Company Overview - Symbotic is an AI-enabled technology platform transforming the supply chain[17] - The company's AI/software platform drives actionable insights from goods and location data to improve inventory optimization and order accuracy[19] - Symbotic has a transformative technology platform with 46 systems in deployment and 42 operational systems[22, 23] - The company has issued 650+ patents[23] Financial Highlights - Symbotic is experiencing YoY revenue growth of approximately 36%[23] - The company has a total backlog of $22.4 billion[23] - Symbotic is generating positive free cash flow[23] - In FY24, Symbotic's total revenue reached $1.788 billion, and adjusted EBITDA was $62 million[59, 62] - Symbotic reported a GAAP net loss of $84.672 million in FY24[62] Market Opportunity - The company is targeting large addressable markets, including a $432 billion one-time system sales opportunity in operator-owned warehouses[25, 26] - Symbotic has a $500 billion+ "outsourced" incremental annual warehouse-as-a-service opportunity through GreenBox[26]

Revenue Performance - Total revenue for the three months ended June 28, 2025, was $592,121,000, representing a 26% increase from $470,338,000 for the same period in 2024[155] - Total revenue for the nine months ended June 28, 2025, was $1,628,465, an increase of $404,852 or 33% compared to $1,223,613 for the same period in 2024[162] Systems Revenue - Systems revenue increased by 24% to $559,108,000 for the three months ended June 28, 2025, compared to $450,595,000 for the same period in 2024, driven by an increase in Systems in Deployment from 39 to 46[158] - Systems revenue increased by $367,546 or 31% to $1,536,539 due to an increase in Systems in Deployment from 39 to 46[162] Software Maintenance and Support Revenue - Software maintenance and support revenue surged by 129% to $8,121,000 for the three months ended June 28, 2025, up from $3,545,000 in the same period in 2024, due to an increase in Operational Systems under support contracts from 21 to 42[159] - Software Maintenance and Support revenue rose by 146% to $20,331, attributed to an increase in Operational Systems under contracts from 21 to 42[163] Operation Services Revenue - Operation services revenue rose by 54% to $24,892,000 for the three months ended June 28, 2025, compared to $16,198,000 for the same period in 2024, attributed to an increase in Operational Systems[160] - Operation Services revenue increased by 54% to $71,595, driven by a higher number of Operational Systems and increased training services[164] Profit and Loss - Gross profit for the three months ended June 28, 2025, was $107,622,000, up from $54,973,000 in the same period in 2024, reflecting improved revenue performance[155] - Gross profit for the nine months ended June 28, 2025, was $295,489, up $146,240 or 98% from $149,249 in the prior year[168] - The net loss for the three months ended June 28, 2025, was $31,925,000, compared to a net loss of $26,724,000 for the same period in 2024, reflecting ongoing investment in growth despite increased revenues[155] - The company reported a net loss of $(31,925) for the three months ended June 28, 2025, compared to $(26,724) in the same period in 2024, and a net loss of $(71,883) for the nine months ended June 28, 2025, compared to $(100,626) in 2024[190] Operating Expenses - Total operating expenses increased to $144,178,000 for the three months ended June 28, 2025, from $92,593,000 in the same period in 2024, primarily due to higher research and development and selling, general, and administrative expenses[155] - Research and development expenses for the three months ended June 28, 2025, were $52,147,000, compared to $44,722,000 for the same period in 2024, indicating a focus on product development[155] - Selling, general, and administrative expenses for the nine months ended June 28, 2025, totaled $215,092, an increase of $71,557 or 50% from $143,535 in the previous year[176] Restructuring Charges - Restructuring charges amounted to $16,361,000 for the three months ended June 28, 2025, indicating ongoing adjustments within the company[155] - Restructuring charges for the three months ended June 28, 2025, were $16,361, representing a 100% increase due to workforce reductions related to the ASR Acquisition[178] - Restructuring charges for the nine months ended June 28, 2025, were $16,130 compared to $34,206 in 2024[190] Cash Flow and Liquidity - Net cash provided by operating activities for the nine months ended June 28, 2025, was $336.3 million, significantly higher than $41.3 million for the same period in 2024[192] - Free cash flow for the nine months ended June 28, 2025, was $293.5 million, compared to $18.3 million for the same period in 2024, indicating a substantial improvement[191] - As of June 28, 2025, the company had a cash and cash equivalents balance of $777.6 million, providing a strong liquidity position[202] - The company expects its current cash and cash equivalents, along with forecasted cash flows, to meet foreseeable cash needs for at least the next 12 months[203] Stock-Based Compensation - Stock-based compensation for the three months ended June 28, 2025, was $50,279, compared to $30,320 in the same period in 2024, and for the nine months ended June 28, 2025, it was $126,982 compared to $94,508 in 2024[190] - Stock-based compensation for the nine months ended June 28, 2025, was $119.6 million, compared to $86.9 million for the same period in 2024, reflecting a 38% increase[194] Other Income and Tax Expenses - Other income, net for the three months ended June 28, 2025, decreased by $3,164 or 27% to $8,451, impacted by lower cash balances despite higher interest rates[180] - For the nine months ended June 28, 2025, other income, net was $27,626, a decrease of $361 or 1% compared to $27,987 for the same period in 2024[181] - The income tax expense for the three months ended June 28, 2025, was $(44), a decrease of $138 or 76% from $(182) in the same period in 2024[182] - The income tax benefit for the nine months ended June 28, 2025, was $(102), a decrease of $1,306 or 1280% compared to an income tax benefit of $1,204 for the same period in 2024[183] Adjusted Financial Metrics - Adjusted EBITDA for the three months ended June 28, 2025, was $45,394, compared to $2,737 for the same period in 2024, while for the nine months ended June 28, 2025, it was $98,016 compared to $19,312 in 2024[190] - Adjusted gross profit margin for the three months ended June 28, 2025, was 21.5%, up from 13.6% in the same period in 2024, and for the nine months ended June 28, 2025, it was 20.6% compared to 16.5% in 2024[190] - The company believes that non-GAAP financial measures provide a useful comparison of operating results and future prospects, excluding unusual or infrequent items[184][185]

FOR IMMEDIATE RELEASE Symbotic Reports Third Quarter Fiscal Year 2025 Results Wilmington, Massachusetts (August 6, 2025) -- Symbotic Inc. (Nasdaq: SYM), a leader in A.I.-enabled robotics technology for the supply chain, announced financial results for its third quarter of fiscal year 2025, which ended on June 28, 2025. Symbotic reported revenue of $592 million, a net loss of $32 million and adjusted EBITDA of $45 million for the third quarter of fiscal year 2025. 1 Exhibit 99.1 In comparison, Symbotic poste ...

Company Overview - Symbotic is an AI-enabled technology platform transforming the supply chain[17] - The company's AI/software platform drives actionable insights from goods and location data to improve inventory optimization and order accuracy[19] - Symbotic has a transformative technology platform with 46 systems in deployment and 42 operational systems[23] - The company has deep relationships with blue-chip customers and a $224 billion contracted backlog[55] Financial Performance - Symbotic experienced approximately 36% year-over-year revenue growth[23] - The company has a highly visible growth profile underwritten by approximately $224 billion contracted backlog[57] - In FY24, total revenue reached $1788 million, and adjusted EBITDA was $62 million, while GAAP net loss was approximately $85 million[59, 62] - The company is generating positive EBITDA with margin upside and strong free cash flow generation[57] Market Opportunity and Strategy - Symbotic is addressing existential threats such as labor pressures, evolving omni-channel strategies, and SKU proliferation with its AI-powered automation[13, 15] - The company is disrupting large addressable markets, including a $432 billion one-time system sales opportunity in operator-owned warehouses and a $500 billion+ "outsourced" incremental annual warehouse-as-a-service opportunity[26] - Symbotic has a long-term growth strategy targeting multiple vectors, including grocery, general merchandise, 3PL, apparel, CPG, and home improvement[51]

Core Viewpoint - Symbotic Inc. reported strong financial results for Q3 FY2025, with significant revenue growth and operational advancements, despite a net loss. The company is focused on innovation in supply chain robotics and anticipates a temporary revenue impact due to new product launches [1][3][4]. Financial Performance - Revenue for Q3 FY2025 reached $592 million, a 26% increase from $470 million in Q3 FY2024 [1][2]. - The net loss for Q3 FY2025 was $32 million, compared to a net loss of $27 million in the same quarter of the previous year [1][2]. - Adjusted EBITDA for Q3 FY2025 was $45 million, a significant increase from $3 million in Q3 FY2024 [1][2]. Operational Insights - The company experienced a decrease in cash and cash equivalents by $177 million, totaling $778 million at the end of Q3 FY2025 [2]. - Gross margins improved year-over-year, indicating enhanced operational efficiency [3]. - Symbotic is launching a proprietary new storage structure, which is expected to create new opportunities in the supply chain [3]. Future Outlook - For Q4 FY2025, Symbotic projects revenue between $590 million and $610 million, with adjusted EBITDA expected to be between $45 million and $49 million [4].

Core Insights - Symbotic Inc. has announced the commercial availability of its next-generation storage technology, which significantly enhances warehouse automation performance and increases storage capacity [1][4] - The new technology can reduce customers' storage footprint by up to 40%, allowing for more products in a fixed space or achieving target storage volume in a smaller area [2] - The next-generation storage system features pre-assembled components that reduce on-site assembly parts by over 90%, leading to faster implementation times [3][7] Company Overview - Symbotic is a leader in automation technology, focusing on A.I.-powered robotic and software platforms to transform supply chain operations for major retail, wholesale, and food & beverage companies [5] - The company aims to improve efficiency, speed, and resilience in warehouse operations, ultimately accelerating return on investment for its customers [4] Technological Features - The innovative storage design allows for modular shelf configurations that accommodate a wider range of products while boosting storage density [8] - Enhanced safety features include integrated fire suppression and structural options to meet seismic requirements, ensuring operational reliability [8] - The unique leveling system reduces site readiness costs by minimizing floor preparation, facilitating quicker deployment [8]

Core Viewpoint - Symbotic Inc. is set to report its third-quarter fiscal 2025 results on August 6, with expectations of revenue growth and earnings improvement compared to the previous year [1][8]. Revenue and Earnings Estimates - The Zacks Consensus Estimate for revenues in the upcoming quarter is $535.6 million, reflecting an 8.9% year-over-year growth [2]. - The consensus estimate for total earnings is 4 cents per share, indicating a more than 100% increase from the same quarter last year [2]. Earnings Surprise History - Symbotic's earnings surprise history shows mixed results, with two beats and two misses in the last four quarters, averaging a negative surprise of 72.1% [3]. Backlog and Revenue Drivers - The company reported a backlog of $22.7 billion in the second quarter of 2025, with expectations to recognize nearly 11% of its remaining performance obligations as revenue in the next 12 months [6]. - The backlog is anticipated to drive revenue growth, supported by improved deployment efficiency, which increased by 30% year-over-year [14]. Stock Performance - SYM shares have increased by 121.5% over the past year, outperforming the industry average of 71.2% and the S&P 500's 20.8% rise [7][8]. - Despite the strong performance, SYM trades at a premium with a trailing price-to-earnings ratio of 108.64X, significantly higher than the industry average of 22.9X [11]. Financial Health - The company generated $249 million in free cash flow in the second quarter of 2025, aided by favorable changes in net working capital [15]. - SYM's current ratio stands at 1.02, indicating the ability to cover short-term obligations, although it is lower than the industry average of 1.84 [16]. Customer Concentration and Risks - A significant portion of SYM's revenue, 87%, comes from its partnership with Walmart, raising concerns about customer concentration risks [16]. - The company does not pay dividends, which may deter income-focused investors [16]. Future Outlook - The high backlog and improved deployment efficiency position Symbotic for substantial revenue generation in the near future, with expectations for margin expansion [17]. - However, the stock's high valuation and lower chances of an earnings beat suggest a cautious approach for investors [18].

Core Insights - JBT Marel (JBTM) and Symbotic Inc. (SYM) are both considered by investors in the Technology Services sector, but JBTM is currently viewed as a better value investment option [1][7] Valuation Metrics - JBTM has a forward P/E ratio of 23.09, while SYM has a significantly higher forward P/E of 216.67 [5] - The PEG ratio for JBTM is 2.08, indicating a more favorable valuation compared to SYM's PEG ratio of 7.22 [5] - JBTM's P/B ratio stands at 1.66, contrasting sharply with SYM's P/B ratio of 69.01, suggesting that JBTM is more undervalued relative to its book value [6] Earnings Outlook - Both companies have a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions and improving earnings outlooks [3][7] - Despite the positive earnings outlook for both companies, JBTM's valuation metrics suggest it is the superior value option at this time [7]

Core Insights - The future of AI is characterized by the emergence of Physical AI, which integrates digital AI with machines and devices capable of real-time interaction and learning [1] - Technologies such as Automated Vehicles (AVs), warehouses, and business systems are currently in use and represent significant investment opportunities [1] Company Summaries NVIDIA - NVIDIA is positioned as a leader in AI due to its GPU technology, which has been pivotal in unlocking the data center industry and AI applications [2][3] - The company is developing infrastructure for Physical AI across various sectors, including automotive, robotics, and smart cities [3] - NVIDIA's stock is considered undervalued with a potential increase of 200% over the next decade based on long-term earnings forecasts [4] Advanced Micro Devices (AMD) - AMD is set to regain market share in the GPU and data center markets, focusing on bringing AI to the edge with its Ryzen line optimized for AI experiences [6][7] - The stock is viewed as deeply undervalued, with potential for high triple-digit gains within the next five to ten years [8] Tesla - Tesla is focusing on the future of AV with the upcoming release of its fully autonomous Cybercab, expected in 2026, alongside advancements in robotics [10][11] - Despite facing challenges, Tesla continues to generate profits and invest in future technologies, indicating a potential for a 100% increase in stock value based on long-term outlooks [12] Ambarella - Ambarella has shifted focus from image processing to computer vision and edge computing, positioning itself as a key player in Physical AI [14][15] - The company is expected to sustain high double-digit growth for at least the next ten years, with stock potential to rise by 100% based on forecasts [16] Symbotic - Symbotic automates supply chains for major companies like Walmart and Amazon, enhancing efficiency and reducing emissions [18][19] - The company has a significant backlog exceeding $23 billion, indicating strong future growth potential [19]

Core Insights - The robotics revolution is imminent, with significant advancements in warehouse automation expected within the next three years [1][19] - Labor shortages in logistics have reached critical levels, with unfilled positions doubling since 2020, driving the need for automation [1][16] Company Overview - Symbotic addresses a $25 billion problem of warehouse inefficiency through AI-powered robotics, achieving $550 million in Q2 fiscal 2025 revenue, a 40% year-over-year increase [4][10] - The company has improved adjusted EBITDA from $9 million to $35 million, showcasing its financial growth [4] - Symbotic's acquisition of Walmart's Advanced Systems and Robotics business strengthens its relationship with a major client, validating its technology and strategic importance [5] Market Dynamics - The warehouse automation market is projected to grow from $25 billion today to between $85 billion and $110 billion by the mid-2030s, representing a growth opportunity of 3.5x to 4.5x [10][11] - E-commerce growth and low current automation penetration (below 5%) are key drivers for this market expansion, with projections suggesting it could reach 15% to 20% by 2035 [11][12] - Major market research firms forecast annual growth rates of 15% to 18% through 2034, indicating a robust market opportunity [12] Competitive Positioning - Symbotic is well-positioned with partnerships with industry leaders and a backlog of nearly $23 billion, providing a strong foundation for future growth [13] - The company's expansion strategy within existing accounts can lead to significant cost reductions for retailers, further driving adoption of its automation solutions [14] - Despite challenges such as lengthy deployment times and competition from established players, the fundamental labor crisis in logistics underscores the necessity for automation [15][16] Investment Opportunity - Symbotic presents a compelling investment opportunity as it generates real revenue from addressing immediate business challenges, with proven ROI for clients [17][19] - The current market conditions make automation essential for survival in logistics, positioning Symbotic favorably for investors looking to capitalize on this trend [17][19]