MicroVision (MVIS -1.79%), a company specializing in lidar (light detection and ranging) sensor hardware and integrated perception software for automotive, industrial, and defense markets, reported its second quarter results on August 7, 2025, for the period ending June 30. The standout news from the earnings release is a severe revenue shortfall: GAAP revenue fell to $0.2 million, well below the $0.6 million consensus estimate and down from $1.9 million in the prior year quarter. This was accomplished mainly through sharp cost reductions rather than improved topline performance. Overall, the quarter showed meaningful cost discipline and liquidity improvement, but it also highlighted ongoing challenges in converting technology and partnerships into material commercial sales.
| Metric | Q2 2025 | Q2 2025 Estimate | Q2 2024 | Y/Y Change |
|---|---|---|---|---|
| EPS (GAAP) | $(0.06) | ($0.06) | ($0.11) | 45.5% |
| Revenue | $0.20 million | $0.60 million | $1.90 million | (91.8%) |
| Adjusted EBITDA | ($11.18 million) | ($12.65 million) | 11.6% | |
| Total Operating Expenses | $14.10 million | $25.00 million | (43.6%) | |
| Cash and Cash Equivalents | $74.09 million | N/A |
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.
Company Overview and Strategic Positioning
MicroVision develops lidar sensors and integrated software for applications in autonomous vehicles, industrial automation, and defense. Its portfolio includes proprietary sensors (MOVIA and MAVIN) and a perception software stack designed to improve detection for advanced driver-assistance and autonomy.
The company is now broadening its focus to industrial segments like robotics and warehouse automation, as well as emerging defense applications. Success depends on three factors: converting evaluation and pilot programs into volume sales, maintaining technological leadership, and building credible financial sustainability through reduced cash burn and expanded partnerships.
Quarterly Developments and Financial Performance
The period was defined by a steep drop in revenue (GAAP), driven by industrial customers. MicroVision’s revenue (GAAP) fell from $1.90 million in Q2 2024 to $0.2 million, with the result missing consensus by $0.4 million (GAAP). Most sales were connected to pilot and evaluation projects in the industrial market, primarily with autonomous mobile robot and automated guided vehicle operators.
The company saw a marked contraction in gross margin (GAAP), which moved from a profit in the prior year to a loss this period. MicroVision’s adjusted EBITDA loss also narrowed slightly, from ($12.6 million) to ($11.2 million), due to operational cost savings rather than any improvement in top-line revenue or gross margin performance.
One bright spot is cost control. Operating expenses (GAAP) dropped by 44%, from $25.0 million to $14.1 million compared to Q2 2024. This improvement stemmed largely from reduced research and development spending and tighter sales, marketing, and administrative costs. Net loss per share (GAAP) improved to $0.06, as the operating expense reduction offset the impact of weaker sales.
On the balance sheet, the company closed the quarter with $74.09 million in cash and equivalents, reflecting recent fundraising and lower operating outflows. Management also highlighted improved access to capital, including an at-the-market equity facility and undrawn convertible note capacity. However, cash used in operations remains significant.
Product and technology milestones included full integration of the MOVIA lidar family into NVIDIA’s DRIVE AGX autonomous vehicle computing platform. MOVIA L sensors output high-resolution, 4D point clouds. The product roadmap also included movement toward defense applications, supported by the formation of a dedicated advisory board with sector expertise.
Material one-time events in the period were limited. There were no material changes to dividends, as MicroVision does not currently pay a dividend. The company’s share count increased year over year due to equity raises, resulting in some dilution, but shareholder equity and overall liquidity improved quarter over quarter.
Look Ahead: Guidance and Investor Considerations
Management did not offer explicit quantitative financial guidance for the next quarter or for the remainder of fiscal 2025. Instead, commentary pointed to ongoing efforts to secure meaningful commercial contracts in both industrial and defense sectors. Prior management commentary refers to a “line of sight” to $30 million to $50 million in revenue over the next 12 to 18 months, as stated by the company’s Chief Financial Officer, but there was no new update or evidence of significant pipeline conversion.
Investors will want to monitor several areas in the quarters ahead: potential progress in the defense sector. As of the earnings release, there is limited visibility into when these pipeline opportunities could drive sustained revenue growth. MicroVision does not currently pay a dividend.
Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted.
