WISA stock exploded 40% higher on November 10, 2020, after the company announced it expected to grow revenue by 100%.
Summit Wireless Technologies, Inc. (NASDAQ: WISA), a leading provider of immersive, wireless sound technology for intelligent devices and next-generation home entertainment systems and founding member of the WiSA Association, provided an update for the third quarter ended September 30, 2020.
- 45% Revenue Growth Posted for Q3 2020 Year-over-Year
- More than 100% Revenue Growth Expected for Q4 2020 Year-over-Year
- SoundSend Wireless Transmitter to Expand TAM by 800 Million Smart TVs
“All of WiSA’s performance metrics – membership, shipments, and website visitors – are gaining momentum. As leading indicators of Summit Wireless revenue, they give us confidence in our continued revenue growth in Q4 2020, especially as we enter the promising holiday season. Looking forward to 2021, we believe these trends will accelerate,” said Brett Moyer, CEO of Summit Wireless.
Business Highlights Driving Revenue Growth Momentum
- Added 7 new WiSA members representing 11 brands since July 1st, including two tier-one TV Brands SKYWORTH and Hisense.
- Reached 9 WiSA display (TV/projector) members:
- Reaffirming guidance of 5 to 7 TV brands expected to be engaged with WiSA in 2021.
- Expanded consumer awareness with increased visitation to wisaassociation.org:
- 99,000 visitors in Q3, up 112% from Q2 2020
- 150,000 to 175,000 visitors expected in Q4 2020
- Unveiled SoundSend™, WiSA’s first branded product, an HDMI wireless transmitter that connects smart TVs to WiSA Certified speakers and extends the WiSA total available market by 800 million smart TVs. SoundSend enables smart surround sound systems to compete with the mid-tier and premium soundbars.
Q3 2020 Financial Highlights: Strongest Quarter to Date
- 45% increase in Q3 2020 revenue, compared to Q3 2019
- 17.1% gross margin in Q3 2020, up from 7.6% in Q3 2019
- $9.1 million in cash and cash equivalents at September 30, 2020
Management expects to exceed 100% revenue growth for Q4 2020 year-over-year.
WiSA, The Wireless Speaker and Audio Association, Highlights
- Unveiled SoundSend home cinema audio transmitter to be available in November.
- Expanded TV brand member list and retail presence with rapidly growing Hisense, a global CE, and appliance company with the number 1 TV brand in China.
- Launched Metz Skulptur 1 TV and Speakers by SKYWORTH, the number one producer of TV products in China, weeks after becoming a WiSA member.
- Certified LG Electronics WiSA Ready™ 4K UHD Smart Projector, the world’s first laser projector, to be in key markets starting in the fourth quarter.
- Initiated WiSA Wave direct-to-consumer marketing enabling members to participate in tailored campaigns with the Association’s social media and databases.
- Congratulated WISA Member System Audio on prestigious Expert Imaging and Sound Association’s (EISA) award for the best wireless speaker.
Surround Sound in a Box, Just Wrap It!
Platin Audio, Enclave Audio, and Axiim – Three of the 20 brands shipping WiSA Certified products – offer complete smart surround sound systems between $799 and $1,499. All deliver hi-fidelity audio, movie theater immersive sound, and have a simple set up. Some models have been tuned or certified by THX for true cinema performance. Look for holiday promotions at Platin Audio, Enclave Audio, and Axiim. Complete your home theater with a WiSA Ready LG OLED or NanoCell TV.