NYSE$VLN

Valens Semiconductor Ltd · Q4 2025 earnings

Q4 2025 earnings · · Before market open · Investor relations

Briefing

Valens Semiconductor reported its fourth quarter 2025 financial results, exceeding revenue and gross margin guidance despite a net loss.

Valens Semiconductor achieved its seventh consecutive quarter of revenue growth, reaching $19.4 million in Q4 2025. While the company exceeded its own guidance for revenue and gross margin, it reported a GAAP net loss of $8.8 million. Management is focusing on core Audio-Video and Automotive markets while implementing an efficiency plan to reduce operating expenses in 2026.

  • Q4 2025 revenues of $19.4 million exceeded the top end of the company's guidance range.
  • GAAP gross margin reached 60.5%, also surpassing guidance, driven by cost optimization in the Automotive segment.
  • The company maintained a strong liquidity position with $92.6 million in cash and no debt as of year-end.
  • An operational efficiency plan was launched in early 2026, expected to save approximately $5 million in annual operating expenses.

Headline financials

Total Revenue

$19.4M

No prior period
EPS (adj)

-$0.04

No prior period
Gross Margin

60.5%

No prior period
Non-GAAP Gross Margin

63.9%

No prior period
Adjusted EBITDA

-$4.26M

No prior period
Total Cash and Deposits

$92.6M

No prior period
Weighted Average Shares

102.4M

No prior period
Inventory

$10.1M

No prior period
Net Income

-$8.77M

No prior period
Operating Income

-$9.17M

No prior period
Gross Profit

$11.7M

No prior period

Revenue & EPS history

Valens · Revenue · Quarterly

$19.4M

Q4 2025
Beat estimate in 10 of 12 quarters(83%)
ActualEstimate

Revenue by segment

Valens · $16.9M total across 2 segments · Q1 2026

  • Cross-Industry Business
    $11M
  • Automotive
    $5.9M

Forward guidance

Valens expects continued growth in 2026 but warns of macroeconomic uncertainty and reduced visibility.

Tailwinds

  • Full year 2026 revenue growth projected at 8% at the midpoint.
  • Operational efficiency plan expected to save $5 million annually.
  • Fourth MIPI A-PHY design win with a premium carmaker.
  • Unveiling of the market's first production-ready MIPI A-PHY-enabled e-mirror.
  • Strong cash position with no debt to support core business focus.

Headwinds

  • Q1 2026 revenue guidance ($16.3M-$16.7M) is lower than Q4 2025 results.
  • Q1 2026 gross margin expected to compress to 57%-59%.
  • Macroeconomic conditions may affect the pace and extent of growth.
  • Reduced visibility beyond the near term.
  • Gradual price erosion and reduced unit sales to Mercedes Benz impacting Automotive segment.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 15 quarterly earnings reports · overlaid with Q4 2025

Historical avgQ4 2025

-2.6%

Avg return

Earnings day

-4.5%

Avg return

5 days after

-8.3%

Avg return

30 days after

18%

3 / 17 earnings

Positive

+8.9%

Q1 2026

Best reaction

-12.8%

Q2 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+0.0%+5.2%
Q1 2026+8.9%+5.2%
Q3 2025-5.6%-13.3%-11.7%
Q2 2025-12.8%-8.4%-16.4%
Q1 2025-4.9%-10.8%-20.9%
Q4 2023-5.1%-2.1%-0.4%
Q3 2023-1.4%-3.7%+9.3%
Q2 2023+1.6%+0.4%+0.8%
Q1 2023-0.4%-2.8%-6.0%
Q4 2022-0.9%-10.2%-30.8%
Q3 2022+2.1%-3.1%+29.7%
Q2 2021-5.1%-10.9%-16.3%
Q2 2022+0.0%-0.3%+13.7%
Q1 2022-2.7%+11.7%-3.9%
Q4 2021-5.3%-12.6%-20.4%
Q4 2020-5.3%-12.6%-20.4%
Q3 2021-6.9%-7.3%-30.0%
Q1 2021
Q3 2020
Q2 2020
Q1 2020

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro