Artificial intelligence tech developer BrainChip Holdings [ASX:BRN] released its 1H22 results on Wednesday.
While revenue rose more than 500% to US$4.8 million, BRN’s operating loss hardly budged, increasing 1% to US$8.6 million.
In total, BrainChip has accumulated US$131.4 million in losses as it seeks to commercialise its Akida technology.
BRN shares are up 95% in the past 12 months but have fallen 60% from their 52-week high.
Source: Trading View
Brainchip’s 1H FY22
Today, BRN presented its business operations and laid out its financial overview for the half-year ended 30 June 2022.
BrainChip’s revenue jump — from US$768,000 in H1 FY21 to US$4.8 million in H1 FY22 — was attributed to its partnership with MegaChips.
The partnership predominantly involved licensing revenues of BRN’s Akida 1000 product.
Expenses increases 37% to US$13.0 million, despite BRN’s research and development spending decreasing 3% in the period.
R&D costs came in at US$4.3 million for the half.
BrainChip forked out almost the same amount in share-based payments as it spent on R&D during the half.
1H FY22 share-based payments rose 128% to US$3.7 million.
Marketing expenses also rose in the half by 64% to hit US$1.7 million, reflecting BRN’s ‘continued engagement with current and potential customers’.
BRN has valued its patents and licenses at US$706,978 as at 30 June 2022.
BrainChip ended the half with cash and cash equivalents of US$28.4 million on a market cap of $1.6 billion.
BrainChip, tech, and batteries
The tech sector has been quite volatile over the past year with large swings up and down.
And while tech stocks have seen their valuations shrink as interest rates and global uncertainty rise, not all sectors have suffered the same volatility as tech.
Take, for instance, battery tech materials like lithium, copper, nickel, and graphite.
While lithium dominated the headlines last year, we shouldn’t forget the other metals critical to the world’s decarbonisation efforts.
And with lithium stocks catching fire last year only to cool in 2022, there could be a smarter way to play the battery tech theme in 2022 and beyond.
The smarter way involves what our experts are calling lithium’s little brother.
Regards,
Kiryll Prakapenka