Luminar Technologies(LAZR) - 2025 Q2 - Quarterly Results

Q2 2025 Earnings Overview Company Highlights and Strategic Focus Luminar advanced key auto milestones, streamlined operations, and exited non-core businesses to focus on Halo - Luminar advanced key auto customer milestones in Q2 and is pursuing growth opportunities in commercial markets[2] - The company is exiting non-core data and insurance businesses to drive cost reductions and operational discipline[2][3] - CEO Paul Ricci emphasized delivering on customer commitments, advancing Halo as the foundation, and sharpening focus on near-term revenue and profit opportunities beyond automotive[3] About Luminar Luminar develops proprietary LiDAR hardware and software for automotive, commercial, and defense sectors - Luminar is a global technology company advancing safety, security, and autonomy across automotive, commercial, and defense sectors[13] - The company develops proprietary LiDAR hardware, software, semiconductor, and photonics technologies in-house to meet demanding performance and scalability requirements[13] - With series production underway and commercial traction, Luminar is positioned to deliver next-generation advanced, mission-critical LiDAR and photonics solutions[13] Q2 2025 Financial Performance Key Q2 2025 Financials Q2 2025 revenue was $15.6 million (down 5% YoY), GAAP net loss $(30.5) million, and $107.6 million cash Q2 2025 Key Financials | Metric | Q2 2025 (Millions) | Change YoY (vs Q2'24) | Change QoQ (vs Q1'25) | | :-------------------------- | :----------------- | :-------------------- | :-------------------- | | Revenue | $15.6 | -5% | -17% | | GAAP Gross Loss | $(12.4) | N/A | N/A | | Non-GAAP Gross Loss | $(10.8) | N/A | N/A | | GAAP Net Loss | $(30.5) | N/A | N/A | | GAAP Net Loss per Share | $(0.62) | N/A | N/A | | Non-GAAP Net Loss | $(73.1) | N/A | N/A | | Non-GAAP Net Loss per Share | $(1.49) | N/A | N/A | | GAAP Operating Expenses | $(27.1) | N/A | N/A | | Non-GAAP Operating Expenses | $47.0 | N/A | N/A | | Cash & Marketable Securities (End of Q2'25) | $107.6 | N/A | N/A | - Q2 Revenue was $15.6 million, down 5% compared to Q2'24, and 17% compared to Q1'25, consistent with guidance for revenue to be lower QoQ[8] - Ended Q2'25 with $107.6 million in Cash & Marketable Securities, excluding an undrawn $50 million line of credit, $180 million remaining under the equity financing program, and $165 million of convertible preferred facility[8] Business Milestones and Outlook Operational Milestones Luminar outlined Halo milestones: ASIC tape-out, Thailand production by Q4'25, prototype Q1'26, B-sample Q2'26 - ASIC tape-out for Halo is expected by the end of Q4'25[8] - High-volume production line in Thailand is expected to be live by the end of Q4'25[8] - Low-volume Halo prototype line launch is planned by the end of Q1'26, with Halo B-sample delivery by the end of Q2'26[8] Revised FY 2025 Financial Guidance Luminar revised FY25 guidance, reducing sensor shipments and total revenue forecasts, with non-GAAP losses consistent - Luminar is revising elements of its FY 2025 financial guidance to reflect updated expectations of vehicle production ramps in 2H'25 and the winding down of non-core business, including a data contract and insurance initiative[6] Revised FY 2025 Financial Guidance | Metric | Previous Guidance | Revised Guidance | Change | | :------------------------------------ | :---------------- | :--------------- | :----- | | Sensor Shipments | 30 thousands to 33 thousands | 20 thousands to 23 thousands | Down | | Total Revenue | $82 million to $90 million (implied) | $67 million to $74 million | Down | | Non-GAAP Gross Loss (per quarter, average) | $(5) million to $(10) million | $(5) million to $(10) million (likely towards higher-end) | Unchanged | | Non-GAAP Quarterly Operating Expenses (by YE'25) | Low ~$30 million range | Low ~$30 million range | Unchanged | | YE'25 Cash & Marketable Securities | > $100 million (excluding LOC) | $80 million to $100 million (excluding LOC) | Down | Q3 2025 Revenue Expectation Luminar anticipates Q3 2025 revenue to be in the range of $17 million to $19 million Q3 2025 Revenue Expectation | Metric | Q3 2025 Expectation | | :----- | :------------------ | | Revenue | $17 million to $19 million | Consolidated Financial Statements Condensed Consolidated Balance Sheets Total assets $265.5 million (down), liabilities $513.5 million (down), stockholders' deficit $(272.2) million (up) Condensed Consolidated Balance Sheets (in thousands) | Metric | June 30, 2025 (Unaudited) | December 31, 2024 | | :-------------------------------- | :------------------------ | :---------------- | | ASSETS | | | | Total current assets | $167,328 | $245,227 | | Total assets | $265,487 | $365,213 | | LIABILITIES, PREFERRED STOCK AND STOCKHOLDERS' DEFICIT | | | | Total current liabilities | $69,187 | $60,588 | | Debt | $429,679 | $500,516 | | Total liabilities | $513,456 | $586,002 | | Total stockholders' deficit | $(272,179) | $(220,789) | Condensed Consolidated Statements of Operations Q2 2025 revenue was $15.6 million (down YoY), with GAAP gross loss $(12.4) million and net loss $(30.5) million Condensed Consolidated Statements of Operations (in thousands, except per share data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | Total revenue | $15,634 | $16,451 | $34,520 | $37,419 | | Total cost of sales | $28,061 | $30,131 | $55,047 | $61,554 | | Gross loss | $(12,427) | $(13,680) | $(20,527) | $(24,135) | | Total operating expenses | $27,052 | $114,042 | $91,224 | $229,356 | | Loss from operations | $(39,479) | $(127,722) | $(111,751) | $(253,491) | | Net loss attributable to common stockholders | $(30,501) | $(130,607) | $(111,192) | $(256,321) | | Basic and diluted net loss per share | $(0.62) | $(4.32) | $(2.44) | $(8.76) | Condensed Consolidated Statements of Cash Flows Net cash used in operating activities decreased to $(97.9) million, with investing activities providing $41.4 million Condensed Consolidated Statements of Cash Flows (in thousands) | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | | Net cash used in operating activities | $(97,954) | $(158,936) | | Net cash provided by investing activities | $41,417 | $35,511 | | Net cash provided by financing activities | $22,721 | $36,894 | | Net decrease in cash, cash equivalents and restricted cash | $(33,816) | $(86,531) | | Ending cash, cash equivalents and restricted cash | $50,906 | $54,093 | Non-GAAP Reconciliations Non-GAAP Financial Measures Disclosure Non-GAAP measures enhance comparability but are not GAAP alternatives; forward-looking reconciliation is unavailable - Non-GAAP measures are used to enhance investors' and analysts' ability to meaningfully compare results from period to period and to forward-looking guidance, and to identify operating trends[10] - These non-GAAP measures are not in accordance with, or an alternative for, GAAP, and should not be considered in isolation or as a substitute for GAAP financial information[10] - A forward-looking reconciliation of non-GAAP gross loss and non-GAAP operating expenses for fiscal 2025 is not available due to the inability to present various reconciling cash and non-cash items without unreasonable effort, particularly stock-based compensation expense[11] Reconciliation of GAAP Cost of Sales to Non-GAAP Cost of Sales GAAP cost of sales was $28.1 million, adjusted to non-GAAP cost of sales of $26.4 million after various adjustments Reconciliation of GAAP Cost of Sales to Non-GAAP Cost of Sales (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | GAAP cost of sales | $28,061 | $30,131 | $55,047 | $61,554 | | Stock-based compensation | $(1,361) | $(298) | $(2,652) | $(3,693) | | Amortization of intangible assets | $(165) | $(166) | $(394) | $(332) | | Accelerated depreciation | $(143) | $(1,295) | $(286) | $(3,430) | | Non-GAAP cost of sales | $26,392 | $28,372 | $51,715 | $54,099 | Reconciliation of GAAP Gross Loss to Non-GAAP Gross Loss Q2 2025 GAAP gross loss was $(12.4) million, adjusted to non-GAAP gross loss of $(10.8) million after add-backs Reconciliation of GAAP Gross Loss to Non-GAAP Gross Loss (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | GAAP gross loss | $(12,427) | $(13,680) | $(20,527) | $(24,135) | | Stock-based compensation | $1,361 | $298 | $2,652 | $3,693 | | Amortization of intangible assets | $165 | $166 | $394 | $332 | | Accelerated depreciation | $143 | $1,295 | $286 | $3,430 | | Non-GAAP gross loss | $(10,758) | $(11,921) | $(17,195) | $(16,680) | Reconciliation of GAAP Operating Expenses to Non-GAAP Operating Expenses Q2 2025 GAAP operating expenses were $27.1 million, adjusted to non-GAAP operating expenses of $47.0 million Reconciliation of GAAP Operating Expenses to Non-GAAP Operating Expenses (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | GAAP operating expenses | $27,052 | $114,042 | $91,224 | $229,356 | | Stock-based compensation | $22,007 | $(36,781) | $3,870 | $(77,851) | | Impairment of investments | — | $(4,000) | — | $(4,000) | | Restructuring costs | $(1,180) | $(6,262) | $(1,244) | $(6,262) | | Amortization of intangible assets | $(866) | $(834) | $(1,669) | $(1,668) | | Non-GAAP operating expenses | $47,013 | $66,164 | $92,181 | $139,343 | Reconciliation of GAAP Net Loss to Non-GAAP Net Loss Q2 2025 GAAP net loss was $(30.5) million, adjusted to non-GAAP net loss of $(73.1) million after adjustments Reconciliation of GAAP Net Loss to Non-GAAP Net Loss (in thousands, except per share data) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | GAAP net loss attributable to common stockholders | $(30,501) | $(130,607) | $(111,192) | $(256,321) | | Stock-based compensation, excluding restructuring | $(20,646) | $37,079 | $(1,218) | $81,544 | | Amortization of intangible assets | $1,031 | $1,000 | $2,063 | $2,000 | | Gain on extinguishment of debt | $(15,281) | — | $(22,056) | — | | Change in the fair value of derivative liabilities | $(8,991) | — | $(5,320) | — | | Non-GAAP net loss attributable to common stockholders | $(73,065) | $(81,133) | $(136,145) | $(161,590) | | Non-GAAP net loss per share attributable to common stockholders | $(1.49) | $(2.68) | $(2.99) | $(5.52) | Reconciliation of GAAP Operating Cash Flow to Non-GAAP Free Cash Flow Q2 2025 GAAP operating cash flow was $(53.7) million, adjusted to non-GAAP free cash flow of $(53.8) million Reconciliation of GAAP Operating Cash Flow to Non-GAAP Free Cash Flow (in thousands) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :----------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | :------------------------------- | | GAAP operating cash flow | $(53,725) | $(77,707) | $(97,954) | $(158,936) | | Purchases of property and equipment | $(111) | $(302) | $(226) | $(1,586) | | Non-GAAP free cash flow | $(53,836) | $(78,009) | $(98,180) | $(160,522) | Summary of Stock-Based Compensation and Intangibles Amortization Q2 2025 total stock-based compensation was $(20.7) million and intangibles amortization was $1.0 million Summary of Stock-Based Compensation and Intangibles Amortization (in thousands) | Category | Three Months Ended June 30, 2025 (Stock-Based Compensation) | Three Months Ended June 30, 2025 (Intangibles Amortization) | Six Months Ended June 30, 2025 (Stock-Based Compensation) | Six Months Ended June 30, 2025 (Intangibles Amortization) | | :-------------------------- | :---------------------------------------------------------- | :---------------------------------------------------------- | :---------------------------------------------------------- | :---------------------------------------------------------- | | Cost of Sales | $1,361 | $165 | $2,652 | $394 | | Research and development | $4,792 | $600 | $11,129 | $1,199 | | Sales and marketing | $2,109 | $266 | $3,275 | $470 | | General and administrative | $(28,908) | — | $(18,274) | — | | Restructuring costs | $(11) | — | $(59) | — | | Total | $(20,657) | $1,031 | $(1,277) | $2,063 | Additional Information Webcast Details Luminar hosted a webcast on August 12, 2025, discussing Q2 financials and business updates, with a recording available - A webcast featuring second quarter 2025 financials, business update, and live Q&A was held on August 12, 2025, at 5:00 p.m. EDT[8] - The webcast was available live on Luminar's Investor site at https://www.luminartech.com/quarterlyreview, with a recording available following its conclusion[8][9] Forward-Looking Statements Press release contains forward-looking statements for 2025 outlook, liquidity, and Halo development, subject to risks - The press release contains forward-looking statements regarding the outlook for 2025, including revenue, liquidity resources, sensor shipments, gross loss, operating expense, and expectations for Luminar Halo[12] - These statements are based on management expectations and assumptions and involve risks, uncertainties, and other factors that could cause actual results to differ materially[12] - Luminar assumes no obligation to update any forward-looking statements, which speak only as of the date they are made[12] Contact Information Contact information for Luminar's Investor Relations and Media Relations departments is provided - Investor Relations contact: Yarden Amsalem at Investors@luminartech.com[31] - Media Relations contact: Milin Mehta at Press@luminartech.com[31]