AEye 2025 Q3 Earnings Narrowed Losses Amid Revenue Decline

AEye (LIDR) reported Q3 2025 earnings on Nov 8, 2025, with revenue beating estimates by $0.01M but GAAP EPS missing by $0.03. The company narrowed its per-share loss by 70.3% to -$0.30, though net losses widened by 7.2% to -$9.33M. Management highlighted progress in customer growth and production scaling but acknowledged ongoing cash burn challenges.

Revenue

AEye's total revenue dropped sharply by 51.9% to $50,000 in Q3 2025, down from $104,000 in the same period last year, primarily due to lower contract development revenues and higher unit sales of legacy products in the prior year.

Earnings/Net Income

Despite a 70.3% improvement in per-share loss to -$0.30, the company's net loss widened by 7.2% to -$9.33 million, underscoring ongoing financial challenges.

Price Action

The stock surged 10.6% on the day of the report but declined 9.43% weekly and 22.08% month-to-date, reflecting mixed investor sentiment. A backtested strategy of buying LIDR when revenues beat estimates and holding for 30 days showed a high win rate and profitability, suggesting potential for future success.

CEO Commentary

CEO Matthew Fisch emphasized progress in customer expansion, doubling the customer base to 12 in Q3 and securing $84.3M in cash. He highlighted Apollo’s commercial traction and partnerships with LITEON and institutional investors to scale production to 60,000 units annually. CFO Conor Tierney noted disciplined cost management, with operating expenses declining to $7.8M in Q3.

Guidance

AEye expects 2025 cash burn of $27–29M, aligning with prior guidance. Management remains focused on scaling Apollo production and expanding into automotive and non-automotive markets, including defense and smart infrastructure.

Additional News

1. LITEON Partnership: AEye expanded its manufacturing collaboration with LITEON to establish a dedicated Apollo production line, targeting 60,000 units annually by mid-2026.

2. Strategic Investment: A major institutional investor provided capital to accelerate manufacturing readiness, reinforcing the company’s capital-light model.

3. Defense Contracts: Apollo lidar shipments began for U.S. defense applications, including manned and unmanned aerial vehicles, signaling growing market diversification.