ATOM

Image source: The Motley Fool. Tuesday, Aug. 4, 2026 at 5:00 p.m. ET President and Chief Executive Officer - Scott Bibaud Chief Financial Officer - Francis Laurencio Investor Relations - Mike Bishop Mike Bishop: Hello, everyone, and welcome to Atomera's Second Quarter 2026 Update Call. I'd like to remind everyone that this call and webinar are being recorded, and a replay will be available on Atomera's IR website for 1 year. I'm Mike Bishop with the company's Investor Relations. As in prior quarters, we are using Zoom, and we will follow traditional format. [Operator Instructions] We will open with prepared remarks from Scott Bibaud, Atomera's President and CEO; and Francis Laurencio, Atomera's CFO. Then we will open the call to questions. If you are joining by telephone, you may follow a slide presentation to accompany our remarks on the Events and Presentations section of our Investor Relations page on our website. Before we begin, I would like to remind everyone that during today's call, we will make forward-looking statements. These forward statements, whether in prepared remarks or during the Q&A, are subject to risks and uncertainties. These risks and uncertainties are detailed in the Risk Factors sections of our filings with the Securities and Exchange Commission, specifically in the forms -- in the company's annual report on Form 10-K filed with the SEC on February 24, 2026. Except as otherwise required by federal securities laws, Atomera disclaims any obligations to update or make revisions to such forward-looking statements contained herein or elsewhere to reflect changes in expectations with regards to those events, conditions and circumstances. Also, please note, during this call, we will be discussing non-GAAP financial measures as defined by SEC Regulation G. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures are included in today's press release, which is posted on our website. Now I would like to turn the call over to our President and CEO, Scott Bibaud. Go ahead, Scott. Scott Bibaud: Thanks, Mike, and good afternoon, everyone. Q2 was a quarter of real momentum. Our customer engagements advanced across each of our target markets. We've had promising signs of new markets developing and in GaN, we turned a technical breakthrough into the early stages of a genuine commercial pipeline. Today, I'll move through gate-all-around, our broader customer activity, the growing pull we're seeing in memory, and then I'll spend real time on GaN, where I believe we may be witnessing the opening of a significantly new market for Atomera. Let me start with gate-all-around. By now, you all know why this technology transition is so important. So I'll go straight to the news. We continue to work with 2 of the 4 players in this space. And this quarter, we passed a significant milestone with 1 of the 2 active gate-all-around customers, opening the door to further work on our unique silicon structures. These customers typically ask for a sequence of demonstrations before they'll accept a new material into their process flow. So clearing this stage is a meaningful step rather than a formality. It directly answers the manufacturability questions this customer had put in front of us. We remain in active discussions with the other 2 of our 4 target GAA customers, and our strategic partner continues to provide both the advanced test infrastructure and the ecosystem credibility that enables us to get in the door and helps us to stay there. Memory is an area where interest is clearly accelerating. The large memory manufacturers are under real pressure to add both capacity and performance, and they have the budgets to evaluate options that can help them get there. Up until recently, we had significant interest from DRAM customers focused on our value proposition for planar periphery enhancements. Then suddenly, our customers' direction changed. The major underlying factor was that AI demand accelerated and pushed DRAM manufacturers to the vertical scaling era, including 4F2 and 3D DRAM and other advanced architectures. We can be confident from our interactions, however, that the technical merit of our value proposition for planar periphery is strong. Today, we've established a new value proposition for 4F2 DRAM validated through discussions with multiple customers. We have shown that an MST starting wafer enables a vertical DRAM access transistor to be built using a next-generation DRAM fabrication process that is much cheaper than one of the most -- that most of the DRAM industry is currently pursuing. Our new concept solves fundamental device challenges in 4F2 while offering significant cost savings by leveraging MST's precise doping profile control capabilities. In addition to meeting with customers, we have completed a TCAD simulation study demonstrating its feasibility, and the results have been accepted to be presented at an IEEE conference in September. Traditionally, the technology in NAND flash memory periphery circuit have lagged far behind DRAM, even though NAND memory cells themselves moved to 3D structures many years ago. In the history of Atomera, we have never established a serious value proposition for flash memory. However, that situation may be changing because in the last few weeks, we have learned from a major NAND supplier that AI is now pushing NAND to the point that they need the planar periphery boost that MST can provide. We have spent the last 5 years perfecting this value proposition for DRAM, and now it is applicable to NAND. If adopted by NAND flash manufacturers, this more than doubles the TAM for MST, which would obviously be very commercially significant. Turning to the rest of our pipeline. Our large IDM customer program continues to progress according to plan. We're now at a stage where new device test data is coming in even as the next batch of experiments gets underway. Development efforts are moving fast, and our teams are working closely together. We are also working with other companies and engagements in power and our TrenchFET and HBT development continues to advance, aimed squarely at the efficiency and high-frequency demands emerging from AI data centers. In RF-SOI, wafers are still running with our second JDA partner, and we remain confident they will replicate the positive results we've demonstrated on other customer silicon. Internally, our work on a high-throughput manufacturing process for RF-SOI, where the substrate supply chain is crucial is also going well and may be applicable to multiple other applications. RF manufacturers have long relied on the characteristics of RF-SOI substrates for switch and LNA performance, but they're also interested in future designs using gallium nitride due to its significant performance advantages, including the potential for fully integrated RF front ends, including power amplifiers. Unfortunately, due to silicon substrate parasitics, GaN RF development has been mostly limited to GaN-on-silicon carbide, which is a very expensive specialty starting wafer, which brings me to the exciting news regarding their preferred starting material, GaN-on-silicon. In our May update call, we shared how MST could help solve parasitic channel problems in GaN-on-silicon, but we hadn't gotten the RF test results that could completely illustrate MST's effect. Later that month, performance data finally arrived, and we announced a technical breakthrough. MST makes GaN-on-silicon for RF devices commercially attractive. Our characterization partner, Incize, has now delivered RF data for MST enabling GaN-on-silicon that is frankly outstanding. The devices deliver effectively lossless RF together with outstanding harmonic distortion performance, leading to exceptional linearity. At the benchmark drive level, linearity is roughly 1,000x better than the GaN-on-silicon reference, and that improvement remains 2 to 3 orders of magnitude across the full suite of power. We know of no other GaN-on-silicon substrate that can duplicate these findings. Just as important, these results approach the linearity and loss figures of advanced trap-rich RF-SOI, the technology RF designers typically reach for when they need this class of performance. Our partners at Incize independently confirm these benefits on their own world-class baseline, which is exactly the kind of third-party validation customers appreciate. For more details on our GaN-on-silicon test results, please see the white paper on our website. In June, we took this data to IMS, the International Microwave Symposium, and the results were terrific. Our announcement generated real enthusiasm on the show floor. And as a direct result, we are now working with several new potential customers who want to evaluate MST GaN-on-silicon in their own designs. Here's why this matters strategically. Because our GaN-on-silicon results are now approaching RF-SOI class performance, but on a low-cost silicon substrate and with the inherent power and frequency headroom that GaN provides, we believe some designs that would traditionally be built in RF-SOI could instead move to GaN-on-silicon. That would be a meaningful shift in how RF front-end designs get built. And MST's performance may well be the catalyst that sets it in motion. If new RF design activity begins migrating towards GaN-on-silicon, Atomera would be positioned right at the start of a new high-growth market, and it's worth underscoring that MST is the enabler on both sides of that shift. So whichever path the customer chooses, Atomera benefits. To summarize, we cleared a key gate-all-around milestone, established a new next-gen value proposition for DRAM, opened a new front in memory with NAND, kept our pipeline moving across power and RF-SOI and turned our GaN breakthrough into hard RF performance data, real industry enthusiasm and new customers with the potential to seed in an entirely new RF market. This is an exciting time to be at Atomera. With that, I'll turn the call over to our CFO, Frank Laurencio, to review our financials. Francis Laurencio: Thank you, Scott. At the close of the market today, we issued a press release announcing our results for the second quarter of 2026. This slide shows our summary financials. Revenue in the second quarter was $158,000, consisting of fees for wafer deliveries to customers, primarily to our large IDM customer. Our GAAP net loss for the second quarter of 2026 was $6.3 million or $0.17 per share compared to a net loss of $5 million, also $0.17 per share in the second quarter of 2025. On a non-GAAP basis, our loss for the second quarter was $5 million compared to a loss of $4 million in the second quarter of 2025. GAAP operating expenses were $6.9 million in the second quarter of 2026, an increase of approximately $1.7 million from $5.2 million in the second quarter of 2025. Stock-based compensation, which is excluded from our non-GAAP results, increased by approximately $463,000 year-over-year and was $1.7 million in the second quarter of 2026 compared to $1.3 million in Q2 2025. In the second quarter of 2026, as compared to the prior year period, non-GAAP R&D expenses increased by $188,000, G&A expenses increased by $828,000 and sales and marketing expenses increased by $225,000. The increase in sales and marketing was mainly due to new executive hires in Q4 2025 and Q1 2026. Turning to our sequential results. Second quarter GAAP operating expenses of $6.9 million compared to $6.2 million in the first quarter of 2026. On a non-GAAP basis, operating expenses increased sequentially by $350,000 to $5.1 million in the second quarter from $4.8 million in Q1, primarily reflecting higher G&A expense, offset partly by lower R&D expenses. These sequential fluctuations largely reflected timing of expenses for IP legal costs in G&A, which were heavier in Q2 and outsourced metrology activity in R&D, which was more concentrated in Q1. Our balance of cash, cash equivalents and short-term investments on June 30, 2026, was $38.4 million compared to $41.1 million on March 31, 2026. We used $3.9 million of cash in operating activities in Q2 compared to $4.8 million in Q1 and $3.5 million in Q2 of last year. We did not sell any shares under our ATM during the second quarter of 2026. As of June 30, 2026, we had 39 million shares outstanding. We believe our current cash, which includes $23.6 million of net proceeds from the registered direct offering we closed in Q1 puts us in a strong position to execute on the opportunities ahead of us. And we will continue to be disciplined about controlling costs. However, we are experiencing cost increases, particularly in our outsourced engineering work. The recent very rapid growth in the semiconductor industry has tightened supply and our cost of tool leases, metrology and device fabrication are going up. On our last 2 calls, I said we expected 2026 annual non-GAAP operating expense to be approximately $18.5 million. We budget for a range of plus or minus $250,000 around that number, and we now expect that we will end the year in the high end of that range. With that, let me turn the call back over to Scott for a few summary remarks before we open the call up to questions. Scott? Scott Bibaud: Thanks, Frank. Before we take questions, I want to thank our employees, our customers and our shareholders for their continued support. We're excited about the progress we made this quarter, clearing a key GAA milestone, broadening our memory opportunity into NAND and turning our GaN breakthrough into real RF results. We remain focused on translating our growing body of simulation and customer silicon evidence into commercial agreements that drive long-term repeatable revenue and a strong sustainable business. And we're happy to have you along for the ride. Mike, we will now take questions. Mike Bishop: Thank you, Scott. [Operator Instructions] Right now, our first question comes from Richard Shannon of Craig-Hallum. Richard Shannon: Let me ask a few questions here. A lot of interesting comments here on your prepared remarks, Scott, let me jump into those here. First on gate-all-around here. You're characterizing the -- and please correct my language here. I'd probably get a good transcription of exactly what you said, but I think you essentially said that one of these customers has accepted a new material into their ecosystem here. Can you kind of convey the importance and difficulty of this? Have you seen -- can you compare it to other dynamics of a similar type in the past in the advanced logic space here? And then how would you describe the next steps here? How many other steps could you describe them? What has a customer told you about what they expect to do and to see from you next? Scott Bibaud: Okay. Great. Let me figure out any language from your kind of quasi-transcription there. So what we talked about this time is that we've cleared a hurdle with our gate-all-around customers where they have -- well, okay, I'm glad we're actually showing a picture of a gate-all-around structure here, and it shows you just how complicated it is. And what we expect that gate-all-around customers will do is they will ask us to prove that we can deposit MST in a structure like this and both physically and have positive electrical results on that over time. And one of the milestones that we passed this quarter is that we did actually show one of those steps that I just talked about. They'll ask us to do a few more. But at some point, when we've deposited our technology into one of their structures, the next step for them is to take it into their own fab and deposit it on their own structure. They'll keep that secret from us. Those are the very, very critical IP that they won't share with us. And so in order to do that, they would need to take a license from us and then install it in their fab. So I think hopefully, that's a clear example of exactly where we are with them and what's left to be done before they would license it and start working towards production. The other thing you asked is how is that comparable to how other materials are introduced, right? Richard Shannon: Yes. Scott Bibaud: It's unusual to have a material introduced by a third party like us, but it is more common for a company like, let's say, Applied Materials or ASM or Lam to introduce a new material to a customer. So they might say, okay, we know you're having this problem here. And we figured out how you can use our tool and deposit some material in such a way that we think it will solve it for you. And the way that an OEM typically approaches that is that they talk about it with the customer and the customer asked them to do the same thing they're asking us to do. We need to see a demonstration of how that will work. And they will demonstrate it in their own labs. And then what frequently happens is that they'll go to one of these OEMs and say, okay, we need you to install a tool, a multimillion dollar tool in our factory so that we can test it in our own flow. And then if we like what we see, then we'll buy the tool from you and we'll buy more of them when we go to production. And so that's a very typical next step. You can see those advantages for the equipment OEM, they got a real good chance to sell more tools. And for the customer, the advantage is that they get to try it out without having a commitment. We don't quite have that flexibility. So the next step for them will be to license from us, install it on one of their tools in their own fab and do that testing. Richard Shannon: Okay. So Scott, does that mean you're currently in some level of negotiation with the end customer here? Or do you expect that to happen -- start to happen soon? Scott Bibaud: Yes. I mean we've been in discussions with them about what that would imply and what our license terms would look like since we started working with them. And as we get close to the end of this, then it will accelerate so that we can close the deal. But we've already got kind of terms on the table. Richard Shannon: Okay. I'm assuming you would expect this to not be a short sales cycle and unclear exactly how long this will take. Is that a fair conclusion? Or any perspective you can offer on time frame and chances of success there? Scott Bibaud: Yes. I think so far, we've passed a lot of hurdles with them and done some, I think, pretty impressive work. And I think if we can complete this cycle and get good electrical results out of that, then we would move on to discussions about installing in the next step. That could happen -- it's not going to happen in the next 2 months, but it could actually, if things went really well happen as early as over the course of late this year or a little beyond. Now the other thing that could happen is that we get the results and they say, oh, these results are good, but they're not great. We need to do another round to prove because something went wrong, and we have to fix it and try again, and that could stretch it out by another 9 months or so. And that's why we're very hesitant to ever predict exactly when we get around to closing those deals. Richard Shannon: Always makes sense to be safe there. So that makes a lot of sense. Let's step over to the DRAM space here. Just want to make sure I'm interpreting your comments correctly, Scott, here. It sounds like the technology transition process here within the DRAM space has probably restarted an investigation and testing cycle here. So we're kind of resetting a little bit here. Is that a fair conclusion of what I heard? Scott Bibaud: In DRAM, yes, we had -- the big opportunity for us in DRAM was in the periphery circuits. DRAMs have -- you could generally break them down to 2 parts. There's the memory cell, which is very, very advanced and the periphery circuits are analog-like circuits that tended to lag the technology node of the memory cells by quite a bit. And one of the reasons they lag it so much is because they needed to contend with variability across a wide set of process conditions and across the whole wafer. And that's one of the things that MST could help to solve, and we have proven that and had a bunch of papers on it and worked with a number of customers on that. But what's happened is the emphasis in DRAM manufacturers has moved from advancing just regular DRAM to the next generation, but now starting to think a lot more about how can they actually solve the big capacity and performance issues that are in front of them. And it's most likely that their next steps would go to 3D because DRAMs right now are still planar on a single plane. So they're talking about 3D structures. The first 3D structure they would build is something they call 4F2. And in 4F2, as I mentioned on my remarks, we have some very compelling technology where MST through our doping control capabilities can really help them to simplify their manufacturing process and make it much more viable to make these things at a cost-effective manner. And so we presented that to a few of them. They agree with the concept, and so we'll start moving further ahead with them in the near future. Richard Shannon: Okay. Fair enough. On the DRAM space. Now it did sound like if I heard your comments right, you've made some great progress on the planar again, my transcription of your comments probably isn't perfect here, but something regarding the planar mechanism within DRAM here that can be applied to the NAND flash space here. So it sounds like that work, while DRAM may be kind of resetting here, it's actually a great dynamic here in the NAND flash. Am I interpreting that correctly? Scott Bibaud: Yes, exactly. Yes. In DRAM, we have -- as I mentioned earlier, we have a great technology for their planar periphery. And -- but in NAND, they never really cared that much about the planar periphery. They -- it wasn't a pressing issue for them, but now it's suddenly a pressing issue. They need to really amp up performance on the periphery. And so all that work that we've done for DRAM is now interesting to the guys in NAND flash, which is an entirely new TAM that we've never considered before because we didn't really think we have something to offer to the flash. As a matter of fact, I think you've asked me before, if there are any parts of the semiconductor market we didn't think we were applicable to, and I probably answered that was flash memory, we didn't see a path. But now we see a real path, and that's amazing. NAND actually manufactures more wafers per year than DRAM, although I think DRAM revenue is higher. But for us, where we're selling products based on wafer shipments, that's a really good opportunity. Richard Shannon: Okay. Great. That is helpful on those topics. Let me touch on RF and GaN here, which is really interesting. Again, my transcription of your comments here about getting linearity 1,000x better than the GaN-on-silicon reference seems an amazing accomplishment. And I have never thought that anyone would consider using GaN-on-silicon as a replacement for RF-SOI. And I know that space well enough to know that it goes into a lot of cell phones. So are you basically saying that people are now considering using RF-on-silicon -- excuse me, GaN-on-silicon? Scott Bibaud: Well, there's no doubt if you've gone to technical conferences for RF-SOI for the last few years, they're all talking about how it's kind of reaching its maximum performance headroom that it can get to. And by that, they mean the high-frequency performance and the ability to handle higher powers. And they're looking at all kinds of different ways of trying to keep that road map going forward. But one of the most promising is GaN because GaN does handle high-frequency RF performance much better and high power. And what we have just demonstrated -- now, okay, but last call, we talked about how GaN-on-silicon carbide is what people have been using for RF in the past, but it's a very expensive substrate. It's specialty product. You're never going to start making fully integrated front end for mobile phones with that substrate. But GaN-on-silicon can be used to do that. It has the cost levels that you could do, but it was having problems with RF. And now we seem to have solved the RF problems and this data that I showed in the call here is actually a great example of some of the big benefits that we are getting. And I will point out that we -- at the end of May, we put out a white paper explaining how MST improves GaN-on-silicon. And then we did a press release based on getting new data, and we put that into our white paper. But this data I'm showing here is even newer data than what's in our white paper, showing how incredible the improvement in harmonic distortion is over a control GaN-on-silicon wafer. Richard Shannon: Okay. It looks impressive from what I understand, which is probably only a small subset of what's really important here, but it seems like a very impressive achievement here. So... Scott Bibaud: One last statement because you had asked about RF-SOI designs. The one thing that RF-SOI has not been able to do is to support power amplifiers because it just didn't handle the high-power performance. But what you can see here in this data, especially in the lower plot is that our MST can handle -- I mean, a GaN-on-silicon enabled by MST can handle extremely high power levels. So then you could make a single design that's a fully integrated RF front end, including the switches and the LNA and the power amplifiers, and that's a key breakthrough. Richard Shannon: Interesting. Okay. That's -- I mean, my understanding is that the amount of power amp content versus the RF-SOI is probably leans towards the power amp side. So if you can include that content in there would seem to be a big increase in your TAM. Is that how you see it? Scott Bibaud: I think so. I don't know exactly how much of the power amplifier market this could take over. This is brand-new data, and we haven't even dug in as far as we need to yet, but it seems like a very promising opportunity. Richard Shannon: Okay. Thinking about where such products might be made here, I mean, do you look at guys who are making RF-SOI today as the obvious place to adopt these solutions? Do we need different infrastructure, different customer base, different material systems, et cetera, to commercialize this technology? Scott Bibaud: Certainly, the -- I think the key designers that are leading are -- I don't see that changing too much because they understand the marketplace and they understand the RF challenges. But the manufacturing infrastructure may change if you to go to GaN-on-silicon. All of the RF-SOI manufacturers today don't necessarily have a GaN-on-silicon capability, but it is something that we could work with them to enable by licensing our technology. Richard Shannon: Okay. All right. Some great stuff here, Scott. I think Frank is getting a little bored, so I want to gauge in for one question here, a very simple one, Frank, is on the OpEx here. So essentially, are you telling us that your $18.5 million OpEx number is now going to be closer to $21 million for the year? Is that what you're telling us? Francis Laurencio: No, no, no. I said plus or minus $0.25 million is kind of how we budget Richard Shannon: $0.25 million. Francis Laurencio: That is a range of $18.25 million to $18.75 million, and it will be more on that $18.75 million range. Richard Shannon: Okay. I got the decimal point in the wrong place here. So I'm glad I asked that question. And then how do we think about go forward from this year? I mean is there any way we would kind of annualize the step-up here? Or any other adds we need to have as we're -- it sounds like we're having some great success across a number of different applications. Should we think about $1 million or $2 million step-up as we get to next year? Francis Laurencio: Yes, I'm not giving guidance really for next year. But I think what you'll see is, particularly next quarter, you'll see some of these structural increases in costs go through our P&L and you'd be able to model that going forward. But it's -- I would characterize the increases as significant from the costs our service providers are imposing on us. We haven't closed off negotiations on all of those, and those tend to be long-term contracts. We have 2 major tool leases to support our development activities. And one of those is still in progress. So I'm not ready to sort of say where it's going to come out. But we've been spending about $1.8 million a year for one of our tool leases, and that was in all of our 10-Q disclosure. And I would expect that to go up pretty significantly. I don't have a number to land on that yet. That will really be at 2027, not sort of as much in the second half of this year. Richard Shannon: That's a good perfective. That's all for me, guys. Congratulations on all the great work here. Mike Bishop: Thank you, Richard. And a few questions coming in here on the Q&A line. First of all, is there an update on the PowerAmerica relationship? Scott Bibaud: Yes. So for those of you who are not aware, we made a proposal to PowerAmerica in early this year to do a partnership with a few other companies to do a development of a GaN power device and testing. Our understanding is that, that program would be awarded in May, and we have not heard that we have been awarded that program. We also haven't heard we haven't been awarded it, but I presume that we will not -- that we did not get it based on the timing, and I have heard that other companies, although I don't know who they are, were awarded that. That although disappointing, I would say a few things about that. First of all, that was a program in GaN-on-power. And early this year, we did think GaN-on-power was our primary focus. But as of the recent test data that we've gotten, we're more focused on GaN-on-RF. So in some ways, I'm almost glad that my engineering team will be more focused on that primary market. Second thing I'll say is it wasn't really a -- it was a good opportunity to partner with a number of people and show up our stuff, but it wasn't really a financially significant program for us. I think the entire program would have only brought in about $300,000 for us if we had won it. We will continue to try to join in on CHIPS Act and other proposals that we think will benefit us in our target spaces. But unfortunately, that one didn't come through. Mike Bishop: Okay, thank you. And is there an update on the relationship with STMicroelectronics? Scott Bibaud: There's not really an update. Last quarter, we said that we were still working with their business units, and we had hoped that we would put together a deal with them. That's still on the table, but we don't have anything to announce at this time. Mike Bishop: Okay, thank you. And a follow-up question on GAA. Specifically, what process does the major milestone at one customer refer to? And then a follow-up to that would be how long does it take? And can it be said to lead into license negotiations? Scott Bibaud: Yes. I mean the goal of completing this demonstration is absolutely to lead into license negotiations. That would be what we hope -- we hope will be our next step. And I can try to describe -- well, I think I described earlier, but let me try to make a little bit clearer. In the early stages of making a gate-all-around transistor, you are building a very -- that very complicated structure that we showed a picture of. And we need to grow MST conformally all along those different structures inside there. And then the customer has to grow, fill in silicon that's doped to a certain level. And every single piece of that has to -- and our MST affects the doping level and what will happen there and all different pieces of that have to come together so that if we can deposit it all properly and if we understand through TCAD modeling what the impact on the doping levels will be, then that will lead to an electrical result that's significantly better. And so that's what we're working on. We've done a lot of work on doing those depositions. We've got a bunch of the fill work done. We -- and we're working on that electrical result that we'll ultimately get to. And hopefully, if we can do that in one try, then it will lead to license discussions fairly soon. It may take more than one try, as I mentioned earlier to Richard. Mike Bishop: Okay. Thanks, Scott. And if you want to proceed with any closing comments, I think that's all the time we have for Q&A right now. Scott Bibaud: Okay. Well, let me thank you all for joining us to hear the progress within Atomera. Please continue to look for our news, articles, white papers and blog posts, which are available along with investor alerts on our website, atomera.com. Should you have additional questions, please contact Mike Bishop, who will be happy to follow up. And thank you again for your support, and we look forward to our next update call. Mike Bishop: Thank you. This concludes the Atomera call. Before you buy stock in Atomera, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Atomera wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $411,427!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,335,252!* That performance is why people listen. With a track record of beating the S&P 500 by 4x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 11, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Atomera (ATOM) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Cleared a significant manufacturability milestone with one of two active gate-all-around (GAA) customers, validating the integration of MST materials into complex silicon structures. Pivoted DRAM strategy toward vertical scaling architectures like 4F2 and 3D DRAM to address urgent AI-driven capacity and performance demands. Identified a new high-growth opportunity in NAND flash memory, where AI requirements are forcing manufacturers to adopt planar periphery boosts previously reserved for DRAM. Achieved a technical breakthrough in GaN-on-silicon, demonstrating RF performance that approaches expensive RF-SOI standards while utilizing low-cost silicon substrates. Leveraged a strategic partnership to access advanced test infrastructure, providing the ecosystem credibility necessary to maintain engagements with top-tier logic and memory players. Advanced internal development of high-throughput manufacturing processes for RF-SOI to address supply chain constraints in the substrate market. Anticipates that successful electrical validation in GAA will lead to license negotiations for in-fab installation, potentially as early as late 2026. Expects to present validated TCAD simulation results for next-generation 4F2 DRAM at an IEEE conference in September to drive further customer adoption. Projects that the migration of RF design activity toward GaN-on-silicon could position Atomera at the inception of a new high-growth market for integrated RF front ends. Assumes 2026 annual non-GAAP operating expenses will land at the high end of the $18.25 million to $18.75 million range due to rising semiconductor supply chain costs. Foresees significant structural cost increases in 2027 related to tool lease renewals and outsourced engineering services as industry demand tightens. Experiencing significant cost pressure from service providers for tool leases, metrology, and device fabrication due to rapid semiconductor industry growth. Acknowledged the likely loss of a PowerAmerica program award, though management noted the $300,000 impact was not financially significant and allows for better focus on RF-GaN. Maintained ongoing but unfinalized discussions with STMicroelectronics regarding potential business unit deals. Noted that GAA development cycles remain unpredictable, with potential for 9-month extensions if initial electrical results require additional optimization rounds. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained that clearing this hurdle answers specific manufacturability questions regarding the deposition of MST in complex GAA structures. The next step involves the customer taking the technology into their own secret fab environment, which requires a formal license agreement. While negotiations are ongoing, the timeline for a final deal depends on whether the next round of electrical results meets performance targets on the first try. The shift was driven by an industry-wide move toward vertical scaling to solve AI-related capacity issues. Atomera's MST technology offers a cheaper fabrication path for vertical DRAM access transistors by leveraging precise doping profile control. Multiple customers have validated the concept, leading to upcoming technical presentations at industry conferences. Management claims MST-enabled GaN-on-silicon achieves 1,000x better linearity than standard GaN-on-silicon, rivaling high-end RF-SOI. This breakthrough could allow for fully integrated RF front ends (including power amplifiers) on low-cost silicon, a feat currently difficult for RF-SOI. The company is now working with several new potential customers specifically interested in evaluating this GaN-on-silicon performance.

This article first appeared on GuruFocus. Revenue: $158,000 in Q2 2026, primarily from wafer delivery fees to customers, mainly the large IDM customer. GAAP Net Loss: $6.3 million, or $0.17 per share, in Q2 2026, compared to a net loss of $5 million (also $0.17 per share) in Q2 2025. Non-GAAP Net Loss: $5 million in Q2 2026, compared to a loss of $4 million in Q2 2025. GAAP Operating Expenses: $6.9 million in Q2 2026, up from $5.2 million in Q2 2025. Non-GAAP Operating Expenses: $5.1 million in Q2 2026, up from $4.8 million in Q1 2026. Stock-Based Compensation: $1.7 million in Q2 2026, up from $1.3 million in Q2 2025. Cash and Investments: $38.4 million as of June 30, 2026, down from $41.1 million on March 31, 2026. Cash Used in Operating Activities: $3.9 million in Q2 2026, compared to $4.8 million in Q1 2026 and $3.5 million in Q2 2025. Shares Outstanding: 39 million as of June 30, 2026. Warning! GuruFocus has detected 6 Warning Signs with ATOM. Is ATOM fairly valued? Test your thesis with our free DCF calculator. Release Date: August 04, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Atomera Inc (NASDAQ:ATOM) cleared a significant milestone with one of its two active Gate-All-Around customers, advancing toward potential license negotiations. The company established a new value proposition for 4F DRAM, validated through customer discussions and a TCAD simulation study accepted for an IEEE conference. Atomera Inc (NASDAQ:ATOM) opened a new market opportunity in NAND flash memory, where AI demand is driving the need for MST's planar periphery boost, potentially more than doubling its TAM. The company announced a technical breakthrough in GaN-on-silicon for RF devices, with data showing linearity roughly 1,000 times better than the reference, approaching RF-SOI performance. Atomera Inc (NASDAQ:ATOM) generated real industry enthusiasm at the International Microwave Symposium, leading to several new potential customers evaluating MST GaN-on-silicon in their designs. The company's large IDM customer program is progressing according to plan, with new device-test data coming in and next experiments underway. Atomera Inc (NASDAQ:ATOM) reported a GAAP net loss of $6.3 million in Q2 2026, wider than the $5 million loss in Q2 2025. The company's non-GAAP operating expenses increased to $5.1 million in Q2, up from $4.8 million in Q1, with expectations to hit the high end of the $18.5 million annual budget. Atomera Inc (NASDAQ:ATOM) is experiencing cost increases in outsourced engineering, tool leases, metrology, and device fabrication due to rapid semiconductor industry growth. The company did not win the PowerAmerica program for GaN power device development, a disappointment despite its limited financial significance. The timeline for closing a Gate-All-Around license deal remains uncertain, with potential delays of up to nine months if further demonstrations are needed. The company's cash position decreased to $38.4 million as of June 30, 2026, from $41.1 million at the end of Q1, reflecting ongoing cash burn. Q: Can you convey the importance and difficulty of the Gate-All-Around (GAA) milestone, and describe the next steps before a potential license agreement?A: Scott Bibaud, President and CEO, clarified that the company cleared a significant hurdle by demonstrating MST deposition in a GAA structure, answering manufacturability questions. The next steps involve completing more demonstrations, including achieving positive electrical results. Once successful, the customer would need to take a license to install MST in their own fab, as they would not share their proprietary structures. He noted that license terms have been on the table since the start, and discussions will accelerate as they near the end of the demonstration cycle. He estimated this could happen as early as late 2026 or early 2027, but cautioned that a failed experiment could stretch the timeline by another nine months. Q: You mentioned that DRAM customers' direction changed due to AI demand. Can you elaborate on the shift from planar periphery to 4F DRAM and the new value proposition?A: Scott Bibaud explained that AI demand has pushed DRAM manufacturers toward vertical-scaling architectures like 4F and 3D DRAM. While the company's value proposition for planar periphery remains technically strong, they have established a new value proposition for 4F DRAM. MST-enabled wafers allow a vertical-DRAM access transistor to be built using a next-generation fabrication process that is much cheaper than what most of the industry is pursuing. The concept solves fundamental device challenges in 4F while offering significant cost savings through MST's precise doping-profile control. A TCAD simulation study has been completed, and results will be presented at an IEEE conference in September. Q: Can you explain the new NAND flash opportunity and its significance for the company?A: Scott Bibaud stated that a major NAND supplier has indicated that AI is pushing NAND to the point where they need the planar periphery boost that MST can provide. This is a new market for Atomera, as they had never established a serious value proposition for flash memory before. The company has spent five years perfecting this value proposition for DRAM, and it is now applicable to NAND. Since NAND manufactures more wafers per year than DRAM, this more than doubles the TAM for MST, which would be very commercially significant for a company that sells products based on wafer shipments. Q: The GaN-on-silicon RF data shows linearity roughly 1,000 times better than the reference. Are you saying people are now considering GaN-on-silicon as a replacement for RF-SOI?A: Scott Bibaud confirmed that RF-SOI is reaching its maximum performance headroom, and GaN is seen as a promising path forward due to its superior high-frequency and high-power handling. Historically, GaN-on-silicon carbide was used for RF, but it is too expensive for fully integrated front ends in mobile phones. The new data shows MST-enabled GaN-on-silicon delivers effectively lossless RF with outstanding harmonic-distortion performance, approaching the linearity and loss figures of advanced trap-rich RF-SOI. This could allow designs traditionally built in RF-SOI to move to GaN-on-silicon, and crucially, MST enables GaN-on-silicon to handle extremely high power levels, potentially allowing fully integrated RF front ends including power amplifierssomething RF-SOI cannot do. Q: Is there an update on the PowerAmerica relationship and the CHIPS Act proposal?A: Scott Bibaud reported that the company made a proposal to PowerAmerica in early 2026 for a GaN power device development partnership. The program was expected to be awarded in May, but the company has not received notification of an award and presumes they did not get it. While disappointing, he noted that the program was for GaN-on-power, and the recent test data has shifted the company's focus to GaN-on-RF, which is now the primary market. The program was not financially significant, as it would have only brought in about $300,000. The company will continue to pursue CHIPS Act and other proposals that align with its target spaces. Q: Can you provide an update on the relationship with STMicroelectronics?A: Scott Bibaud stated there is no new update. The company is still working with STMicroelectronics' business units and had hoped to put together a deal, but there is nothing to announce at this time. Q: Regarding the GAA milestone, what specific process does it refer to, and how long will it take to lead into license negotiations?A: Scott Bibaud explained that the milestone involves growing MST conformally along the complicated structures of a GAA transistor, followed by filling in doped silicon. All pieces must come together to produce a significantly better electrical result, validated through TCAD modeling. The goal is to lead into license negotiations, and if successful on the first try, discussions could begin fairly soon. However, it may take more than one attempt, which could extend the timeline. Q: Can you clarify the 2026 non-GAAP operating expense guidance?A: Francis Laurencio, CFO, clarified that the company's guidance remains at approximately $18.5 million, with a budget range of plus or minus $250,000. The company now expects to end the year at the high end of that range, around $18.75 million. He noted that cost increases are primarily from outsourced engineering work, tool leases, metrology, and device fabrication due to rapid growth in the semiconductor industry tightening supply. Q: How should we think about go-forward operating expenses into 2027?A: Francis Laurencio stated he is not giving formal guidance for next year, but structural cost increases will begin showing in the P&L next quarter. He highlighted that one of the company's two major tool leases, currently costing about $1.8 million per year, is still in negotiation and is expected to increase significantly. These cost impacts will be more pronounced in 2027 rather than the second half of 2026. Q: With the GaN breakthrough, do you see the TAM expanding to include power amplifiers, and who would be the adopters?A: Scott Bibaud confirmed that the ability to handle high power levels could allow GaN-on-silicon to capture part of the power-amplifier market, which is a significant TAM expansion. He noted that the key RF designers leading the market would likely remain the same, as they understand the marketplace and RF challenges. However, For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Atomera Incorporated? Here are five stocks we like better. Atomera reported $158,000 in Q2 revenue and a $6.3 million GAAP net loss, while higher engineering and fabrication costs pushed full-year non-GAAP operating expenses toward the high end of its $18.25 million–$18.75 million guidance range. The company reached a key Gate-All-Around milestone with one customer, demonstrating that MST could be deposited in a relevant structure with positive electrical results. Licensing discussions have begun, but a deal is unlikely within the next two months and could take substantially longer if more testing is required. Atomera highlighted expanding opportunities in 4F²/3D DRAM, NAND and GaN-on-silicon RF; GaN testing showed substantially improved linearity versus a reference device and generated interest from potential customers. Cash and short-term investments declined to $38.4 million from $41.1 million in the prior quarter. Atomera (NASDAQ:ATOM) reported second-quarter revenue of $158,000, primarily from fees for wafer deliveries to its large integrated device manufacturer customer, while management highlighted progress in Gate-All-Around logic, memory, radio-frequency silicon and gallium nitride applications. The company posted a GAAP net loss of $6.3 million, or $0.17 per share, compared with a $5 million net loss, also $0.17 per share, a year earlier. On a non-GAAP basis, Atomera reported a $5 million loss, compared with $4 million in the prior-year quarter. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control President and CEO Scott Bibaud said Atomera cleared a significant milestone with one of two active Gate-All-Around, or GAA, customers. The company is working with two of the four major players it is targeting in the GAA market and remains in discussions with the other two. Bibaud said the milestone demonstrated that Atomera could deposit its Mears Silicon Technology, or MST, material in a customer-relevant GAA structure and achieve a positive electrical result. He described the work as a meaningful response to manufacturability questions posed by the customer rather than a procedural step. → Financials Hit Record Highs as the AI Trade Unravels—Can They Keep Leading? The next stage would involve the customer licensing Atomera’s technology, installing it in its own fabrication facility and testing it within a proprietary process flow. Bibaud said Atomera and the customer have discussed potential licensing terms, though he cautioned that a deal would not likely occur in the next two months. If results are favorable, discussions could accelerate late this year or later; additional experimental rounds could extend the process by roughly nine months, he said. “The goal of completing this demonstration is absolutely to lead into license negotiations,” Bibaud said during the question-and-answer session. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Management said changing demand conditions driven by artificial intelligence have shifted memory manufacturers’ focus toward vertical DRAM architectures, including 4F² and 3D DRAM, rather than planar-periphery improvements alone. Atomera said it developed a new value proposition for 4F² DRAM in which an MST starting wafer could enable a vertical DRAM access transistor using a fabrication process that management believes could be less expensive than approaches currently being pursued by much of the industry. The company completed a TCAD simulation study supporting the concept, and its results were accepted for presentation at an IEEE conference in September. Bibaud said the company’s prior work on planar DRAM periphery circuits has also opened a potential market in NAND flash. A major NAND supplier recently indicated that AI-related requirements are increasing the need for planar-periphery performance improvements, according to management. Atomera previously had not viewed NAND as a serious market for MST. Bibaud said NAND produces more wafers annually than DRAM, although DRAM revenue is higher, and characterized NAND as a potentially significant opportunity because Atomera’s business model is tied to wafer shipments. The company also emphasized new RF performance data for MST-enabled gallium nitride on silicon, or GaN-on-silicon. Bibaud said testing by characterization partner Infosys showed effectively lossless RF performance and strong harmonic-distortion results, which he said produced exceptional linearity. At a benchmark drive level, the company said linearity was approximately 1,000 times better than a GaN-on-silicon reference, with improvements of two to three orders of magnitude across the power range tested. Management said the results approached the loss and linearity performance of advanced trap-rich RF silicon-on-insulator, or RFSOI, while using a lower-cost silicon substrate. Atomera presented the findings at the International Microwave Symposium in June. Bibaud said the presentation generated interest that led to work with several new potential customers seeking to evaluate MST-enabled GaN-on-silicon in their own designs. Management said the results could potentially enable GaN-on-silicon to be used in RF front-end designs traditionally built on RFSOI. Unlike RFSOI, Bibaud said GaN-on-silicon could potentially support fully integrated RF front ends that include switches, low-noise amplifiers and power amplifiers. Elsewhere, Atomera said its large IDM program continued according to plan, with new device test data arriving as another batch of experiments proceeds. The company also said its trench FET and heterojunction bipolar transistor development programs were advancing in power applications, while RFSOI wafers continued to run with its second joint-development-agreement partner. GAAP operating expenses totaled $6.9 million in the second quarter, up from $5.2 million a year earlier and $6.2 million in the first quarter. On a non-GAAP basis, operating expenses rose to $5.1 million from $4.8 million sequentially, primarily due to higher general and administrative expense, partly offset by lower research and development expense. CFO Frank Laurencio said the company is encountering higher costs for outsourced engineering work, tool leases, metrology and device fabrication as semiconductor-industry growth tightens supply. Atomera now expects full-year 2026 non-GAAP operating expenses near the high end of its previously stated $18.25 million to $18.75 million range. Cash equivalents and short-term investments were $38.4 million as of June 30, down from $41.1 million at March 31. Atomera used $3.9 million of cash in operating activities during the quarter and did not sell shares through its at-the-market program. The company had 39 million shares outstanding at quarter-end. Management said it had not received an award under a proposed PowerAmerica GaN power-device development program and presumed it was not selected, though Bibaud said the program would have contributed only about $300,000 to Atomera. The company also said it had no new update regarding its relationship with STMicroelectronics, although discussions with business units remain ongoing. Atomera Inc is a materials engineering company that develops and licenses advanced thin film technologies for the semiconductor industry. Its flagship offering, Mears Silicon Technology (MST), is designed to enhance transistor performance, improve power efficiency and boost device yields. Atomera's solutions are integrated into existing fabrication processes without major changes to equipment or materials flows, enabling foundries and integrated device manufacturers to adopt the technology with minimal disruption. At the core of Atomera's business model is the licensing and patent-licensing of MST. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Atomera Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

LOS GATOS, Calif., Aug. 4, 2026 /PRNewswire/ -- ­­ Atomera Incorporated (NASDAQ: ATOM), a semiconductor materials and technology licensing company, today provided a corporate update and announced financial results for the second quarter ended June 30, 2026. Recent Company Highlights Announced a new approach to GaN-on-Silicon that addresses a key performance barrier for RF applications Continued strong progress with GAA customers Growing interest from DRAM and flash memory providers Management Commentary "This quarter Atomera made excellent progress with customer engagements across our key target markets, in particular the advanced logic and memory segments where AI is creating the need for further performance improvements," said Scott Bibaud, president and CEO of Atomera. "In the past, RF designers have avoided using GaN for high volume applications because of the high cost and complexity of working with GaN on Silicon Carbide. Our breakthrough results with RF GaN on silicon have the potential to enable an entirely new class of RF devices which can now take advantage of the performance improvements GaN provides with the low cost of silicon substrates." Financial Results The Company incurred a net loss of ($6.3) million, or ($0.17) per basic and diluted share in the second quarter of 2026, compared to a net loss of ($5.0) million, or ($0.17) per basic and diluted share, for the second quarter of 2025. Adjusted EBITDA (a non-GAAP financial measure) in the second quarter of 2026 was a loss of ($5.0) million compared to an adjusted EBITDA loss of ($4.0) million in the second quarter of 2025. The Company had $38.4 million in cash, cash equivalents, and short-term investment as of June 30, 2026 compared to $19.2 million of cash and cash equivalents as of December 31, 2025. The total number of shares outstanding was 39.0 million as of June 30, 2026. Second Quarter 2026 Results Webinar Atomera will host a live video webinar today to discuss its financial results and recent progress.Date: Tuesday, Aug. 4, 2026Time: 2:00 p.m. PT (5:00 p.m. ET)Webcast: Accessible at https://ir.atomera.com Note about Non­-GAAP Financial MeasuresIn addition to the unaudited results presented in accordance with generally accepted accounting principles, or GAAP, in this press release, Atomera presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA is determined by taking net loss and eliminating the impacts of interest, depreciation, amortization and stock-based compensation. Our definition of adjusted EBITDA may not be comparable to the definitions of similarly-titled measures used by other companies. We believe that this non-GAAP financial measure, viewed in addition to and not in lieu of our reported GAAP results, provides useful information to investors by providing a more focused measure of operating results. This metric is used as part of the Company's internal reporting to evaluate its operations and the performance of senior management. A table reconciling this measure to the comparable GAAP measure is available in the accompanying financial tables below. About Atomera IncorporatedAtomera Incorporated is a semiconductor materials and technology licensing company focused on deploying its proprietary, silicon-proven technology into the semiconductor industry. Atomera has developed Mears Silicon Technology™ (MST®), which increases performance and power efficiency in semiconductor transistors. MST can be implemented using equipment already deployed in semiconductor manufacturing facilities and is complementary to other nano-scaling technologies already in the semiconductor industry roadmap. More information can be found at www.atomera.com. Safe HarborThis press release contains forward-looking statements concerning Atomera Incorporated, including statements regarding the prospects for the semiconductor industry generally and the ability of our MST technology to significantly improve semiconductor performance. Those forward-­looking statements involve known and unknown risks, uncertainties and other factors that could cause actual results to differ materially. Among those factors are: (1) the fact that, to date, we have only recognized minimal engineering services and licensing revenues thus subjecting us to all the risks inherent in an early-stage enterprise; (2) the risk that licensees or JDA customers do not advance to royalty-based manufacturing and distribution licenses; (3) our ability to add other licensees and/or JDA customers; (4) risks related to our ability to raise sufficient capital, as and when needed, to pursue the further development, licensing and commercialization of our MST technology; (5) our ability to protect our proprietary technology, trade secrets and know-­how and (6) those other risks disclosed in the section "Risk Factors" included in our Annual Report on Form 10-K filed with the SEC on February 24, 2026. We caution readers not to place undue reliance on any forward-looking statements. We do not undertake, and specifically disclaim any obligation, to update or revise such statements to reflect new circumstances or unanticipated events as they occur. -- Financial Tables Follow – View original content to download multimedia:https://www.prnewswire.com/news-releases/atomera-provides-second-quarter-2026-results-302842843.html

(Bloomberg) -- SpaceX’s first earnings report following its blockbuster initial public offering is one of the most anticipated events of the summer on Wall Street. Whether it’ll give investors a reason to buy the sinking stock is another matter. Most Read from Bloomberg Beer Dynasty Families Sell €731 Million Stake in AB InBev Apple’s New CEO Taps Retired Hardware Executive for Management Team Taco Bell Met With Michigan on Parasite Weeks Before Recall Mamdani Dismisses Business Leaders Advising NYC’s Mayor’s Fund S&P 500 Closes Near Record High on US-Iran Hopes: Markets Wrap Elon Musk’s satellite, space and artificial intelligence company went public at $135 in June, and the shares have been on a roller coaster ride ever since, shooting up to $225 in the first days of trading and then plunging below the offering price. They closed Monday at $114.53, down 15% from the IPO and 49% from their high on June 16, erasing more than $1 trillion in market value from that peak. Earnings will give investors a chance to reassess the stock. The problem is SpaceX isn’t profitable and has a very speculative business at this point, so the results may end up raising more questions than they answer. With the shares still trading at a sky-high valuation despite the selloff, it will be difficult to entice new buyers. “There is so much that’s in the future of the SpaceX story, so much that hasn’t been done yet, or ever, so there’s nothing to make you comfortable,” said Drew Cupps, portfolio manager and head of the 5Perspectives Growth Team investment group at Polen Capital, which owns a small position in the company. “There’s not a lot of here and now. There’s no, look at last year to justify what you should pay now.” To make matters even more challenging for the stock, a flood of fresh SpaceX shares also is about to hit the market, as the first of many lockups that ban early investors from selling expires two days after the earnings report. As many as 911.5 million SpaceX shares worth more than $100 billion will be released on Aug. 6. And that’s just the start as billions of additional shares will be eligible for trading before the end of the year. All of which will weigh on the stock price simply based on the market’s supply and demand function. “It’s a total mess,” said Ken Mahoney, chief executive officer of Mahoney Asset Management. Wall Street expects SpaceX to report a loss of 24 cents per share in the second quarter on $6.8 billion of revenue. The results have been somewhat of a moving target, however, because so little information about the business is available. Analysts have widened their estimates for the company’s loss by 18% in the past month. “I have very little confidence in those estimates,” said Jim Lebenthal, chief market strategist at Cerity Partners. “I don’t mean this obnoxiously, but I think they’re mostly licking their fingers and sticking it in the wind.” What investors and analysts will primarily be looking for is management’s comments on the company’s progress with AI, Starlink and its rocket launch business. “We don’t have concrete earnings power that would be analogous to other parts of the market, but we do have a visionary set of massively capable assets that are in some cases unrivaled over all others,” said Polen Capital’s Cupps. SpaceX’s results come on the heels of a strong run of earnings reports from big AI spenders, including Alphabet Inc., Microsoft Corp. and Amazon.com Inc. Investors are particularly rewarding companies that are showing clear payoffs from their capital expenditures. For example, shares of Amazon and Microsoft surged following the companies’ results. With a market capitalization of roughly $1.5 trillion, SpaceX rivals the size of many megacap tech firms and is bigger than Musk’s other company, Tesla Inc. But its financials aren’t close, at least not yet, meaning investors may apply additional scrutiny to its spending plans. Analysts expect the company to report capital expenditures of $18.5 billion in the quarter and $45.5 billion for 2026. The primary issue facing SpaceX shares is their extreme market valuation. The stock trades at about 448 times earnings estimated over the next 12 months, the highest multiple of any member of the Nasdaq 100 Index, and 26 times estimated sales, which is among the 10 highest ratios in the technology-heavy benchmark. That helps explain why the short interest in SpaceX, which measures bearish bets against the stock, jumped to 34% of the company’s float, or the number shares available to trade in the market, from about 18% a month ago, according to data from S3 Partners. There are already more short bets against SpaceX than there are against Tesla. Still, Wall Street remains overwhelmingly bullish on the stock. Of the 39 analysts tracked by Bloomberg who cover the company, 30 have buy ratings. And few have backtracked on their extravagant predictions from when SpaceX went public. Raymond James analyst Brian Gesuale is sticking with his call for the shares to reach $800 within the next 12 months on exponential revenue growth. Adam Jonas at Morgan Stanley recently reiterated his $300 price target and said that shares trading at $100 values the company’s AI business at zero, making this an attractive entry point for investors. And Bernstein’s Douglas Harned is urging investors to ignore the specifics of the earnings report and focus instead on the company’s confidence in the future. “We believe the quarterly results should not matter,” Bernstein analysts led by Harned wrote in a note to clients on Friday. “What will be important is the level of confidence projected by management regarding the company’s growth path. Investors should look beyond short term stock movements as we view the case for a multi-trillion dollar valuation is about ‘if’ not ‘when’, for orbital data center plans.” Tech Chart of the Day Amazon.com Inc. surpassed $3 trillion in market value for the first time, becoming only the fifth company to ever reach the milestone. Top Tech Stories Palantir Technologies Inc. raised revenue and income forecasts for the full year after posting second-quarter sales that far exceeded Wall Street’s estimates, describing commercial demand for its data analytics tools as “otherworldly.” Snap Inc. posted higher-than-projected quarterly sales and gave an upbeat forecast for the current period, signaling optimism ahead of the September commercial debut of its first pair of augmented reality glasses. Grab Holdings Ltd. raised its annual earnings and sales forecasts, a sign that robust demand from Southeast Asian commuters is helping to absorb impact of higher fuel prices stemming from the Middle East conflict. Apple Inc. briefly removed the Telegram messaging app from its App Store after finding content on the platform that violated a ban on child sexual abuse material. China is growing anxious that Anthropic PBC’s Mythos could be wielded against the world’s second-biggest economy, adding a volatile new issue to already heightened tensions before a planned summit between Xi Jinping and Donald Trump. Earnings Due Earnings Premarket: Earnings Postmarket: --With assistance from Subrat Patnaik and David Watkins. Most Read from Bloomberg Businessweek Americans Are Rethinking Their Love Affair With Plant Milks A Wall Street Troll Reinvented Himself as the Groypers’ Pick for Governor. The GOP Can’t Get Rid of Him Trump’s Arctic Mining Deal Signals a New Era of State Capitalism Tokenmaxxing Is Dead. Now Comes the Belt Tightening Why Wall Street Is Getting Angry ©2026 Bloomberg L.P.

Atomera is prioritizing Gate-All-Around (GAA) transistors for 2nm and beyond, reporting measured silicon where MST outperformed another industry approach for a critical source/drain liner and entering evaluations with two GAA customers; electrical results could take ~6 months and the company is aiming to convert engagements into JDAs in the near term. Management flagged a meaningful GaN breakthrough where MST dramatically reduces the parasitic sheet charge at the GaN-on-silicon interface, calling the preliminary data best-in-decades and expanding ecosystem work (200mm/300mm, Synopsys, universities, labs) to speed validation and commercialization. Q1 results show a GAAP net loss of $6.1M (non‑GAAP loss $4.9M) and only $11k of revenue, but Atomera strengthened its balance sheet to $41.1M in cash after a $25M registered direct offering and is holding 2026 non‑GAAP operating expense guidance near $18.5M. Interested in Atomera Incorporated? Here are five stocks we like better. Atomera (NASDAQ:ATOM) executives said the company made progress across several customer engagements during its first-quarter 2026 earnings call, highlighting momentum in advanced logic, memory, RF, power devices, and gallium nitride (GaN) applications for its Mears Silicon Technology (MST). President and CEO Scott Bibaud said Atomera is prioritizing Gate-All-Around (GAA) transistors as the semiconductor industry transitions to 2-nanometer nodes and beyond. He described dopant diffusion control as “critical” for performance and reliability in these architectures and said Atomera is seeking adoption at each of the four companies developing GAA transistors: TSMC, Samsung, Intel, and Rapidus. → Roblox Stock Slides to New Low as Safety Changes Weigh on Outlook Bibaud said Atomera recently obtained measured silicon results showing MST performing significantly better than another approach used in the industry for a “critical source drain liner application” in small-geometry transistors. In the Q&A, he clarified that the measured results were generated “in conjunction with our strategic partner,” using Gate-All-Around structures the partner had available. He said those results have helped “open the doors” with target customers. Bibaud said Atomera is now actively conducting evaluations with two GAA customers using those customers’ own structures. He explained that while initial demonstrations can be done externally, further work may require MST to be installed inside a customer’s fab due to the complexity of advanced-node structures. → The Real SpaceX Play: 5 Chip Stocks Powering the IPO Before It Launches On timing, Bibaud said the evaluation work will take time. He estimated Atomera’s own work could take “2 to 3 months,” after which customers may run wafers through their lines for “several months,” meaning it “could be in the order of 6 months” before electrical results emerge. Structural analysis, such as TEM imaging, could be completed more quickly, he added. Asked about milestones to convert GAA engagements into joint development agreements (JDAs), Bibaud outlined a typical sequence Atomera sees with customers: Review of TCAD simulations showing potential performance Silicon demonstrations validating results Demonstrations on the customer’s specific structures (the stage Atomera said it is in with two customers) Installation and tuning in the customer’s fab, which would involve licensing and likely a JDA → 3 Emerging Markets ETFs to Maximize Exposure to High-Potential Countries He said legal agreements at these companies “do not move fast,” but added that Atomera is “working hard” and hopes to announce JDAs “in the near future.” Bibaud said the company’s customer pipeline remains active “across multiple domains.” He said work with a “large IDM customer” is continuing and Atomera expects additional results from wafer runs soon. He also discussed engagement with STMicroelectronics, saying Atomera has been working with “multiple business units” there and recently received results that suggest the company will “start re-engaging” on product development, though he said Atomera is not yet able to discuss details and STMicroelectronics has not authorized disclosure. In memory, Bibaud said Atomera is in discussions with large memory manufacturers and working on “multiple solutions” using MST for next-generation DRAM and high-bandwidth memory transistors, describing the sector as capacity-constrained and motivated to evaluate methods that could increase output. In the Q&A, he said Atomera is “further ahead” with GAA customers than with memory manufacturers, although he noted strong interest due to similar dopant diffusion challenges. In RF SOI, Bibaud said customer silicon runs have confirmed results matching Atomera’s TCAD simulations for both power switch and LNA applications. He described the main near-term issue as not performance, but rather “the most efficient path to commercialization,” particularly when fabless licensees are involved and business structures must align with manufacturing flows. In power devices, he said Atomera is targeting MST to TrenchFET and HBT transistors for “high frequency, high speed, and high voltage applications,” and noted wafers are moving forward with the company’s “second JDA partner,” with efforts continuing toward a production pathway. Bibaud said Atomera achieved what he called a meaningful GaN advancement during the quarter, including preliminary data indicating MST can “dramatically reduce” a parasitic channel that forms at the GaN-on-silicon interface. He described the parasitic sheet charge layer as a known limiter of RF performance in GaN-on-silicon and said eliminating it has been a topic of study for decades. According to Bibaud, MST’s interface engineering can block gallium and aluminum ions from entering the silicon substrate. He cited feedback from “an industry veteran” who told Atomera the data was the best measured sheet charge he had seen in 20 years, while emphasizing the company is continuing validation with test and measurement partners. Bibaud said RF GaN-on-silicon has applications in wireless infrastructure, military, defense, satellite markets, and is being evaluated for integrated RF front ends including potential 6G uses. He added Atomera is engaging customers on both 200mm and 300mm wafers, depending on customer requests, and said wafer size can be a key GaN-on-silicon advantage for cost structure and high-volume manufacturing. He also pointed to growing collaboration across the ecosystem, including engagements involving Incize, Synopsys, Texas State University, Sandia, and others, describing parallel commercial and research paths as a way to compress development cycles. Bibaud additionally discussed an expanded collaboration with Synopsys, building on Atomera’s work enabling MST modeling in Sentaurus TCAD through its MSTcad tool set. He said the relationship is extending into GaN workflows for RF and power devices, with Atomera providing feedback on Synopsys’ GaN models and jointly developing marketing materials. In response to a question about its strategic development partner, Bibaud said Atomera aims to work broadly with major epi tool vendors, but noted that under the existing strategic partnership, co-development activity has increased significantly. He said the companies now have weekly engineering meetings to generate test data for customer marketing and to support customer-requested demonstrations. He also said the collaboration has expanded into joint marketing and sales efforts, an area he said Atomera had not previously done with the partner, and noted that tool vendors may financially benefit if Atomera’s technology is adopted because of associated equipment sales. Chief Financial Officer Frank Laurencio reported a GAAP net loss of $6.1 million, or $0.17 per share, for Q1 2026, compared with a GAAP net loss of $5.2 million, also $0.17 per share, in Q1 2025. On a non-GAAP basis, Atomera posted a net loss of $4.9 million, or $0.14 per share, versus a non-GAAP net loss of $4.4 million, or $0.15 per share, a year earlier. GAAP operating expenses were $6.2 million, up from $5.5 million in Q1 2025. Laurencio said stock-based compensation increased $397,000, driven primarily by new hires and the adoption of performance stock units (PSUs) for executives beginning in Q1 2025. He noted that the first tranche of PSUs issued in Q1 2025 “lapsed without vesting” because Atomera did not meet the required stock price performance threshold relative to the Russell 2000. Non-GAAP operating expenses were $4.8 million, up from $4.4 million in Q1 2025, with sales and marketing higher due to two executive hires since October and R&D higher due to outsourced engineering and metrology spending tied to wafer runs for GAA engagements, an IDM customer, and a JDA customer. Sequentially, non-GAAP net loss widened from $3.3 million in Q4 2025 to $4.9 million in Q1 2026. Laurencio attributed part of the quarter-to-quarter operating expense increase to a Q4 2025 reversal of accrued executive bonus expense after the compensation committee withheld approximately $669,000 of the 2025 executive bonus, with the opportunity for executives to earn it back in 2026 upon achieving commercial objectives. Atomera ended the quarter with $41.1 million in cash, cash equivalents, and short-term investments as of March 31, 2026, up from $19.2 million at December 31, 2025. Operating cash use was $4.6 million in Q1. Laurencio said the company closed a $25 million registered direct offering in February, selling 5 million shares at $5 per share for net proceeds of $23.6 million after fees and expenses. Atomera also raised $3.2 million in Q1 through its at-the-market program, selling about 1.3 million shares at an average price of $2.47. Laurencio said the company had 38.7 million shares outstanding. On expense outlook, Laurencio reiterated Atomera expects 2026 annual non-GAAP operating expenses of approximately $18.5 million and said the company is “holding to that number.” Revenue in Q1 2026 was $11,000, consisting of fees for wafer deliveries to the large IDM customer. Deferred revenue was $96,000. Laurencio said approximately $46,000 of expected Q1 revenue shifted into Q2 due to delayed wafer shipments, and he guided Q2 revenue to a range of $50,000 to $100,000. In closing remarks, Bibaud said the company remains focused on translating simulation and customer silicon results into commercial agreements that can drive “repeatable revenue.” Asked whether deals could still be signed in 2026, he said the year was still early and that he remained hopeful, adding that wafer-based product opportunities in areas such as GaN, RF SOI, and memory could potentially reach market faster. Atomera Inc is a materials engineering company that develops and licenses advanced thin film technologies for the semiconductor industry. Its flagship offering, Mears Silicon Technology (MST), is designed to enhance transistor performance, improve power efficiency and boost device yields. Atomera's solutions are integrated into existing fabrication processes without major changes to equipment or materials flows, enabling foundries and integrated device manufacturers to adopt the technology with minimal disruption. At the core of Atomera's business model is the licensing and patent-licensing of MST. The article "Atomera Q1 Earnings Call Highlights" was originally published by MarketBeat.

Image source: The Motley Fool. Tuesday, May 5, 2026 at 5 p.m. ET President & Chief Executive Officer — Scott Bibaud Chief Financial Officer — Frank Laurencio Investor Relations — Mike Bishop Mike Bishop: Please stand by. We will begin in a moment. Hello, everyone, and welcome to Atomera Incorporated's first quarter 2026 update call. I would like to remind everyone that this call and webinar are being recorded and a replay will be available on Atomera Incorporated's IR website for one year. I am Mike Bishop with the company's investor relations. As in prior quarters, we are using Zoom and we will follow a similar presentation format with participants in a listen-only mode. We will open with prepared remarks from Scott Bibaud, Atomera Incorporated's President and CEO, and Frank Laurencio, Atomera Incorporated's CFO. Then we will open the call to questions. If you are joining by telephone, you may follow a slide presentation to accompany our remarks on the events and presentation section of our investor relations page on our website. Before we begin, I would like to remind you that during today's call, we will make forward-looking statements. These forward-looking statements, whether in prepared remarks or during the Q&A session, are subject to inherent risks and uncertainties. These risks and uncertainties are detailed in the Risk Factors section of our filings with the Securities and Exchange Commission, specifically in the company's annual report on Form 10-K filed with the SEC on 02/24/2026. Except as otherwise required by federal securities laws, Atomera Incorporated disclaims any obligation to update or make revisions to such forward-looking statements contained herein or elsewhere to reflect changes in expectations with regards to those events, conditions, and circumstances. Also, please note that during this call, we will be discussing non-GAAP financial measures as defined by SEC Regulation G. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures are included in today's press release, which is posted on our website. Now, with that, I would like to turn the call over to our President and CEO, Scott Bibaud. Go ahead, Scott. Scott Bibaud: Thanks, Mike, and good afternoon, everyone. This quarter, we made solid progress with multiple customers across our highest value markets while also expanding the breadth of applications where MST can solve real current pain points for the semiconductor industry. We are seeing strong customer pull in advanced logic, memory, in wide bandgap materials like GaN and power and in RF, areas that are being shaped by the rapid growth of AI infrastructure which is driving the need for better power efficiency, signal integrity, and system performance. Today, I will start with an update on gate-all-around where we have been working closely with customers and our strategic partners to validate MST in these advanced geometries. Then I will touch on our customer pipeline and close with updates on GaN, giving insights on some exciting new technical results that are shaping near-term opportunities. As we have said before, the move to gate-all-around at 2 nanometers and beyond is one of the most important architectural transitions in the industry, and it is also one of the most difficult manufacturing environments, since fabs must build incredibly complicated structures at line widths of 5 thousand times smaller than a human hair where a small amount of atomic migration can cause big problems. Gate-all-around transistors are the building blocks for AI infrastructure and dopant diffusion control is critical to their effectiveness in terms of performance and reliability. Therefore, the industry is demanding clear proof that any new material can be deposited precisely and that it delivers measurable benefits in advanced silicon devices. Today, there are four companies in the world developing gate-all-around transistors, TSMC, Samsung, Intel, and Rapidus. We know that each of them can use the capabilities of MST, so it is our goal to achieve adoption at all four. Further, as these companies transition to the generation beyond gate-all-around called CFET, our technology becomes even more essential, so working with us now is in their best interest long term. On our last earnings call, we had just received measured silicon results that prove MST is the best solution for a critical source/drain liner application in these small geometry transistors. At this point, we are actively working on evaluations of our technology with two of our target gate-all-around customers, and discussions are underway with the others. It is typical that a customer asks to conduct multiple demonstrations before agreeing to accept a new technology for implementation in their fab’s wafer flow. These demonstrations help to validate our claims while simultaneously addressing the detailed implementation and functionality questions these customers are focused on solving. We also expanded the scope of our work with our strategic development partner this quarter, which is important because it strengthens both our technical velocity and our credibility with the ecosystem. Their test and development infrastructure helps us generate the kind of data that advanced node customers insist on seeing before engaging, and their endorsement will certainly help us engage a broader set of teams within each target account. Each of the large memory manufacturers are facing similar challenges to the gate-all-around customers as they develop their next generation transistors in DRAMs and high bandwidth memories. Our team is in discussions with them right now and we are currently working on multiple solutions using MST to assist in this area. Right now, memory manufacturers would do almost anything to get greater fab capacity, and they have the resources to evaluate different methods of doing so. We hope to take advantage of that opportunity with solutions enabled by MST. The momentum we are seeing in the advanced node space is a result of many years of work targeting current market trends. The macro challenges that AI’s success has put front and center—capacity and performance of CPUs, GPUs, logic, and memory; the power demands of cloud providers; and the increased costs associated with these—are all areas that Atomera Incorporated can help solve. For that reason, we believe that MST is a fundamental tool for the future of AI. Our customer pipeline remains very active across multiple domains. For example, our work with our large IDM customer continues to go well, and we expect additional results from wafer runs soon. Our efforts with STMicroelectronics are bearing fruit, and we are confident we will reengage with them again in the near future, consistent with our view that MST can create value across multiple product lines, especially in a large diversified IDM or foundry. In RF SOI, we are seeing strong results confirming our extensive TCAD simulations. The technical results we have been focused on, including for both power switch and LNA, have been confirmed through customer silicon runs. The near-term question is less about performance and more about the most efficient path to commercialization, particularly in cases involving fabless licensees where aligning the business structure with the manufacturing flow can be complex. In power devices, we are seeing excellent potential in new development work being done to target MST at both trench FET and HBT transistors, useful in high frequency, high speed, and high voltage applications. At the same time, wafers continue moving forward with our second JDA partner, and we will keep pushing those efforts toward a production pathway. Turning to GaN. We made meaningful advancements this quarter, including a breakthrough that could give us a technical leadership position in RF GaN on silicon, to augment the advantages previously outlined for power GaN on silicon. To explain the innovation, I need to give a little background. GaN on silicon is a much more economical growth method than alternatives built on exotic substrates like silicon carbide or sapphire. But when GaN on silicon is manufactured, due to the GaN stack growth process, gallium and aluminum ions gather at the silicon substrate interface, forming an unwanted sheet charge layer called a parasitic channel, which is well known to limit RF performance in GaN on silicon applications. In fact, its elimination has been the subject of materials and growth studies for more than 20 years. In the past few weeks, we received preliminary performance data suggesting MST can reduce the parasitic channel. It does this by using MST’s fundamental interface engineering to block the gallium and aluminum ions from getting into the silicon substrate. An industry veteran told us that in his 20 years, this is the best measured sheet charge data he has ever seen. We are continuing to validate this very promising discovery with our test and measurement partners. RF GaN on silicon is of value in the wireless infrastructure, defense, and satellite markets. It is also being actively evaluated for highly integrated RF front ends such as those for 6G cellular. So the market potential is large and growing fast. We are actively engaging on both 200 millimeter and 300 millimeter wafer sizes in GaN depending on our customers’ request. That matters because the wafer size for GaN on silicon is one of its key advantages, leading directly to a customer’s path to high-volume production and low cost structure, a set of fabs that can support ramp, including opening doors for new applications with conventional silicon fabrication methods and devices. We are seeing expanded interest and partnerships across the ecosystem, including engagements involving InCyte, Synopsys, Texas State University, Sandia, and others. Those kinds of parallel paths—commercial customers plus research and ecosystem partners—can compress development cycles and accelerate the time from promising materials data to something customers can qualify and deploy. Work here is aimed at generating data that is both technically rigorous and directly translatable to customer device requirements. Finally, a quick note on our announcement last week about expanding our collaboration with Synopsys. We have worked with Synopsys for years to enable accurate modeling of MST inside the Sentaurus TCAD environment through our MST CAD toolset. This expanded collaboration extends that relationship into GaN work for both high-value RF and power devices. Practically, this means we are working closely with Synopsys to provide feedback on their GaN models and we will be jointly developing marketing materials so customers and partners can evaluate the physical and electrical effects of MST in GaN more quickly and with higher confidence. To summarize, we are making progress where it matters, expanding and deepening gate-all-around engagements, broadening GaN from power into RF with concrete technical innovations, and continuing to advance multiple customer programs across our pipeline. We remain focused on converting technical validation into commercial agreements that can drive repeatable revenue, and I am confident in our ability to do so. This is indeed an exciting time for Atomera Incorporated. With that, I will turn the call over to Frank, our CFO, to review our financials. Frank Laurencio: Thank you, Scott. At the close of the market today, we issued a press release announcing our results for 2026, and this slide shows our summary financials. Our GAAP net loss for 2026 was $6.1 million, or $0.17 per share, compared to a net loss of $5.2 million, which was also $0.17 per share in 2025. On a non-GAAP basis, net loss last quarter was $4.9 million, or $0.14 per share, and our Q1 2025 net loss was $4.4 million, or $0.15 per share. GAAP operating expenses were $6.2 million in 2026, an increase of $742 thousand from $5.5 million of GAAP operating expense in Q1 2025. Stock compensation expense, which is excluded from non-GAAP results, increased by $397 thousand, primarily due to new hires and our adoption in 2025 of performance stock units, or PSUs, for executives. PSUs vest over three years, whereas the time-based options and RSUs that we had previously granted to executives vested over four years. Although the vesting period is shorter, PSUs vest only if our stock performs well relative to the Russell 2000. The first tranche of PSUs issued in Q1 2025 lapsed without vesting because we did not hit the required stock price performance threshold. With the exception of stock compensation expense, the drivers of GAAP and non-GAAP expenses are substantially the same, so I will drill down into other factors that impacted our expenses by focusing on non-GAAP numbers. Please refer to the slide presentation for a reconciliation between GAAP and non-GAAP results. Non-GAAP operating expenses in the first quarter were $4.8 million, a year-over-year increase of $348 thousand from $4.4 million in 2025. Sales and marketing expense increased by $203 thousand, reflecting our two executive hires since October. R&D expenses increased by $127 thousand from $2.8 million in Q1 of last year to $2.9 million in the first quarter of this year, primarily due to higher spending on outsourced engineering to support the wafer runs for our gate-all-around engagements, our IDM customer, and our JDA customer, which drives spending on metrology. G&A expenses were basically flat from the first quarter of last year. Turning to sequential quarterly results, first quarter 2026 non-GAAP net loss was $4.9 million, or $0.14 per share, compared to net loss of $3.3 million, or $0.10 per share, in 2025. Operating expenses were $4.8 million in Q1, which is a $1.6 million increase from $3.2 million in Q4. Let me offer some color on the magnitude of this sequential increase. As I explained on our last quarterly call, our compensation committee elected not to pay the full 2025 executive bonus, withholding approximately $669 thousand which normally would have been paid out in January. The committee provided the executive team the opportunity to earn back the withheld amount in 2026 upon achievement of commercial objectives. This led to us reversing accrued bonus expense in the fourth quarter, which skews the comparison of expenses between Q1 and Q4. Our balance of cash, cash equivalents, and short term on 03/31/2026 was $44.11 million, compared to $19.2 million on 12/31/2025. We used $4.6 million of cash in operating activities during Q1 compared to $3.2 million in Q4 and $4.8 million in Q1 of last year. As is typical for us, cash used in the first quarter of every year is higher than other quarters due to payments for items that are expensed over the year. In February, we closed on a $25 million registered direct stock offering, selling 5 million shares of common stock at $5 per share, netting us proceeds of $23.6 million after fees and expenses. Prior to this offering, we had also raised $3.2 million in Q1 by selling approximately 1.3 million shares under our ATM at an average price of $2.47. Currently, we have 38.7 million shares outstanding. With the proceeds of our equity offering, we feel that our current cash balance puts us in a strong position to execute on the opportunities ahead of us, but we will continue to be disciplined about controlling our costs. On our last call, I said that we expected our 2026 annual non-GAAP operating expense to be approximately $18.5 million, and we are holding to that number. To reiterate, the reason why the expense increase appears as large as it does over $15.9 million of OpEx in 2025 is the bonus deferral, which essentially shifted expenses out of Q4 and moved them into 2026. Organic increases in spending mainly relate to the hiring of our VP of Sales in Q4 last year and our VP of Marketing in Q1. Revenue in Q1 was $11 thousand and consisted of fees for wafer deliveries to the large IDM that Scott talked about, and we have $96 thousand of deferred revenue on our balance sheet. Approximately $46 thousand of revenue that we expected to recognize in Q1 pushed out to Q2 because wafer shipments that we anticipated making last quarter pushed out to early this quarter. Accordingly, we expect Q2 revenue to be in the range of $50 thousand to $100 thousand. With that, I will turn the call back over to Scott for a few summary remarks before we open the call up to questions. Scott? Scott Bibaud: Thanks, Frank. Before we take questions, I want to thank our employees, our customers, and our shareholders for their continued support. We are excited about the progress we are making, and we remain focused on translating our growing body of simulation and customer silicon evidence into commercial agreements that can drive long-term repeatable revenue in a strong, sustainable business. Mike, we will now take questions. Mike Bishop: We will now open the call for questions. Thank you, Scott. If you wish to ask a question, please click the Q&A button at the bottom of the Zoom window. Then feel free to type in a question. I will do my best to aggregate the incoming queries and relay them to management. Alternatively, you can click the raise hand button, and we may call on you to ask your question live. Right now, it looks like Richard is ready to ask the first question. Richard, please go ahead. Richard Cutts Shannon: Hi, Mike. Thanks. Thanks, Scott and Frank. Mike, can you hear me? I just want to make sure the audio is— Mike Bishop: Yes, we can hear you, Richard. Thanks. Richard Cutts Shannon: Alright, great. Scott, the gate-all-around topic—you made some very interesting comments I want to touch on. You mentioned that you now have measured silicon results, and your customers said that they are better than the other solutions that they have. I want to make sure that is what you said, and then I have a couple follow-ups on that topic. Scott Bibaud: Are you talking about GaN or gate-all-around? Richard Cutts Shannon: Gate-all-around. Scott Bibaud: On gate-all-around, we do have measured silicon results. Richard Cutts Shannon: And— Scott Bibaud: We evaluated our results against another method that people in the industry are using to accomplish the same type of thing we are doing, and our results are a significant improvement. So, yes, we have definitely had that, and we are showing that to customers. Richard Cutts Shannon: Okay. To follow up on this, I assume that the measured results are wafers run at one of these four targeted customers. Is that correct? Scott Bibaud: The measured results are something that we did in conjunction with our strategic partner, where they had gate-all-around structures and we used those devices to grow MST on those gate-all-around structures in the wafer, and then we were able to conduct this testing. Richard Cutts Shannon: Okay. So now, if you think about how you approach customers, you go out and show your simulation data— Scott Bibaud: We can do that without a strategic partner, but then having silicon test data is a massive improvement over that. So that has been able to really open the doors for us to get into the customers. The next step from there is the customer will typically say, “Okay, we can see you did that on your strategic partner’s structure. We want you to do it on our structure,” because everybody’s structure is different. Richard Cutts Shannon: Mhmm. Scott Bibaud: When I mentioned that we have work underway with two of the target customers doing demonstrations, that is the step we are at. We are implementing our technology on their structures and showing them that. We believe that the step after that, Richard, will be that they will have to install MST in their fabs to do any further testing because these structures are so small and hard to manufacture that it is difficult to do a lot more work by having us run demonstrations in our fab. Richard Cutts Shannon: Okay. So to that point, do you have a commitment to attempt to do this on your customers’ structures, or is this still discussions to get that agreed to? Scott Bibaud: We are working on it with two of them. I do not know what you mean by commitment, but they are sending us wafers and we are putting our material on them, so that is pretty committed. Richard Cutts Shannon: That sounds good. What is the time frame for this work to get done? I assume the analysis can often take a while, and these are more complex than most. What is the turnaround time between getting that done, analyzing, and getting to the next step? What do you foresee? Scott Bibaud: It is going to take several months. We have to do a lot of development work to figure out how to grow things effectively in these tiny devices that they are sending us. Normally, when someone sends us wafers, within three weeks to a month we can turn those around and send them back. In this case, my guess is it might take us two to three months, and then we send them back, they have to put them in their fab and run them for several months. So it could be on the order of six months before we start to see results coming out of this. Both structural analysis—where they are looking at what we did for deposition in those structures and making sure that what we did was appropriate—they can do pretty quickly, because you are taking TEM images, like electron images, and looking at what we did. Those results will come quickly, but the electrical results will be the result of running the wafers through the whole line. Richard Cutts Shannon: Got it. And so you are expecting to run wafers from two different GAA customers over the next few months? Scott Bibaud: Yes. Richard Cutts Shannon: Going back to my first question and understanding the results you measured with the runs you did with your equipment partner, do the customers agree that the comparison you have done with an industry-standard approach to dopant diffusion is much better than what they can get internally, or is this just what your equipment partner concluded for you? Scott Bibaud: There is no doubt that the customers we have been able to engage with and get down to lots of details have been impressed enough that they want to move forward with these further demonstrations. They definitely saw the benefit of using MST to block the dopant diffusion in the areas that we are talking about, and how it works better than what they are currently implementing. Richard Cutts Shannon: Okay. Fair enough. Some really interesting stuff going on there. Thanks for all those details. Maybe a couple other quick questions. On the DRAM side, it sounds like you have made some progress, but if I compare logic to memory, it sounds like logic is reasonably farther ahead than memory. Is that a fair comparison? Scott Bibaud: Yes, that is true. We are talking with the memory manufacturers. Memory has a different architecture than logic. They are not using gate-all-around, but in memory they are having the same type of dopant diffusion problems with their newer architectures as the gate-all-around folks are, and our technology is directly applicable to that. So we have a lot of interest from them. We are also talking to them about some other solutions that may be able to help them in different ways. There are lots of different vectors of how we are engaged with memory—both DRAM and high bandwidth memory—but we are further ahead with the gate-all-around customers than we are with them. Richard Cutts Shannon: Okay. Maybe a question on the GaN side. Four years ago my recollection is you were talking more about GaN in the power space, but more recently it has been in RF. How would you characterize which one is the leader in terms of getting to the next step—installation, licenses, or using wafers with that already built in? Which one is in the lead, if either one is notably better? Scott Bibaud: It is interesting. You are right that we initially targeted the power market for our GaN on silicon work. The power market is actually much larger than the RF GaN market today, and that is one of the reasons why we targeted it first. For the power market, our big value has been to improve crystal quality and therefore allow people to manufacture on larger wafers because there would be less bow and warp as they were growing the GaN and fewer defects, which has a lot of inherent value. The challenge is to validate all that work you have to build wafers, build electrical devices, and do a lot of testing, so that takes time, and everybody’s GaN growth properties are different, so there is some tuning that has to happen. The new things I just mentioned for RF GaN—we got some test data and we just spoke about it at a big compound semiconductor conference last week—and there is a huge amount of interest in the industry. Just looking at this early data that we got—now it has to be validated and so forth—but just looking at that data could be enough for someone to adopt us because it is such a big breakthrough in an area where the industry needs solutions. In RF, they do not actually have to do the full electrical testing before they can decide to move forward on something. So although we are earlier into the RF GaN on silicon market, that one could move faster. Richard Cutts Shannon: Alright. One last question for me. Maybe going back to STMicro. I am not sure if this is who you are now referring to as the IDM customer or not, so correct me if I am assuming that. Maybe just indicate where we are with those guys. You put a pause on the power work that you were hoping to move forward with. How about other applications with them? Are they still moving as you had expected since the cessation of the power work? Scott Bibaud: To clarify, when I talk about the IDM, it is not STMicro. STMicro is another IDM, and we think we have a lot of different areas where we can engage with STMicro, but that is a separate engagement. We have been talking with multiple business units there and doing evaluation work, and we have recently got some results that lead us to believe that we are going to start reengaging with them on developing a product. We are not at the point where we can talk about that yet. ST has not specifically given us any okay to talk about it. But we have been saying since we had to give that unfortunate news about the BCD program at ST that we were working with other groups and that our relationship with the company was great. They really know and understand MST technology and have seen it, and they believe in it. This is kind of vindication of those comments. We have not been able to announce a new deal with them yet, but we hope to be able to do that in the future. Richard Cutts Shannon: Okay. Excellent. I will jump out of line. Thank you very much. Scott Bibaud: Thanks. Mike Bishop: Okay, thanks, Richard. There are a few questions that have been asked in the Q&A line and I will bring them up one by one. The first question is about gate-all-around: given the evaluation periods that we have seen in other areas at Atomera Incorporated, are there specific milestones that need to be hit to convert these gate-all-around customers into JDAs, and what is a realistic time frame for such a conversion? Scott Bibaud: At a high level, I will put a little bit more structure on what I talked about with Richard before. It is typical that customers want to see four different levels. They want to see TCAD results that show you have the potential to deliver performance, and they have to understand all the TCAD background and believe in it. Then they will move ahead and say, “We want to see that captured on silicon.” We have done those two steps in gate-all-around. The next step, they say, “We want to see that captured in silicon, but on our silicon, on our structure. We are going to send you wafers. We want you to deposit it on our structure and send it back to us, and we will evaluate it.” They know they are not going to get the most perfect performance out of that, because there is work we have to do together to get everything fully integrated, but they are trying to do a proof of concept on their platform. That is the stage we are at right now with two of the customers. Beyond that, the stage after that would be where they install and do the actual implementation on their device, tuning it all appropriately. So it is fair to ask when we should expect to see a JDA—sometime during this period of us doing the evaluation on their devices and when we get to the point we will install there, because that would involve a license, then we should be having a JDA in place. These companies do not move fast when you are talking about legal agreements, but we are working hard to make those happen, and we hope to be able to announce them at some point in the near future. Mike Bishop: Thank you. And, Frank, a question regarding the equity raise: an investor asks about the background and reason for the third-party private placement, and given the stock price rise, could we have had better timing? Frank Laurencio: Thanks for that. One of the comments I have made in talking about the capital that we raised in Q1 was some funding that we got via the ATM. If you look at that, the average price on that was $2.47, which is roughly about where we were trading about a week and a half or two before we did the equity raise. So the $5 price that we executed on there—given what we had seen so far, not only in Q1 but really looking back over the last couple of years—made us look at this as a very good opportunity. Sure, the stock had run up to $7 and now in the last couple of weeks it has run up again, but given the past trading levels that we had and, again, a lot of geopolitical uncertainty in the middle of February, which we have kind of seen play out since then, you cannot know how the equity market is going to perform. On balance, it seemed like a very good opportunity for us to execute on that, and then, frankly, be able to work toward commercial outcomes and not worry about the day-to-day movements in the stock price or have to use the ATM to keep our balance sheet strong. We have now strengthened the balance sheet. It is always easier, with the benefit of hindsight, to second-guess the price, but I think it was a very good decision to execute then. Mike Bishop: Thank you, Frank. Question on the tool partner: how has your relationship evolved with your strategic partner? Has that relationship changed over time, giving you more engineering personnel, and how is that working? Scott Bibaud: That is a good question. We try to be good partners with each of the big tool vendors. There are three main tool vendors that the industry uses for epi tools, and we typically want to be an arms dealer—work with whatever tool our customers want to work with—so we have good relationships with all of them. The tool vendor that we have the strategic partnership with is one we have been working with for more than a decade and had a good relationship with, but now that we have entered into the strategic partnership, the level of co-development work that we are doing is at a whole new level. We have weekly meetings with their engineering team where we are working on developing the test data that we need for marketing to customers, and as customers ask us questions and want to get more demos, we dig in and do work on that together. So on an engineering cooperation level, it is at a whole new level. The second area is marketing and sales to customers, and that is something that we have never really done with them in the past. We are developing the right materials for us to both go target customers and talk about MST technology and what a good solution it is. One thing I have calculated a number of times is that if we are successful licensing our technology, in many cases the tool vendor is going to make more money from us winning designs there than we will. So there are obvious advantages for them making us successful, and they are not doing this out of the goodness of their heart. The good news is I think they have recognized that in the last year since we started this, and we are really seeing the benefit as we are engaging with customers. Mike Bishop: This is a follow-up to when we would get a gate-all-around customer engagement. An investor noted that on the last call it sounded like in 2026 we would see several deals being made. Is it safe to say that now sounds unlikely, or is there still hope for inking an agreement this year? Scott Bibaud: We are only in the fifth month of the year, and I am hopeful every month that we are going to be inking deals. There is definitely a very strong chance. Mike Bishop: And if you look at all the areas in which you are working, which of the segments do you think is closest to producing a royalty-bearing license? Scott Bibaud: I spoke a call or two ago about wafer-based products, and I think the development effort in a wafer-based product is relatively easier. Some of the areas where we are offering wafer-based solutions are in gallium nitride, in RF SOI, and we have wafer-based solutions that we are offering in the memory space. I think one of those could be the fastest, but we also have been working on power and on RF SOI with customers for a very long time. Those could also be quick to market. It is very hard to call with so many moving pieces. Mike Bishop: With so many moving pieces. Alright. And with that, Scott, I will turn the call to you for closing comments. Scott Bibaud: I want to thank you all for joining us to hear the progress being made within Atomera Incorporated. I hope you are feeling the excitement that we are. Please continue to look for our news, articles, and blog posts, which are available along with investor alerts on our website, atomera.com. Should you have additional questions, please contact Mike Bishop. We will be happy to follow up. Thanks again for your support, and we look forward to our next update call. Mike Bishop: Thank you. This concludes the call. Before you buy stock in Atomera, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Atomera wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Atomera (ATOM) Q1 2026 Earnings Transcript was originally published by The Motley Fool

LOS GATOS, CA / ACCESS Newswire / May 5, 2026 / Atomera Incorporated (NASDAQ:ATOM), a semiconductor materials and technology licensing company, today provided a corporate update and announced financial results for the first quarter ended March 31, 2026. Recent Company Highlights Completed $25 Million registered direct offering of common stock MST in Gate-All-Around structures has moved into the evaluation phase for customers Expanded GaN offerings to RF applications demonstrating breakthrough improvements to enhance RF performance Management Commentary "We made excellent progress during the first quarter toward adoption of MST by GAA manufacturers, engaging with another of the four companies that manufacture those advanced transistors. At the same time, we expanded our offerings in GaN beyond power applications to RF where we believe we will substantially grow our TAM and deliver highly differentiated device performance on larger-diameter wafers," said Scott Bibaud, President and CEO of Atomera. "We are also very pleased to have closed on a $25 million equity raise which brought our cash, cash equivalents and short-term investments to over $41 million. With this additional capital we are in a strong position to enable our customers to bring MST-enabled products to market." Financial Results The Company incurred a net loss of ($6.1) million, or ($0.17) per basic and diluted share in the first quarter of 2026, compared to a net loss of ($5.2) million, or ($0.14) per basic and diluted share, for the first quarter of 2025. Adjusted EBITDA (a non-GAAP financial measure) in the first quarter of 2026 was a loss of ($4.9) million compared to an adjusted EBITDA loss of ($4.4) million in the first quarter of 2025. The Company had $41.1 million in cash, cash equivalents and short-term investments as of Mar. 31, 2026, compared to $19.2 million as of December 31, 2025. The total number of shares outstanding was 38.7 million as of Mar. 31, 2026. First Quarter 2026 Results Webinar Atomera will host a live video webinar today to discuss its financial results and recent progress. Date: Tuesday, May 5, 2026 Time: 2:00 p.m. PT (5:00 p.m. ET) Webcast: Accessible at https://ir.atomera.com Note about Non-GAAP Financial Measures In addition to the unaudited results presented in accordance with generally accepted accounting principles, or GAAP, in this press release, Atomera presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA is determined by taking net loss and eliminating the impacts of interest, depreciation, amortization and stock-based compensation. Our definition of adjusted EBITDA may not be comparable to the definitions of similarly-titled measures used by other companies. We believe that this non-GAAP financial measure, viewed in addition to and not in lieu of our reported GAAP results, provides useful information to investors by providing a more focused measure of operating results. This metric is used as part of the Company's internal reporting to evaluate its operations and the performance of senior management. A table reconciling this measure to the comparable GAAP measure is available in the accompanying financial tables below. About Atomera Incorporated Atomera Incorporated is a semiconductor materials and technology licensing company focused on deploying its proprietary, silicon-proven technology into the semiconductor industry. Atomera has developed Mears Silicon Technology™ (MST®), which increases performance and power efficiency in semiconductor transistors. MST can be implemented using equipment already deployed in semiconductor manufacturing facilities and is complementary to other nano-scaling technologies already in the semiconductor industry roadmap. More information can be found at www.atomera.com. Safe Harbor This press release contains forward-looking statements concerning Atomera Incorporated, including statements regarding the prospects for the semiconductor industry generally and the ability of our MST technology to significantly improve semiconductor performance. Those forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual results to differ materially. Among those factors are: (1) the fact that, to date, we have only recognized minimal engineering services and licensing revenues thus subjecting us to all the risks inherent in an early-stage enterprise; (2) the risk that licensees or JDA customers do not advance to royalty-based manufacturing and distribution licenses; (3) our ability to add other licensees and/or JDA customers; (4) risks related to our ability to raise sufficient capital, as and when needed, to pursue the further development, licensing and commercialization of our MST technology; (5) our ability to protect our proprietary technology, trade secrets and knowhow and (6) those other risks disclosed in the section "Risk Factors" included in our Annual Report on Form 10-K filed with the SEC on February 24, 2026. We caution readers not to place undue reliance on any forward-looking statements. We do not undertake, and specifically disclaim any obligation, to update or revise such statements to reflect new circumstances or unanticipated events as they occur. -- Financial Tables Follow - Atomera Incorporated Condensed Balance Sheets (in thousands, except per share data) Atomera Incorporated Condensed Statements of Operations (in thousands, except per share data) Atomera Incorporated Reconciliation to Non-GAAP EBITDA (Unaudited) Investor Contact: Bishop IR Mike Bishop (415) 894-9633 [email protected] SOURCE: Atomera, Inc. View the original press release on ACCESS Newswire