FatPipe (FATN) Registration Filing summary

Company overview and business model

• Develops enterprise-class, application-aware, secure SD-WAN, SASE, and NMS solutions, primarily offered as subscriptions.

• Serves enterprises, service providers, government, and mid-market clients globally, with major markets in the US and India.

• Holds 13 patents covering SD-WAN and related technologies; solutions are distributed via resellers, ISPs, and value-added partners.

• Revenue model is based on multi-year contracts (36–60 months), with technical support and professional services included.

• Expanding presence in North America, Southeast Asia, and Mexico, with tailored offerings for regional markets.

Financial performance and metrics

• Fiscal year ended March 31, 2024: net revenue $17.86M, up 13% YoY; gross profit $16.79M, gross margin 94%.

• Net income for FY 2024 was $4.28M, up from $2.89M in FY 2023.

• For the six months ended September 30, 2024: net revenue $9.35M, gross profit $8.83M, net income $2.24M.

• Adjusted EBITDA for FY 2024 was $6.34M, up from $3.82M in FY 2023.

• Cash and cash equivalents as of September 30, 2024: $845,850; outstanding debt of $2.5M under a promissory note maturing January 2026.

Use of proceeds and capital allocation

• Net proceeds will fund sales and marketing, customer support enhancements, ongoing corporate purchases, R&D, and general working capital.

• Proceeds may be allocated at management's discretion as business needs evolve.