Alphawave IP Group plc
Final Results
17 April 2025
Alphawave IP Group plc (the "Company") today announces its audited results for the year ended 31 December 2024.
Financial Highlights
· Record bookings of US$515.5m up 34% year-on-year
· Revenue of US$307.6m and Adjusted EBITDA of US$51.1m in line with guidance
· Continued leadership in connectivity technology for data centres and AI
Tony Pialis, President and Chief Executive Officer of Alphawave Semi, said: "In 2024, we signed a record US$515.5 million in bookings reflecting the strong demand for our technology and the deep trust our customers place in us. Throughout the year, we strengthened key partnerships, expanded our global reach, and continued to lead in next-generation connectivity and chiplet innovation. Our position at the forefront of the industry, working alongside some of the worlds most respected data centre and AI partners, underscores both our leadership and growing influence. With a leading connectivity portfolio, a talented team, and a significant market opportunity ahead, we are confident in the long-term potential of our business."
Business and Technology Highlights
· In 2024, signed a record US$515.5m in bookings (up 34% from US$383.9m in FY 2023).
· Continued integration of prior acquisitions led to strong revenue growth in core license and NRE business.
· The Companys IP product portfolio increased to over 240 silicon IPs at the end of 2024.
· In 2024, launched our dedicated chiplet group and deepened our commitment to the ecosystem, delivering multiple industry-first products - including the first multi-protocol I/O chiplet, cementing Alphawave Semis leadership in this space.
· Achieved I/O chiplet design wins, powered by leading UCIe, PCIe, 112G, and 224G IP for AI accelerators supporting Large Language Models (LLMs).
· Strengthened partnerships with TSMC, Samsung, and Arm, took leading roles in UALink and OIF consortiums, and launched industry-first chiplets and IPs.
· Signed a strategic partnership with Siemens EDA in December 2024 (announced Feb 2025), expanding sales reach to support long-term growth strategy.
· Six-year member of the TSMC IP Alliance Program and founding partner of the TSMC 3DFabric™ Alliance.
· Secured major wins in 800G/1.6T next-gen solutions for data centres, including multiple 3nm high-speed IP licensing deals for AI/HPC and networking.
· Connectivity Products unit recognised first revenues and developed next-gen PAM4 and Coherent-lite DSPs, enabling 800G/1.6T over electrical and optical cabling up to 20km (launched March 2025).
· Closing headcount increased by 162 people globally, bringing the total headcount to 991 (2022: 829)
Outlook
In 2025, we will complete our business integration and expect to start delivering silicon for AI and data centres. We are executing on our strategy and remain excited about the growth potential of our business. Due to current global economic uncertainty and the rapidly developing nature of the recently imposed tariff regimes, we are not in a position to provide guidance for full year 2025 or beyond at this point in the financial year. While timing of customer programmes is currently uncertain, we remain optimistic about the future growth opportunities of the business and will manage investments carefully through this period.
High-speed connectivity IP is the DNA of our business, and we have been recognised by the worlds largest foundries as the premier leader in this space. Most importantly, we are building on these strengths to deliver long-term value for our shareholders and other stakeholders.
Analyst and Investor Webinar
Alphawave Semis management will conduct an online presentation and Q&A session at 9.30am London time on Thursday 17 April 2025. This session will cover the details of the results and offer participants the opportunity to engage with the management team.
To attend the webinar, please register via the following link
https//us02web.zoom.us/webinar/register/WN_z44aYDLUSo2p6yzPLKoUjg
Access details will be provided upon registration.
Participants will have the chance to submit questions during the session, but questions are welcomed in advance and may be submitted to: ir@awavesemi.com
About Alphawave Semi
Alphawave Semi is a global leader in high-speed connectivity for the worlds technology infrastructure. Faced with the exponential growth of data, Alphawave Semis technology services a critical need: enabling data to travel faster, more reliably and with higher performance at lower power. We are a vertically integrated semiconductor company, and our IP, custom silicon, connectivity products, and chiplets are deployed by global tier-one customers in data centres, compute, networking, AI, 5G, autonomous vehicles, and storage. Founded in 2017 by an expert technical team with a proven track record in licensing semiconductor IP, our mission is to accelerate the critical data infrastructure at the heart of our digital world. To find out more about Alphawave Semi, visit: awavesemi.com
Contact Information
Alphawave Semi
Tony PialisCEO
Rahul MathurCFO
ir@awavesemi.com
+44 (0) 20 7717 5877
IFC / Grand Bridges
Marketing Limited
Graham Herring
Florence Staton
Claudia Cano-Manuel
press@awavesemi.com
+44 (0) 75 6218 2327
Principal Risks and Uncertainties
The Group faces a number of risks and uncertainties that may have an impact on our operations and performance. These risks and uncertainties are regularly assessed by the Directors. The principal risks and uncertainties affecting the Group are as follows
Risk
Description
Managing our growth
The executive management team meets formally on a weekly basis to review current and future resourcing needs and priorities. During 2024, we continued to strengthen our administrative and operational functions. We commitments, payables and receivables to ensure timing aligns with minimum liquidity requirement covenant. The successful execution of 2030 Convertible Notes has strengthened the Groups liquidity and will support the Groups ability to achieve its strategic objectives.
Competition and failure to maintain our technology leadership
We offer competitive employment packages to retain and incentivise our employees, as well as providing the opportunity to work in a dynamic and entrepreneurial culture. Our ability to compete is also driven by our track record as a trusted partner and the continued addition of new products and new functionality to our existing portfolio. Our Sales and Marketing team regularly monitor the competitive landscape to identify any new or potential technology developments or products that may directly or indirectly impact our business.
Customer dependence
To date, we have been successful in both expanding our customer base and winning repeat business from many of our customers. We strive to maintain best‑in‑class execution capabilities and technology to retain our customers and win new customers. As we expand our product offering by pursuing a vertically integrated model, we expand our total addressable customer base. In 2024 revenue concentration from our top three end‑customers was 31%, which was below the prior year (FY 2023: 33%.)
Customer demand
We believe there is continued global appetite for data. As speeds become faster and manufacturing processes smaller, the ability of our customers to develop competing technology in‑house diminishes. Increasing costs and complexity is an opportunity to drive our custom silicon and standard product offerings, including chiplets. Hyperscalers and carrier networks continue to invest in leading technology through the economic cycles.
Risks associated with WiseWave
The legal agreements governing WiseWave give us a degree of oversight over WiseWave. Our President & Chief Executive Officer and COO & CFO are currently on the Board of WiseWave. The senior team of WiseWave comprises a number of established industry professionals with a proven track record at large US and global semiconductor companies. The Group obtains regular updates on financial performance of WiseWave.
Dependence on licensing revenue
The acquisition of OpenFive has materially reduced our dependency on IP licensing revenues as we seek to monetise our IP through custom silicon.
Given the costs, time and resources involved, our customers are typically incentivised to take their products into production. Our programme management teams actively manage progress on development of both custom and connectivity products.
Reliance on key personnel and ability to attract talent
Our senior management team and our employee base are incentivised with equity and also the opportunity to work within a fast‑growing and dynamic environment at the leading edge of chip technology. In 2024, our headcount increased from 829 to 991 as a result of organic growth and acquisitions. See Our People section for further information.
External environment and events
We are seeing an increasing weighting of North American customers in our sales pipeline. We plan to engage with external experts to get advice on the impact of and mitigation strategies for the tariffs.
IP protection and infringement
Our designs can only be manufactured on leading‑edge processes by a small number of foundry partners. Our IP embeds tagging layers, which prevent unauthorised use. We manage our R&D capabilities and seek to structure our contracts with customers to minimise the risk and impact of IP infringement claims by third parties.
Reliance on third-party manufacturing foundries
A significant part of the semiconductor industry is reliant on a small number of foundry partners with leading-edge manufacturing capabilities (TSMC, Samsung and Intel). Beyond diversifying our business and continuing to work with all leading foundry providers, our ability to mitigate this risk is limited. As we pursue a vertically integrated business model, we become more reliant on third-party foundries and if their ability to supply us with silicon products is constrained, we will be impacted more quickly and more severely.
Reliance on complex IT systems
In 2024 we continued to make further improvements to our IT systems. This included conducting network penetration testing and strengthening end user access controls.
As with much of the semiconductor industry, we are reliant on design automation tools from Cadence, Synops