networks Inc (ASNS) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Actelis Networks Inc's (ASNS, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Actelis Networks Inc (ASNS, Financial) in one year is $0.73, suggesting a upside of 14.06% from the current price of $0.64. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Actelis Networks Inc (ASNS) Summary page.
ASNS Key Business Developments
Release Date: March 24, 2025
- Revenue: Increased 38% to $7.8 million, up from $5.6 million in 2023.
- Gross Margin: Improved to 55%, up from 34% in 2023, reflecting a 125% year-over-year improvement.
- Operating Expenses: Decreased by 13% to $8 million.
- Operating Loss: Reduced to $3.8 million, down from $7.4 million in 2023.
- Net Loss: Decreased to $4.4 million from $6.3 million in 2023.
- Loss Per Share: Reduced by 67% to $0.85 per share.
- Adjusted EBITDA Loss: Improved to $3.5 million, compared to $6.1 million in 2023.
- Debt: Nearly all outstanding debt repaid, with $774,000 bank credit line remaining.
- Cash Position: Cash, cash equivalents, and restricted cash at $2.3 million at year-end.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Actelis Networks Inc (ASNS, Financial) reported a 38% increase in revenue for 2024, reaching $7.8 million, driven by a 134% increase in North American revenues.
- The company achieved a 125% improvement in gross margin, reaching 55% for the full year, reflecting a strategic focus on higher-margin segments.
- New orders in the Federal and Military sector grew by 150% year-over-year, indicating strong market demand.
- Actelis Networks Inc (ASNS) introduced the MetaShield solution, an AI-driven SaaS offering for cybersecurity, expected to generate recurring revenues.
- The company reduced operating expenses by 13% year-over-year, contributing to a 49% decrease in operating loss.
Negative Points
- There was a sequential decline in revenue from Q3 to Q4, attributed to the lumpiness of larger orders and unpredictable timing.
- Despite improvements, the company is not yet profitable, with a net loss of $4.4 million for 2024.
- Cash, cash equivalents, and restricted cash decreased to $2.3 million at year-end, down from $5.5 million in 2023.
- The company may need to raise equity or debt to support growth initiatives, which could lead to potential dilution.
- The timing of large contracts, such as the NRTS project in the UK, remains uncertain, impacting revenue predictability.
