In This Article:
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Revenue: $16.8 million, exceeding guidance of $16.3 million to $16.6 million.
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GAAP Gross Margin: 62.9%, above guidance of 60.8% to 61.3%.
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Adjusted EBITDA Loss: $4.3 million, within guidance range of $4.5 million to $4.2 million loss.
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Cross-Industry Business Revenue: $11.7 million, approximately 70% of total revenue.
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Automotive Revenue: $5.1 million, approximately 30% of total revenue.
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Non-GAAP Gross Margin: 66.7%.
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Operating Expenses: $20 million.
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GAAP Net Loss: $8.3 million.
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GAAP Loss Per Share: $0.08.
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Non-GAAP Loss Per Share: $0.03.
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Cash, Cash Equivalents, and Short-term Deposits: $112.5 million, no debt.
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Inventory: $10.9 million as of March 31, 2025.
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Q2 2025 Revenue Guidance: $16.5 million to $16.8 million.
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Q2 2025 Gross Margin Guidance: 63% to 64%.
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Q2 2025 Adjusted EBITDA Loss Guidance: $4.9 million to $4.4 million loss.
Release Date: May 07, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Valens Semiconductor Ltd (NYSE:VLN) reported Q1 2025 revenues of $16.8 million, exceeding the top end of their guidance.
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The company achieved a GAAP gross margin of 62.9%, surpassing their guidance expectations.
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Valens Semiconductor Ltd (NYSE:VLN) showcased its innovative chipsets, VS6320 and VA7000, at major industry events, receiving positive feedback and awards.
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The company announced a significant partnership with Mobileye, enhancing its position in the automotive industry.
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Valens Semiconductor Ltd (NYSE:VLN) has a strong balance sheet with $112.5 million in cash, cash equivalents, and short-term deposits, and no debt.
Negative Points
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The company reported an adjusted EBITDA loss of $4.3 million for Q1 2025.
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Valens Semiconductor Ltd (NYSE:VLN) experienced ongoing inventory digestion issues impacting sales in the Pro AV segment.
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GAAP net loss for Q1 2025 was $8.3 million, an increase from the previous quarter.
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The company is facing uncertainties related to new tariffs, which could impact future operations and market demand.
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Working capital decreased to $119.8 million at the end of Q1 2025, down from $133.6 million at the end of Q4 2024.
Q & A Highlights
Q: How does the partnership with Mobileye change the dynamic in pursuing future OEM wins with A-PHY? A: Gideon Ben-Zvi, CEO, explained that the collaboration with Mobileye is based on quality, enhancing the bandwidth and resolution of cameras for Mobileye's ECU. This partnership elevates Mobileye's capabilities, potentially influencing other OEMs to adopt Valens' solutions as they seek to improve their systems.