Ambiq Micro (AMBQ) investor relations material

Company overview and business model

• Designs ultra-low power semiconductor solutions for edge AI, leveraging proprietary SPOT® technology to reduce power consumption by 2–5x compared to conventional chips.

• Products serve wearables, healthcare, industrial, and smart home markets, with over 300 million devices powered as of 2025.

• Operates a fabless model, outsourcing manufacturing to TSMC and other partners, focusing on design, sales, and marketing.

• Revenue is concentrated among a few large customers, with top five accounting for 91% of 2025 sales.

• Expanding into new markets such as automotive and data centers, and developing IP licensing for its SPOT platform.

Financial performance and metrics

• Net sales were $72.5M in 2025 (down 4.7% from 2024), with a shift from Mainland China to higher-margin markets in the US and Europe.

• Gross profit increased to $32.1M in 2025 (44.3% margin), up from $24.3M (31.9%) in 2024, driven by strategic focus on higher-margin customers.

• Net loss was $36.5M in 2025 and $10.2M for Q1 2026; accumulated deficit reached $366.9M as of March 31, 2026.

• R&D expenses were $38.5M in 2025 (53% of sales), reflecting ongoing investment in new products.

• Cash and equivalents totaled $204.5M as of March 31, 2026, bolstered by IPO and follow-on offerings.

Use of proceeds and capital allocation

• Estimated net proceeds of $152.3M from the offering, primarily for general corporate purposes: working capital, sales/marketing, product development, admin, and capex.

• May use a portion for acquisitions of complementary businesses or technologies, though no agreements are in place.

• No plans to pay dividends; all earnings to be retained for growth.