INDI

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 5:00 p.m. ET Investor Relations - Ashish Gupta CEO and Co-Founder - Donald McClymont CFO - Naixi Wu EVP of Corporate Development and Investor Relations - Mark Tyndall Operator: Good afternoon, and welcome to indie's Second Quarter 2026 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn the call over to Ashish Gupta, Investor Relations. Mr. Gupta, please go ahead. Ashish Gupta: Thank you, operator. Good afternoon, and welcome to indie's Second Quarter 2026 Earnings Call. Joining me today are Donald McClymont, indie's CEO and Co-Founder; Naixi Wu, indie's CFO; and Mark Tyndall, EVP of Corporate Development and Investor Relations. Donald will provide opening remarks and discuss business highlights. Naixi will then provide a review of indie's Q2 results and business outlook. Please note, we will be making forward-looking statements based on current expectations and assumptions, which are subject to risks and uncertainties. These statements reflect our views only as of today and should not be relied upon as representative of views as of any subsequent date. These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from expectations. For material risks and other important factors that could affect our financial results, please review our risk factors in our annual report on Form 10-K for the fiscal year ended December 31, 2025, as supplemented by our quarterly reports on Form 10-Q as well as other public reports filed with the SEC. Finally, the results and guidance discussed today are based on consolidated non-GAAP financial measures such as non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share. For a complete reconciliation with GAAP and the definition of the non-GAAP reconciling items, please see our Q2 earnings press release in addition to presentation summarizing our quarterly results and more details on non-GAAP measures as posted on our website in advance of this call at www.indie.inc. I'll now turn the call over to Donald. Donald McClymont: Thanks, Ashish, and welcome, everyone. I'm very pleased to report that indie delivered a quarter of solid growth and performance with revenue of $64 million, up 24% year-over-year and above the midpoint of our guidance. Before turning to our business achievements, let me provide some context on the market environment. Overall, the automotive semiconductor market continues to recover steadily, driven by improving vehicle production and sustained demand for electric vehicles. China continues to be a leader in the automotive ecosystem, fueled by strong domestic demand and the growing presence of China vehicle brands in global markets. On a regional basis, China remained indie's strongest end market, followed by the U.S. and Europe. Outside of automotive, the emergence of physical AI and robotics is expanding the market opportunity for our high-performance SoCs as these applications require higher levels of processing, environmental sensing and real-time intelligence. These favorable market dynamics are reflected in our second quarter results, and we believe will intensify over the long run. Let me now turn to our recent business progress and key achievements during the past quarter. I'm excited to share that our 77 gigahertz radar chipset solution is gaining outsized traction through the deployment of our Tier 1 partner's Gen 8 radar product, with new wins soon expected with leading OEMs in North America and China, continuing to underline the leadership position that our radar technology enables. You may recall that on our last earnings call, we shared that indie was awarded an initial $25 million production order for our radar chipset. And since then, a design win was announced with a leading Tier 1 supplier supporting Volvo. These achievements highlight the continued market adoption of our radar solution and the increasing pace of customer engagement as we ramp production volumes. This partner is important for indie and one through which we are actively looking to expand our success into adjacent physical AI markets. As a reminder, radar is now a foundational sensor within automotive with use cases across ADAS, autonomous driving, self-parking, in-cabin monitoring and other emerging functions such as automatic door opening and road surface monitoring. Radar represents significant growth for indie with most implementations averaging 4 to 5 radars per car with opportunities for higher deployment numbers as application adoption continues. Our solution is enabling for all these types of systems as it offers superior resolution, longer detection range and enhanced object detection and classification across a wide range of weather and lighting conditions, all at a price point to enable the complete automotive spectrum from high-end fully autonomous vehicles to $20,000 entry-level cars. Industry forecasts underscore this momentum with key market research projecting the global automotive radar market to grow at an 18% CAGR through 2032, representing one of the fastest-growing segments within ADAS and vehicle sensing ecosystem. According to Yole Group by 2030, they expect up to 5 radar configurations per vehicle to become standard globally, driven by NCAP requirements, regional regulation and OEM differentiation strategies. And we are not standing still. As the sole supplier of radar chips in the 120 gigahertz frequency band, we are now seeing applications evolve due to even greater performance and lower cost point that we can provide by using this frequency, driven by the ability to integrate antennas into the chip package. This enables new use cases, both in the car and as a key perception technology for physical AI. The 120 gigahertz radar brings unique benefits supporting higher spatial resolution, more precise range measurements, micro movement and environmental detection, ideal for industrial, robotic and smart infrastructure applications. The 120 gigahertz solution has been successfully evaluated by several Tier 1s and OEMs across a wide range of physical AI applications. At the same time, our Photonics business is accelerating and becoming a core pillar of our product portfolio with its revenue stream increasing solidly. Quantum is one of the fastest-growing areas within Photonics. At less than $1 billion in 2025, the quantum photonics market is expected to exceed $14 billion, growing at a CAGR of 34% through 2035 according to SNS Insider. In fact, we achieved a record quarter for Quantum bookings while continuing to receive recurring orders for our LXM lasers used in quantum key distribution applications. Recent showcasing of our LXM and DFB laser portfolio have opened many new opportunities with new and current customers. indie is gaining meaningful traction through several customer-funded development programs, including one from a leading quantum customer and an additional project involving 2 Japanese companies. These engagements are particularly important because they highlight the differentiation of our photonic light source platform, allowing us to advance innovation and position us well for future production revenue as quantum applications move towards commercialization. Beyond Quantum, demand for our photonics portfolio continued to strengthen. We delivered a significant increase in sales bookings, reflecting growing customer demand and confidence in our technology. We also saw increased demand for our optical fiber components driven by the expanding adoption of AI and security solutions, creating demand for enterprise data infrastructure, which enables organizations to harness data securely, efficiently and at scale. Taken together, these results demonstrate the demand for our photonic solutions and reinforce our confidence in the long-term growth opportunities ahead. Moving to our Vision portfolio. Our latest addition is the iND881, an Edge AI SoC engineered for low power consumption and real-time responsiveness, delivering capabilities purpose-built for demanding Edge perception tasks. Building on the success of our flagship iND880, the iND881 not only delivers the image processing excellence of its predecessor, but also incorporates a powerful heterogeneous AI engine, further expanding functionality not only for our automotive core business, but also for industrial and consumer applications such as smart cameras for AMRs and humanoids as well as high-speed smart industrial cameras that require real-time processing and low latency capabilities. In the recent AutoSens and InCabin USA event in Detroit, we showcased the strong engagement and customer acclaim, an industry-first solution that combines DMS, OMS and emitter functionality within a single mirror unit. Powered by our iND881 SoC, the platform sets a new standard for integration and system efficiency. No other competing SoC on the market today can deliver this level of functionality in a single device. This differentiation is generating great customer interest with multiple design engagements currently underway with leading OEMs and Tier 1 suppliers. Our vision processing solutions are becoming the preferred industry platform for e-mirror solutions, further establishing indie as a leader in this space as we continue to secure new design wins with major automotive manufacturers and Tier 1 suppliers. With surging DRAM prices, we have capitalized on the opportunity to approach new and existing customers with our cost-optimized iND880 DRAMless architecture. By eliminating the need for external memory, the iND880 helps customers navigate any DRAM supply constraints. In many cases, our customers are unable to source memory at all and using the 880 allows them to alleviate line-down situations. Our iND880 vision processor continues to deliver success for customers, having secured several new design wins with leading Chinese OEMs in addition to Cadillac with a wide range of vehicle classes ranging from large SUVs, sedans and electric SUVs. With its ability to enable advanced camera and vision processing for ADAS applications, the iND880 remains extremely attractive to our customer base is being evaluated across multiple vehicle programs, setting up a healthy opportunity pipeline. The iND88X family is also gaining increased traction with many physical AI customers with China providing a large number of design wins. Two of our key wins are with leading humanoid robot manufacturers, Unitree and Agibot, which according to Omdia Research, each shipped more than 5,000 robots in 2025. The success of our emotion3D acquisition underscores the value of our hardware plus software strategy, which is now beginning to deliver recurring royalties to our revenue stream. By bringing together emotion3D's proven AI vision algorithms and our highly integrated automotive SoCs, we have established a differentiated one-stop shop platform for advanced in-cabin sensing that extends well beyond silicon alone. Our traction within in-cabin perception and driver and occupant monitoring is now further underpinned by the field-proven combination of indie's emotion3D software and vision processing SoCs, providing a pre-integrated DMS/OMS platform that is an attractive solution for customers looking to accelerate their time to market and reduce development risk. By offering our customers software hardware or a combination of both in a pre-integrated perception stack, we also provide ultimate flexibility in design approach. In recognition of our emotion3D software capabilities, we recently received the Supplier Excellence Award from Mahindra in their XEV 9S program. Through deep collaboration between Mahindra and our software team, we delivered AI-powered in-cabin software that enhance the safety, comfort and user experience, bringing advanced in-cabin intelligence to market. Last quarter, we announced that indie had entered into a definitive agreement to acquire the CMOS image sensor Group from ams OSRAM AG. Imaging is a key component of sensor-rich platforms with high-performance visual applications such as humanoids, cobots and industrial automation. By leveraging these intelligent and high-performance sensors, we continue to build our foundational strategy to support rapid growth in the emerging physical AI market. Our transaction remains under review by regulatory authorities, and we anticipate closure prior to year-end. Turning to the previously announced potential divestiture of our equity interest in Wuxi indie Micro. While the exact timing of closing remains subject to the completion of its regulatory process, the transaction is progressing well, and we remain optimistic that the transaction will close later this year, consistent with our prior updates. With that, I'll turn the call over to Naixi to walk through our financial results. Naixi Wu: Thank you, Donald, and good afternoon, everyone. Indie's second quarter revenue was $64 million, exceeding the midpoint of our outlook by $2 million, representing an increase of 24% compared to the prior year period. Revenue from our core business was approximately $36 million, a sequential growth of over 5%, reflecting the continued momentum in our ADAS portfolio, while revenue from our Wuxi subsidiary was $28 million. Non-GAAP operating expenses during the quarter totaled $37.9 million, consistent with our outlook. As a result, our second quarter non-GAAP operating loss was $8.9 million compared to a loss of $14.5 million in the comparable period in 2025, demonstrating our continued progress towards achieving profitability. With net interest expense of $2.8 million, our net loss was $11.7 million, and the loss per share was $0.05 on a base of 227.6 million shares, consistent with our guidance last quarter. Please refer to the presentation located on our website for a more detailed breakdown of non-GAAP measures. Turning to the balance sheet. We exited the quarter with total cash and cash equivalents, including restricted cash of $149 million, a net decrease of $35.7 million sequentially. This decline was primarily driven by our non-GAAP operating loss with additional cash used to build inventory in preparation for upcoming demand, increasing accounts receivable in line with our revenue growth and ongoing CapEx investment. Moving to our outlook for the third quarter of 2026. We expect to deliver total revenues between $67 million to $73 million. At the midpoint of this range, we anticipate our core business to reach approximately $40 million and our Wuxi subsidiary to contribute roughly $30 million in the third quarter. We expect to continue to improve our non-GAAP operating expenses to $37 million for Q3, down from approximately $38 million in Q2. Coupled with expected net interest expense of approximately $3.2 million and no tax expenses, we expect our net loss per share to decrease to approximately $0.04, assuming the midpoint of revenue range and the base of 230 million shares. In summary, our second quarter results reflect broad-based momentum across radar, vision and photonics, and we remain focused on delivering continued growth. With that, I'll turn the call back to Donald for closing remarks. Donald McClymont: Thank you, Naixi, indie's business remains solid as evidenced by our strong second quarter results with accelerating top line growth heading into the third quarter. Our radar and vision programs continue to gain traction with leading OEMs and Tier 1 partners, and our expansion into Quantum and Physical AI is opening new avenues for outsized growth. With the pending CMOS image sensor acquisition further strengthening our portfolio, indie's technology leadership and expanding product breadth is positioning us to capitalize on these emerging opportunities. We believe indie offers one of the broadest and most differentiated product portfolios in the industry to meet the diverse needs of these markets. We are confident in our business as our radar and vision design wins continue to ramp. That concludes our prepared remarks. Operator, please open the line for questions. Operator: [Operator Instructions] And we'll hear from Craig Ellis with B. Riley Securities. Craig Ellis: Donald, congratulations on the revenue momentum at midyear. I wanted to follow up on the Volvo win. Can you help us understand the timing with which that converts to revenue in its size? And on the subject of radar, how are we tracking versus what I think has been an expectation for around $35 million to $50 million in revenue this year for that product? Donald McClymont: So I mean, we won't break down exact details of individual design wins for each customer. But that being said, Volvo has some significant volume. It has a high penetration rate as it's basically a luxury car manufacturer, so pretty much all of their models will feature this technology. So it's a very decent-sized design win for us. It's far from our only design win. And although it is the one that is the most public at the moment. In terms of where we see ourselves going for the rest of the year, obviously, radar is still going to be a big driver for all of our growth through '26, '27 and '28 and '29, in fact. So it will be a big portion of the growth perspective that we have in the outlook. Craig Ellis: That's great. And then the follow-up relates to the DRAMless product, the iND880. There's been a lot of reporting out of Asia and China within the last 3 months that the manufacturing situation is getting even more painful than it was when you spoke to us 3 months ago about the cost of DRAM and its availability. So can you help us understand the degree to which that's converting to revenue this year or the extent to which and the extent to which it's giving you pipeline visibility for the coming years? Donald McClymont: Yes. I mean it's a chunk of the growth that we see. It has come to us very swiftly because of the expediency and the nature of the situation. People have to ship somehow, and that means that regular design cycles go out the window. So we have seen things convert very quickly within a few weeks or a quarter at max. And yes, that's driving some pretty significant good news for us at the moment in a few markets, not only automotive, but also in the physical AI, which also is kind of a surprising and very nice upside for us that these products can be used in the other applications. Operator: Next, we'll move to Cody Acree with Benchmark StoneX. Cody Grant Acree: Congrats on the progress. Donald, maybe just following up on Craig's question on radar and if you can just include vision, can you help frame your ramp expectation, maybe the slope or scale of the ramp that you envision over the next few quarters for both those programs? Donald McClymont: Yes. I mean they're both going to ramp very steeply. We should see the slope of the ramp accelerating from where we are right now. You should see that, of course, already in the guide for Q3. We are super excited about it on both fronts. We are seeing so much traction for both the product families, bringing us into new OEMs and even into new markets in some cases. So it's super exciting. We have applications, as I mentioned before, outside of automotive as well, in humanoid robotics and also even in drones, we're seeing our technologies being used. So it's super exciting. Cody Grant Acree: And then maybe can you just help frame or give any details to the size of your current non-auto revenue in Physical AI, Quantum, photonics, what have you, what are the details you can provide? And then maybe how significant do you expect that non-auto business to grow to either the end of this year or end of next would help. Donald McClymont: Well, we don't really subsegment, and it's still, let's say, nascent. I'd say perhaps the physical AI market is a little near. We quoted some numbers for the leading customers of ours who manufactured thousands of robots in the last sort of 12 months. And we are seeing predictions of these markets going into multiple millions across many applications in robotics, not just humanoids, but AMRs also. Quantum is a little harder to call, but I would say just at this very moment, there's a lot of buzz about it. Some of the guys out there are beginning to deploy qubit numbers in above 100,000 units. And it is getting close to the point where Quantum Advantage should reach a tipping point. So I mean it's really hard to put a number on it, but I mean, it is an exciting market. It's an exciting time to be alive and see our products going into these amazing new machines. Operator: Next, we'll hear from Anthony Stoss with Craig-Hallum. Anthony Stoss: I just wanted to also follow up on the iND880, last quarter, you mentioned that you thought it would be more revenues potentially in 2026 than the radar. If you can shed more detail if it's going into low-end cars. I know it's heavily exposed to the China market. Just your sense on the building of the number of models per quarter and what you think the kind of the steepness of the ramp looks like in Q4? And then I had a follow-up. Donald McClymont: Yes. I mean we are a little more indexed to China for this particular application, but we do now have wins with North American Tier 1s who are very significant volume in this application space. We're seeing application being deployed in low mid-tier and above and probably dozens of models by now. Anthony Stoss: Okay. And shifting gears, topic of gross margins. In the past, you've talked about trying to get to or expecting to get to 55% plus gross margins down the road. And I think not too long ago, you were hoping for 50% gross margins late this year. Where do you think that now shakes out? Do you still have hopes for a 50% gross margin quarter in Q4? Donald McClymont: We don't typically guide gross margin, but we -- through the divestiture of Wuxi, which I would say is potentially a drag on gross margin, we're in a good spot where we can get to our corporate goals. Operator: And we'll move on to Jon Tanwanteng with CJS Securities. Jonathan Tanwanteng: I was wondering if you could quantify the number of wins you had in the quarter, driven solely by the DRAM shortages that are out there and kind of what -- how many engagements do you have in the pipeline? And if you could provide a little further detail what kind of average revenue those kind of engagements have on an annual basis? Donald McClymont: Well, 880 has an ASP of around $10 and sometimes there are 1 or 2 deployed per application. It would be hard to give you an accurate number of how many design wins. It's kind of similar to the question of numbers of models that was asked just before there. So it's in the same range, dozens of design wins. Jonathan Tanwanteng: Okay. Great. And then just a question on cash flow. I know you've been building inventory for the ramp. How should we think of that burn going forward, especially in front of the growth that you're seeing? Donald McClymont: Yes. I mean in terms of cash usage, we did invest a lot in inventory. We have some pretty steep ramps ahead of ourselves and the supply chain has been very tight. So we're very focused on that. Nominally, the cash usage should follow our net profit or loss on a quarterly non-GAAP basis. So that should give you a reasonable indication. There's some below-the-line costs, a little bit of CapEx and so forth, but that's basically what we're expecting. Operator: Moving on, we'll hear from Natalia Winkler with UBS. Natalia Winkler: So the first one I had was on physical AI. Would it be possible for you guys to help us understand kind of the content, whether it's per robot per application? Maybe how does that compare to the automotive market? And maybe as a part of that, as you guys pursue some of those physical AI socket, like do you have to go to a different -- completely different supply chain? Or could some of your existing relationships with Tier 1s be helpful to get these design wins? Donald McClymont: I mean taking the last one first, both are applicable. Some of the traditional Tier 1s all over the world are beginning to turn their focus a little bit towards physical AI away from automotive. And it's perhaps a more profitable market. And the -- I mean, the sort of net reasoning for that is you can consider a humanoid robot or any kind of robot as a car with legs or a car as a robot with wheels and many of the electronic implementations are applicable for both. So from our perspective, we have direct relationships with, let's say, module manufacturers, which would be analogous of Tier 1s for the Physical AI business. And we have direct relationships, obviously, with our Tier 1 customers who are, in some cases, actually already entering into certain aspects of the robotics market. So we're able to leverage both is the answer. Natalia Winkler: And then in terms of the content per robot opportunity, I guess, per device. Donald McClymont: I mean the ASPs are typically significantly higher because the volumes are still small. So it's probably really too early to say what the dollar content for a robot could be. I mean we have applicable parts that could be used in high-end applications of a robot where they have multiple sensors ranging from vision, radar, LiDAR even. I mean -- and some of the processing that goes on the back end of that could easily be $100 per robot. Operator: And we'll move on to Joshua Buchalter with TD Cowen. Joshua Buchalter: Congrats on the results. I wanted to ask about the 880 wins in China. Any details you can provide on what types of architectures it's being integrated into? And anything you can give on the pros and cons of integrating the 880 without DRAM into a central ADAS processor? Does that make it easier, harder? I'm just curious to hear your thoughts on that. Donald McClymont: So we get used in stand-alone systems, things like electronic mirror systems, OMS, DMS, and we also get used as a preprocessor that goes in front of maybe a central ADAS processor. So what that does is we have the ability to process video, if you like, on the fly. So we don't dump frame by frame into large external memories, which is currently where the problem is. There's a net side effect of that in the video latency in our implementation is significantly easier and it alleviates significantly the processing required for a central ADAS processor. Sometimes we just hear it from our customers that they're choking on having to process the raw video streams, and we can take that burden off them and they can go to use the processing for things that are more valuable perception and such as that. So in our opinion, certainly, it makes the implementation much easier and also in the opinions of many of the engineers at our customers. Joshua Buchalter: Got it. That's really helpful. And then for my follow-up, maybe just can you help us understand what hurdles are left with the Wuxi divestiture that need to be cleared before you can complete the deal? Donald McClymont: I mean just -- we're in the throes of regulatory still. It's like there's an ongoing dialogue. It's very constructive Q&A process. And we set the expectations that this deal would close in Q4 of this year. And I think we remain optimistic about that. Operator: And that will conclude today's question-and-answer session. I would now like to turn the floor back to management for closing remarks. Donald McClymont: Thanks, everybody, for attending. I hope to see a few of you at the conferences in the coming weeks and months, and see you next quarter. Operator: Thank you. This does conclude today's teleconference. We thank you for your participation. You may disconnect your lines at this time. Before you buy stock in Indie Semiconductor, 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 Indie Semiconductor 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. 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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. Revenue growth of 24% year-over-year was primarily driven by the continued recovery of the automotive semiconductor market and sustained demand for electric vehicles, particularly in China. The 77 GHz radar chipset is gaining outsized traction through a Tier 1 partner's Gen 8 product, with most implementations now averaging 4 to 5 radars per vehicle to meet global safety requirements. Management is capitalizing on surging DRAM prices by positioning the iND880 DRAMless architecture as a critical solution for customers facing supply constraints and high external memory costs. The company is strategically pivoting toward 'Physical AI' and robotics, leveraging automotive-grade SoCs for humanoid robots and AMRs that require similar real-time intelligence and environmental sensing. The acquisition of emotion3D has transitioned from an integration phase to delivering recurring software royalties, validating the 'hardware plus software' strategy for in-cabin sensing. Photonics is emerging as a core pillar, with record bookings in Quantum applications driven by customer-funded development programs for light source platforms. Operational focus remains on the divestiture of the Wuxi subsidiary and the acquisition of ams OSRAM's imaging group to streamline the portfolio toward high-margin sensing technologies. Q3 2026 guidance assumes a steepening ramp in radar and vision programs, with the core business expected to reach approximately $40 million. The company anticipates the divestiture of Wuxi indie Micro and the ams OSRAM imaging acquisition to both close by year-end 2026, pending final regulatory approvals. Management expects the slope of the production ramp for radar and vision to accelerate through the remainder of 2026 and into 2027 as new OEM wins in North America and China commence. Future gross margin expansion toward the 55% long-term goal is contingent on the successful divestiture of the lower-margin Wuxi business. Cash usage is expected to align with non-GAAP operating losses, with near-term outflows prioritized for inventory builds to support upcoming high-volume product launches. The pending divestiture of Wuxi indie Micro is currently in a 'constructive Q&A process' with regulatory authorities, representing a key dependency for reaching corporate profitability goals. Inventory levels were increased as a proactive measure against anticipated demand, contributing to a total sequential cash decrease of $35.7 million. The 120 GHz radar frequency band is being positioned as a unique competitive moat, enabling antenna-in-package designs that lower costs for entry-level automotive and industrial applications. Management flagged that while the Physical AI market is nascent, it offers significantly higher ASPs than automotive due to lower initial volumes and higher complexity. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed the Volvo win is a 'decent-sized' luxury contract with high penetration across models, though they declined to provide specific revenue timing. Radar remains the primary growth driver for the 2026–2029 period, tracking toward previously stated annual targets. The DRAMless iND880 is seeing rapid conversion—often within weeks—as OEMs use it to alleviate 'line-down' situations caused by memory scarcity. The product is being deployed across dozens of models, ranging from low-end to luxury SUVs, particularly in the China market. Management noted that a single humanoid robot could represent over $100 in semiconductor content, utilizing vision, radar, and LiDAR processing. The company is leveraging existing automotive Tier 1 relationships as these partners pivot toward more profitable robotics markets. The iND880 is being used as a 'preprocessor' to offload video processing tasks from central ADAS chips, reducing system latency and memory bottlenecks. This architecture allows customers to avoid 'choking' on raw video streams by processing data 'on the fly' without external DRAM.

Interested in indie Semiconductor, Inc.? Here are five stocks we like better. Second-quarter revenue rose 24% year over year to $64 million, exceeding the midpoint of guidance by $2 million, while the non-GAAP operating loss narrowed to $8.9 million from $14.5 million a year earlier. Growth was driven by automotive ADAS demand, particularly radar and vision products. Indie highlighted traction for its 77 GHz radar chipset, new iND880 design wins and expanding opportunities in physical-AI applications such as robotics and drones. Indie forecast third-quarter revenue of $67 million to $73 million and said its planned ams-OSRAM image-sensor acquisition and potential Wuxi indie Micro divestiture remain on track for regulatory completion by year-end. Small Cap, Big Potential: 3 Tech Disruptors You Should Know About indie Semiconductor (NASDAQ:INDI) reported second-quarter 2026 revenue of $64 million, up 24% from a year earlier and $2 million above the midpoint of its outlook, as growth in automotive advanced-driver-assistance systems and demand for its radar, vision and photonics products supported results. Chief Executive Officer and Co-founder Donald McClymont said the automotive semiconductor market continued to recover, citing improving vehicle production and sustained electric-vehicle demand. China remained the company’s largest end market, followed by the United States and Europe, he said. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth 3 Auto Chip Stocks Up 60%+ From 2025 Lows: More Gains Ahead? Core-business revenue totaled about $36 million, rising more than 5% sequentially, while Wuxi indie Microelectronics contributed $28 million, according to CFO Naixi Wu. On a non-GAAP basis, indie recorded an operating loss of $8.9 million in the second quarter, improving from a $14.5 million loss in the comparable 2025 period. Non-GAAP operating expenses were $37.9 million, in line with the company’s forecast. → Visa’s BioCatch Deal Could Make Fraud Prevention a Bigger Business Are Short Sellers Wrong About These 3 Semiconductor Stocks? Including $2.8 million of net interest expense, indie posted a non-GAAP net loss of $11.7 million, or $0.05 per share, based on 227.6 million shares outstanding. The company ended the quarter with $149 million in cash, cash equivalents and restricted cash, down $35.7 million sequentially. Wu said the decline reflected the operating loss as well as inventory investments ahead of expected demand, higher accounts receivable associated with revenue growth and capital expenditures. → Ulta's Growth Is Real, But So Are the Risks For the third quarter, indie forecast revenue of $67 million to $73 million. At the midpoint, the company expects core-business revenue of approximately $40 million and roughly $30 million from Wuxi indie Microelectronics. It expects non-GAAP operating expenses of about $37 million, net interest expense of approximately $3.2 million and a non-GAAP loss of about $0.04 per share, assuming 230 million shares outstanding. McClymont said indie’s 77 GHz radar chipset is gaining traction through a Tier 1 partner’s Gen 8 radar product. The company had previously disclosed an initial $25 million production order for the chipset and said it subsequently announced a design win with a Tier 1 supplier serving Volvo. While declining to provide the precise size or timing of the Volvo program, McClymont said Volvo’s high vehicle penetration rate for the technology makes it a “very decent sized design win.” He said radar is expected to remain a major driver of growth through 2026 and subsequent years. The company also highlighted its 120 GHz radar technology, which McClymont said can integrate antennas into the chip package and support higher spatial resolution and more precise range measurements. He said the 120 GHz solution has been evaluated by several Tier 1 suppliers and original equipment manufacturers for physical-AI applications, including robotics and smart infrastructure. In vision products, indie said its iND880 DRAMless architecture has benefited from rising DRAM prices and memory supply constraints. The processor eliminates the need for external memory and can be deployed in standalone systems such as electronic mirrors, driver-monitoring systems and occupant-monitoring systems, or as a preprocessor for central ADAS processors. McClymont said the product has converted customer engagements rapidly as customers seek alternatives to constrained memory supplies. The company cited new iND880 design wins with Chinese OEMs and Cadillac, while noting that the iND88X family has also secured physical-AI wins with humanoid robot makers Unitree and Agibot. During the question-and-answer session, McClymont said the iND880 carries an average selling price of about $10, with one or two units sometimes used per application. He described the design-win count as being in the “dozens” range. indie said its photonics business continued to gain momentum, including a record quarter for quantum-related bookings and recurring orders for LXM lasers used in quantum-key-distribution applications. McClymont also cited customer-funded development programs involving a major quantum customer and two Japanese companies. The company said demand for optical-fiber components increased alongside adoption of artificial intelligence and security solutions requiring enterprise data infrastructure. Management did not provide a revenue breakout for physical AI or quantum. McClymont characterized the markets as nascent but said indie is seeing opportunities in humanoid robots, autonomous mobile robots and drones. He said content opportunity in higher-end robotic platforms could eventually reach about $100 per robot, though he added that it is too early to estimate the broader dollar content per device. indie reiterated that its planned acquisition of the CMOS image sensor group from ams-OSRAM AG remains under regulatory review and is anticipated to close before year-end. The company said the acquisition would broaden its sensor capabilities for visual applications including humanoids, collaborative robots and industrial automation. Separately, management said the potential divestiture of its equity interest in Wuxi indie Micro is progressing through regulatory processes. McClymont said the company remains optimistic the transaction will close in the fourth quarter, consistent with prior expectations. Asked about gross-margin targets, McClymont said indie does not typically provide gross-margin guidance. He noted that the Wuxi business has tended to weigh on gross margin and said the company believes it is positioned to meet its corporate goals following the proposed divestiture. indie Semiconductor, Inc is a fabless semiconductor company headquartered in San Jose, California, that specializes in advanced chip solutions for the automotive industry. The company designs and develops microcontrollers, sensor processing units, application processors and power management integrated circuits tailored for electric vehicles (EVs), advanced driver assistance systems (ADAS), infotainment and digital clusters. indie's product portfolio aims to deliver high performance, energy efficiency and functional safety to meet stringent automotive requirements. Originally formed as Integrated Memory Systems in 2021 through a business combination with a special purpose acquisition company, the firm rebranded to indie Semiconductor in early 2022. 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 "indie Semiconductor Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Delivers Revenue of $64M, up 24% Y-o-Y and exceeds midpoint of the guidance range Guides for accelerating growth of 30% Y-o-Y in Q3 2026 Substantially narrows GAAP and Non-GAAP Operating Losses Gains global OEM adoption of highly innovative radar solutions for both front and corner applications ALISO VIEJO, Calif., August 06, 2026--(BUSINESS WIRE)--indie Semiconductor, Inc. (Nasdaq: INDI), an automotive solutions innovator, today announced second quarter results for the period ended June 30, 2026. Q2 revenue was $64.0 million. On a GAAP basis operating loss for the second quarter of 2026 was $35.1 million, compared to $43.0 million a year ago. Non-GAAP operating loss for the second quarter of 2026 was $8.9 million, compared to $14.5 million a year ago, representing continued significant progress towards achieving profitability. Second quarter 2026 GAAP loss per share was $0.17, while Non-GAAP loss per share was $0.05, in line with prior guidance. "indie delivered a solid quarter of top line growth, with revenue up 24 percent year-over-year, above the midpoint of our guidance range, demonstrating the significant strides we have made in returning to a high-growth profile," said Donald McClymont, indie’s co-founder and chief executive officer. "Momentum continues for our 77GHz radar solution with OEMs spanning North America, Europe and China with new application use cases expanding our addressable market. Coupled with our growing computer vision activity, and our growing presence in Quantum and Physical AI, indie is well positioned to capture these rapidly emerging opportunities and drive disciplined, profitable growth." Business Highlights Secured radar design win with a leading Tier 1 supplier supporting Volvo Key Physical AI design wins at Unitree and Agibot for our sensing products Launched iND881, a next-generation Edge AI SoC for automotive and physical AI applications Captured new iND880 vision processor design wins with leading OEMs in China Achieved a record quarter for Quantum bookings, including new customer-funded programs Received Supplier Excellence Award from Mahindra for indie’s emotion3D in-cabin software Showcased to much acclaim industry-first single-mirror integrated DMS/OMS and eMirror solution Q3 2026 Outlook We provide guidance on a non-GAAP basis only because certain information necessary to reconcile such results and guidance to GAAP is difficult to estimate and dependent on future events outside of our control and, therefore, is not available without unreasonable efforts. Please refer to the header captioned "Discussion Regarding the Use of Non-GAAP Financial Measures" in this release for a further discussion of our use of non-GAAP measures. For the third quarter of 2026, indie expects revenue to be between $67 million and $73 million. At the midpoint of this outlook, the Company anticipates 30 percent year-over-year growth with approximately $40 million from the core business and $30 million from Wuxi indie Micro. indie’s Q2 2026 Conference Call indie Semiconductor will host a conference call with analysts to discuss its second quarter 2026 results and business outlook today at 5:00 p.m. Eastern time. To listen to the conference call via the Internet, please go to the Financials tab on the Investors page of indie’s website. To listen to the conference call via telephone, please call (877) 451-6152 (domestic) or (201) 389-0879 (international). A replay of the conference call will be available beginning at 9:00 p.m. Eastern time on August 6, 2026, until 11:59 p.m. Eastern time on August 20, 2026, under the Financials tab on the Investors page of indie’s website, or by calling (844) 512-2921 (domestic) or (412) 317-6671 (international), Access ID: 13761248. About indie Headquartered in Aliso Viejo, CA, indie is empowering the automotive revolution with next-generation semiconductors, photonics, and perception software platforms. We focus on developing innovative, high-performance, and energy-efficient mixed-signal SoCs and system solutions for ADAS and adjacent industrial applications, including humanoid robotics, and quantum technology. Our sensors span all major modalities (Radar, Computer Vision, LiDAR, and Ultrasound), accelerating the proliferation of automated vehicle safety and sensing features. As a global innovator, we are an approved vendor to Tier 1 partners, and our solutions can be found in marquee automotive OEMs worldwide. Please visit us at www.indie.inc to learn more. #indieSemi_earnings Safe Harbor Statement This communication contains "forward-looking statements" (including within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended). Such statements can be identified by words such as "will likely result," "expect," "anticipate," "estimate," "believe," "intend," "plan," "project," "outlook," "should," "could," "may" or words of similar meaning and include, but are not limited to, projected financial information, statements regarding our future business and financial performance and prospects, including statements regarding our return to a high-growth profile, expansion of our addressable market and our positioning to capture emerging opportunities and drive disciplined, profitable growth. Such forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and generally beyond our control. Actual results and the timing of events may differ materially from the results included in such forward-looking statements. In addition to the factors previously disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed with the SEC on February 27, 2026, as supplemented by our Quarterly Reports on Form 10-Q and in our other public reports filed with the SEC (including those identified under "Risk Factors" therein), the following factors, among others, could cause actual results and the timing of events to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: macroeconomic conditions, including inflation, rising interest rates and volatility in the credit and financial markets, our reliance on contract manufacturing and outsourced supply chain and the availability of semiconductors and manufacturing capacity; competitive products and pricing pressures; our ability to win competitive bid selection processes and achieve additional design wins; the impact of the pending sale of our entire equity interest in Wuxi indie Microelectronics Technology Co., Ltd. and any potential adverse effects of such sale on our business, financial condition, operating results and stock price; the impact of recent acquisitions made and any other acquisitions we may make, including the announced acquisition of the CMOS Imaging Sensor Business from ams-OSRAM AG and the ability to complete such acquisition; our ability to develop, market and gain acceptance for new and enhanced products and expand into new technologies and markets; current and potential trade restrictions and trade tensions, including trade and tariff actions taken or proposed by the US government affecting the countries where we operate; and political or economic instability in our target markets. All forward-looking statements in this press release are expressly qualified in their entirety by the foregoing cautionary statements. Investors are cautioned not to place undue reliance on the forward-looking statements in this press release, which information set forth herein speaks only as of the date hereof. We do not undertake, and we expressly disclaim, any intention or obligation to update any forward-looking statements made in this announcement or in our other public filings, whether as a result of new information, future events or otherwise, except as required by law. INDIE SEMICONDUCTOR, INC.RECONCILIATION OF PRELIMINARY NON-GAAP MEASURES TO GAAP(Unaudited) GAAP refers to financial information presented in accordance with U.S. Generally Accepted Accounting Principles. This press release includes non-GAAP financial measures, as defined in Regulation G promulgated by the Securities and Exchange Commission. We believe that our presentation of non-GAAP financial measures provides useful supplementary information to investors. The presentation of non-GAAP financial measures is not meant to be considered in isolation from or as a substitute for results prepared in accordance with GAAP. The reconciliations of our preliminary GAAP to non-GAAP measures are as follows (in thousands, except share and per share amounts): Discussion Regarding the Use of Non-GAAP Financial Measures Our earnings release contains some or all of the following financial measures that have not been calculated in accordance with United States Generally Accepted Accounting Principles ("GAAP"): (i) non-GAAP operating loss, (ii) non-GAAP net loss, (iii) Adjusted EBITDA, (iv) non-GAAP share count and (v) non-GAAP net loss per share. As set forth in the tables above, we derive such non-GAAP financial measures by excluding certain expenses and other items from the respective GAAP financial measure that is most directly comparable to each non-GAAP financial measure. Management may use these non-GAAP financial measures to, amongst other things, evaluate operating performance and compare it against past periods or against peer companies, make operating decisions, forecast for future periods and to determine payments under compensation programs. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by eliminating certain expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods and competitors more difficult, obscure trends in ongoing operations or improve management’s ability to forecast future periods. We provide investors with non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share because we believe it is important for investors to be able to closely monitor and understand changes in our ability to generate income from ongoing business operations. We believe these non-GAAP financial measures give investors an additional method to evaluate historical operating performance and identify trends, an additional means of evaluating period-over-period operating performance and a method to facilitate certain comparisons of our operating results to those of our peer companies. We further believe these non-GAAP financial measures allow investors to assess the overall financial performance of our ongoing operations by eliminating the impact of (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) restructuring costs, (iv) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (v) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vi) share-based compensation, and (vii) income tax benefit (provision). We believe that disclosing these non-GAAP financial measures contributes to enhanced financial reporting transparency and provides investors with added clarity about complex financial performance measures. We do not report a GAAP measure of gross profit or gross margin because certain costs related to contract revenues are expensed as incurred and included in research and development expenses, and not in cost of sales, as it is not practicable for us to bifurcate these expenses. We calculate non-GAAP operating loss by excluding from GAAP operating loss, any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) restructuring costs and (iv) share-based compensation. We calculate non-GAAP net loss by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) restructuring costs, (iv) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (v) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vi) share-based compensation, and (vii) income tax benefit (provision). We calculate Adjusted EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of fixed assets, (iv) restructuring costs, (v) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vi) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vii) share-based compensation, and (viii) income tax benefit (provision). We calculate non-GAAP share count by adding (i) weighted average Class A common stock, (ii) weighted average Class V common stock held by minority shareholders, which are exchangeable into Class A common stock and (iii) vested but unexercised options issued as part of the TeraXion acquisition. While both weighted average Class V common stock and vested but unexercised options issued as part of the TeraXion acquisition are considered anti-dilutive under ASC 260, therefore excluded from the GAAP earnings per share calculation, management includes both categories in this non-GAAP presentation because they will convert into Class A common stock over time. Management believes that including these categories provides investors with a more transparent view of the Company’s capital structure and potential impact of such conversions. Non-GAAP net loss per share is calculated by dividing non-GAAP net loss by non-GAAP share count. We exclude the items identified above from the respective non-GAAP financial measure referenced above for the reasons set forth with respect to each such excluded item below: Acquisition-related and other non-recurring professional expenses - including such items as, when applicable, fair value charges incurred upon the sale of acquired inventory, accounting impact to the cost of goods sold due to one-time inventory costing realignment with a specific supplier, acquisition-related professional fees and legal expenses and other professional fees that are non-recurring in nature because they are not considered by management in making operating decisions and we believe that such expenses do not have a direct correlation to our future business operations and thereby including such charges do not necessarily reflect the performance of our ongoing operations for the period in which such charges or reversals are incurred. Amortization expenses - related to the amortization expense for acquired intangible assets and certain license rights. Depreciation expenses - related to the depreciation expenses for all property and equipment on hand. Share-based compensation - related to the non-cash compensation expense associated with equity awards granted to our employees (including those granted in lieu of cash compensation) and employer tax related to employee stock transactions. These expenses are not considered by management in making operating decisions and such expenses do not have a direct correlation to our future business operations. Restructuring costs - related to the one-time expenses the Company incurs to reorganize its operations, which is primarily related to workforce reduction, long-lived intangible asset impairment, facilities and other purchase commitment charges. Gain (loss) from change in fair values - because these adjustments (1) are not considered by management in making operating decisions, (2) are not directly controlled by management, (3) do not necessarily reflect the performance of our ongoing operations for the period in which such charges are recognized and (4) cannot make comparisons between peer company performance less reliable. Non-cash interest expense - related to the amortization of debt discounts and issuance costs because (1) these expenses are not considered by management in making decision with respect to financing decisions, and (2) these generally reflect non-cash costs. Income tax benefit (provision) - related to the estimated income tax benefit (provision) that does not result in a current period tax refunds (payments). The non-GAAP financial measures presented should not be considered in isolation and are not an alternative for the respective GAAP financial measure that is most directly comparable to each such non-GAAP financial measure. Investors are cautioned against placing undue reliance on these non-GAAP financial measures and are urged to review and consider carefully the adjustments made by management to the most directly comparable GAAP financial measures to arrive at these non-GAAP financial measures. Non-GAAP financial measures may have limited value as analytical tools because they may exclude certain expenses that some investors consider important in evaluating our operating performance or ongoing business performance. Further, non-GAAP financial measures are likely to have limited value for purposes of drawing comparisons between companies as a result of different companies potentially calculating similarly titled non-GAAP financial measures in different ways because non-GAAP measures are not based on any comprehensive set of accounting rules or principles. Adjusted EBITDA is calculated by removing non-recurring, irregular and one-time items that may distort EBITDA, to the current non-GAAP financial measures. We calculate Adjusted EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of property, plant and equipment, (iv) restructuring costs, (v) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vi) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vii) share-based compensation, and (viii) income tax benefit (provision). To the extent our disclosures contain forward-looking estimates of non-GAAP financial measures, these measures are provided to investors on a prospective basis for the same reasons (set forth above) we provide them to investors on a historical basis. We are generally unable to provide a reconciliation of our forward-looking non-GAAP measures because certain information needed to make a reasonable forward-looking estimate of such non-GAAP measures are difficult to predict and estimate and is often dependent on future events that may be uncertain or outside of our control and, therefore, is not available without unreasonable efforts. Such events may include unanticipated changes in our GAAP effective tax rate, unanticipated one-time charges related to asset impairments (fixed assets, inventory, intangibles, or goodwill), unanticipated acquisition-related and other non-recurring professional expenses, unanticipated settlements, gains, losses and impairments and other unanticipated items not reflective of ongoing operations. Our forward-looking estimates of both GAAP and non-GAAP measures of our financial performance may differ materially from our actual results and should not be relied upon as statements of fact. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806028914/en/ Contacts Media Inquiries [email protected] Investor Relations [email protected]

Interested in indie Semiconductor, Inc.? Here are five stocks we like better. Q1 revenue was $55.5 million, about $0.5 million above the prior outlook midpoint and up ~3% year‑over‑year, while non‑GAAP operating loss improved; management completed a $170.5 million convertible note refinancing (net ~$165M), ended the quarter with $184.7M cash, expects Q2 revenue of $59–65M (midpoint $62M), and is pursuing a planned ~$135M sale of its Wuxi stake pending Chinese approvals. indie won a $25 million production order for a tier‑one partner’s Gen8 77 GHz 4TX/8RX radar, has secured additional back‑end/test capacity and second‑source foundry arrangements for ramp, and expects radar to "contribute meaningfully" this year across mainstream vehicle segments. The DRAM‑less iND880 vision processor has moved into production (eMirror at NIO), is drawing a pipeline described as "tens of millions" annually, and management said its momentum could potentially exceed radar revenue this year while easing DRAM supply constraints and lowering system BOMs. Small Cap, Big Potential: 3 Tech Disruptors You Should Know About indie Semiconductor (NASDAQ:INDI) reported first-quarter 2026 revenue of $55.5 million, topping the midpoint of its prior outlook by about $0.5 million and increasing roughly 3% year-over-year, as the automotive chip supplier cited improving market conditions and continued demand for higher semiconductor content per vehicle. CEO and co-founder Don McClymont said the broader automotive semiconductor market is showing a “measured recovery,” with channel inventories “largely normalizing” and demand described as “cautious but improving.” He added that global vehicle production remains “range-bound,” but secular trends—such as the shift toward software-defined vehicles, expanding ADAS adoption, and increasing exterior and in-cabin sensing—continue to drive semiconductor content per vehicle. → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% 3 Auto Chip Stocks Up 60%+ From 2025 Lows: More Gains Ahead? McClymont also pointed to ongoing geopolitical tensions and shifting trade dynamics that are affecting supply chains across the industry, contributing to higher logistics costs and “selective capacity constraints.” In the question-and-answer session, he said the environment remains tight due to demand tied to AI, adding that it will require “a watchful eye… for the foreseeable future,” though he said indie is “comfortable now with the diversification of the supplier base.” McClymont highlighted a new $25 million production order tied to a tier-one partner’s Gen8 radar solution based on indie’s 77 GHz radar technology. He described the offering as “the first 4TX 8RX radar available in the industry” and said the order is driven by support for two OEMs—one European and one Asian—following design, testing, and qualification work over “many months.” → Years in the Making, AMD’s Upside Movement Has Just Begun Are Short Sellers Wrong About These 3 Semiconductor Stocks? He said indie is positioned to ramp production, noting the company has secured additional back-end and test capacity “across multiple suppliers” in preparation for the ramp ahead. He also said indie is advancing a second-source foundry strategy to improve manufacturing flexibility and, in some cases, to meet “no China, no Taiwan” requirements from certain industry participants. Asked about timing, McClymont declined to provide a specific delivery schedule for the $25 million order, characterizing it as “the first of many” as the project progresses. He did say indie has “a bunch of wafers in the line” and expects radar to “contribute meaningfully” this year. → Light Speed Returns: Corning Cashes In on NVIDIA Growth When asked about where the radar content is landing, McClymont said it is “largely mainstream,” with multiple radars per vehicle in many cases. He said the company expects adoption “from low to mid-tier through high tier, through even commercial vehicles,” and added that the technology is not limited to higher levels of autonomy. “These are products that… you’ll find on something like a Volkswagen Golf or a Toyota Corolla,” he said. In vision, McClymont said the iND880 vision processor has begun production supporting eMirror camera functionality at NIO, which he called a “premium Chinese EV OEM.” He said the program moved from design to production in about six months, which he attributed to execution and collaboration. He also said a camera mirror system program referenced in the prior quarter with the largest Chinese OEM is entering volume production. McClymont pointed to multiple vehicle models shown with indie technology at the Beijing Auto Show, including: Buick GL8 AITO M9 NIO ES9 Cadillac VISTIQ He said these models are entering production in 2026. A focal point for customer engagement, he said, is iND880’s DRAM-less architecture, which eliminates the need for external memory. McClymont said this helps customers navigate DRAM supply constraints, adding that in some cases customers “are unable to source memory at all,” and where DRAM is available, pricing can be “two, three, four times” normal levels. He said the architecture also reduces bill of materials, lowers system resource demands on downstream AI processors, and improves throughput and latency. During Q&A, McClymont said indie is seeing “pipeline of tens of millions of dollars per year in annual revenue” for iND880-related opportunities and that momentum is moving “very, very fast.” He added it is “maybe even possible” the iND880 could exceed radar revenue “in this year.” McClymont said indie is seeing growing interest in quantum and robotics and is pursuing new opportunities with emerging companies in high-growth markets. He cited third-party forecasts for robotics market growth and described engagement as accelerating across embodied AI applications, including autonomous mobile robots, humanoids, and drones. In photonics, he said indie introduced what it called the “world’s first commercially available ultraviolet distributed feedback (DFB) laser at 399 nm,” describing the wavelength as matched to the atomic cooling transition of ytterbium used in neutral atom quantum computing architectures. He said indie’s visible DFB laser family spans near ultraviolet to green wavelengths and that the company is engaged with several quantum computing companies on next-generation laser source needs. In LiDAR, McClymont said indie is starting to see adoption of FMCW technology across multiple markets. He said integration partners are completing designs incorporating indie’s iND83301 SoC, replacing FPGA-based processing and delivering claimed reductions of 80% in power consumption and 40% in solution size, along with improved cost positioning. He added indie is seeing traction beyond automotive, including engagement with a producer of autonomous mobile robots for warehouse management. On drones, McClymont said iND880 is among the products being evaluated and referenced a derivative that includes additional functionality “including an AI processor.” He also said the company is seeing interest in its LiDAR processor and, through an automotive tier-one customer, “demand for the radars going on these things too,” adding that content levels are high and ASPs are “good.” CFO Naixi Wu said Q1 revenue of $55.5 million reflected strength in the company’s core business, which totaled about $34.1 million and grew more than 20% sequentially, driven by momentum in its core ADAS portfolio. Revenue from Wuxi was approximately $21.4 million, which Wu said was consistent with expectations. Non-GAAP operating expenses were $37.3 million, leading to a non-GAAP operating loss of $11.1 million, improving from a $15.1 million loss in the comparable 2025 period. With net interest expense of $2.8 million, Wu said the non-GAAP net loss was $13.9 million, or a loss of $0.06 per share on 223 million shares, which she said was consistent with prior guidance. Wu also detailed a refinancing transaction: indie issued a 4% convertible senior note due 2031 with aggregate principal of $170.5 million, generating net proceeds of about $165 million after fees and costs. The company used about $108 million of the proceeds to repurchase a significant portion of its 2027 notes, retaining the remainder for working capital and general corporate purposes. Wu said the refinancing extends the maturity profile by about four years, lowers the coupon, and enhances financial flexibility. The company ended the quarter with total cash and cash equivalents, including restricted cash, of $184.7 million—up $29 million from the fourth quarter of 2025. On the planned divestiture of indie’s equity interest in Wuxi indie Micro, Wu reiterated that the company signed a definitive agreement in October 2025 to sell its entire interest to UFA for approximately $135 million in cash at closing, net of taxes and fees. She said the transaction has been advancing through the required regulatory approval process in China, including review by the Shenzhen Stock Exchange and the CSRC, and that the company remains “optimistic” it will close later this year, consistent with prior updates. For the second quarter of 2026, Wu said indie expects total revenue of $59 million to $65 million, with $62 million at the midpoint. The company expects Wuxi to contribute $25 million in Q2, and core business revenue of about $37 million at the midpoint, representing about 8% sequential growth and roughly 20% year-over-year growth in its core ADAS, photonics, and adjacent business. Non-GAAP operating expenses are expected to be $38 million, with net interest expense of about $3.1 million and no tax expense. Assuming the midpoint of revenue and 227 million shares, Wu said the company expects to improve net loss per share to $0.05. In response to a question about Wuxi trends, McClymont attributed prior headwinds to the China market—particularly the lower end of the EV market—driven by a change in Chinese government subsidy policy that impacted results through Q1. He said indie expects “a good bit of a bounce back” next quarter and believes those issues are resolving, adding that while unit trends face headwinds, increasing content per vehicle is helping offset them, which he said is evident in the company’s vision strength in China. indie Semiconductor, Inc is a fabless semiconductor company headquartered in San Jose, California, that specializes in advanced chip solutions for the automotive industry. The company designs and develops microcontrollers, sensor processing units, application processors and power management integrated circuits tailored for electric vehicles (EVs), advanced driver assistance systems (ADAS), infotainment and digital clusters. indie's product portfolio aims to deliver high performance, energy efficiency and functional safety to meet stringent automotive requirements. Originally formed as Integrated Memory Systems in 2021 through a business combination with a special purpose acquisition company, the firm rebranded to indie Semiconductor in early 2022. The article "indie Semiconductor Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Delivered Q1 2026 Revenue of $55.5M, exceeding the midpoint of the outlook, up 3% year-over-year Received $25M production order for radar chipset from Tier 1 partner driven by two OEM customers ALISO VIEJO, Calif., May 07, 2026--(BUSINESS WIRE)--indie Semiconductor, Inc. (Nasdaq: INDI), an automotive solutions innovator, today announced first quarter results for the period ended March 31, 2026. Q1 revenue was $55.5 million. On a GAAP basis operating loss for the first quarter of 2026 was $38.9 million, the same as the prior year period. Non-GAAP operating loss for the first quarter of 2026 was $11.1 million, compared to $15.1 million a year ago, representing continued progress towards profitability. First quarter 2026 GAAP loss per share was $0.21, while Non-GAAP loss per share was $0.06. "indie delivered a solid first quarter, with revenue exceeding the midpoint of our guidance, up 3 percent year over year," said Donald McClymont, indie’s co-founder and chief executive officer. "Notably, we have received a production order of $25 million from our Tier 1 radar partner, driven by demand from two automotive OEMs and marking a significant commercial milestone. With continued expansion into quantum and physical AI, indie is ideally situated to drive consistent, profitable growth." Business Highlights Commenced volume shipments of vision processor to NIO for eMirror camera deployment Ramped production of iND880 for camera mirror system with largest Chinese OEM Launched first commercially available UV DFB laser at 399 nm for next-generation quantum systems Leveraged indie's LiDAR SoC for Advanced Mobile Robot (AMR) for major global logistics company Captured indie perception software design win with Mahindra for Electric Origin SUV series Q2 2026 Outlook We provide guidance on a non-GAAP basis only because certain information necessary to reconcile such results and guidance to GAAP is difficult to estimate and dependent on future events outside of our control and, therefore, is not available without unreasonable efforts. Please refer to the header captioned "Discussion Regarding the Use of Non-GAAP Financial Measures" in this release for a further discussion of our use of non-GAAP measures. For the second quarter of 2026, indie expects revenue to be between $59 million and $65 million, or $62 million at the midpoint. At the midpoint of our outlook, we anticipate a revenue contribution from our core business of approximately $37 million and approximately $25 million from Wuxi indie Micro. indie’s Q1 2026 Conference Call indie Semiconductor will host a conference call with analysts to discuss its first quarter 2026 results and business outlook today at 5:00 p.m. Eastern time. To listen to the conference call via the Internet, please go to the Financials tab on the Investors page of indie’s website. To listen to the conference call via telephone, please call (800) 245-3047 (domestic) or (203) 518-9765 (international), Conference ID: INDIQ1. A replay of the conference call will be available beginning at 9:00 p.m. Eastern time on May 7, 2026, until 11:59 p.m. Eastern time on May 21, 2026, under the Financials tab on the Investors page of indie’s website, or by calling (844) 512-2921 (domestic) or (412) 317-6671 (international), Access ID: 11161459. About indie Headquartered in Aliso Viejo, CA, indie is empowering the automotive revolution with next-generation semiconductors, photonics, and perception software platforms. We focus on developing innovative, high-performance, and energy-efficient mixed-signal SoCs and system solutions for ADAS and adjacent industrial applications, including humanoid robotics, and quantum technology. Our sensors span all major modalities (Radar, Computer Vision, LiDAR, and Ultrasound), accelerating the proliferation of automated vehicle safety and sensing features. As a global innovator, we are an approved vendor to Tier 1 partners, and our solutions can be found in marquee automotive OEMs worldwide. Please visit us at www.indie.inc to learn more. #indieSemi_Earnings Safe Harbor Statement This communication contains "forward-looking statements" (including within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended). Such statements can be identified by words such as "will likely result," "expect," "anticipate," "estimate," "believe," "intend," "plan," "project," "outlook," "should," "could," "may" or words of similar meaning and include, but are not limited to, projected financial information, statements regarding our future business and financial performance and prospects, including statements regarding our positioning to drive consistent, profitable growth, and the continued expansion into adjacent high-growth markets, including quantum and humanoid robotics. Such forward-looking statements are based upon the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and generally beyond our control. Actual results and the timing of events may differ materially from the results included in such forward-looking statements. In addition to the factors previously disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 filed with the SEC on February 27, 2026, as supplemented by our Quarterly Reports on Form 10-Q and in our other public reports filed with the SEC (including those identified under "Risk Factors" therein), the following factors, among others, could cause actual results and the timing of events to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: macroeconomic conditions, including inflation, rising interest rates and volatility in the credit and financial markets, our reliance on contract manufacturing and outsourced supply chain and the availability of semiconductors and manufacturing capacity; competitive products and pricing pressures; our ability to win competitive bid selection processes and achieve additional design wins; the impact of the pending sale of our entire equity interest in Wuxi indie Microelectronics Technology Co., Ltd. and any potential adverse effects of such sale on our business, financial condition, operating results and stock price; the impact of recent acquisitions made and any other acquisitions we may make, including our ability to successfully integrate acquired businesses and risks that the anticipated benefits of any acquisitions may not be fully realized or take longer to realize than expected; our ability to develop, market and gain acceptance for new and enhanced products and expand into new technologies and markets; current and potential trade restrictions and trade tensions, including trade and tariff actions taken or proposed by the US government affecting the countries where we operate; and political or economic instability in our target markets. All forward-looking statements in this press release are expressly qualified in their entirety by the foregoing cautionary statements. Investors are cautioned not to place undue reliance on the forward-looking statements in this press release, which information set forth herein speaks only as of the date hereof. We do not undertake, and we expressly disclaim, any intention or obligation to update any forward-looking statements made in this announcement or in our other public filings, whether as a result of new information, future events or otherwise, except as required by law. INDIE SEMICONDUCTOR, INC. RECONCILIATION OF PRELIMINARY NON-GAAP MEASURES TO GAAP (Unaudited) GAAP refers to financial information presented in accordance with U.S. Generally Accepted Accounting Principles. This press release includes non-GAAP financial measures, as defined in Regulation G promulgated by the Securities and Exchange Commission. We believe that our presentation of non-GAAP financial measures provides useful supplementary information to investors. The presentation of non-GAAP financial measures is not meant to be considered in isolation from or as a substitute for results prepared in accordance with GAAP. The reconciliations of our preliminary GAAP to non-GAAP measures are as follows (in thousands, except share and per share amounts): Discussion Regarding the Use of Non-GAAP Financial Measures Our earnings release contains some or all of the following financial measures that have not been calculated in accordance with United States Generally Accepted Accounting Principles ("GAAP"): (i) non-GAAP operating loss, (ii) non-GAAP net loss, (iii) Adjusted EBITDA, (iv) non-GAAP share count and (v) non-GAAP net loss per share. As set forth in the tables above, we derive such non-GAAP financial measures by excluding certain expenses and other items from the respective GAAP financial measure that is most directly comparable to each non-GAAP financial measure. Management may use these non-GAAP financial measures to, amongst other things, evaluate operating performance and compare it against past periods or against peer companies, make operating decisions, forecast for future periods and to determine payments under compensation programs. These non-GAAP financial measures provide management with additional means to understand and evaluate the operating results and trends in our ongoing business by eliminating certain expenses and other items that management believes might otherwise make comparisons of our ongoing business with prior periods and competitors more difficult, obscure trends in ongoing operations or improve management’s ability to forecast future periods. We provide investors with non-GAAP operating loss, non-GAAP net loss and non-GAAP net loss per share because we believe it is important for investors to be able to closely monitor and understand changes in our ability to generate income from ongoing business operations. We believe these non-GAAP financial measures give investors an additional method to evaluate historical operating performance and identify trends, an additional means of evaluating period-over-period operating performance and a method to facilitate certain comparisons of our operating results to those of our peer companies. We further believe these non-GAAP financial measures allow investors to assess the overall financial performance of our ongoing operations by eliminating the impact of (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) restructuring costs, (iv) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (v) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vi) share-based compensation, and (vii) income tax benefit (provision). We believe that disclosing these non-GAAP financial measures contributes to enhanced financial reporting transparency and provides investors with added clarity about complex financial performance measures. We do not report a GAAP measure of gross profit or gross margin because certain costs related to contract revenues are expensed as incurred and included in research and development expenses, and not in cost of sales, as it is not practicable for us to bifurcate these expenses. We calculate non-GAAP operating loss by excluding from GAAP operating loss, any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) inventory cost realignments, (iv) restructuring costs and (v) share-based compensation. We calculate non-GAAP net loss by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) inventory cost realignments, (iv) restructuring costs, (v) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vi) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (vii) share-based compensation, and (viii) income tax benefit (provision). We calculate Adjusted EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring professional expenses (including acquisition-related or non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of fixed assets, (iv) inventory cost realignments, (v) restructuring costs, (vi) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vii) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (viii) share-based compensation, and (ix) income tax benefit (provision). We calculate non-GAAP share count by adding (i) weighted average Class A common stock, (ii) weighted average Class V common stock held by minority shareholders, which are exchangeable into Class A common stock and (iii) vested but unexercised options issued as part of the TeraXion acquisition. While both weighted average Class V common stock and vested but unexercised options issued as part of the TeraXion acquisition are considered anti-dilutive under ASC 260, therefore excluded from the GAAP earnings per share calculation, management includes both categories in this non-GAAP presentation because they will convert into Class A common stock over time. Management believes that including these categories provides investors with a more transparent view of the Company’s capital structure and potential impact of such conversions. Non-GAAP net loss per share is calculated by dividing non-GAAP net loss by non-GAAP share count. We exclude the items identified above from the respective non-GAAP financial measure referenced above for the reasons set forth with respect to each such excluded item below: Acquisition-related and other non-recurring professional expenses - including such items as, when applicable, fair value charges incurred upon the sale of acquired inventory, accounting impact to the cost of goods sold due to one-time inventory costing realignment with a specific supplier, acquisition-related professional fees and legal expenses and other professional fees that are non-recurring in nature because they are not considered by management in making operating decisions and we believe that such expenses do not have a direct correlation to our future business operations and thereby including such charges do not necessarily reflect the performance of our ongoing operations for the period in which such charges or reversals are incurred. Amortization expenses - related to the amortization expense for acquired intangible assets and certain license rights. Depreciation expenses - related to the depreciation expenses for all property and equipment on hand. Inventory cost realignments - related to the supplier allocation premiums introduced during COVID that is currently incorporated in our inventory cost but have since been eliminated going forward. The impact of this premium is deemed non-recurring and therefore not considered by management in its evaluation of the ongoing performance of the business. Share-based compensation - related to the non-cash compensation expense associated with equity awards granted to our employees (including those granted in lieu of cash compensation) and employer tax related to employee stock transactions. These expenses are not considered by management in making operating decisions and such expenses do not have a direct correlation to our future business operations. Restructuring costs - related to the one-time expenses the Company incurs to reorganize its operations, which is primarily related to workforce reduction, long-lived intangible asset impairment, facilities and other purchase commitment charges. Gain (loss) from change in fair values - because these adjustments (1) are not considered by management in making operating decisions, (2) are not directly controlled by management, (3) do not necessarily reflect the performance of our ongoing operations for the period in which such charges are recognized and (4) cannot make comparisons between peer company performance less reliable. Non-cash interest expense - related to the amortization of debt discounts and issuance costs because (1) these expenses are not considered by management in making decision with respect to financing decisions, and (2) these generally reflect non-cash costs. Income tax benefit (provision) - related to the estimated income tax benefit (provision) that does not result in a current period tax refunds (payments). The non-GAAP financial measures presented should not be considered in isolation and are not an alternative for the respective GAAP financial measure that is most directly comparable to each such non-GAAP financial measure. Investors are cautioned against placing undue reliance on these non-GAAP financial measures and are urged to review and consider carefully the adjustments made by management to the most directly comparable GAAP financial measures to arrive at these non-GAAP financial measures. Non-GAAP financial measures may have limited value as analytical tools because they may exclude certain expenses that some investors consider important in evaluating our operating performance or ongoing business performance. Further, non-GAAP financial measures are likely to have limited value for purposes of drawing comparisons between companies as a result of different companies potentially calculating similarly titled non-GAAP financial measures in different ways because non-GAAP measures are not based on any comprehensive set of accounting rules or principles. Adjusted EBITDA is calculated by removing non-recurring, irregular and one-time items that may distort EBITDA, to the current non-GAAP financial measures. We calculate Adjusted EBITDA by excluding from GAAP net income (loss), any (i) acquisition-related and other non-recurring expenses (including acquisition-related or other non-recurring professional fees and legal expenses, deemed compensation expense and expenses recognized in relation to changes in contingent consideration obligations), (ii) amortization of acquisition-related intangibles and certain license rights, (iii) depreciation of property, plant and equipment, (iv) inventory cost realignments, (v) restructuring costs, (vi) gains or losses recognized in relation to changes in the fair value of contingent considerations issued by indie, acquisition-related holdbacks and unrealized gains or losses from currency hedging contracts, (vii) non-cash interest expenses related to the amortization of debt discounts and issuance costs, (viii) share-based compensation, and (viii) income tax benefit (provision). To the extent our disclosures contain forward-looking estimates of non-GAAP financial measures, these measures are provided to investors on a prospective basis for the same reasons (set forth above) we provide them to investors on a historical basis. We are generally unable to provide a reconciliation of our forward-looking non-GAAP measures because certain information needed to make a reasonable forward-looking estimate of such non-GAAP measures are difficult to predict and estimate and is often dependent on future events that may be uncertain or outside of our control and, therefore, is not available without unreasonable efforts. Such events may include unanticipated changes in our GAAP effective tax rate, unanticipated one-time charges related to asset impairments (fixed assets, inventory, intangibles, or goodwill), unanticipated acquisition-related and other non-recurring professional expenses, unanticipated settlements, gains, losses and impairments and other unanticipated items not reflective of ongoing operations. Our forward-looking estimates of both GAAP and non-GAAP measures of our financial performance may differ materially from our actual results and should not be relied upon as statements of fact. View source version on businesswire.com: https://www.businesswire.com/news/home/20260507795370/en/ Contacts Media Inquiries [email protected] Investor Relations [email protected]

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. Performance was driven by a 20% sequential growth in the core ADAS portfolio, offsetting broader automotive market caution and range-bound vehicle production. Management attributes the success of the iND880 vision processor to its DRAMless architecture, which allows OEMs to bypass severe memory supply constraints and price premiums. The company is strategically diversifying its foundry and back-end capacity to mitigate geopolitical risks and meet 'no China, no Taiwan' manufacturing requirements from specific customers. Strategic expansion into the quantum computing market is supported by the launch of the world's first 399nm ultraviolet DFB laser, targeting neutral atom architectures. The 'embodied AI' sector, including humanoids and autonomous mobile robots, is emerging as a primary technology driver that may soon lead rather than follow automotive innovation. Operational execution was highlighted by the NIO eMirror program moving from design to production in just six months, demonstrating technical readiness and accelerated time-to-market. Q2 2026 guidance assumes approximately 8% sequential growth in the core business, driven by the continued ramp of ADAS and photonics programs. The $25 million radar production order is expected to contribute meaningfully to 2026 revenue, with management securing additional test capacity to support the volume ramp. The divestiture of the Wuxi indie Micro equity interest for $135 million is progressing through Chinese regulatory reviews and is anticipated to close later in 2026. Management expects accelerating engagement and potential commitments from U.S. customers for vision solutions due to the cost and latency benefits of memoryless architectures. The company is positioned to reach profitability through disciplined operating expense management and the scaling of high-margin design wins across radar and vision portfolios. Geopolitical tensions and shifting trade dynamics have resulted in elevated logistics costs and selective capacity constraints across the industry. The company successfully refinanced its debt, issuing $170.5 million in 2031 notes to retire 2027 debt, extending its maturity profile by four years and lowering coupon costs. Wuxi business faced headwinds in Q1 due to changes in Chinese government EV subsidy policies, though a recovery is expected in Q2. Tightness in the global semiconductor supply chain, exacerbated by AI-driven demand, requires ongoing management of back-end packaging and substrate availability. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. The order represents a discrete commitment from a Tier 1 partner to secure capacity for two specific European and Asian OEMs. While specific delivery dates were not disclosed, management confirmed the order will contribute meaningfully to this year's revenue and is the first of many expected chunks. The radar solutions are targeting mainstream, high-volume vehicles rather than being limited to luxury or L3/L4 autonomous tiers. Management noted the technology will appear in widely penetrated models similar to a Volkswagen Golf or Toyota Corolla. The iND880 pipeline currently represents tens of millions of dollars in annual revenue potential. Management indicated it is possible that vision revenue from this product could exceed radar revenue in 2026 due to rapid global adoption of DRAMless designs. Indie is seeing high demand for vision, LiDAR, and radar processors in the drone and warehouse robotics (AMR) markets. These markets often offer attractive average selling prices (ASPs) and are moving faster than traditional automotive cycles.

This Fund Manager Says You Should Get Out of Tesla and Apple—Now Volkswagen (ETR:VOW3) executives used the company’s first-quarter 2026 results call to highlight a strong cash flow performance, continued weakness in the U.S. and China, and a “step-up and acceleration” of a transformation plan that management said is necessary to lift profitability in a tougher operating environment marked by tariffs and intensifying competition. CEO Oliver Blume said customer deliveries fell 4% in the first quarter, “mainly due to the declines in U.S. and China,” while the group kept its global market share stable. Group operating profit came in at EUR 2.5 billion, translating to a 3.3% return on sales. Blume called the reported margin “a solid result,” but said it remains insufficient given investment needs and a changed market backdrop. → Palantir Is Down 30%: Noise? Or a Signal to Accumulate? indie Semiconductor is Driving ADAS Gains Globally CFO and COO Arno Antlitz said revenue declined 2% year-over-year to EUR 75.7 billion, while the operating result was 14% lower year-over-year at EUR 2.5 billion. Antlitz said the decline was “mainly due to special effects amounting to EUR 800 million,” with EUR 0.5 billion booked “related to the announced end of the production of the ID.4 in Chattanooga,” plus restructuring charges at Traton and other areas. Excluding special effects, the group’s first-quarter operating margin would have been 4.3%. Despite the profit pressure, automotive net cash flow was a bright spot. Blume said automotive net cash flow was “strong at around EUR 2 billion,” reflecting working-capital measures begun last year. Antlitz reported automotive net cash flow of EUR 2.0 billion versus minus EUR 0.8 billion in the prior-year quarter, citing improved gross cash flow, lower tax payments, and discipline on M&A. Automotive net liquidity was EUR 34.2 billion at quarter-end, “almost on par” with year-end 2025, despite a EUR 1.75 billion hybrid bond redemption in February. → Corning Beats Q1 Estimates but Drops 9% on Guidance Miss Enphase Energy is Still Converting Solar Energy into Profits Antlitz said first-quarter deliveries totaled 2.05 million vehicles. By region, North America deliveries fell 13% “mainly due to U.S. tariffs,” which he said became effective in April 2025. China deliveries were down 15%, while South America grew 7% and Europe grew 5%. Management pointed to strengthening European demand. Antlitz said European order intake rose 3% to 1.1 million vehicles, and the European order book increased 15% versus year-end 2025 to about 1.1 million vehicles, representing “more than 3 months” of order coverage. → Did Qualcomm Just Put Apple in Check? Battery-electric vehicle (BEV) deliveries were down 8% year-to-date to 200,000 units, with weaker demand in China and the U.S. Europe was an exception, where BEV deliveries increased 12% and BEV share reached 18.1%. Antlitz also highlighted the Škoda Elroq ramp-up, with around 30,000 deliveries in the quarter. Blume said the group’s “current business model and the changed environment is not generating sufficient returns,” noting that even before special effects the margin was 4.3% and that “US tariffs are not included in the special effects.” He said Volkswagen will continue to reduce complexity and focus investments, adding that the executive board agreed to a “substantial step-up and acceleration” of the transformation plan, framed as the “Volkswagen Group Target Picture 2030.” Blume outlined the plan’s main elements, including reducing product and technology complexity, realigning production capacity, and streamlining governance. He said Volkswagen intends to significantly cut the number of models from “about 150” and reduce variants and options. The company also plans to streamline modular platforms and tech stacks, and realign global technical capacity to “approximately 9 million units per year,” based on a “low or no growth environment.” In Q&A, Blume said the group has already reduced about 1 million units of capacity in China and 1 million in Europe and is aiming to reach the 9 million-unit level, including additional reductions in Europe and Germany. He said the company is “aiming now for reducing capacity in Germany, Europe, with another 500,000.” He later said the group would complete certain Germany adjustments “up to 2028,” with a further 500,000 “in the program by 2030,” depending on opportunities and production line changes. Both Blume and Antlitz emphasized that capacity planning is designed to lower the break-even point. In response to questions about whether 9 million units conflicts with growth ambitions, Blume said the group is aligning its cost structure to a 9 million-unit “risk scenario” while maintaining “more ambitious sales planning.” Antlitz said U.S. tariffs are weighing on earnings by “EUR 4 billion annually,” and on the media Q&A he added that tariff refund opportunities are limited and largely relate to parts, not vehicles. “All the tariffs are still in place,” he said, estimating potential refunds as “a small double-digit EUR million” amount compared with the broader tariff headwind. Executives also addressed the Middle East conflict and its potential second-order effects. Antlitz estimated fuel-related transportation costs at “EUR 20 million-EUR 30 million a month.” He said Volkswagen is hedged on most raw materials for 2026, but cautioned that hedges do not cover everything and do not last indefinitely. Management said it cannot rule out impacts on global demand or materials costs later, though they reported no supply chain disruption so far. On emissions compliance, Antlitz said the company expects to miss European CO2 targets across the 2025-2027 period and estimated CO2 costs of “EUR 400 million-EUR 500 million” per year, or “almost EUR 1.5 billion” over three years. He described a trade-off between selling additional BEVs with margin pressure and paying CO2 penalties, arguing that improving BEV margins is the structural solution. He said the current-generation MEB-based products carry weaker margins, while the coming “MEB Plus” generation is expected to improve contribution margins, and full parity is expected with the future SSP platform. Volkswagen detailed several portfolio and restructuring moves. Blume said Traton reduced its holding in Sinotruk, bringing in EUR 0.2 billion of cash inflow in Q1, followed by a second step in April “in the magnitude of EUR 400 million.” He also said Porsche reached an agreement to sell its stake in the Bugatti Rimac Group, with closing contingent on regulatory approvals. Antlitz said overhead costs in the Automotive division were reduced by EUR 0.9 billion in the first quarter, improving the overhead cost ratio by 70 basis points. He said Volkswagen AG reduced active employees at German sites by about 1,000 in the quarter, with group-wide headcount down 29,000 since 2023 as restructuring programs progressed across brands and CARIAD. By division, Antlitz reported Passenger Cars operating result of EUR 0.3 billion, up 43% year-over-year, for a 4.1% margin. Financial Services delivered EUR 1.0 billion of operating profit, “almost on par” with last year. Commercial Vehicles margin was 0.4%, “to a vast majority driven by special effects.” Within brand groups, Antlitz said Brand Group Core posted EUR 1.5 billion of operating profit and a 4.4% margin despite the EUR 0.5 billion Chattanooga effect. Volkswagen Passenger Cars’ reported profitability declined to 0.4%, while Škoda’s margin improved to 8.3%. CARIAD revenue rose to EUR 0.4 billion and its operating loss narrowed to minus EUR 0.4 billion. Porsche Automotive delivered EUR 0.5 billion of operating profit and a 7% margin, which Antlitz attributed to mix improvement from higher 911 volumes, offsetting China and U.S. headwinds. On China joint ventures, Antlitz said proportionate operating result was EUR 83 million in Q1 amid an overall weak market and a model offensive that is “burdening results now,” with contributions expected “from Q3 onwards.” He said Volkswagen continues to expect an operational and financial turnaround in fiscal 2027. Volkswagen reaffirmed its 2026 guidance. Antlitz confirmed the operating return on sales outlook of 4% to 5.5% and maintained automotive net cash flow guidance of EUR 3 billion to EUR 6 billion, while highlighting ongoing uncertainty tied to geopolitics, tariffs, and competition. Volkswagen AG manufactures and sells automobiles in Germany, Europe, North America, South America, the Asia-Pacific, and internationally. The company operates through four segments: Passenger Cars and Light Commercial Vehicles, Commercial Vehicles, Power Engineering, and Financial Services. The Passenger Cars and Light Commercial Vehicles segment engages in the development of vehicles, engines, and vehicle software; produces and sells passenger cars and light commercial vehicles, and related parts; and offers motorcycles. The article "Volkswagen Q1 Earnings Call Highlights" was originally published by MarketBeat.