indie Semiconductor(INDI) - 2025 Q2 - Quarterly Results

Financial and Business Highlights indie Semiconductor exceeded Q2 2025 outlook with $51.6 million revenue and 49.1% Non-GAAP gross margin, while acquiring emotion3D and repurchasing convertible notes Q2 2025 Key Financial Metrics | Metric | Value | Comparison | | :--- | :--- | :--- | | Revenue | $51.6 million | Above midpoint of outlook | | Non-GAAP Gross Margin | 49.1% | Above midpoint of outlook | | GAAP Operating Loss | $(43.0) million | vs. $(36.6) million in Q2 2024 | | Non-GAAP Operating Loss | $(14.5) million | vs. $(17.2) million in Q2 2024 | | GAAP Loss Per Share | $(0.20) | - | | Non-GAAP Loss Per Share | $(0.08) | - | - Announced acquisition of emotion3D GmbH for $20 million at closing plus a potential $10 million earnout, enhancing vision capabilities and expected to be immediately accretive[5][7] - Strengthened balance sheet by repurchasing $30 million of 2027 convertible notes at a discount[5][8] - Achieved key operational milestones including positive validation of 77GHz radar solution, commenced production of iND880 vision processor for a Camera Monitoring System, and secured new design-wins for Occupancy Monitoring Systems, wireless charging, and laser applications[3][6] Q3 2025 Outlook The company projects Q3 2025 Non-GAAP revenue between $52 million and $56 million, with gross margin anticipated at 49% to 50% Q3 2025 Guidance (Non-GAAP) | Metric | Guidance Range | Midpoint | | :--- | :--- | :--- | | Revenue | $52M - $56M | $54M | | Non-GAAP Gross Margin | 49% - 50% | 49.5% | Financial Statements This section presents the unaudited preliminary condensed consolidated statements of operations and balance sheets for Q2 2025 Consolidated Statements of Operations Q2 2025 total revenue was $51.6 million, with GAAP loss from operations widening to $43.0 million and net loss increasing to $39.0 million Statement of Operations Highlights (Three Months Ended June 30, in thousands) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Total Revenue | $51,634 | $52,355 | | Cost of Goods Sold | $30,693 | $30,241 | | Total Operating Expenses | $94,627 | $88,989 | | Loss from Operations | $(42,993) | $(36,634) | | Net Loss Attributable to indie | $(39,038) | $(19,160) | | Net Loss Per Share (Basic & Diluted) | $(0.20) | $(0.11) | Consolidated Balance Sheets As of June 30, 2025, total assets were $867.6 million, with cash and equivalents at $192.6 million, and total liabilities at $452.5 million Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $192,560 | $274,248 | | Total current assets | $331,760 | $408,748 | | Total assets | $867,630 | $941,386 | | Total current liabilities | $76,481 | $84,880 | | Total liabilities | $452,534 | $495,991 | | Total stockholders' equity | $415,096 | $445,395 | Reconciliation of GAAP to Non-GAAP Measures This section details the reconciliation of GAAP to Non-GAAP financial measures, highlighting adjustments for share-based compensation, amortization, and restructuring costs Q2 2025 GAAP to Non-GAAP Operating Loss Reconciliation (in thousands) | Description | Amount | | :--- | :--- | | GAAP loss from operations | $(42,993) | | Amortization of intangible assets | $6,532 | | Share-based compensation | $14,759 | | Restructuring | $7,107 | | Other adjustments | $63 | | Non-GAAP operating loss | $(14,532) | Q2 2025 GAAP to Non-GAAP Net Loss Reconciliation (in thousands) | Description | Amount | | :--- | :--- | | GAAP Net loss | $(41,618) | | Total Adjustments (Share-based comp, Amortization, etc.) | $25,457 | | Non-GAAP net loss | $(16,161) | - The Non-GAAP net loss per share for Q2 2025 was $(0.08), based on 215.3 million Non-GAAP shares[25] Discussion Regarding the Use of Non-GAAP Financial Measures This section explains the company's rationale for using non-GAAP financial measures to provide a clearer view of ongoing business trends and performance - Management utilizes non-GAAP measures for evaluating operating performance, making decisions, and forecasting future periods[27] - Key expenses excluded from GAAP to non-GAAP adjustments include acquisition-related expenses, amortization of intangibles, share-based compensation, restructuring costs, fair value changes of warrants and contingent considerations, and non-cash interest expenses[28][29] - The company cannot provide a reconciliation for forward-looking non-GAAP guidance due to the unpredictable nature of certain necessary items[40]