MicroVision(MVIS)2024-08-08 01:18Financial Data and Key Metrics Changes - For Q2 2024, the company recorded revenue of 22 million, with a new annual run rate expected to be between 60 million [20][22] Business Line Data and Key Metrics Changes - The company is engaged in seven RFQs with automotive OEMs for passenger vehicles, focusing on ADAS level 2+ and level 3 features [6][11] - Industrial segment sales are expected to bridge the gap until automotive revenues ramp up, with potential sales of 10,000 to 30,000 units per year starting next year [12][13] Market Data and Key Metrics Changes - The company faces stiff competition from Chinese players in the automotive sector, but there is a clear demand for lidar in the U.S. and EU markets [14][15] - The company believes it is well-positioned to capture demand due to its strategic product portfolio and focus on high-volume passenger car projects [16][17] Company Strategy and Development Direction - The company is focusing on automotive OEMs and industrial markets, with a strategy to conserve resources for MAVIN and MOVIA products while terminating projects related to MOSAIK and Sensor Fusion [17][20] - The company aims to leverage its perception software to provide solutions in the industrial market, targeting key accounts for partnerships [38][53] Management Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding RFQ decisions from OEMs, indicating that delays are often related to OEM strategies rather than the company's capabilities [25][26] - The management highlighted the importance of software in driving adoption and solving real problems in the industrial space, emphasizing a focus on key accounts rather than broad sales efforts [38][40] Other Important Information - The company has a total liquidity of $179 million as of June 30, 2024, which includes cash and cash equivalents and availability under the current ATM facility [22] - The company incurred a non-cash impairment charge on its MOSAIK software asset, reflecting a strategic decision to focus on perception software-driven products [21] Q&A Session Summary Question: Timeline for OEM win - Management indicated that OEMs have shared a second-half decision timeline, but cautioned that delays could occur due to their internal strategies [25] Question: Highlighting specific RFQs - Management expressed interest in all RFQs, particularly those with high volume and integration advantages for MAVIN [26] Question: Cash burn and runway - Management confirmed that the current cash burn is manageable, with sufficient resources for the next 12 to 18 months [27][29] Question: Understanding 905 nm vs. 1550 nm products - Management explained that 905 nm technology is more cost-effective and has been successfully shipped in volume, making it a better choice for automotive applications [33][36] Question: Adoption of lidar since April 2024 - Management emphasized a focus on key accounts in the industrial space and customization of products to meet specific customer needs [37][38] Question: Concerns about competition from Hesai - Management noted that while Chinese lidar companies have significant revenue, U.S. and EU markets are increasingly favoring American lidar companies due to data privacy concerns [46][47] Question: Capturing market share in the industrial space - Management highlighted the potential to disrupt the industrial lidar market by offering superior software solutions alongside hardware [48][51]