Raspberry Pi announced its FY 2024 results, showing a modest 2% decline in revenue to $259.5 million but a more substantial 57% drop in profit before tax to $16.3 million for its first year as a London-listed company.
However, the results were ahead of analyst expectations, and shares rose over 8%, helped by a bullish outlook for the year ahead.
Eben Upton, CEO of Raspberry Pi, was upbeat about the company’s prospects, saying: “I am confident that we will continue to see gradual improvements in end-demand during the current year and increased traction with direct-to-OEM engagement, effectively complementing our reseller and licensee channels.”
The computing firm weathered an industry-wide destocking phase following an exceptional 2023 performance. Unit sales fell by 5% to 7 million devices, while the company significantly expanded its product lineup with 22 new releases—a 267% increase from the previous year.
Despite these headwinds, the company projects a positive outlook for 2025, pointing to normalised channel inventory and strengthening end-market demand through Q4.
Raspberry Pi expects gross profit per unit to increase year-on-year, supported by secured memory supply through Q4. Management expressed confidence in “solid and sustainable sales growth” for 2025, with several promising OEM customer discussions potentially contributing significantly to performance in 2026 and beyond.
“Raspberry Pi has snuck over the line in narrowly beating analysts’ estimates in what is the company’s first full year report since its IPO. The bar was set pretty high given 2023 was a very strong year and inventory issues were a drag on profits for a large part of the year,” said Adam Vettese, market analyst at eToro.
“Sales of the flagship Raspberry Pi5 have been key to helping the new kids on the block establish a foothold in a market dominated by some very heavy hitters. Expanding their reach through strategic partnerships with a now boosted profile post-IPO seems to be working well.”