Core Insights - MicroVision is transitioning from a hardware-first "Lidar 1.0" model to a value- and software-driven "Lidar 2.0" approach, focusing on customer value and scalable economics [3][4][7] Company Strategy - The company has built its strategy around four key areas: a diversified portfolio for multiple end markets, an open software approach, design-to-cost execution, and automotive-grade delivery with fiscal discipline [2] - MicroVision's acquisitions of Luminar and Scantinel have enhanced its lidar portfolio, enabling it to serve automotive, industrial, and security markets with a range of sensing solutions [1][7] Financial Performance - For Q4 2025, MicroVision reported revenue of $0.2 million, a decline from $1.7 million in Q4 2024, with full-year revenue at $1.2 million compared to $4.7 million in 2024 [6][12] - The company recorded $29.4 million in non-cash impairments in Q4, with additional consolidation charges expected [6][16] 2026 Outlook - Management projects revenue for 2026 to be between $10 million and $15 million, with positive margins anticipated [5][18] - Cash used in operations plus capital expenditures is expected to be $65 million to $70 million, reflecting a modest increase due to recent acquisitions [19] Product Development and Market Focus - MicroVision is focusing on expanding its product offerings, including short-range solid-state sensors (MOVIA S), long-range sensors (Iris and Halo), and software solutions (MOSAIK and Sentinel) [9][10] - The company is prioritizing security and defense applications, having completed proof-of-concept phases for drone and ground-based autonomy platforms [7][10] Operational Changes - Following the acquisitions, MicroVision is consolidating its operations from Redmond to Orlando, which will serve as its U.S.-based manufacturing site [11] - The company has added approximately 30 customer relationships through the Luminar acquisition, enhancing its cross-selling capabilities [10] Market Timing and Future Growth - Automotive revenue is expected to become more significant later in the decade, while industrial and security markets will help bridge near-term commercialization [21] - The MOVIA S sensor is anticipated to drive industrial growth starting in late 2026 [21]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported revenue of $0.2 million, a decline from $1.7 million in Q4 2024. For the full year 2025, revenue was $1.2 million compared to $4.7 million in 2024, attributed to a last-time buy on a contract with an agricultural equipment customer [19][20]. - Total operating expenses for Q4 2025 were $25.3 million, including non-cash charges of $13.4 million related to asset impairment [20][21]. - Cash used in operations for Q4 2025 was $15.4 million, slightly higher than $15.1 million in Q4 2024. For the full year, cash used in operations was $58.7 million, down from $68.5 million in 2024, reflecting a 14% decrease [22][23]. Business Line Data and Key Metrics Changes - The company is focusing on a scalable product portfolio to participate in diversified end markets, particularly in automotive, industrial, and security and defense sectors [6][8]. - The MOVIA sensors are gaining traction, with multiple customer trials for industrial and automotive applications following their launch [9][14]. Market Data and Key Metrics Changes - The company anticipates revenue growth primarily in the industrial space, with automotive growth expected towards the end of the decade [34][36]. - The defense and security market is emerging as a significant opportunity, particularly for drone-based applications and real-time mapping [39]. Company Strategy and Development Direction - The transition from Lidar 1.0 to Lidar 2.0 emphasizes providing value to OEM customers rather than just focusing on technology [5][6]. - The recent acquisitions of Luminar and Scantinel are integral to the company's strategy, expanding market access and enhancing the product portfolio [15][16]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving revenue guidance of $10 million to $15 million for 2026, based on existing customer relationships and product demand [29][61]. - The company is focused on cost management and operational efficiency, with plans to consolidate operations to improve overall efficiency [17][25]. Other Important Information - The company has a strong cash position with $74.8 million in cash equivalents and investment securities at the end of Q4 2025 [25][26]. - The company is positioned to lead in the Lidar industry, capitalizing on significant revenue opportunities across multiple sectors [26]. Q&A Session Summary Question: How does the revenue guidance of $10 million-$15 million break between automotive and industrial segments? - The revenue is mostly from the industrial space, with the balance from automotive, and margins are expected to be positive [33]. Question: What is the market potential in automotive and industrial segments? - Revenue growth in automotive is expected towards the end of the decade, while industrial will be the primary focus in the near term [34][36]. Question: What is the state of Luminar customer relationships? - All Luminar customers are engaged, and the company is normalizing relationships to restart paused contracts [67]. Question: How did Luminar impact MicroVision's path to revenue? - The acquisition accelerates revenue by bringing active commercial programs and established customer relationships [69]. Question: What happened to the multiple RFQs previously announced? - The company continues to engage with customers, but the automotive market is experiencing delays due to OEMs reformulating their strategies [73][75].

Financial Data and Key Metrics Changes - For Q4 2025, the company reported revenue of $0.2 million, a decline from $1.7 million in Q4 2024. For the full year 2025, revenue was $1.2 million compared to $4.7 million in 2024, primarily due to a last-time buy on a contract with an agricultural equipment customer [26][27] - Total operating expenses for Q4 2025 were $25.3 million, including non-cash charges of $13.4 million related to asset impairment [27][28] - Cash used in operations for Q4 was $15.4 million, compared to $15.1 million in Q4 2024. For the full year, cash used in operations was $58.7 million, down from $68.5 million in 2024 [29][30] - The company ended Q4 with $74.8 million in cash equivalents and investment securities, with an additional $43 million available under the current ATM facility [31][32] Business Line Data and Key Metrics Changes - The company is focusing on a scalable product portfolio that includes MOVIA sensors for industrial and automotive applications, with anticipated interest following the launch of MOVIA S [11][18] - The acquisition of Luminar and Scantinel has expanded the product offerings, including Iris and Halo sensors for automotive and security applications, enhancing the company's market access [12][17] Market Data and Key Metrics Changes - The company sees significant opportunities in the security and defense sector, particularly with drone-based applications and ground-based autonomy, which are expected to drive revenue growth [14][45] - The automotive market is projected to grow significantly towards the end of the decade, with the company currently engaged in multiple RFQs to support automotive lidar strategies [41][44] Company Strategy and Development Direction - The transition from Lidar 1.0 to Lidar 2.0 focuses on providing value to OEM customers rather than just technology superiority, emphasizing scalable deployments and cost-effective solutions [8][10] - The company aims to lead in the Lidar 2.0 era by leveraging its comprehensive product portfolio and advanced software capabilities, which differentiate it from competitors [20][84] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving revenue guidance of $10 million to $15 million for 2026, driven by existing customer relationships and the successful launch of MOVIA S [35][67] - The company anticipates cash used in operations plus CapEx to be in the range of $65 million to $70 million for 2026, reflecting a modest increase due to recent acquisitions [36][37] Other Important Information - The company is consolidating operations from Redmond to Orlando to improve operational efficiency and realize synergies from recent acquisitions [22][23] - The acquisitions of Luminar and Scantinel are expected to accelerate revenue and enhance the company's market position by providing a broader product offering [21][75] Q&A Session Summary Question: How does the revenue guidance of $10 million-$15 million break between automotive and industrial segments? - The revenue is primarily from the industrial space, with a balance from automotive, supported by key customers from the Luminar acquisition [39] Question: What is the market potential in automotive and industrial segments? - Revenue growth in automotive is expected towards the end of the decade, while industrial and defense will serve as a bridge to that growth [41][44] Question: What is the state of Luminar customer relationships? - All Luminar customers are engaged, and the company is normalizing relationships to restart paused contracts [73][74] Question: How did Luminar impact MicroVision's path to revenue? - The acquisition accelerates revenue by bringing active commercial programs and established customer relationships [75][76] Question: What makes the overall technology portfolio different? - The company offers a broad portfolio with various lidar technologies and an open software framework, enabling faster integration and customization for customers [84]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported revenue of $0.2 million, a decline from $1.7 million in Q4 2024. For the full year 2025, revenue was $1.2 million compared to $4.7 million in 2024, primarily due to a last-time buy on a contract with an agricultural equipment customer [18][21] - Total operating expenses for Q4 2025 were $25.3 million, including non-cash charges of $13.4 million related to asset impairment [19] - Cash used in operations for Q4 2025 was $15.4 million, compared to $15.1 million in Q4 2024. For the full year, cash used in operations was $58.7 million, down from $68.5 million in 2024 [22] Business Line Data and Key Metrics Changes - The company is focusing on a scalable product portfolio to participate in diversified end markets, particularly in automotive, industrial, and security and defense sectors [6][8] - The MOVIA sensors are expected to drive interest and customer trials in industrial and automotive applications following their launch [9][12] - The acquisition of Luminar has expanded the market access by approximately 30 new customer relationships, enhancing commercial traction [13][15] Market Data and Key Metrics Changes - The company anticipates revenue growth primarily in the industrial space, with automotive growth expected towards the end of the decade [33][35] - The defense and security market is emerging as a significant opportunity, particularly for drone-based applications [10][37] - The company is optimistic about the sustainable growth potential in the security and defense sector, which has higher average selling prices compared to industrial and automotive markets [36][37] Company Strategy and Development Direction - The transition to Lidar 2.0 focuses on providing value to OEM customers rather than just technology superiority, emphasizing scalable deployments [5][6] - The company aims to lead in the Lidar 2.0 era by leveraging a comprehensive product portfolio and advanced software capabilities [8][11] - Recent acquisitions are intended to accelerate revenue and enhance operational efficiency, with a focus on consolidating operations to improve overall performance [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver products that meet performance standards and capitalize on significant revenue opportunities in various sectors [25][30] - The guidance for 2026 expects revenue in the range of $10 million to $15 million, reflecting the ability to convert prior Luminar contracts into ongoing revenue [27][56] - The company is focused on maintaining financial discipline and ensuring access to capital to support growth plans [29][30] Other Important Information - The company is consolidating operations from Redmond to Orlando, which is expected to result in asset impairment charges of $8 million to $12 million [24] - The company has $74.8 million in cash equivalents and investment securities, with an additional $43 million available under the current ATM facility [24][25] Q&A Session Summary Question: What is the revenue guidance for 2026 and its breakdown? - The revenue guidance is $10 million to $15 million, primarily from the industrial space, with positive margins expected [32] Question: How do the automotive and industrial segments grow? - Revenue growth in automotive is expected towards the end of the decade, while industrial will serve as a bridge with immediate sales opportunities [33][35] Question: What is the status of customer relationships with Luminar? - All Luminar customers are engaged, and the company is normalizing relationships to restart paused contracts [62] Question: How did Luminar impact the path to revenue? - The acquisition accelerates revenue by bringing active commercial programs and established customer relationships [64][66] Question: What is the status of the CFO hire? - The search for a new CFO is ongoing, with a focus on finding someone with relevant industry experience [79]

Summary of MicroVision Fireside Chat - February 25, 2026 Company Overview - **Company**: MicroVision (NasdaqGM: MVIS) - **Industry**: Lidar technology, automotive technology, and intelligent mobility Key Points and Arguments Current State of the Lidar Industry - The Lidar industry is transitioning from "Lidar 1.0" to "Lidar 2.0," focusing on scalable deployment and real-world applications rather than just hardware innovation [15][16] - Initial excitement in the Lidar market was driven by high expectations for automotive revenues, which led to fragile revenue streams and high burn rates among startups [15][16] - Lidar 2.0 emphasizes providing value through a diverse portfolio that serves multiple markets, including automotive, industrial, security, and defense [17][20] MicroVision's Strategy for Lidar 2.0 - **Four Critical Capabilities**: 1. **Right Portfolio and Performance**: A diverse product range for various applications [17] 2. **Cost Management**: Emphasis on a design-to-cost philosophy to enable volume sales [18] 3. **Software Leverage**: Investment in software to enhance system capabilities and reduce costs [19] 4. **Capital Discipline**: Focus on disciplined capital deployment and customer engagement [19][20] Customer Expectations and Market Dynamics - Customers are looking for affordable Lidar solutions that provide significant value, such as safety features in automotive applications [22][26] - The automotive market is experiencing challenges with OEMs pulling back on Level 3 offerings due to high costs and unclear consumer benefits [26] - In industrial applications, Lidar is being used to enhance automation and safety systems for equipment like forklifts [29][30] Role of Acquisitions - MicroVision has been active in acquiring companies to consolidate the Lidar market, including Ibeo, Scantenna, and Luminar, to enhance its technology portfolio and customer relationships [41][44] - The acquisition of Luminar is seen as a strategic move to accelerate technology development and commercialization [48][60] Revenue and Commercialization Pathway - MicroVision aims to repair and strengthen relationships with Luminar's existing customers while introducing its broader technology portfolio [64][75] - The company is focused on delivering products that meet automotive grade standards, ensuring reliability and performance over the product lifecycle [85][86] Integration of Teams and Culture - Successful integration of Luminar's team with MicroVision's existing workforce is critical, focusing on aligning strategies, fostering communication, and establishing a unified culture [94][106] Differentiators for MicroVision - MicroVision claims to have the broadest portfolio in the industry, with a strong focus on software integration and cost management as key differentiators [109][112] - The company emphasizes its unique approach to software that facilitates easier integration with OEM systems, enhancing the overall value proposition [111][112] Customer Problems and Solutions - MicroVision aims to address safety, regulatory compliance, and differentiation in the automotive sector, while focusing on economic efficiency in industrial applications [118][122] - The company is positioned to solve diverse customer problems across its three main markets: automotive, industrial, and security/defense [123] Additional Important Content - The discussion highlighted the importance of understanding customer needs and delivering solutions that provide tangible benefits, particularly in safety and cost efficiency [118][122] - The transition from Lidar 1.0 to Lidar 2.0 is framed as a critical evolution for the industry, with MicroVision positioning itself as a leader in this new phase [44][60]