Guerrilla RF, a semiconductor company focused on high-performance MMICs for the wireless and infrastructure market, reported record total sales of $10.5 million in 2021, an increase of 30 percent as compared to $8.1 million in 2020. Product revenue in 2021 increased 63 percent to a record $9.8 million despite royalty revenue decreasing 69 percent to $652K as compared to $2.1 million in 2020. The decrease in royalty revenue was consistent with the Company’s plan to transition from a licensing model to a product sales model.
Product revenue to Guerrilla’s automotive end users increased 82 percent in 2021 to a record $4 million. Repeater end user product revenue doubled to $2.2 million, while sales to their 5G infrastructure end users product revenue remained steady at $1.8 million. Guerrilla’s total direct product costs increased to $4.3 million in 2021; thus, their overall contribution margin on product revenue was 69.6 percent in 2021 ($9.8 million in product revenue divided by $4.3 million in direct product costs). Cash on December 31, 2021 was $5.3 million.
“Our plan to transition from a licensing model to a proprietary product model has been immensely successful,” said Ryan Pratt, founder and CEO at Guerrilla RF. “We believe that we’re a best-in-class MMIC provider in the fast-growing automotive vertical, and we see extraordinary opportunities to launch new and exciting cutting-edge products in 5G infrastructure.”
Key 2021 Highlights:
- Completed a go-public reverse merger in October 2021
- Closed an $11.5 million private placement offering in October and November 2021, which included the conversion of approximately $4.5 million of debt
- Ended 2021 with the largest purchase order backlog in the Company’s history
- Product revenue increased 63 percent finishing 2021 at $9.8 million
- Contribution margin of product revenue at 69.6 percent for 2021
- Continued investment in research and development with a focus on new products aimed at 5G network infrastructure
- Over 30 million units delivered during 2021, versus 19 million in 2020
- Introduced 14 new products to meet accelerating customer demand
- Increased number of tier-one customers and tier-two customers
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