Silicom .(US:SILC)2026-01-29 12:45Financial Performance - Silicom's Q4 2025 revenues reached $16.9 million, a 17% increase from $14.5 million in Q4 2024[3]. - The company's net loss for Q4 2025 was $2.5 million, or $0.44 per share, compared to a net loss of $6.1 million, or $1.05 per share in Q4 2024[3][4]. - For the full year 2025, Silicom reported revenues of $61.9 million, a 7% increase from $58.1 million in 2024[5]. - The net loss for the full year 2025 was $11.5 million, or $2.01 per share, compared to a net loss of $13.7 million, or $2.28 per share in 2024[5][6]. - Non-GAAP net loss for the three-month period ended December 31, 2025, was $1,925 million, compared to a loss of $5,097 million in the same period of 2024, indicating a significant improvement[24]. - Basic and diluted loss per share for the twelve-month period ended December 31, 2025, was $2.01, an improvement from a loss of $2.28 per share in 2024[22]. Revenue Projections - Management projects Q1 2026 revenues to be between $16.5 million and $17.5 million, indicating an 18% year-over-year growth in the mid-range[7]. Market Opportunities - The company is focusing on three major market opportunities: AI Inference, Post-Quantum Cryptography, and White-Label Switching, with potential market sizes of $80+ billion, $3+ billion, and $6+ billion respectively by 2030[10]. Design Wins - Silicom achieved 8 new Design Wins in 2025 and expects to secure 7-9 new Design Wins in the upcoming year[8]. Financial Position - Silicom's balance sheet remains strong, with total assets of $152.5 million and total liabilities of $35.0 million as of December 31, 2025[20]. - Financial income (expenses), net for the twelve-month period ended December 31, 2025, was $1,653 million, down from $1,961 million in 2024, indicating a decrease of 15.7%[22]. Customer Base - The company has a solid customer base, including a global security-as-a-service giant that has doubled its business with Silicom to become an $8-10 million-per-year customer[8]. Technological Advancements - Silicom's technological advancements and market strategies position it well to capture significant growth opportunities in the evolving technology infrastructure market[9]. Operating Expenses - Total operating expenses for the twelve-month period ended December 31, 2025, were $31,187 million, compared to $29,876 million in 2024, reflecting an increase of 4.4%[22]. - Research and development expenses for the three-month period ended December 31, 2025, were $5,021 million, an increase from $4,681 million in 2024, indicating a rise of 7.3%[22]. - Selling and marketing expenses for the three-month period ended December 31, 2025, were $1,732 million, up from $1,654 million in 2024, representing an increase of 4.7%[22]. Sales Growth - Sales for the three-month period ended December 31, 2025, increased to $16,908 million, up from $14,491 million in the same period of 2024, representing a growth of 16.5%[22]. - Gross profit for the twelve-month period ended December 31, 2025, reached $18,926 million, compared to $16,598 million in 2024, reflecting a year-over-year increase of 14.0%[22].