Agoracom: Small Cap Investment - POET Technologies Inc. - We need to Redo the Sales Projections

Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

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We need to Redo the Sales Projections

posted on Aug 19, 2021 12:38PM

If we go to the April 22 Beyond the press release (link provided below) at the 20 minute mark, George and Vivek discuss the size of the LR4 market (1 billion dollars for the transceiver ) and Poets portion of that number for the optical module (40% of the 1 billion x 50% market share) equaling 200 million in LR4 sales.

Fast forward 4 months, Poet now projects to grab 100% of that market (someone loves what we're doing) totalling 400 million in sales. Wait, it gets better, the profitability of the LR4 module is 3x that of the high volume 100g CWDM module. In essence what I'm saying is the profit generated by the LR4 module is equivalent to the profit generated by 1.2 BILLION in sales of the 100g CWDM module.

The point I'm making is that Poet hasn't changed their sales projections on their slides, it's still a 1 Billion sales figure for 2025-26...Yet the latest info we've just added 200 million in high margin revenue!

Who knows what else has to be updated ? Once the shoe drops on design wins and sales, as the word gets out and testing surpasses expectations (please insert Suresh's laugh here) this could be a tsunami.