SES AI (SES) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached $6.7 million, up 47% sequentially and 16% year-over-year, driven by product sales, especially from the UZ Energy acquisition.

• Full-year 2026 revenue guidance reaffirmed at $30–$35 million, with contributions from all three business units.

• CFO transition announced: Ray Liu to succeed Jing Nealis effective April 27, 2026.

• The company continues to invest in AI-driven battery technology and expanded its ESS market presence through the UZ Energy acquisition.

Financial highlights

• Q1 2026 revenue was $6.7 million, compared to $4.6 million in Q4 2025, with product revenue nearly doubling year-over-year post-UZ Energy acquisition.

• GAAP gross margin improved to 18.1% from 11.3% sequentially but declined from 78.7% year-over-year due to a shift from high-margin services to lower-margin products.

• GAAP net loss was $12.1 million ($0.04/share), improved from $17 million ($0.05/share) in Q4 2025 and $12.4 million in Q1 2025.

• Non-GAAP net loss was $11.1 million ($0.03/share), versus $11.8 million ($0.04/share) prior quarter.

• Ended Q1 with $178 million in liquidity, including $46.9 million in cash and $130.7 million in marketable securities.

Outlook and guidance

• Full-year 2026 revenue guidance maintained at $30–$35 million.

• Expect approximately 15% reduction in full-year operating expenses, with full impact visible from Q3 onward.

• Management expects continued operating losses for several years as investments in R&D and commercialization persist.

• Cash and marketable securities expected to cover principal working capital and capex needs for at least 12 months; additional funding may be required for further AI development and expansion.

• Revenue expected to be driven predominantly by ESS, with remainder split between drones and materials.