A SatixFy chip. Photo: SatixFy

Strong product sales fueled 7% year-over-year revenue growth for satellite technology developer SatixFy Communications in the first half of 2024. According to the company’s latest results issued Friday, Satixfy brought in $6.1 million in revenue, yielding a $4.5 million gross profit – a 96% increase from its first half 2023 tally of $2.3 million. The company’s gross margin was 74% at the end of the half.

Satixfy CEO Nir Barkan said the company’s first-half success comes as a result of increased sales and shipping of engineering space-grade Application Specific Integrated Circuits (ASIC) samples, offset by operational costs associated with shifting the company’s business model to focus more on product sales.

The company also cut net losses by 54% in the first half of 2024 to $21.3 million, compared with a net loss of $46.3 million, or $0.57 per basic and diluted share, in the first half of 2023. Operating losses improved 17% year-over-year at $13.7 million, compared to $16.6 million in the first half of 2023.

Satixfy is in the process of streamlining and simplifying its business. Last year, the company sold its digital payload division to MDA for $40 million and additional $20 million in advanced payments for future orders of space grade chips. 

“We are on track towards commercialization, which we expect by mid-2025. Strategically during the second quarter, we are proud of our landmark order of over $20 million for our Prime2 Space-Grade Digital Beam Former Chips from a world-leading technology company that is building-out its global low earth orbit (LEO) satellite network. This demonstrates the growing demand for our high-performance and market-leading satellite communication solutions. We continue to invest strongly in R&D, to maintain and build on our competitive lead, ultimately commercializing our technology that will underpin tomorrow’s leading satellite communication systems,” Barkan said in the results announcement.