Amprius Technologies, Inc. Q4 FY2025 earnings call

2025 was a landmark year for Amprius with second generation Sycor silicon anode batteries gaining broad adoption. Won Nokia Drone Networks win, received Best of Innovation Award at CES. NDAA update important, contract with Department of War's Defense Innovation Unit increased to $14.8 million. Ahead of schedule on NDAA compliance, scorecard for battery component sourcing 11 out of 11. Fourth quarter and full-year financial results positive. Amprius customers choose our batteries for improved performance. Silk & Ando platform has 22 cell designs. Customers care about country of origin, Amprius anticipated shift and started execution. High-level cell roadmap includes high energy, high power, and long life balance cells.

Fourth quarter revenue reached a record $25.2 million, representing an 18% quarter-over-quarter improvement and a 137% year-over-year increase. Gross margin improved to 24%, a 9 percentage point increase quarter-over-quarter, and a 45 percentage point increase year-over-year. Full-year 2025 revenue reached $73 million, 3x our 2024 level. Gross margin for the year was 11%, up significantly from the minus 76% in 2024. Our silicon-based batteries improve customer products, like drones achieving significantly longer flight times. Market segments include UAVs, satellites and space, light electric vehicles, robotics, and electric vertical takeoff and landing aircraft, each with their own performance impacts due to our battery technology.

Believe to deliver at least $125 million of revenue in 2026, enabling first full year of adjusted positive EBITDA of at least $4 million. Capex for 2026 will be less than $10 million. Cash position in Q1 to decrease due to Colorado settlement. Long-term target to make the most of over $600 million of contracted capacity by 2030, aiming for over 30% gross margins and at least 20% EBITDA margins.

Involve known and unknown risks, uncertainties and other important factors that may cause results to differ from forward-looking statements. Including risks related to market competition, compliance with NDAA requirements, supply chain changes, and technology development not meeting expectations. Operational challenges in aligning all variables for NDAA compliance.

Q: Eric Stein about selection of 11 components and 2026 milestones, A: Tom's response.

Q: Austin Bowley about new customer wins and volume production stage, A: Tom's response.

Q: Mark Shooter about geopolitics and demand, A: Tom's response.

Q: Colin Rush about technology roadmap and 2030 guidance, A: Tom's response.

Q: Ryan Finkst about aviation market share and guidance, A: Ricardo's response.

Q: Ted Jackson about Symax revenue mix and NDAA compliance, A: Tom's response.

Q: Derek Soderberg about Nokia drone networks and business growth leverage, A: Tom's response.

Q: Chip Moore about replacement dynamic and adjacencies, A: Ricardo's response.

Q: Amit Dal about manufacturing cost reduction and cash use, A: Ricardo's response