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Jan 31, 2020

Ambarella Q4 2020 Earnings Report

Announced financial results for the fourth quarter of fiscal year 2020.

Key Takeaways

Ambarella's Q4 2020 revenue was $57.2 million, a 12% increase from Q4 2019. The GAAP net loss was $13.0 million, or $0.39 per diluted share, compared to a net loss of $4.5 million, or $0.14 per share, in the same period last year. Non-GAAP net income was $4.9 million, or $0.14 per diluted share, compared to $4.5 million, or $0.14 per share, in Q4 2019.

Q4 revenue was $57.2 million, up 12% year-over-year.

GAAP gross margin was 58.2%, compared to 60.0% in the same period last year.

GAAP net loss was $13.0 million, or $0.39 per diluted share.

Non-GAAP net income was $4.9 million, or $0.14 per diluted share.

Total Revenue
$57.2M
Previous year: $51.1M
+12.0%
EPS
$0.14
Previous year: $0.14
+0.0%
Gross Margin
58.2%
Previous year: 60%
-3.0%
Gross Profit
$33.3M
Previous year: $30.7M
+8.7%
Cash and Equivalents
$231M
Previous year: $194M
+19.3%
Free Cash Flow
$3.73M
Previous year: $13.4M
-72.2%
Total Assets
$527M
Previous year: $467M
+12.9%

Ambarella

Ambarella

Forward Guidance

For Q1 2021, Ambarella expects revenue between $52.0 million and $57.0 million and non-GAAP gross margin between 57.5% and 59.5%. Non-GAAP operating expenses are expected to be between $33.0 million and $35.0 million.

Positive Outlook

  • Revenue is expected to be between $52.0 million and $57.0 million
  • Gross margin on a non-GAAP basis is expected to be between 57.5% and 59.5%
  • Non-GAAP operating expenses are expected to be between $33.0 million and $35.0 million
  • AI computer vision expected to reach 10% of total revenue in FY21
  • Goal is to grow total revenue for the year

Challenges Ahead

  • New public health issues bring an unusually high degree of uncertainty to the business environment
  • Dynamic geopolitical environment bring an unusually high degree of uncertainty to the business environment
  • Risks associated with revenue being generated from new customers or design wins
  • Commercial success of our customers’ products is not assured
  • Risks associated with the COVID-19 virus and its impact on the global economy