0001213900-26-055461
SEC filingValens Semiconductor reported Q1 2026 revenue of $16.9 million, exceeding guidance and prior-quarter results, with gross margin of 62.2% GAAP and net loss of $(8.3) million, while lowering its adjusted EBITDA loss guidance and maintaining $86.1 million in cash as of March 31, 2026.
Valens Semiconductor’s Q1 2026 results reflect operational resilience amid modest top-line growth: revenue rose 0.2% year-over-year to $16.9 million but declined 13% sequentially from $19.4 million in Q4 2025, suggesting seasonal softness or inventory digestion following strong prior-quarter demand. Gross margin expanded to 62.2% GAAP — the highest in three quarters — driven by favorable product mix in Cross-Industry Business (CIB), where segment margin reached 70.8%, up from 66.4% in Q4 2025. Automotive revenue grew 15.7% YoY to $5.9 million (35% of total), underscoring traction in MIPI A-PHY ecosystem development, including the first public three-company interoperable SerDes demonstration — a strategic milestone validating multi-vendor adoption for OEMs. Net loss remained flat YoY at $(8.3) million, while adjusted EBITDA loss improved meaningfully to $(5.5) million versus guidance of $(7.9)–$(7.5) million, indicating tighter cost control despite R&D and SG&A expenses remaining elevated. The company ended the quarter with $86.1 million in liquid assets and zero debt, though cash declined $6.5 million sequentially — consistent with $5.1 million net cash used in operations. Management’s Q2 guidance anticipates further revenue growth and margin stability, projecting $17.2–$17.6 million in revenue and gross margin of 60%–62%, alongside an adjusted EBITDA loss narrowing to $(4.9)–$(4.4) million — implying continued progress toward profitability. The absence of GAAP net income guidance reflects ongoing unpredictability in share-based compensation and warrant valuations, reinforcing reliance on non-GAAP metrics for forward-looking assessment.