Gauzy (GAUZ) Q2 2025 earnings summary

Executive summary

• Achieved a record sequential increase in order backlog for Q2 2025, reaching $43 million, reflecting strong multi-year demand and customer support for technology.

• Q2 2025 revenue was $20.1 million, supported by a record backlog, with full-year guidance and expectations reaffirmed despite shipment delays and temporary disruptions.

• Closed $15 million in new debt financing under favorable terms, reinforcing liquidity and supporting growth.

• Major business milestones include the first delivery of GM's Cadillac Celestiq with the largest dimmable smart glass in serial production and the launch of a prefabricated smart glass stack for automotive OEMs.

• Expanded presence in automotive, marine, architecture, and aeronautics sectors, with new contracts, product launches, and strategic customers driving future growth.

Financial highlights

• Q2 2025 revenue was $20.1 million, down from $24.4 million year-over-year, mainly due to shipment delays and timing of deliveries.

• Gross margin declined to 21.4% from 27% year-over-year, mainly due to lower revenue and product mix.

• Operating expenses rose to $16.8 million from $14.5 million, driven by public company costs, higher depreciation/amortization, and increased R&D.

• Net loss for Q2 2025 was $(10.7) million, compared to $(3.9) million in Q2 2024, with a net loss margin of (53.5)%.

• Free cash flow outflow improved to $(5.2) million from $(11.5) million year-over-year.

Outlook and guidance

• Full-year 2025 revenue guidance reaffirmed at $130–$140 million, representing over 26% growth at the midpoint.

• Adjusted EBITDA expected to be positive for the full year, with break-even at $31–$32 million in quarterly revenue.

• Second half of 2025 expected to deliver 70% of full-year revenue, with Q4 typically the strongest quarter.

• Strong order backlog and expanded production capacity support confidence in meeting guidance.