Inside Raspberry Pi’s FY2024: A breakout IPO, record product launches, and bold OEM ambitions

Raspberry Pi Holdings plc reported its full-year audited results for FY2024, marking a pivotal period of strategic transition and public market debut. The company posted revenue of $259.5 million, down 2% from FY2023’s peak of $265.8 million. Gross profit dropped 4% to $63.2 million, while adjusted EBITDA stood at $37.2 million—a 15% decline, in line with prior guidance. Profit before tax fell sharply to $16.3 million from $38.2 million, reflecting IPO-related expenses and elevated investment in research and development.

These results came amid an industry-wide inventory correction following the semiconductor recovery boom of 2023. As partners worked through excess stock during the second and third quarters, Raspberry Pi’s unit sales dropped 5% year-on-year. Still, the company exited the year with improved demand and a strengthened balance sheet, closing FY2024 with $45.8 million in cash, up 9% from the prior year.

How has Raspberry Pi’s IPO reshaped its market positioning?

Raspberry Pi’s landmark IPO in June 2024 marked a turning point for the company’s financial strategy and global profile. The listing raised $40 million in new capital for the business and an additional $180 million for the Raspberry Pi Foundation, which continues to invest in education-focused computing initiatives.

The IPO was followed by the company’s inclusion in the FTSE 250 index and recognition with the London Stock Exchange’s Green Economy Mark, a distinction awarded to companies promoting environmental sustainability through energy-efficient technologies. Raspberry Pi’s low-cost computing platforms have become increasingly attractive in both consumer and industrial sectors, driving new interest from OEMs and strategic partners.

CEO Dr Eben Upton noted that the IPO significantly increased executive-level awareness of Raspberry Pi’s capabilities, particularly in industrial markets, opening doors to deeper OEM engagement and next-generation design partnerships.

What is Raspberry Pi’s stock market sentiment post-IPO?

Since its public debut, Raspberry Pi Holdings plc (LSE: RPI) has experienced notable share price fluctuations. As of April 2, 2025, the stock traded at 478.00p, representing a 51% rebound from its 52-week low of 316.20p in November 2024. However, it remains below its all-time high of 780.00p reached in February 2025, reflecting a period of volatility in the aftermath of earnings releases and market-wide tech adjustments.

Investor sentiment has been mixed. Jefferies downgraded the stock from “buy” to “hold” in February, citing valuation pressures. Meanwhile, some analysts expressed optimism following the FY2024 earnings announcement, highlighting that adjusted EBITDA slightly exceeded expectations despite macroeconomic uncertainty.

With the stock still trading at a premium relative to peers in the low-cost computing market, analysts are urging caution. While Raspberry Pi’s innovation pipeline and OEM growth prospects offer long-term potential, the near-term outlook may be subject to price corrections. For current investors, the consensus leans toward a “hold” strategy, pending further visibility on sales momentum in FY2025. New investors are advised to closely monitor execution against product roadmap milestones and partner engagement.

What’s driving Raspberry Pi’s product growth in the low-cost computing market?

FY2024 was a breakout year for innovation at Raspberry Pi. The company launched 22 new products—more than triple the number introduced in FY2023—including the full commercial rollout of the Raspberry Pi 5 and its Compute Module 5 variant. The second half of the year also saw the release of the RP2350 microcontroller and Raspberry Pi Pico 2, expanding the company’s reach into industrial automation and connected device applications.

Raspberry Pi’s accessory range gained significant traction, contributing $8.5 million in gross profit, an 89% increase year-on-year. AI peripherals such as the Raspberry Pi AI Kit and AI Camera, developed in collaboration with Sony and Hailo, enhanced the company’s offering for machine vision and edge inference, aligning with industry trends in AI acceleration at the device level.

The company’s average selling price per board rose 7% to $43.3, helped by stronger uptake of premium variants like the Raspberry Pi 5 with 8GB memory and increased Compute Module sales. The growing mix of higher-value products helped offset volume softness, underscoring the company’s ability to preserve unit economics while scaling innovation.

How is Raspberry Pi managing its supply chain and channel strategy?

Raspberry Pi successfully navigated the latter stages of the global semiconductor supply chain recovery. Channel inventory overstock in Q2 and Q3 temporarily pressured margins and volumes, but by Q4 2024, inventory levels had largely normalised. Direct sales represented 70% of total unit sales for the year, in line with historical norms and management expectations.

Microcontroller sales surged 84% to 5.7 million units, putting them on track to surpass single board computer volumes for the first time in 2025. This shift reflects rising adoption of the RP2040 and RP2350 microcontrollers, both internally and through third-party hardware platforms.

The company also expanded its Approved Reseller network to 117 partners globally, focusing on underserved geographies. In November, Raspberry Pi formalised a strategic partnership with SECO S.p.A. to co-develop industrial products in energy, automation, and smart building applications, deepening its presence in the embedded systems ecosystem.

What are Raspberry Pi’s priorities for FY2025?

Raspberry Pi is prioritising sustained demand recovery, margin expansion, and continued product differentiation in FY2025. The company has secured sufficient DRAM inventory through Q4 2025, supporting predictable input costs and uninterrupted production. Management anticipates year-on-year improvement in gross profit per unit, driven by product mix optimisation and direct OEM traction.

The company’s long-term roadmap centres on expanding its semiconductor IP portfolio, enabling tighter integration between microcontrollers and system boards. Raspberry Pi Connect, a remote management platform launched in beta in May 2024 and monetised with enterprise subscriptions in December, is also expected to add a recurring revenue stream in the years ahead.

For investors and industry observers alike, Raspberry Pi’s FY2024 results highlight the brand’s successful pivot from a community-driven innovator to a maturing tech platform company. While macroeconomic risks remain, the company’s strategic clarity, engineering execution, and public market discipline position it well for long-term value creation across the global low-cost computing market.