Financial Data and Key Metrics Changes - Revenue for Q2 2025 was $25.7 million, down 10% from $28.4 million in Q2 2024 [15] - Licensing and related revenue totaled $15 million, representing 59% of total revenue, reflecting a 13% year-over-year decline [15][16] - Royalty revenue for the quarter was $10.7 million, accounting for 41% of total revenues, with a 16% sequential increase but a 5% year-over-year decrease [17][18] - GAAP net loss for Q2 was $3.7 million, with a diluted loss per share of $0.15, compared to a net loss of $0.3 million and diluted loss per share of $0.01 in the same period last year [19] Business Line Data and Key Metrics Changes - The company secured 13 license agreements, including five first-time customers and four OEM customers, indicating strong licensing execution [4] - Royalty revenue saw a sequential growth of 16%, driven by increased shipments from consumer and smartphone customers [11] - Consumer IoT shipments were up 21% sequentially and 60% year-over-year, reflecting strong demand [12] Market Data and Key Metrics Changes - Shipments by CEVA's licensees during Q2 2025 were 488 million units, up 16% sequentially and 6% year-over-year [20] - Cellular IoT shipments reached an all-time record high at 66 million units, up 66% year-over-year [21] - WiFi shipments were 62 million units, up 80% from 35 million units a year ago, with WiFi 6 shipments up 113% year-over-year [21] Company Strategy and Development Direction - The company aims to expand its NPU business into infrastructure and data center markets, indicating a strategic shift towards AI integration [9][13] - CEVA is focused on deepening relationships through multiple IP agreements, enhancing product capabilities and increasing royalty per device [6][10] - The company views the milestone of over 20 billion devices shipped as a launchpad for future growth in the Smart Edge Era [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the licensing pipeline and potential deal flow, particularly around Edge AI prospects [23] - The company anticipates stronger royalty revenue in the second half of the year due to seasonality and new product deployments [23][24] - Management reiterated confidence in achieving a double-digit percentage increase in non-GAAP net income and fully diluted non-GAAP EPS relative to 2024 [25] Other Important Information - Total GAAP operating expenses for Q2 were $26.6 million, above guidance due to higher employee-related benefits [18] - The company repurchased 300,000 shares for approximately $6.2 million during the quarter [22] - CEVA's cash and cash equivalents were approximately $157 million as of June [22] Q&A Session Summary Question: Will increased licensing in NPUs lead to higher royalty revenues? - Management confirmed that higher complexity in technology will lead to better economics and a meaningful increase in royalty per unit as these devices are deployed [28][29] Question: What is the expected timing for royalties from more complex designs? - Management indicated that the time from licensing to royalty reporting is typically 18 to 24 months, but may be shorter for consumer devices due to rapid market needs [30][31] Question: What is the outlook for flagship smartphone customers in 2026? - Management did not provide specific guidance for 2026 but expressed confidence in technology penetration and expected strong performance in the second half of the year [39][40] Question: What is the scalability of CEVA's AI offerings? - Management highlighted the scalability of their NPU solutions and the comprehensive software stack provided to customers, which supports various applications including edge and cloud inference [42][44] Question: What contributed to the decline in Bluetooth shipments this quarter? - Management noted that the decline was not due to specific issues but expected good sequential growth in the second half of the year as new Bluetooth technologies are adopted [57][58]

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Core Insights - Sagtec Global Limited forecasts FY2025 revenue of approximately US$22.3 million, representing a 92% year-over-year increase from US$11.6 million in FY2024 [1][3] - The growth is driven by the commercial adoption of Sagtec's AI-powered Robotics-as-a-Service (RaaS) and software platforms across sectors such as hospitality, logistics, and smart retail [2][4] Financial Highlights - FY2024 revenue was US$11.6 million, while FY2025 guidance is US$22.3 million, indicating a 92% increase [3] - Cost of service is projected to rise from US$8.9 million in FY2024 to US$17.5 million in FY2025, a 96% increase [3] - Gross profit is expected to increase from US$2.7 million in FY2024 to US$4.9 million in FY2025, a 79% increase [3] - Operating expenses are forecasted to grow from US$655,713 in FY2024 to US$1.2 million in FY2025, an 86% increase [3] - EBITDA is projected to rise from US$2.3 million in FY2024 to US$3.9 million in FY2025, a 68% increase [3] - Net profit is expected to increase from US$1.6 million in FY2024 to US$2.6 million in FY2025, a 60% increase [3] Strategic Growth Catalysts - Sagtec's AI-powered service robotics platform launched in Q2 2025 is being adopted by leading hospitality and F&B groups, combining hardware leasing, computer vision, and predictive analytics [4] - The company is targeting digitally underserved economies in Southeast Asia and the Middle East, where rising labor costs create demand for automation [5][6] - Sagtec is investing in rapid deployment of AI robotics across Malaysia, Indonesia, Hong Kong, and the UAE, as well as expanding its platform stack into logistics automation and smart retail [6] Market Expansion - The company is focusing on high-margin upselling of AI features and smart workflow automation to accelerate annual recurring revenue (ARR) [4] - Sagtec's strategic focus includes enhancing its AI applications beyond hospitality to logistics, retail operations, and smart city automation [5]