indie Semiconductor (NASDAQ:INDI) reported fourth-quarter 2025 revenue of $58 million, topping the midpoint of its outlook by $1 million and rising 8% sequentially, as management highlighted continued momentum in advanced driver-assistance systems (ADAS) programs and early contributions from newer adjacent markets such as humanoid robotics and quantum sensing.
Market backdrop: ADAS standardization and new adjacent opportunities
CEO and co-founder Don McClymont said the automotive market is entering “a pivotal new phase” as ADAS and automated driving features move from optional or premium offerings toward standardized content at Level 2 and above. He pointed to broad consumer expectations for baseline safety features such as lane assist, automatic emergency braking, blind-spot detection, and collision warnings, describing the shift as a structural transformation driven by software-defined intelligence, regulatory readiness, and scalable sensor technology.
Radar, vision, and in-cabin software highlights
In radar, McClymont said a Tier 1 partner launched its Gen 8 77 GHz radar solution in the fourth quarter and is gaining traction with global OEMs across Northern and Central Europe, North America, Japan, China, and India. He said the indie-based solution offers superior performance and cost compared to competing and previous-generation products and earned acclaim at CES in January.
McClymont said indie began initial shipments to the Tier 1 partner in December and is scaling production. He characterized the opportunity as “well above 50 million units” of annual demand once beyond ramp-up. To support growth and mitigate allocation risk, he said indie is expanding production, including porting designs to second-source foundries in the U.S., and adding backend and test capacity with multiple suppliers. He also said the company is defining next-generation radar platforms intended to improve performance, cost, and functionality.
In vision, management cited new design wins for image signal processor SoCs, including the IND880 and an AI-based edge processor. McClymont said indie’s DRAM-less architecture is creating opportunities by helping customers navigate memory supply issues while reducing bill-of-materials and lowering system resource demands on AI processors. He said the company has secured new design wins in e-mirror and camera mirror systems with “leading tier ones” across passenger vehicles and trucks, with production beginning in late 2026 and continuing for several years. He also said indie won a camera mirror design with a “leading electric vehicle manufacturer” in China using IND880, expected to start ramping toward mid-2026.
McClymont said indie completed integration of emotion3D in the quarter, combining AI-based perception algorithms with SoC hardware for driver and occupancy monitoring, offered as standalone or integrated solutions. He also noted a strategic partnership with Mahindra to supply perception software for its electric Origin SUV series, including XEV 9e and BE 6.
Photonics, power, and supply chain commentary
In photonics, McClymont said indie won a design award including non-recurring engineering (NRE) for a distributed feedback laser for a non-automotive LiDAR application. He also said the company secured its largest booking of LXM lasers to date to support customers in quantum communications and sensing.
In power, he said the Qi 2.0 wireless charging platform production with Ford remains on track for the first half of 2026, with adoption from “multiple subsequent OEMs” expected. He added that indie is seeing traction for its Qi 2.2 25-watt wireless charging solution, describing it as scalable via firmware upgrade. He cited one example of a leading Tier 1 wireless charging partner “upscaling” to Qi 2.2 with another North American OEM.
On supply chain constraints, management said the industry remains challenged by package substrate tightness driven by AI chip demand. McClymont said indie has qualified second-source package and substrate vendors but expects constraints to persist through 2026, requiring close management.
Financial results and Q1 2026 outlook
CFO Naixi Wu said fourth-quarter revenue was $58 million, flat year over year and bringing full-year revenue to $217.4 million. Non-GAAP operating expenses were $36.8 million, which she said was consistent with the company’s outlook and reflected its targeted $8 million to $10 million in savings. Fourth-quarter non-GAAP operating loss was $10.1 million, improving from $11.3 million in the prior quarter and $14.2 million a year earlier.
Wu reported net interest expense of $2.3 million, resulting in a net loss of $12.4 million and a loss per share of $0.07 on 220.4 million shares. The company ended the quarter with $155.7 million in cash and cash equivalents, including restricted cash, down $15.5 million sequentially; Wu said $6.8 million of the decrease was due to a semi-annual interest payment on outstanding convertible notes.
Wu also updated the company’s previously announced agreement to sell its entire equity interest in Wuxi Indie Micro to United States Auto Engineering Co., Limited (USAE) for approximately $135 million in cash at closing, net of applicable taxes and fees. She said USAE obtained shareholder approval in late 2025 and the deal remains subject to regulatory approvals in China, including the Shenzhen Stock Exchange and the CSRC. While timing remains uncertain, she said the company remains optimistic the transaction will close by the “late 2026 timeline” previously communicated.
For the first quarter of 2026, Wu guided to revenue of $52 million to $58 million, with $55 million at the midpoint. She said Wuxi revenue is expected to decline to $21 million due to reduced EV subsidies and Chinese New Year shutdown impacts, while revenue from the core business is expected to grow 20% sequentially to $34 million at the midpoint. Non-GAAP operating expenses are expected to be $37 million, with net interest expense of about $2.6 million and no tax expense, resulting in an expected loss per share of $0.07 based on 223 million shares at the midpoint.
Q&A: Wuxi revenue, radar ramp, and substrate constraints
During the question-and-answer session, Wu said Wuxi revenue in the fourth quarter was about $29.7 million. She reiterated the sequential decline was driven by reduced EV subsidies and the approaching Chinese New Year shutdown, and said Wuxi revenue is expected to “recover” in the second quarter.
McClymont said radar program traction with OEMs has been “off the charts,” and management is focused on ensuring the supply chain can support the ramp. He reiterated prior commentary that radar revenue expectations for 2026 remain in the same “zip code” as previously discussed (referencing a range of $30 million to $50 million brought up by an analyst), and said the company is also beginning discussions on what comes next for the next generation.
On substrate and packaging constraints, management said there could be a trailing impact into the first quarter, with under $1 million of demand potentially at risk based on supply, compared with around $5 million of impact in the fourth quarter. McClymont said indie enabled a new substrate supplier and a new packaging house and now has four combinations of substrate and packaging partners it can use. He added that suppliers are investing to improve capacity, with impacts “likely” beginning in 2027, while indie aims to manage through 2026 without major disruption.
Management also commented on adjacent markets. McClymont said robotics is “hard to call” but activity is high and could become material through the rest of the decade. For quantum, he provided more specific figures, saying indie shipped about $1 million of optical products into quantum applications in 2025 and expects that to roughly triple in 2026.
About indie Semiconductor (NASDAQ:INDI)
indie Semiconductor, Inc is a fabless semiconductor company headquartered in San Jose, California, that specializes in advanced chip solutions for the automotive industry. The company designs and develops microcontrollers, sensor processing units, application processors and power management integrated circuits tailored for electric vehicles (EVs), advanced driver assistance systems (ADAS), infotainment and digital clusters. indie’s product portfolio aims to deliver high performance, energy efficiency and functional safety to meet stringent automotive requirements.
Originally formed as Integrated Memory Systems in 2021 through a business combination with a special purpose acquisition company, the firm rebranded to indie Semiconductor in early 2022.
