Financial Performance - Revenues grew to $17.4 million in Q1 2025, up approximately 190% sequentially and 150% year-over-year[6, 8, 23] - Gross margin reached a record 40% due to positive NRE contribution[6, 8] - Cash used in operations decreased to $20.7 million in Q1 2025, compared to $23.0 million in Q1 2024[8, 23, 24] - The company's cash position grew to $85.4 million[8, 23] NRE Payment Plan - The NRE payment plan expanded from approximately $80 million to approximately $95 million, with the majority of payments expected in 2025-2026[5, 8] - The company is targeting $20-50 million in new NRE bookings[20] Manufacturing and Partnerships - A partnership with Fabrinet was announced to launch mass production of the InnovizTwo platform[5] - Fabrinet will act as the manufacturing partner for the InnovizTwo product platform[10] Program Updates and Engagements - The company is accelerating the delivery of LiDARs to VW to support the expansion of autonomous shuttle operations with hundreds of ID Buzz AD vehicles ahead of fleet deployments[5, 14] - There is growing momentum in the relationship with NVIDIA and the Hyperion platform, with progress being made with a major OEM evaluating Hyperion[5, 16] Targets - The company is aiming for revenue between $50-60 million, more than double 2024 levels[20]

Core Insights - Innoviz has announced a partnership with Fabrinet for mass production of the InnovizTwo LiDAR platform, indicating readiness for scaled manufacturing and deployment ahead of the planned start of production next year [1] - The collaboration with Volkswagen enhances the integration of InnovizTwo Long-Range and Short- to Mid-Range LiDARs into Volkswagen's ID. Buzz AD vehicles, featuring nine LiDAR units per vehicle for comprehensive 360° sensing coverage [2][3] Company Overview - Innoviz is a global leader in LiDAR technology, serving as a Tier-1 supplier to major automotive manufacturers and aiming for a future with safe autonomous vehicles [4] - The company's LiDAR and perception software surpass human driving capabilities, reducing error possibilities and meeting stringent automotive industry performance and safety standards [4]

This announcement contains certain forward-looking statements within the meaning of the federal securities laws, including statements regarding Innoviz's expectations, plans, and future prospects related to the strategic partnership with Fabrinet, the anticipated scaling of production, the economic benefits of the partnership and Fabrinet's compliance with the highest automotive-grade standards. These forward-looking statements generally are identified by the words "believe," "project," "expect," "anticipat ...

Financial Position - As of December 31, 2024, the company had approximately $68.0 million in cash and cash equivalents, short-term bank deposits, short-term restricted cash, and marketable securities[361]. - For the year ended December 31, 2024, the company reported a net cash used in operating activities of approximately $76.9 million, compared to $93.1 million in 2023[362][364]. - The company experienced a net loss of approximately $94.8 million for the year ended December 31, 2024, which was impacted by non-cash charges of approximately $17.8 million[363]. Cash Flow and Investments - Cash provided by investing activities for the year ended December 31, 2024, was approximately $75.5 million, primarily from the withdrawal of bank deposits and proceeds from sales and maturities of marketable securities[365]. - The company plans to fund operations from revenues generated from the sale of goods and services, along with funds received under the registered direct offering[370]. Research and Development - The company expects to continue investing substantially in research and development activities and incur commercialization expenses related to product sales, marketing, manufacturing, and distribution[368]. - The company has invested significantly in research and development of LiDAR-based technologies, with a team of 340 employees as of December 31, 2024[375]. Revenue and Performance Obligations - The aggregate amount of the transaction price allocated to remaining performance obligations as of December 31, 2024, was $15.3 million, expected to be recognized as revenues within the next 12 months[374]. - Approximately 92% of the company's revenues were denominated in USD for the year ended December 31, 2024[354]. - The company anticipates additional inflows of NRE payments from various programs to balance some of its losses in future periods[371]. Inventory and Cost Management - Losses from firm non-cancellable commitments for future inventory purchases are charged to cost of revenues unless recoverable through firm sales contracts[386]. - Property and equipment are stated at cost, net of accumulated depreciation and impairment, with useful lives routinely reviewed[387]. - Raw materials and work in process are based on weighted average cost, while finished goods are mainly based on weighted average standard cost method[388].

Financial Data and Key Metrics Changes - In 2024, Innoviz recorded full-year revenues of $24.3 million, an increase from $20.1 million in 2023, exceeding the midpoint of guidance [5][43] - Cash used in operations and capital expenditures decreased to $81.4 million from $99.6 million in 2023 [5] - The company ended 2024 with $68 million in cash and cash equivalents [6][40] - Gross profit was generated for the first time in Q4 2024, with expectations for positive gross margins for the full year of 2025 [42][36] Business Line Data and Key Metrics Changes - The company announced a multi-year $80 million NRE payment plan with key customers, with over $40 million expected in 2025 [10][14] - NRE bookings for 2024 were in line with expectations, and the company anticipates $20 million to $50 million in additional NRE bookings for 2025 [11][36] Market Data and Key Metrics Changes - Innoviz is expanding its production capacity significantly in 2025 to meet future customer demands [8] - The partnership with Mobileye has led to programs with several new OEMs, indicating a strong market position [8][17] Company Strategy and Development Direction - Innoviz plans to explore opportunities outside the automotive industry while maintaining a focus on automotive applications [9][34] - The company aims to become the leading Tier 1 automotive LiDAR supplier, leveraging its superior technology and strengthened balance sheet [49] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term goals and reaching profitability by the end of the decade [16] - The company expects a more than twofold increase in revenues year-over-year for 2025, driven by NRE payments and LiDAR sales [36][35] Other Important Information - The company has optimized operations to deliver approximately $12 million in annual savings [7][15] - Innoviz is actively engaging with multiple OEMs on RFIs and RFQs across various platforms, indicating a robust pipeline of opportunities [31][32] Q&A Session Summary Question: Update on potential nomination with top auto OEM - Innoviz has passed legal discussions and is awaiting final alignment from the customer [53] Question: Expectations for free cash flow and cash burn reduction - The company expects to continue reducing cash burn, with NREs contributing positively [55] Question: Insights on potential tariff implications - Currently, there is no impact from tariffs, and interest in the U.S. market is increasing due to Innoviz's geopolitical neutrality [64] Question: Data insights on LiDAR's role in driving decisions - LiDAR plays a significant role in complex driving scenarios, with some customers reporting over 90% reliance on LiDAR for decision-making [68] Question: Clarification on NRE bookings - NREs are paid by customers for development support before production ramp-up, with payments tied to milestones [76][78] Question: Milestones for VW ID Buzz program - Innoviz is approaching the C-sample stage, which is critical for production validation [98][100] Question: Update on BMW China platform - BMW's Level 3 platform is awaiting approval, and Innoviz's LiDAR provides a substantial quality advantage for Level 3 and Level 4 systems [110][112]

Innoviz Technologies (INVZ) Q4 2024 Earnings Call February 26, 2025 05:57 PM ET Company Participants Omer David Keilaf - Co-Founder, CEO & DirectorEldar Cegla - Chief Financial OfficerJash Patwa - Equity Research AssociateCasey Ryan - Director of Research Conference Call Participants Mark Delaney - AnalystKevin Garrigan - Research Analyst Operator Good morning. I would like to welcome you to our Q4 and full year twenty twenty four earnings conference call. Joining us today are Omer Kilaev, Chief Executive O ...

Group 1: Earnings Performance - Innoviz Technologies reported a quarterly loss of $0.09 per share, better than the Zacks Consensus Estimate of a loss of $0.11, and improved from a loss of $0.18 per share a year ago, representing an earnings surprise of 18.18% [1] - The company posted revenues of $6.03 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 4.79%, and down from $14.92 million in the same quarter last year [2] - Over the last four quarters, Innoviz has surpassed consensus EPS estimates just once and topped consensus revenue estimates two times [2] Group 2: Stock Performance and Outlook - Innoviz Technologies shares have declined approximately 51.6% since the beginning of the year, contrasting with the S&P 500's gain of 1.3% [3] - The company's earnings outlook is mixed, with the current consensus EPS estimate for the coming quarter at -$0.09 on revenues of $11.54 million, and -$0.29 on revenues of $86.89 million for the current fiscal year [7] - The Zacks Rank for Innoviz is currently 3 (Hold), indicating that shares are expected to perform in line with the market in the near future [6] Group 3: Industry Context - The Automotive - Original Equipment industry, to which Innoviz belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor sentiment [5]

Q4 2024 Earnings Presentation February 26, 2024 Forward Looking Statements This presentation contains certain forward-looking statements within the meaning of the federal securities laws, including statements regarding the services offered by Innoviz, the anticipated technological capability of Innoviz's products, the markets in which Innoviz operates, expected NRE payments, Innoviz's projected future operational and financial results, including revenue and NREs. These forward-looking statements generally a ...

Core Insights - Innoviz Technologies Ltd. reported strong performance in 2024, with significant developments that could enhance its financial and operational position for 2025 and beyond [2][5] - The company aims for revenues between $50 million and $60 million in 2025, alongside additional NRE bookings of $20 million to $50 million [5][13] Commercial and Strategic Updates - Innoviz entered into an approximately $80 million NRE payments plan with key customers, with over $40 million expected in 2025 [2][6] - The company announced operational optimizations projected to save $12 million annually, enhancing cash runway and accelerating profitability [2][6] - Innoviz completed a registered direct offering generating approximately $40 million, improving financial resilience and operational capacity [2][6] Financial Results - Revenues for 2024 were $24.3 million, up from $20.9 million in 2023, driven by NRE services and production units [7] - Operating expenses decreased by 17% to $100.8 million in 2024, compared to $121.0 million in 2023 [7] - The net loss for 2024 was $94.8 million, compared to a loss of $123.5 million in 2023, with a basic and diluted net loss per share of $0.57 [17][20] Liquidity and Financial Position - As of December 31, 2024, the company had approximately $68 million in liquidity, including cash and cash equivalents, short-term deposits, and marketable securities [8] - Total assets decreased to $132 million in 2024 from $219 million in 2023, with total shareholders' equity at $78.9 million [18][19] Future Outlook - Innoviz is well-positioned for multiple program SOPs in 2026 and volume production of LiDARs in 2027, with partnerships with Mobileye and NVIDIA enhancing growth opportunities [5][6] - The company continues to advance existing programs and explore new opportunities with notable OEMs across various regions [6]

Core Viewpoint - Innoviz Technologies Ltd. has announced a definitive securities purchase agreement to sell 28,776,978 units at a price of $1.39 per unit, aiming to raise approximately $40 million for general business purposes [1][2]. Group 1: Securities Offering Details - The offering consists of ordinary shares and warrants, with each unit comprising one ordinary share and 0.8 of a warrant to purchase one ordinary share [1]. - The warrants are immediately exercisable at $1.69 per share and will expire five years from issuance [1]. - The offering is expected to close on February 11, 2025, subject to customary closing conditions [1]. Group 2: Financial Proceeds and Use - Total gross proceeds from the offering are anticipated to be around $40 million, before placement agent fees and estimated offering expenses, assuming no warrants are exercised [2]. - Innoviz intends to utilize the proceeds for general business purposes [2]. Group 3: Company Background - Innoviz is a global leader in LiDAR technology, serving as a Tier 1 supplier to major automotive manufacturers [5]. - The company's LiDAR and perception software are designed to enhance safety and performance, surpassing human driving capabilities [5]. - Innoviz operates across the U.S., Europe, and Asia, and has been selected by premium car brands for consumer vehicles and various commercial applications [5].