Ambiq Micro, Inc. 2026 Q2 Earnings Call
Review the key takeaways and the transcript of this earnings call.
- Ambiq Micro reported second quarter 2026 net sales of $33.9 million, an 89.7% increase year over year, marking the fifth consecutive quarter of sequential growth.
- Non-GAAP gross profit more than doubled year over year to $16 million, with a gross margin of 47.2%, up 450 basis points from the prior year period.
- Non-GAAP R&D expenses increased 55.5% year over year to $11.2 million due to intellectual property licensing, compensation, and contractor costs.
- Non-GAAP G&A expenses rose 23.7% year over year to $8.2 million, driven by sales compensation and public company costs.
- Non-GAAP net loss was $1.8 million, improving by $4.1 million year over year, with a net loss per share of $0.07 based on 21.74 million shares outstanding.
- Ambiq ended the quarter with no debt and $366.8 million in cash and equivalents, including $168 million net proceeds from a June follow-on offering.
- Sales to end customers in China accounted for approximately 14% of total net sales, up from 12% in the prior year period.
- Apollo 3 and Apollo 4 products saw double-digit growth, while Apollo 5 sales more than doubled year over year.
- Ambiq introduced Apollo 330 Plus and Apollo 510 Lite SoC families, expecting revenue contributions starting in the third quarter 2026, with customer devices launching early 2027.
- The company expects 2026 full-year net sales of approximately $135 million, with third quarter 2026 net sales projected to grow about 100% year over year.
- Non-GAAP gross margin guidance for Q3 2026 is between 46.5% and 47.5%, consistent with Q2 performance.
- Non-GAAP operating expenses for Q3 2026 are expected to be $24 million to $25 million, including $2 million related to IP purchases.
- Ambiq expects full-year 2026 operating expenses of approximately $85 million, including $7 million to $10 million for IP purchases tied to product development.
- The company is supply constrained in the second half of 2026 due to tight capacity across wafers, packaging, substrates, and testing, but is working to secure additional foundry allocations.
- Demand for edge AI is accelerating across customers and markets, with orders exceeding initial forecasts and strong end user consumption.
- Ambiq is expanding into medical, industrial, and smart home/building markets, expecting revenue from these areas to more than double in 2026.
- Next generation products Apollo 340, Atomic 110, and Atomic 120 are in development, with Atomic 110 and Apollo 340 targeted for customer sampling in early 2027.
- Ambiq raised approximately $243 million in net proceeds from two offerings in 2026, providing financial flexibility for growth and product development.
STOCKNOW INSIGHTS
Continue with outlook and guidance.
Log in to unlock executive comments and Q&A highlights.
Log in for the full summaryStockNow uses AI to translate and summarize earnings calls. Accuracy and completeness are not guaranteed.
Transcript
Preview the first five paragraphs, organized by speaker.
Good morning, and welcome to the Ambiq Micro second quarter 2026 earnings conference call. As a reminder, this conference call is being recorded. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one on your telephone keypad. To withdraw your question, press star one again. I'd now like to turn the call over to Ms. Charlene Wan, Ambiq's Vice President of Corporate Marketing and Investor Relations.
Charlene, please go ahead. On today's call, Ambiq's CEO, Fumihide Esaka, will provide an overview of the company's performance and strategy.
CFO, Jeff Winzeler, will then discuss the quarter's financial results and outlook. Following their remarks, Scott Hanson, Ambiq's founder and CTO, will join Fumihide and Jeff for Q&A. Our earnings release is available on the investor relations page of our website at www.ambiq.com. We have also posted our earnings presentation on the investor relations section of our website. Before I turn the call over to Fumihide, I'd like to remind our listeners that during the course of this conference call, management will discuss non-GAAP financial measures. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures are included in our earnings release available on the company's investor relations website. In addition, today's call will contain forward-looking statements representing management's beliefs and assumptions only as of the date made.
Our most recent quarterly report on Form 10-Q and other filings with the SEC provide more information on specific risks that may cause the actual results to differ materially from current expectations. Now it's my pleasure to turn the call over to Ambiq's CEO, Fumihide Esaka.
Good morning, everyone, and thank you for joining us. Since the start of the year, we've seen a step change in demand for edge AI, which supports our strong performance and further increases our conviction in the magnitude and durability of the long-term opportunity. Across end markets, companies are embedding more sophisticated AI into a broader range of devices, and end-user demand is far exceeding our expectations and those of our customers. With our full-stack, ultra-low power solutions, Ambiq's defining technologies are not only enabling but further accelerating this next chapter in AI. This positions us to continue outpacing the broader market as we take share and expand our addressable opportunity. This momentum is reflected in our second quarter results. Net sales were ahead of guidance, growing approximately 90% over last year and marking our fifth consecutive quarter of sequential growth.
FULL TRANSCRIPT
Continue the full translated transcript in StockNow.
Log in to unlock every statement, the English original, and speaker-by-speaker history.
Log in for the full transcriptCall participants
10 people spoke on this call — only 2 are shown here.
PARTICIPANT LIST
View participant details in StockNow.
Log in to see executives and analysts, their roles, and complete speaking history.
Log in to view all participantsKeep exploring