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Arbe Announces Q2 2023 Financial Results
TEL AVIV, Israel, Aug. 9, 2023 /PRNewswire/ -- Arbe Robotics Ltd. (NASDAQ: ARBE) ("Arbe"), a global leader in perception radar solutions, today announced
About this update from Arbe Robotics Ltd.
[{"type":"text","content":"TEL AVIV, Israel, Aug. 9, 2023 /PRNewswire/ -- Arbe Robotics Ltd. (NASDAQ: ARBE) (\"Arbe\"), a global leader in perception radar solutions, today announced financial results for its second quarter ended June 30, 2023.\nKey Q2 and Recent Company Highlights:\nWeifu High-Technology Group placed an $11.6 million preliminary order for radar chipsets which will enable Arbe to meet Weifu's estimated requirements for 2024, for customers across China. Additionally, Weifu placed a $1 million order for professional services including engineering services, setup of a testing lab, and advanced support from Arbe.Arbe's chipset is in final stages of selection with 11 premium leading OEMs across Europe and China for level 2++ / level 3 programs.Arbe Tier 1s maintained the momentum, submitting Arbe's chipset in requests for proposal (RFPs) and requests for quotation (RFQs) to leading car manufacturers aiming to adopt next generation radar technology for enhancing safety and autonomy in their next-generation platforms.Arbe successfully raised $23 million with Special Situations Funds, a family of funds focused primarily on growth oriented small public companies with a concentration on the technology and life sciences industries. Existing investors, including two affiliates of Arbe's directors also joined this round.Product development is progressing on schedule towards production.\"During the second quarter, we made significant advancements towards our production goals for 2023 and we remain on track to add four customer wins by the end of the year,\" said Kobi Marenko, Chief Executive Officer.\n\"We are pleased that Special Situations Funds, together with current investors, chose to invest $23 million in our company's future. We intend to use the proceeds from the financing to further enhance our penetration in the Chinese automotive market, expedite our R&D efforts, increase our chipset line capacity, capitalize on recently proposed safety regulations and strengthen our balance sheet,\" concluded Marenko.\nSecond Quarter 2023 Financial Highlights\nRevenues for Q2 2023 were $0.3 million, a decrease from $1.2 million in Q2 2022. Revenue was in line with expectations given Arbe's decision to shift focus to chips for production. Backlog as of August 9th is $1.5 million.\nGross margin for Q2 2023 was negative 1%, compared to 72.7% positive gross mar...