0001213900-26-035653
SEC filingArbe Robotics Ltd. reported FY 2025 revenue of $1.0 million, a 33.6% increase from $0.8 million in FY 2024. The company remains in a pre-commercialization phase, generating a gross loss of $802K compared to a gross loss of $785K in the prior year. Operating loss slightly improved to $48.2 million from $49.7 million in FY 2024, while net loss narrowed to $46.4 million from $49.3 million. The company continues to invest heavily in R&D ($34.8 million) as it transitions toward production of its 4D imaging radar chipset. Cash and cash equivalents stood at $4.0 million, with an additional $40.7 million in short-term bank deposits and $24.5 million held in escrow related to convertible bonds. The company raised significant capital through equity offerings and convertible bond conversions during the year to fund operations.
Arbe Robotics Ltd. reported FY 2025 revenue of $1.0 million, up from $0.8 million in FY 2024, representing a 33.6% year-over-year increase. The company remains in a pre-revenue commercialization stage, focusing on developing its 4D imaging radar chipset technology. Gross loss was $802K compared to $785K in the prior year. Operating loss improved slightly to $48.2 million from $49.7 million, and net loss narrowed to $46.4 million from $49.3 million. Basic and diluted net loss per share was $0.42, an improvement from $0.61 in FY 2024. The weighted-average number of ordinary shares outstanding increased to 111.4 million from 80.9 million, primarily due to equity issuances and convertible bond conversions.
Revenue of $1.0 million was generated primarily from sales of chipsets and prototype radar systems for evaluation and professional services. The company disclosed revenue by geography: Sweden ($747K or 72.8%), USA ($204K or 19.9%), Israel ($53K or 5.2%), Hong Kong ($16K or 1.5%), and China ($6K or 0.6%). The increase in revenue was primarily driven by sales of chipsets mainly to non-automotive applications. The company had two major customers accounting for 72.85% and 16.03% of revenues, respectively. No segment breakdown was provided as the company operates as a single operating and reportable segment.
Gross margin was negative 78.2% in FY 2025, an improvement from negative 102.2% in FY 2024. The negative gross margin primarily resulted from low revenue levels relative to fixed operating costs. Operating margin was negative 4,703.9%. Research and development expenses were $34.8 million, sales and marketing expenses were $5.0 million, and general and administrative expenses were $7.5 million. Total operating expenses decreased to $47.4 million from $48.9 million in the prior year. Stock-based compensation expense was $9.1 million.
Net cash used in operating activities was $38.1 million. Net cash provided by financing activities was $53.4 million, primarily from proceeds from issuance of ordinary shares ($30.8 million) and proceeds from conversion of convertible debentures ($21.7 million). Cash and cash equivalents totaled $4.0 million, with short-term bank deposits of $40.7 million and restricted cash of $280K. Funds held in escrow related to convertible bonds were $24.5 million. Total current assets were $71.8 million, and total current liabilities were $32.9 million, resulting in working capital of approximately $38.9 million. Total shareholders' equity was $39.6 million.
The company plans to transition to production of its radar chip for sale to customers during 2026, although it noted that this timetable depends on execution by third parties. The company expects 2026 expenses to reduce compared to 2025 levels due to implemented cost-reduction measures. Management believes the current cash balance, together with revenues, will enable the company to continue until it is cash flow positive from operations. The company raised gross proceeds of $18.5 million in an underwritten registered direct public offering in January 2026. Key risks include dependence on a single supplier (GlobalFoundries), the need for additional capital, and geopolitical risks related to the company's location in Israel.