Raspberry Pi's Stellar Performance Boosts Share Price in First Half of 2024

Raspberry Pi's Strong First Half Sends Share Price up 7%

LONDON (Reuters) - Raspberry Pi, the British computer company that floated in June, reported on Tuesday stronger-than-expected adjusted earnings of $20.9 million for the first half, sending its shares up 7% in early trade. The group, which produces low-cost single-board computers and microcontrollers, said it sold marginally fewer devices than it expected, but sales were skewed towards higher margin products, boosting profitability. Its flagship Raspberry Pi5,which retails for 46.60 pounds ($62.24) for the 2GB model, sold 1.1 million units in the six months to the end of June, it said. It said it expected volumes to increase in the second half, supported by product launches, but the mix would result in margins returning to lower levels and it kept its expectations for the year unchanged. Chief Executive Eben Upton said the IPO, two weeks before the period ended, was a "watershed moment". "We saw strong uptake of our latest flagship SBC, Raspberry Pi5, the launch of the Raspberry Pi AI Kit, and the successful ramp to production of RP2350, our second-generation microcontroller platform," he said. Shares in Raspberry Pi were trading at 364 pence in early trade, 30% higher than the 280 pence listing price. ($1 = 0.7487 pounds) (Reporting by Paul Sandle; editing by Sarah Young and Susan Fenton)

Raspberry Pi Holdings outperforms investor expectations since watershed IPO

Earlier this year, Raspberry Pi Holdings PLC launched its IPO (Initial Public Offering) to great fanfare and it seems that this has translated into success, according to a City AM report and the interim results published on the London Stock Exchange. At the IPO launch back in June 2024, Raspberry Pi Holdings PLC raised approximately £179 million ($225 million), and according to the report, revenue "soared 61% to $144 million in the six months to June 30." H1 2024 profit was stronger than expected, jumping to 47% to $34.2 million. When compared to H1 2023, a time when supply was constrained, H1 2024's EBITDA (earnings before interest, taxes, depreciation, and amortisation) was up 55%, approximately $20.9 million. However, the volume of sales was "marginally lower than expected" higher margin variants, such as the Raspberry Pi 5 providing the stronger unit economics. Raspberry Pi was added to the FTSE 250 -- Financial Times Stock Exchange of 250 companies between the 101st and 350th mid-cap blue chip companies -- on Monday of this week. As the opening bell sounded on Tuesday, September 24, Raspberry Pi Holdings PLC shares increased by 5%. At the close of trading yesterday, Raspberry Pi was at 348.20p per share, increasing to 375.00p per share at 7am BST today. At the time of writing, this level is holding, but we have seen a current daily high of 381.20p Source: London Stock Exchange Interim Results Raspberry Pi CEO and co-founder Eben Upton had this to say regarding the interim results. "The IPO was the watershed moment of the first half, with Admission to trading just two weeks before the period end. In continued pleasing trading in the first half, we saw strong uptake of our latest flagship SBC, Raspberry Pi 5, the launch of the Raspberry Pi AI Kit, and the successful ramp to production of [Raspberry Pi Pico 2] RP2350, our second-generation microcontroller platform. The higher than usual customer and channel inventory levels which were evident at the time of the IPO have continued to unwind, and there is a growing sense that this will have concluded by the year end. We have an extraordinary team, a world class product set backed up by an exciting future roadmap, and a loyal and engaged customer base that we can continue to grow. In the second half, we have further planned product releases and a number of initiatives to further expand our engagement within our Industrial and Embedded market". Full details of the above will be announced at 2:30 pm BST via the London Stock Exchange.

Raspberry Pi bounced back after reporting first results By Proactive Investors

Proactive Investors - Raspberry Pi Holdings PLC (LON:RPI) reported what it said were stronger profits than expected for the first half of the year but kept its guidance for the full year unchanged. Underlying profits (EBITDA) of $20.9 million increased 55% from a year ago, on revenues up 61% to $144 million. Sales volumes were marginally lower than expected, it said, though sales skewed towards higher margin variants. It noted that the same period a year ago was "supply-constrained". The Pi 5 single-board computer (SBC), launched at the end of last October, sold 1.1 million units in the first half, with overall unit growth at 31%,. "Having previously expected performance to be weighted towards the second half of the year, this is no longer the case, with profitability in the first half ahead of internal expectations," Raspberry Pi said. Higher unit sales volumes are anticipated for the second half, supported by new product launches, but the expected product mix will contribute to lower unit economics. Also in the outlook, the company said the higher-than-usual customer and channel inventory levels seen in the period now showing "signs that this should normalise towards the end of the year". So, after all that, expectations for the full year remain unchanged. CEO Eben Upton said June's IPO "was the watershed moment of the first half" just two weeks before the period end. He hailed the strong uptake of the latest flagship SBC and the launch of the Raspberry Pi AI Kit, along with a successful ramp to production of RP2350, a second-generation microcontroller platform. The shares climbed 6% to 370p in early trading on Tuesday, having retreated from their post-IPO highs in recent weeks.