Arbe Announces Q1 2025 Financial Results

Core Insights - Arbe Robotics Ltd. reported financial results for Q1 2025, highlighting progress in securing orders and collaborations, despite a net loss [1][8][11] Financial Performance - Q1 2025 revenues were $0.04 million, down from $0.1 million in Q1 2024 [8] - Gross profit for Q1 2025 was negative at ($0.3) million, consistent with the previous year [9] - Operating expenses increased to $13.1 million in Q1 2025 from $12.5 million in Q1 2024, primarily due to one-time expenses related to chip design [9][10] - The operating loss for Q1 2025 was $13.4 million, compared to a loss of $12.8 million in Q1 2024 [10] - Net loss for Q1 2025 was $13.8 million, compared to a net loss of $12.8 million in Q1 2024 [11] - Adjusted EBITDA for Q1 2025 was a loss of $9.7 million, compared to a loss of $8.5 million in Q1 2024 [12] Strategic Developments - Arbe made significant progress in securing design wins with leading European OEMs, with radar technology expected to enable high-volume production for 2028 vehicle platforms [2] - HiRain Technologies launched a production-intent long-range imaging radar system, the LRR615, for the Chinese market, utilizing Arbe's chipset [3] - Sensrad placed an order for over a thousand imaging radar chips, indicating growing commercial traction in non-automotive sectors [4] - A collaboration with NVIDIA was launched to enhance radar-based mapping and AI capabilities, showcased at CES 2025 [5] Capital and Liquidity - In January 2025, Arbe raised $33 million through a direct offering, with an additional $21.5 million released from an escrow account [6] - As of March 31, 2025, Arbe had $36.7 million in cash and cash equivalents and $35.2 million in long-term bank deposits [13] Market Outlook - The company expects annual revenues for 2025 to be between $2 million and $5 million, with a focus on the latter part of the year [15] - Adjusted EBITDA for 2025 is projected to be in the range of ($29 million) to ($35 million) [16] - Arbe aims to pursue four design-ins with automakers in 2025, despite delays in the rollout of advanced driver assistance systems [15]