SANTA CLARA, Calif., June 01, 2021 (GLOBE NEWSWIRE) -- Ambarella, Inc. (NASDAQ: AMBA), an AI vision silicon company, today announced financial results for its first quarter of fiscal year 2022 ended April 30, 2021.

• Revenue for the first quarter of fiscal 2022 was $70.1 million, up 28% from $54.6 million in the same period in fiscal 2021.
  
• Gross margin under U.S. generally accepted accounting principles (GAAP) for the first quarter of fiscal 2022 was 62.4%, compared with 58.6% for the same period in fiscal 2021.
  
• GAAP net loss for the first quarter of fiscal 2022 was $10.8 million, or loss per diluted ordinary share of $0.30, compared with GAAP net loss of $15.5 million, or loss per diluted ordinary share of $0.45, for the same period in fiscal 2021.

Financial results on a non-GAAP basis for the first quarter of fiscal 2022 are as follows:

• Gross margin on a non-GAAP basis for the first quarter of fiscal 2022 was 62.9%, compared with 59.1% for the same period in fiscal 2021.
  
• Non-GAAP net income for the first quarter of fiscal 2022 was $8.9 million, or earnings per diluted ordinary share of $0.23. This compares with non-GAAP net income of $1.3 million, or earnings per diluted ordinary share of $0.04, for the same period in fiscal 2021.

Based on information available as of today, Ambarella is offering the following guidance for the second quarter of fiscal year 2022, ending July 31, 2021:

• Revenue is expected to be between $74.0 million to $77.0 million.
  
• Gross margin on a non-GAAP basis is expected to be between 61.0% and 62.0%.
  
• Operating expenses on a non-GAAP basis are expected to be between $36.0 million and $37.5 million.

Ambarella reports gross margin, net income (loss) and earnings (losses) per share in accordance with GAAP and, additionally, on a non-GAAP basis. Non-GAAP financial information excludes the impact of stock-based compensation adjusted for the associated tax impact, which includes the effect of any benefits or shortfalls recognized. A reconciliation of the GAAP to non-GAAP gross margin, net income (loss) and earnings (losses) per share for the periods presented, as well as a description of the items excluded from the non-GAAP calculations, is included in the financial statements portion of this press release.

Total cash, cash equivalents and marketable debt securities on hand at the end of the first quarter of fiscal 2022 was $435.5 million, compared with $440.7 million at the end of the prior quarter and $411.3 million at the end of the same quarter a year ago.

“Ambarella has its strongest product portfolio in its history, and positive secular forces are driving the digital transformation across the growing number of industries we serve. Although early in this transformation, our Q1 non-GAAP operating margins of 12%, compared to 1% a year ago, demonstrate our positive earnings leverage. Our automotive business, led by CV, should double this year, and a multi-year period of share gains, in a growing market, has now likely commenced,” said Fermi Wang, President and CEO. “We continue to face a variety of significant supply-chain challenges, however our execution is strong and our guidance assumes the worst of the supply-chain challenges from the Texas freeze will be experienced in Q2 and improve as we progress through the second half of the year.”

Quarterly Conference Call

Ambarella plans to hold a conference call at 4:30 p.m. Eastern Time / 1:30 p.m. Pacific Time today with Fermi Wang, President and Chief Executive Officer, and Casey Eichler, Chief Financial Officer, to discuss the first quarter of fiscal year 2022 results. The call can be accessed by dialing 877-304-8963 in the USA; international callers should dial 760-666-4834. Please dial in ten minutes prior to the scheduled conference call time. A live and archived webcast of the call will be available on Ambarella’s website at http://www.ambarella.com/ for up to 30 days after the call.

About Ambarella

Ambarella’s products are used in a wide variety of human and computer vision applications, including video security, advanced driver assistance systems (ADAS), electronic mirror, drive recorder, driver/cabin monitoring, autonomous driving, and robotic applications. Ambarella’s low-power system-on-chips (SoCs) offer high-resolution video compression, advanced image processing, and powerful deep neural network processing to enable intelligent cameras to extract valuable data from high-resolution video streams. For more information, please visit  www.ambarella.com

"Safe harbor" statement under the Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements that are not historical facts and often can be identified by terms such as “outlook,” “projected,” “intends,” “will,” “estimates,” “anticipates,” “expects,” “believes,” “could,” “should,” or similar expressions, including the guidance for the second quarter of fiscal year 2022 ending July 31, 2021, and the comments of our CEO relating to potential opportunities in the visual AI and computer vision markets, future market trends, our ability to generate revenue and operating profit from such markets, the Company’s prospects in the automotive market, and supply-chain challenges faced by the Company. The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties and assumptions. Our actual results could differ materially from those predicted or implied and reported results should not be considered as an indication of our future performance.

The risks and uncertainties referred to above include, but are not limited to, risks associated with global health conditions and associated risk mitigation measures; global economic and political conditions, including possible trade tariffs and restrictions; supply chain challenges in the semiconductor industry; revenue being generated from new customers or design wins, neither of which is assured; the commercial success of our customers’ products; our growth strategy; our ability to anticipate future market demands and future needs of our customers, particularly for computer vision applications; our ability to introduce new and enhanced solutions; our ability to develop, and to generate revenue from, new advanced technologies, such as computer vision functionality; our ability to retain and expand customer relationships and to achieve design wins; the expansion of our current markets and our ability to successfully enter new markets, such as the OEM automotive and robotics markets; anticipated trends and challenges, including competition, in the markets in which we operate; our ability to effectively manage growth; our ability to retain key employees; and the potential for intellectual property disputes or other litigation.

Further information on these and other factors that could affect our financial results is included in the company’s Annual Report on Form 10-K for our 2021 fiscal year, which is on file with the Securities and Exchange Commission. Additional information will also be set forth in the company’s quarterly reports on Form 10-Q, annual reports on Form 10-K and other filings the company makes with the Securities and Exchange Commission from time to time, copies of which may be obtained by visiting the Investor Relations portion of our web site at www.ambarella.com or the SEC's web site at www.sec.gov . Undue reliance should not be placed on the forward-looking statements in this release, which are based on information available to us on the date hereof. The results we report in our Quarterly Report on Form 10-Q for the first fiscal quarter ended April 30, 2021 could differ from the preliminary results announced in this press release.