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Mynaric reports 75% increase in backlog

September 15, 2023

By Chris Forrester

Munich-headquartered Mynaric makes inter-satellite laser links (more correctly called optical communications terminals). It has just reported its half-year results, which show continued demand for its products.

The news release highlighted that Mynaric has raised €80.6 million growth capital in April 2023 via a $75 million 5-year term loan debt and equity issuance to US-based global investment management firm. “We are well ahead of this point last year in terms of cash-in from customer contracts and optical terminal backlog as we continue to execute for our customers,” said Stefan Berndt von-Bülow, CFO of Mynaric.

“Driven by initial customer wins, our Optical Communications Terminal Backlog increased significantly from 256 terminal deliverables as of December 31, 2022, to 370 terminal deliverables as of June

30, 2023,” says the company.

Mynaric breaks down its revenues into two segments: “Cash-in from customer contracts” at €23 million (same time last year at €7.87 million), and “Revenue” of €4.4 million (last year €25 million).

Its operational loss for the half-year to June 30 was stated as -€28.28 million (same period in 2022 €34.9 million).

Mynaric explained its ‘Cash-in” process, saying: “Cash-in from customer contracts includes payments from customers under purchase orders and other signed agreements, including payments received based on payment milestones under customer and government programs.”

However, there are reports that there are technical issues with these inter-satellite links. Investors, for example, have seen Mynaric’s share price suffer because of these rumours.

Tim Farrar, of TMF Associates, a well-regarded observer of the industry, in a Tweet/X stated last week: “Starlink has launched 9000 optical crosslink terminals into orbit and still can’t make them work reliably. Yet others claim with a straight face that in 3 years they’ll have “a second Internet backbone in space” that will change communication forever.”

Nevertheless, Mynaric is discounting the reports and pushing ahead with production. Mustafa Veziroglu, CEO of Mynaric, said: “We see the strongest pipeline of opportunities in our history and look forward to working with our customers as they look to build next generation communications networks.”

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