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Mobileye Lifts 2026 Outlook After Q1 Beat Despite $3.8 Billion Impairment

Restocking by automakers is lifting demand for Mobileye's driver-assist chips.

Overview

  • Mobileye, which reported results Thursday, posted Q1 revenue of $558 million and adjusted earnings of 12 cents per share, topping forecasts as orders for advanced driver-assistance systems increased.
  • Guidance for 2026 revenue rose to $1.935 billion to $2.015 billion, reflecting stronger early-year demand for driver-assist hardware and software that help cars steer, brake, and keep lane.
  • The company recorded a non-cash goodwill impairment of about $3.8 billion tied to valuations since Intel’s 2017 deal, resulting in a GAAP loss with diluted earnings per share of negative $4.68.
  • Management approved a $250 million share repurchase and closed the Mentee Robotics acquisition, which reduced cash by about $591 million as the company invests in longer-term automation technology.
  • Mobileye highlighted progress on Volkswagen’s robotaxi program with a goal of driver-out testing by late 2026 and multi-city service in 2027, and it won a Mahindra deal that could bring more safety features to mass-market cars in India.