WISeKey International Holding AG Q2 FY2025 earnings call

• WISeKey is a Swiss cybersecurity company founded in 1999, leveraging route of trust technology and PKI. It's pursuing a Quantum convergence strategy combining traditional security with post-quantum cryptography (PQC) to prepare for the post-quantum era by 2030.
• Subsidiaries: SEALSQ to launch world-first post-quantum chip in Nov 2025, WISeID provides Root of Trust/PKI services, WISeSaT develops space technology for secure comms, WISe.ART offers secure digital asset solutions, SEALCOIN AG focuses on decentralized physical Internet.
• Strategic partnership: Quantix Edge Security in Spain with EUR 20M investment from Spanish government, WISeKey investing EUR 10M, with committed revenue of EUR 25M over 3 years.
• Milestones: Approaching commercial launch of SEALSQ's post-quantum chip in Q4 2025, expanding WISeSat constellation, bringing SEALCOIN and WISe.ART to commercial deployment, strengthening OSPT footprint.

In the first half of 2025, WISeKey's revenues grew slightly to $5.3 million. The company operates through several subsidiaries: SEALSQ focuses on advanced semiconductor technology, with a world-first post-quantum chip launching in November 2025; WISeID offers Root of Trust and PKI services for digital identity and encryption; WISeSaT develops space technology for secure communications; WISe.ART is the trusted blockchain and NFT segment; SEALCOIN AG is developing a decentralized physical Internet platform. Each subsidiary contributes to the overall WISeKey ecosystem, with revenues from these segments contributing to the company's financials in the first half, though exact revenue contribution percentages weren't detailed but each plays a crucial role in the quantum convergence strategy.

• First half of 2025 revenues were $5.3 million, slightly up.
• Expect strong growth in second half, with full-year revenues expected $18M to $21M, driven by SEALSQ's traditional semiconductor products, acquisition of IC'ALPS, and development of other business divisions' revenue streams.
• Strong balance sheet with $124.6M cash as of June 2025 allows acceleration of technological development and strategic investments.

• Quantum computing advancements pose a challenge to conventional cryptographic standards, requiring timely integration of PQC to stay secure.
• Market adoption risks for new technologies like post-quantum chips and space-based connectivity.
• Regulatory changes related to quantum security could impact business operations and adoption of new technologies.

Q: Can you touch on the contribution from Quantix and margins on that project revenue?

A: John O'Hara said $25M over 3 years, margins vary with equipment/plants having lower margin but professional services higher; Carlos Moreira added it's a key personalization center deal for national semiconductor control with knowledge transfer, equipment, IP.

Q: How significantly is TPM represented in the $170M pipeline?

A: Carlos Moreira said $170M pipeline is a mix of QS7001 chips, TPM, and personalization centers, with regulatory push, PQC addressable market growth, and client demand driving it.

Q: Path to commercializing WISe.ART and SEALCOIN?

A: Carlos Moreira said WISe.ART is reeducating market on its industrial digital twin potential, SEALCOIN will be on a token exchange soon, with plans to integrate with blockchain for KYC compliance and machine-to-machine transactions.