Financial Data and Key Metrics Changes - For the first half of 2025, the company reported revenue of $4.8 million, consistent with the first half of 2024, reflecting a strategic transition period ahead of new product launches [17][18] - Gross profit was $1.6 million, with a gross profit margin increase of 15 percentage points from 19% in the previous year to 34% [18] - Cash reserves increased to $121 million as of June 30, 2025, up from $19 million at the same point last year and $85 million at the end of 2024 [19] Business Line Data and Key Metrics Changes - The company achieved significant progress in its product and technology milestones, including the Quasar program and the QVOL TPM, with initial revenues expected in 2026 [5][6] - The number of customers for TPM engagement more than doubled from 35 at the end of 2024 to 82 by mid-2025, indicating strong demand for the company's offerings [8] Market Data and Key Metrics Changes - The global embedded security chip market is projected to reach nearly $10 billion by 2028, with a scarcity of suppliers offering certified secure products, presenting a significant opportunity for the company [4] - The company is expanding its global footprint by opening a sales office in India and appointing distributors in Asia, Europe, and Turkey [9] Company Strategy and Development Direction - The company is focused on delivering quantum-resistant semiconductor solutions and secure digital infrastructure, positioning itself uniquely to meet regulatory compliance and resilience against emerging threats [4][5] - The acquisition of IC'ALPS, a French ASIC design specialist, is expected to enhance the company's capabilities in post-quantum ASIC technology [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong financial position and momentum entering the second half of 2025, with a clear vision to lead in quantum resilience and cybersecurity [23] - The outlook for 2025 anticipates revenues between $17.5 million and $20 million, representing a growth of 59% to 82% year-on-year [20][15] Other Important Information - The company has allocated $4.7 million for research and development in the first half of 2025, with a total budget of over $7 million for the year, up from $5 million in the prior year [19][13] - The company is also investing in space technologies, with plans to expand its secure quantum-ready satellite constellation to 102 satellites by 2027 [12] Q&A Session Summary Question: Clarification on full-year R&D budget - Management confirmed that the first half included a one-off expense for stock-based compensation, which would not repeat in the second half [25][26] Question: Annual R&D run rate estimation - The estimated run rate for R&D, excluding the one-time expense, would be around $500,000 to $550,000 per month [38] Question: Pipeline estimate process - The pipeline estimate of $170 million includes opportunities identified over the next three years, with a standard process of evaluating and applying success percentages at various stages [39][40]