Navitas Semiconductor (NVTS) Q4 2025 earnings summary

Executive summary

• Completed a strategic pivot to focus on high-power markets, especially GaN and high-voltage SiC solutions for AI data centers, grid, energy infrastructure, performance computing, and industrial electrification, targeting a $3.5 billion SAM by 2030.

• High-power markets contributed the majority of quarterly revenue for the first time, with mobile and low-end consumer segments declining sharply.

• Organizational realignment included a 19% workforce reduction, consolidation of distribution partners, and streamlined go-to-market strategy.

• CEO transition ongoing, with CFO stepping down after 10 years; search for successor underway.

• Formalized multiple strategic partnerships, including a long-term foundry and technology agreement with GlobalFoundries to boost U.S.-based GaN manufacturing.

Financial highlights

• Q4 2025 revenue was $7.3 million, exceeding the high end of guidance but down from $10.1 million in Q3 and $18.0 million in Q4 2024.

• Full year 2025 revenue was $45.9 million, down from $83.3 million in 2024.

• Q4 gross margin was 38.7% non-GAAP, flat sequentially; GAAP gross margin was -17.2%.

• Q4 operating loss was $12.1 million non-GAAP; GAAP loss from operations was $41.4 million.

• Q4 included a $16.6 million restructuring and impairment charge, with $3.8 million non-cash.

Outlook and guidance

• Q1 2026 revenue expected to increase sequentially to $8–8.5 million, with continued growth anticipated throughout 2026.

• Gross margin for Q1 2026 expected at 38.7% ±25 bps; operating expenses to remain flat at ~$15 million.

• Mobile revenue expected to become insignificant by end of 2026 as high-power markets drive growth.

• Margin expansion expected as scale increases and product mix shifts to higher-margin high-power products.