Mobileye published third-quarter results on Thursday, and as promised, here is the update. Revenue was about $492 million, down 2% from a year earlier but above the roughly $481 million analysts expected. The GAAP loss per share narrowed to 8 cents from 12 cents a year earlier, and adjusted earnings reached 11 cents per share.
A higher forecast
The good news is in the guidance: Mobileye narrowed its annual revenue forecast to $1.995 billion to $2.02 billion, raising the midpoint by $13 million. That implies annual growth of 5% to 7%. According to the company, the raise reflects higher-than-expected deliveries of SuperVision, its advanced driving system, and passing higher memory costs on to customers.
A weaker next quarter
According to the investor call, the guidance midpoint implies fourth-quarter revenue of about $450 million, down about 8.5% from the third quarter. In the first nine months of the year revenue grew 8% to $1.56 billion.
What it means
After a weak second quarter and a forecast cut, this report shows stabilization. High memory prices, the same shortage that brought record profits to Samsung and SK Hynix, are also felt by automotive system makers, and Mobileye is so far managing to pass them on to customers.
