FREMONT, Calif. - Actelis Networks, Inc. (NASDAQ:ASNS), a provider of networking solutions for IoT applications, has received a follow-on order from a Major German Municipality to expand its hybrid-fiber networking technology. This development, announced today, marks a further step in Actelis's growth within the intelligent transportation systems (ITS) market and follows a series of successful deployments in various sectors such as highways, utilities, airports, and military applications.
The order underscores the increasing investment in critical infrastructure within Germany, where over 30 billion euros have been earmarked in 2024 for federal highways, waterways, and railroads. The German government's National Strategy for Critical Infrastructure Protection emphasizes the need for enhanced security and resilience, a demand that Actelis's solutions aim to meet.
Actelis's hybrid-fiber technology is designed to enable cities and operators to upgrade their networks rapidly while providing protection against emerging cyber threats. Tuvia Barlev, Chairman and CEO of Actelis, highlighted the importance of speed and security in modern infrastructure, noting that their technology delivers scalable and secure networking solutions critical for the resilience of essential services.
The technology provided by Actelis allows for fiber-grade data transmission over existing network wiring, facilitating smart city applications such as traffic management, public safety, and municipal broadband services. This approach helps to minimize the costs and disruptions typically associated with network upgrades.
In addition to networking solutions, Actelis is enhancing its cybersecurity offerings. In August, the company announced a partnership to develop an AI-powered SaaS product as part of its 'Cyber Aware Networking' initiative. This service aims to provide real-time threat identification and protection for IoT networks.
This latest expansion in Germany reflects Actelis's growing presence in the ITS space and follows a previous announcement of an expansion order for a major Italian National Transportation Infrastructure Project.
Actelis Networks, Inc., listed on NASDAQ under the ticker ASNS, specializes in hybrid fiber-copper, cyber-hardened networking solutions for wide-area IoT applications. The company's portfolio combines the performance of fiber with the cost-efficiency of hybrid networks and includes AI-based cyber monitoring and protection to enhance network security and resilience.
The information in this article is based on a press release statement from Actelis Networks, Inc.
In other recent news, Actelis Networks, a provider of cyber-hardened networking solutions, has been making significant strides in its operations. The company has secured various orders, including a $200,000 order from the United States Department of Military Affairs, a new order from a major U.S. aerial transportation agency, and a project to upgrade a New York City municipality's traffic management system. Additionally, Actelis Networks has received a follow-on order from a significant Italian motorways operator, building upon a previous order valued at over $300,000.
On the financial front, Actelis Networks has exercised Series A-2 warrants for approximately 999,670 shares of common stock, which is expected to generate around $2.25 million. Furthermore, the company has regained compliance with Nasdaq's listing requirements, ensuring its continued presence on the exchange.
In terms of technology, Actelis Networks has announced a partnership to enhance the cybersecurity of Internet of Things (IoT) devices, introducing an AI-powered Software as a Service (SaaS) layer to its 'Cyber Aware Networking' architecture. However, the company has terminated a term sheet for a potential acquisition of Quality Industrial Corp. These are the recent developments in Actelis Networks' operations.
InvestingPro Insights
As Actelis Networks (NASDAQ:ASNS) expands its presence in the German market with a follow-on order for its hybrid-fiber networking technology, investors should consider some key financial metrics and insights from InvestingPro.
According to InvestingPro data, Actelis Networks has a market capitalization of $7.82 million USD, reflecting its position as a small-cap company in the networking solutions sector. The company's revenue for the last twelve months as of Q2 2023 stood at $6.02 million USD, with a notable quarterly revenue growth of 80.96% in Q2 2023. This significant growth aligns with the company's recent expansion orders and market penetration efforts described in the article.
However, investors should be aware of some challenges. An InvestingPro Tip indicates that Actelis is "quickly burning through cash," which could be a concern given the capital-intensive nature of expanding networking infrastructure. Additionally, the company is "not profitable over the last twelve months," with an operating income margin of -95.53% for the same period.
On a more positive note, Actelis has seen a "large price uptick over the last six months," with InvestingPro data showing a 66.67% price total return over that period. This could reflect market optimism about the company's growth prospects and recent contract wins.
For investors considering Actelis Networks, it's worth noting that InvestingPro offers 9 additional tips for this stock, providing a more comprehensive analysis of the company's financial health and market position. These insights can be particularly valuable given the company's volatile stock price movements and its position in the rapidly evolving IoT and smart city markets.
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