Ceva, Inc. Announces Fourth Quarter and Full Year 2025 Financial Results

About this update from Ceva, Inc.

ROCKVILLE, Md. , Feb. 17, 2026 /PRNewswire/ -- Ceva, Inc. (NASDAQ: CEVA), the leading licensor of silicon and software IP for the Smart Edge, today announced its financial results for the fourth quarter and full year ended December 31, 2025 . Fourth Quarter Highlights:* Completed a strategic NPU licensing agreement with one of the world's leading PC OEMs, with NeuPro™ NPUs selected as foundational IP for next-generation on-device AI compute architecture Delivered total revenue of $31.3 million , up 10% sequentially and 7% year-over-year, representing the highest quarterly revenue in Ceva's history(1) Signed 18 IP licensing agreements in the quarter, reflecting strong and diversified demand across AI, connectivity and sensing Grew licensing and related revenue to $17.5 million , up 11% Increased royalty revenue to $13.8 million , up 2%, representing the strongest quarterly royalty performance in more than four years 606 million units of Ceva-powered devices shipped in the quarter Strengthened the balance sheet through a successful follow-on offering, raising approximately $63 million net *Unless otherwise stated, all comparisons are to fourth quarter 2024 Full Year 2025 Highlights:* Increased total revenue to $109.6 million , up 2% Grew licensing revenue to $63.6 million , up 6% Generated royalty revenue of $46.0 million , with royalties growing each quarter sequentially throughout 2025 Record 2.1 billion Ceva-powered devices shipped, up 6%, including record Wi-Fi shipments of 266 million units and record Cellular IoT shipments of 241 million units Generated 86% of total revenue from smart edge markets, reflecting market share gains by Ceva customers and positioning the company well as the industry transitions towards Physical AI *Unless otherwise stated, all comparisons are to full year 2024 Amir Panush , Chief Executive Officer of Ceva, commented: "2025 was a landmark year for Ceva and ended on a high note with record fourth-quarter revenue(1) and our strongest royalty quarter in more than four years. A key milestone in the quarter was a strategic NPU licensing agreement for our high-performance NeuPro NPUs with one of the world's leading PC OEMs. This win is a powerful validation of our AI strategy and reinforces our belief that dedicated NPUs will become a standard requirement across personal computing platforms and increasingly across intelligent devices. "Importantly, our diversified, multi-IP engagements are building a growing licensing and royalty flywheel that supports sustained value creation over time," continued Panush. "As AI increasingly moves into real-world devices, we believe the industry is entering the era of Physical AI. With leadership across connectivity, sensing and inference, record Wi-Fi and cellular IoT shipments, and more than 20 billion Ceva-powered devices shipped to date, we enter 2026 in a position of strength." In the fourth quarter, Ceva signed 18 IP licensing agreements spanning a broad range of end markets and applications, including three NPU licenses, highlighted by a strategic agreement with one of the world's leading PC OEMs. The quarter also included AI DSP agreements for automotive ADAS and consumer electronics, Wi-Fi 7 and Bluetooth High Data Throughput connectivity licenses, and a strategic software engagement with a leading TV platform. Other fourth quarter financial data:* GAAP gross margin was 88%, in line with last year GAAP operating loss was $0.4 million , as compared to a GAAP operating profit of $0.1 million GAAP net loss was $1.1 million , as compared to a GAAP net loss of $1.7 million GAAP diluted loss per share was $0.04 , as compared to GAAP diluted loss per share of $0.07 Non-GAAP gross margin was 89%, in line with last year Non-GAAP operating income was $5.7 million , as compared to non-GAAP operating income of $4.5 million Non-GAAP net income and non-GAAP diluted income per share were $4.9 million and $0.18 , respectively, compared with non-GAAP net income and non-GAAP diluted income per share of $2.7 million and $0.11 , respectively *Unless otherwise stated, all comparisons are to fourth quarter 2024 Yaniv Arieli , Chief Financial Officer of Ceva, added: "We delivered record fourth-quarter revenues and achieved 18% non-GAAP operating margins, reflecting disciplined execution and improving mix. For the full year, non-GAAP net income increased 20% year-over-year and non-GAAP diluted earnings per share grew 17%, demonstrating consistent financial progress throughout 2025. During the fourth quarter, we also strengthened our balance sheet through a successful follow-on offering, raising approximately $63 million net, enhancing our financial flexibility to support future growth initiatives." In 2025, Ceva signed 54 licensing agreements across diversified smart edge markets, including 33 consumer, 10 industrial, 7 automotive, 3 PC, and 1 infrastructure agreements. 10 of the licensing agreements were with OEMs and 12 customers licensed multiple Ceva technologies, underscoring the strength of the company's broad portfolio spanning connectivity, sensing and inference. During the year, a record 2.1 billion Ceva-powered devices were shipped, up 6% year-over-year, including 1.1 billion Bluetooth devices, and record shipments of 266 million Wi-Fi devices, and record shipments of 241 million cellular IoT devices. These volumes were complemented by continued deployments across smartphones and other smart edge devices powered by Ceva's DSPs, AI accelerators and sensor fusion software, reinforcing the scale and durability of Ceva's diversified business model. Other full year 2025 financial data:* GAAP operating loss was $11.3 million , as compared to a GAAP operating loss of $7.5 million GAAP net loss and diluted loss per share were $10.6 million and $0.44 , respectively, compared to GAAP net loss and diluted loss per share of $8.8 million and $0.37 , respectively Non-GAAP operating income was $9.9 million , compared with $10.2 million Non-GAAP net income and diluted earnings per share were $10.8 million and $0.42 , respectively, compared to $9.0 million and $0.36 *Unless otherwise stated, all comparisons are to full year 2024 Ceva Conference Call On February 17, 2026 , Ceva management will conduct a conference call at 8:30 a.m. Eastern Time to discuss the operating performance for the quarter and full year. The conference call will be available via the following dial in numbers: U.S. Participants : Dial 1-844-435-0316 (Access Code : Ceva) International Participants: Dial +1-412-317-6365 (Access Code: Ceva) The conference call will also be available live via webcast at the following link: https://app.webinar.net/9YBAnq6d4Rj . Please go to the web site at least fifteen minutes prior to the call to register. For those who cannot access the live broadcast, a replay will be available by dialing +1-855-669-9658 or +1-412-317-0088 (access code: 1337948) from one hour after the end of the call until 9:00 a.m. (Eastern Time) on March 17, 2026 . The replay will also be available at Ceva's web site at www.ceva-ip.com . (1) Excluding the Intrinsix design services business, which was divested in 2023. Forward Looking Statements This press release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that if they materialize or prove incorrect, could cause the results of Ceva to differ materially from those expressed or implied by such forward-looking statements and assumptions. Forward-looking statements include statements about Ceva's positioning for future growth and to serve as a foundational technology provider for intelligent, connected devices, licensing agreement wins, future industry demand, our market position for the future and future growth in the demand of our products, our forecast of financial measures for the following quarter and 2026, our long term targets and underlying assumptions, our future investments, expectations about future market, the success of our strategies and agreements, visibility into future revenue streams, and Ceva's focus on expense management and profitability improvement. The risks, uncertainties and assumptions that could cause differing Ceva results include: the effect of intense industry competition; the ability of Ceva's technologies and products incorporating Ceva's technologies to achieve market acceptance; Ceva's ability to meet changing needs of end-users and evolving market demands; the lengthy sales cycle for IP and related solutions; Ceva's ability to diversify royalty streams and license revenues; geopolitical risks and instability, including the impact of tariffs and other trade measures and potential disruptions related to ongoing conflicts in the Middle East ; and general market conditions and other risks relating to Ceva's business and industry, including, but not limited to, those that are described from time to time in our SEC filings. Ceva assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates. About Ceva, Inc. Ceva powers the Smart Edge, bridging the digital and physical worlds to bring AI-driven products to life. Our Ceva AI fabric portfolio of silicon and software IP enables devices to Connect, Sense, and Infer – the essential capabilities for the intelligent edge. From 5G , cellular IoT, Bluetooth , Wi-Fi , and UWB connectivity to scalable Edge AI NPUs, AI DSPs, sensor fusion processors and embedded software, Ceva provides the foundational IP for devices that connect, understand their environment, and act in real time. With more than 20 billion devices shipped and trusted by 400+ customers worldwide, Ceva is the backbone of today's most advanced smart edge products - from AI-infused wearables and IoT devices to autonomous vehicles and 5G infrastructure. Our differentiated solutions deliver seamless integration into existing design flows, total flexibility to combine solutions based on design needs and ultra–low–power performance in minimal silicon footprint, helping customers accelerate development, reduce risk, and bring innovative products to market faster. As technology evolves toward Physical AI , Ceva's IP portfolio lays the foundation for systems that are always connected, contextually aware, and capable of intelligent, real-time decision-making. Visit us at www.ceva-ip.com and follow us on LinkedIn , X , YouTube , Facebook, and Instagram . Ceva, Inc. AND ITS SUBSIDIARIES INTERIM CONDENSED CONSOLIDATED STATEMENTS OF LOSS – U.S. GAAP U.S. dollars in thousands, except per share data Three months ended Twelve months ended December 31 , December 31 , 2025 2024 2025 2024 Unaudited Unaudited Unaudited Unaudited Revenues: Licensing and related revenues $ 17,503 $ 15,733 $ 63,595 $ 59,999 Royalties 13,788 13,490 46,003 46,940 Total revenues 31,291 29,223 109,598 106,939 Cost of revenues 3,730 3,371 14,158 12,768 Gross profit 27,561 25,852 95,440 94,171 Operating expenses: Research and development, net 18,934 16,877 74,833 71,616 Sales and marketing 3,479 3,625 13,262 12,624 General and administrative 5,396 5,126 18,093 16,877 Amortization of intangible assets 150 150 598 599 Total operating expenses 27,959 25,778 106,786 101,716 Operating income (loss) (398) 74 (11,346) (7,545) Financial income (loss), net 1,447 (78) 6,913 4,884 Income (loss) associated with the remeasurement of marketable equity securities 4 3 (257) (94) Income (loss) before taxes on income 1,053 (1) (4,690) (2,755) Income tax expense 2,151 1,735 5,948 6,031 Net loss (1,098) (1,736) (10,638) (8,786) Basic and diluted net loss per share $ (0.04) $ (0.07) $ (0.44) $ (0.37) Weighted-average shares used to compute net loss per share (in thousands): Basic and diluted 25,558 23,637 24,295 23,613 Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures U.S. Dollars in thousands, except per share amounts Three months ended Twelve months ended December 31 , December 31 , 2025 2024 2025 2024 Unaudited Unaudited Unaudited Unaudited GAAP net loss $ (1,098) $ (1,736) $ (10,638) $ (8,786) Equity-based compensation expense included in cost of revenues 186 143 679 713 Equity-based compensation expense included in research and development expenses 2,771 2,432 10,549 9,298 Equity-based compensation expense included in sales and marketing expenses 662 494 2,397 1,801 Equity-based compensation expense included in general and administrative expenses 2,079 827 6,171 3,763 Amortization of intangible assets related to acquisition of businesses 208 255 833 1,090 Costs associated with asset acquisition 144 250 577 1,033 Loss (Income) associated with the remeasurement of marketable equity securities (4) (3) 257 94 Non-GAAP net income $ 4,948 $ 2,662 $ 10,825 $ 9,006 GAAP weighted-average number of Common Stock used in computation of diluted net loss per share (in thousands) 25,558 23,637 24,295 23,613 Weighted-average number of shares related to outstanding stock-based awards (in thousands) 1,761 1,579 1,726 1,491 Weighted-average number of Common Stock used in computation of diluted earnings per share, excluding the above (in thousands) 27,319 25,216 26,021 25,104 GAAP diluted loss per share $ (0.04) $ (0.07) $ (0.44) $ (0.37) Equity-based compensation expense $ 0.20 $ 0.16 $ 0.80 $ 0.65 Amortization of intangible assets related to acquisition of businesses $ 0.01 $ 0.01 $ 0.03 $ 0.04 Costs associated with asset acquisition $ 0.01 $ 0.01 $ 0.02 $ 0.04 Loss associated with the remeasurement of marketable equity securities $ 0.00 $ 0.00 $ 0.01 $ 0.00 Non-GAAP diluted earnings per share $ 0.18 $ 0.11 $ 0.42 $ 0.36 Three months ended Twelve months ended December 31 , December 31 , 2025 2024 2025 2024 Unaudited Unaudited Unaudited Unaudited GAAP Operating income (loss) $ (398) $ 74 $ (11,346) $ (7,545) Equity-based compensation expense included in cost of revenues 186 143 679 713 Equity-based compensation expense included in research and development expenses 2,771 2,432 10,549 9,298 Equity-based compensation expense included in sales and marketing expenses 662 494 2,397 1,801 Equity-based compensation expense included in general and administrative expenses 2,079 827 6,171 3,763 Amortization of intangible assets related to acquisition of businesses 208 255 833 1,090 Costs associated with asset acquisition 144 250 577 1,033 Total non-GAAP Operating Income $ 5,652 $ 4,475 $ 9,860 $ 10,153 Three months ended Twelve months ended December 31 , December 31 , 2025 2024 2025 2024 Unaudited Unaudited Unaudited Unaudited GAAP Gross Profit $ 27,561 $ 25,852 $ 95,440 $ 94,171 GAAP Gross Margin 88 % 88 % 87 % 88 % Equity-based compensation expense included in cost of revenues 186 143 679 713 Amortization of intangible assets related to acquisition of businesses 58 105 235 491 Total Non-GAAP Gross profit 27,805 26,100 96,354 95,375 Non-GAAP Gross Margin 89 % 89 % 88 % 89 % Three months ended Twelve months ended December 31 , December 31 , 2025 2024 2025 2024 Unaudited Unaudited Unaudited Unaudited GAAP Operating Expenses 27,959 25,778 106,786 101,716 Equity-based compensation expense included in research and development expenses 2,771 2,432 10,549 9,298 Equity-based compensation expense included in sales and marketing expenses 662 494 2,397 1,801 Equity-based compensation expense included in general and administrative expenses 2,079 827 6,171 3,763 Amortization of intangible assets related to acquisition of businesses 150 150 598 599 Costs associated with asset acquisition 144 250 577 1,033 Total non-GAAP Operating Expenses $ 22,153 $ 21,625 $ 86,494 $ 85,222 Ceva, Inc. AND ITS SUBSIDIARIES INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS ( U.S. Dollars in thousands) December 31 , December 31 , 2025 2024 (*) Unaudited Unaudited ASSETS Current assets: Cash and cash equivalents $ 40,586 $ 18,498 Marketable securities and short-term bank deposits 181,397 145,146 Trade receivables, net 19,495 15,969 Unbilled receivables 29,860 21,240 Prepaid expenses and other current assets 13,498 15,488 Total current assets 284,836 216,341 Long-term assets: Severance pay fund 7,530 7,161 Deferred tax assets, net 257 1,456 Property and equipment, net 7,054 6,877 Operating lease right-of-use assets 17,486 5,811 Investment in marketable equity securities 55 312 Goodwill 58,308 58,308 Intangible assets, net 1,044 1,877 Other long-term assets 11,686 10,805 Total assets $ 388,256 $ 308,948 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Trade payables $ 2,418 $ 1,125 Deferred revenues 3,496 3,599 Accrued expenses and other payables 21,026 23,207 Operating lease liabilities 1,743 2,598 Total current liabilities 28,683 30,529 Long-term liabilities: Accrued severance pay 7,690 7,365 Operating lease liabilities 14,388 2,963 Other accrued liabilities 1,037 1,535 Total liabilities 51,798 42,392 Stockholders' equity: Common stock 28 24 Additional paid in-capital 337,966 259,891 Treasury stock (1,591) (3,222) Accumulated other comprehensive income (loss) 79 (1,330) Retained earnings (accumulated deficit) (24) 11,193 Total stockholders' equity 336,458 266,556 Total liabilities and stockholders' equity $ 388,256 $ 308,948 (*) Derived from audited financial statements. The Company believes that the reconciliation of financial measures in the press release is useful to investors in analyzing the results for the quarters ended December 31, 2025 and 2024 because the exclusion of the applicable expenses may provide a meaningful analysis of the Company's core operating results and comparison of quarterly results. Further, the Company believes it is useful for investors to understand how the expenses associated with the application of FASB ASC No. 718 are reflected on its statements of income. The reconciliation of financial measures should be reviewed in addition to and in conjunction with results presented in accordance with GAAP and are intended to provide additional insight into the Company's operations that, when viewed with its GAAP results and the accompanying reconciliation, offer a more complete understanding of factors and trends affecting the Company's business. The reconciliation of financial measures should not be viewed as a substitute for the Company's reported GAAP results. View original content to download multimedia: https://www.prnewswire.com/news-releases/ceva-inc-announces-fourth-quarter-and-full-year-2025-financial-results-302688881.html SOURCE Ceva, Inc.

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