Ambarella Reports Strong Q2 Earnings with Record AI Revenue
Ambarella (NASDAQ:AMBA) reported fiscal second-quarter revenue of $108.1 million, up 7.7% sequentially and 13.2% year-over-year, driven by record AI revenue and strong demand from automotive and IoT customers. The company posted non-GAAP diluted earnings per share of $0.18 with a gross margin of 59.3%. Automotive revenue reached a new high due to increased adoption of AI in commercial vehicles. Ambarella forecast fiscal Q3 revenue between $115 million and $124 million, slightly above the midpoint of its previous guidance range. The company also authorized a $50 million stock-repurchase program through June 30, 2027. Despite rising supply-chain costs, Ambarella expects to maintain its long-term gross-margin target of 59%–62%. Additionally, it raised its fiscal 2032 serviceable market forecast to $22.9 billion due to expansion into edge infrastructure and AI accelerators. The company highlighted partnerships with Capgemini and Macnica aimed at expanding enterprise reach, though meaningful revenue from these initiatives is not expected for two to three years.
Tickers: $AMBA
Topics: AI automotive IoT revenue growth stock buyback