CyanConnode Holdings Reports Strong Growth in Turnover and Orders for FY23

6 July 2023

CyanConnode Holdings plc

("CyanConnode" or the "Company")

Trading Update for the financial year ended 31 March 2023

CyanConnode Holdings plc (AIM: CYAN), a global leader in Narrowband Radio Frequency (RF) Smart Mesh Networks, is pleased to provide a trading update for the financial year ended 31 March 2023 ("FY23").

Highlights for the period

·   Unaudited turnover for FY23 shows substantial growth against FY22 revenue, and is broadly in line with market expectations [1]

·   H2 FY23 revenue significantly greater compared to £5.5m for H2 FY22

·   Cash at 31 March 2023 of £4.1m compared to £2.4m at 31 March 2022

·   Cash received from customers was approximately £10.7m compared to £8.2m in FY22

·   Higher proportion of revenue from Middle East, albeit on lower margin hardware, affecting forecast overall gross margin. While it is too early to determine at this stage, it is expected that as a result Adjusted EBITDA will also be lower than market expectation

·   391k Omnimesh modules delivered to customers

·   46k NBIoT gateways and 63k cellular gateways delivered to customers

·   Orders for 2.3m Omnimesh modules received in FY23 compared to a total of 1.3m modules for all previous years

Post Period Highlights

·   Order received for 600k Omnimesh modules

·   Order book to date for India alone consists of 4.2 million units

·   Revenue for Q1 FY24 is expected to be greater than £2.8m, more than double the revenue for H1 FY23

·   291k Omnimesh modules delivered in Q1 FY24

·  £3.6m cash received from customers in Q1 FY24

John Cronin, CyanConnode's Executive Chairman, commented:

"The financial year ending on 31 March 2023, marked another exceptional period for CyanConnode in terms of revenue and order bookings, continuing the fourth consecutive year of growth. The positive momentum observed during the second half of the year, particularly in the final quarter, has carried over into the new financial year, predominantly in the Indian market. I am pleased to report that our revenue for Q1 FY24 already surpasses H1 FY23, as we continue to fulfil our order book.

While the Indian market remains our largest and most promising market, CyanConnode's global growth is ongoing, with significant interest across all markets. We anticipate providing further updates in our forthcoming complete set of results, which will be released in due course."

- Ends -

Enquiries:

CyanConnode Holdings plcTel: +44 (0) 1223 865 750

John Cronin, Executive Chairman                                                               www.cyanconnode.com

Strand Hanson Limited (Nominated and Financial Adviser)                 Tel: +44 (0) 20 7409 3494

James Harris

Richard Johnson

David Asquith

Zeus Capital Limited (Broker)                                                                    Tel: +44 (0) 20 3829 5900

Simon Johnson

Alexandra Campbell-Harris

About CyanConnode

CyanConnode (AIM:CYAN.L), is a world leader in Narrowband Radio Frequency (RF) Smart Mesh Networks, which are used for machine to machine (M2M) communication.  As well as being self-forming and self-healing, CyanConnode's RF Smart Mesh Networks are designed for rapid deployment, whilst giving exceptional performance and competitive total cost of ownership.

In June 2018, CyanConnode launched its award-winning Omnimesh Advanced Metering Infrastructure (AMI) platform, which has already gained considerable commercial traction, especially in India which is a key market for the Company.

Through a Global partner eco-system, which is vendor agnostic, CyanConnode has several routes to market, therefore it is well positioned to capitalise upon increasing Global demand for smart metering solutions.

For more information, please visit www.cyanconnode.com

The information contained within this announcement is deemed to constitute inside information for the purposes of Article 7 of EU Regulation 596/2014 (Market Abuse Regulations) which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. Upon publication of this announcement, this inside information is now considered to be in the public domain.

[1] The majority of the Group's revenues are received in rupees for India and US dollars for the rest of world, whilst accounts are reported in Pound Sterling. Foreign exchange volatility can have an impact on the reported figures. Company forecasts during 2022 used a rate of 1.15 against the USD and 95 against the Rupee

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