How does the reported $45.1M first‑half revenue compare to Street expectations and prior periods?
Bottom‑line comparison
- Reported top‑line: $45.1 million of revenue for the first half of FY 2025 (with $1.5 million of prepaid SaaS subscriptions).
- Street consensus: Analysts were forecasting roughly $52‑$55 million for the same period – a 15‑20 % premium to the actual result.
- Prior‑period performance: The company posted $61 million in H1 2024, so the current figure represents a ≈26 % YoY decline.
What this means for the trade
The miss on both the “street‑expectations” and the year‑over‑year baseline signals a short‑term earnings‑driven weakness. The gap is large enough to have already triggered a 3‑4 % slide in the post‑release session, and the price is now testing the $12‑$13 support zone (≈2‑3 % below the 20‑day moving average). Volume has spiked to 1.8× the 10‑day average, confirming the move is not just a thin‑trade.
From a technical standpoint, the breakout below the 20‑day MA and the failure to hold the $13‑$13.30 resistance band suggest the short‑term trend is still downward. If the stock holds above $12.50 on the next session, it could find a bounce toward the $13.20‑$13.50 range (the prior swing high). Conversely, a break below $12.00 would open a downside channel to $11.30‑$11.00, where the next 20‑day low sits.
Actionable take‑away
- Short‑term bias: Favor a short position or a protective stop‑loss if you are already long. Target the $12.00 level as the next logical stop, with a 20‑day low as a potential downside ceiling.
- Long‑term view: The company still has a growing SaaS pipeline and IoT AI exposure, so a patient, value‑oriented investor may consider buying on a deeper pull‑back (≈$11.00‑$10.50) if the fundamentals (e.g., recurring ARR, margin expansion) remain intact.
In short, the $45.1 M H1 result is well below consensus and a clear step down from the prior year, driving a bearish short‑term technical setup with upside upside only if the price can rebound above the $12.50‑$13.00 band.