MRAM · Everspin Technologies, Inc.

Everspin Technologies reported a solid start to fiscal 2026, with first quarter results exceeding expectations driven by robust demand in Industrial Automation, Transportation, and Data Center applications. Total revenue rose 13% year-over-year to $14.9 million, primarily fueled by a 28% increase in MRAM product sales to $14.1 million. This growth offset a decline in licensing and royalty revenue, which fell to $0.8 million from $2.1 million in the prior year period. Gross margin improved to 52.7%, reflecting favorable product mix and operational efficiencies, while GAAP operating expenses increased to $10.6 million due to investments in research and development and general administrative functions. Consequently, the GAAP net loss narrowed significantly to $0.3 million, or $(0.01) per share, compared to a loss of $1.2 million in the first quarter of 2025. On a non-GAAP basis, the company reported net income of $2.6 million, or $0.11 per diluted share. A significant strategic development was the announcement of a new $40 million contract with a US prime contractor to provide MRAM process technology capabilities for the US Defense Industrial Base, marking a notable expansion into defense markets. Management noted early signs of demand recovery, particularly in Japan, as inventory levels normalize. Looking ahead, Everspin guided for second quarter revenue between $15.5 million and $16.5 million, anticipating continued product revenue growth, though GAAP net loss is expected to widen due to seasonal factors and the exclusion of the new subcontractor agreement's impact from current guidance. The company maintains a strong liquidity position with $40.5 million in cash and no debt.