Overview

• US semiconductor firm's Q1 net sales rose 59% yr/yr, beating analyst expectations

• Gross margin improved to 43.5% on manufacturing efficiencies

• Company expects strong Q2 sales on continued edge AI demand

Outlook

• Ambiq expects Q2 net sales of $31.0 mln to $32.0 mln

• Company sees Q2 non-GAAP gross margin between 45.0% and 46.0%

• Ambiq expects 2026 net sales outside personal devices to double from 2025

Result Drivers

• EDGE AI DEMAND - Co said Q1 sales growth was driven by accelerating demand for edge AI solutions and greater customer adoption of its products

• MANUFACTURING EFFICIENCY - Co attributed gross margin performance to optimized production processes, which helped offset industry-wide cost pressures

• CUSTOMER AND MARKET DIVERSIFICATION - Co said its top three customers accounted for a smaller share of sales and expects sales outside personal devices to double in 2026

Company press release: ID:nBw1Kwx8Wa

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Sales	Beat	$25.06 mln	$21.49 mln (5 Analysts)
Q1 EPS		-$0.50
Q1 Adjusted Net Income		-$5.05 mln
Q1 Gross Profit		$10.89 mln

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• Wall Street's median 12-month price target for Ambiq Micro Inc is $44.00, about 3.7% below its May 11 closing price of $45.67

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