Despite the quarterly progress, net loss for the first half of 2026 widens to US$17.3 million
[SINGAPORE] Ambiq Micro on Wednesday (Aug 12) reported that its second-quarter net loss narrowed, benefiting from an 89.7 per cent jump in revenue as demand for its ultra-low power artificial intelligence chips – or edge AI chips – accelerated.
For the three months ended Jun 30, the fabless semiconductor company reported a net loss of US$7.1 million, or US$0.32 per share, narrowing from US$8.5 million, or US$18.90 per share, in the prior-year period. Despite the quarterly progress, Ambiq’s net loss for the first half of 2026 widened to US$17.3 million compared with US$16.8 million recorded in the first six months of 2025, reflecting heavy upfront research and operational investments.
Still, top-line momentum remained robust across the broader six-month period, with net sales climbing 75.5 per cent to US$59 million from US$33.6 million a year earlier, driven by new product launch ramps and expanded design wins with major global customers.
In Q2, profitability metrics improved as gross profit more than doubled to US$15.3 million and gross margin expanded by 490 basis points to 45 per cent. The company attributed this margin gain to higher average selling prices as customers transitioned to its newer, higher-margin product lines.
Operating costs continued to weigh on the bottom line as Ambiq reinvested heavily in its technology pipeline. R&D expenses surged 58.9 per cent year on year in the quarter to US$14.1 million, driven by higher intellectual property spend and additional technical headcount.
Selling, general and administrative expenses rose 39.4 per cent to US$9.9 million, reflecting higher sales commissions tied to the revenue growth and ongoing public-company compliance costs.
Ambiq closed the quarter with US$366.8 million in cash and cash equivalents, bolstered by a June follow-on offering that raised US$167.9 million in net proceeds.
Expanding its international reach and capital structure, the company completed a secondary listing of its common stock on the mainboard of the Singapore Exchange (SGX) on Jul 30.
The SGX-listed shares are fully fungible with its primary shares listed on the New York Stock Exchange, providing direct exposure to Asian capital markets as the company scales its edge AI operations globally.
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