EnSilica (ENSI) H2 2025 earnings summary

Executive summary

• Achieved six new NRE design wins in FY2025, progressing as planned with some expected to move into production in FY2026.

• Supply revenue doubled year-over-year, offsetting a decline in total revenue due to customer delays and non-recurrence of a large prior-year takeout.

• Strategic focus on high-value, long-lifetime chip markets, with a growing portfolio providing natural revenue hedging.

• Strong pipeline of opportunities, with GBP 400 million in the sales pipeline and GBP 250 million in lifetime supply value from existing chips.

Financial highlights

• FY2025 revenue was GBP 18.2 million, down from the prior year due to project delays and non-recurrence of a large takeout.

• Gross profit margin improved by 4 percentage points to 40%, driven by a shift to higher-margin supply revenue.

• Achieved break-even EBITDA despite headwinds, with significant improvement expected in FY2026.

• Cash consumption slowed sharply in H2 FY2025, with GBP 5.3 million consumed for the year, mostly in H1.

• Capitalized R&D investment was GBP 5.8 million, expected to remain similar in FY2026.

Outlook and guidance

• Revenues year-to-date in FY2026 are significantly ahead of FY2025, with strong visibility from contracted NRE and supply.

• Targeting short-term revenues of GBP 60 million and long-term ambitions exceeding GBP 100 million.

• Aiming for monthly cash flow positivity during 2026.

• Expecting to announce three to four new contracts before the end of FY2026.