Mobileye Q1 Earnings Match Expectations, Revenues Rise Y/Y

Mobileye Global Inc. MBLY reported first-quarter 2025 adjusted earnings per share of 8 cents, which were in line with the Zacks Consensus Estimate. The company reported a loss per share of 7 cents in the year-ago quarter.

Total revenues amounted to $438 million, beating the Zacks Consensus Estimate of $434 million. The metric also rose 83% year over year. This was primarily driven by order activity returning to normal after Tier 1 customers significantly reduced their inventories in the first quarter of 2024. 

Mobileye’s gross margin increased 25 percentage points in the first quarter of 2025 as compared to the prior-year period. The increase was primarily driven by the same level of amortization of intangible assets on a significantly higher revenue base.

Adjusted operating margin increased to 13% compared to an operating loss of 27% reported in the corresponding quarter of 2024, driven by lower operating expenses as a percentage of revenues.

MBLY had cash and cash equivalents of $1.51 billion as of March 29, 2025, compared with $1.43 billion as of Dec. 28, 2024. Operating cash flow for the three months ended March 29, 2025, was $109 million. Capex was $14 million during the same time frame.

(Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

MBLY’s 2025 Outlook

For full-year 2025, MBLY estimates revenues in the range of $1.69-$1.81 billion compared with $1.65 billion recorded in 2024. It expects operating loss in the band of $489-$574 million compared with the operating loss of $3.2 billion incurred in 2024. Adjusted operating income is estimated in the band of $175-$260 million compared with $193 million in 2024.

Mobileye’s Zacks Rank & Key Picks

MBLY carries a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks in the auto space are Standard Motor Products, Inc. SMP, Advance Auto Parts, Inc. AAP and Carvana Co. CVNA. While SMP sports a Zacks Rank #1 (Strong Buy), AAP & CVNA carry a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for SMP’s fiscal 2025 sales and earnings indicates year-over-year growth of 16.61% and 11.07%, respectively. EPS estimates for fiscal 2025 have improved 9 cents in the past 60 days. EPS estimates for 2026 have improved a penny in the past 30 days.

The Zacks Consensus Estimate for AAP’s 2025 earnings implies year-over-year growth of 644.83%.

The Zacks Consensus Estimate for CVNA’s 2025 sales and earnings indicates year-over-year growth of 23.98% and 125.16%, respectively. EPS estimates for 2025 and 2026 have improved 10 cents and 11 cents, respectively, in the past seven days.

 

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This article originally published on Zacks Investment Research (zacks.com).

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