Q1 Revenues Beat Guidance at $16.9M, Margins Exceed 65%
Valens Semiconductor posted Q1 2026 revenue of $16.9 million, surpassing guidance of $16.3–16.7 million, and reported GAAP gross margin of 62.2% and non-GAAP gross margin of 65.2%. The company ended the quarter with $86.1 million in cash and short-term deposits and no debt.
1. Q1 Financial Results
Valens Semiconductor delivered Q1 revenues of $16.9 million, above its $16.3–16.7 million guidance. GAAP gross margin was 62.2%, while non-GAAP gross margin reached 65.2%, both exceeding the upper guidance range. The company reported a GAAP net loss of $8.3 million and an adjusted EBITDA loss of $5.5 million.
2. Segment Performance
Cross-Industry Business accounted for 65% of Q1 revenue at $11.0 million with a 70.8% gross margin, up from 66.4% in the prior quarter due to a favorable product mix. Automotive revenue reached $5.9 million, representing 35% of total revenue, with a 46.2% gross margin, slightly above the previous quarter’s 45.9%.
3. Q2 Outlook and Cash Position
For Q2 2026, Valens forecasts revenues of $17.2–17.6 million, gross margin of 60–62% and an adjusted EBITDA loss between $4.9 million and $4.4 million. The balance sheet shows $86.1 million in cash and short-term deposits as of March 31, with no debt outstanding.