Q3 2025 Innoviz Technologies Ltd Earnings Call

Joining us today on their kill off Chief Executive Officer, No dark side with Chief Financial Officer, I would like to remind everyone that this call is being recorded and will be available on the Investor Relations section of our website at IR Dot is that Ted before we begin I would like to remind you that our discussion today will include forward looking statements that are sub.

Factors and uncertainties relating to future events and the future financial performance of inhibition actual results could differ materially from those anticipated in the forward looking statements forward looking statements made today speak only to our expectations as of today.

Undertakes no obligation to publicly update or revise them for a discussion of important risk factors that could cause actual results to differ materially from any forward looking statements. Please see the risk factors section of our form 20-F filed with the SEC on March 12, 2025 Omer. Please go ahead. Thank you Aldo and good morning to everyone joining us today on the call.

The third quarter marked another strong period for <unk> from a financial and business perspective.

Yes.

We made meaningful progress and with <unk> I know that the major commercial vehicle OEM selected us for future film production, hopefully before or bone almost Brooks.

This agreement alongside though.

For automotive wind and the recent ramp of the it'll be small for nonautomotive applications showcases.

Funding momentum across all segments of the lot of place.

From a financial standpoint, the quarter continued to build on the first half for Jetblue.

We generated $15 $3 million in revenues and year to date, we generated $42 4 million approximately two three times more than in the same period of 2024.

We're expecting to meet all of our targets for the full year.

Cash burn in the quarter was $14 million and we expect this number will decline sequentially in line with our guidance for declining year over year.

On the production side, we are very pleased with the ramp at publicly.

In Q3, we shipped significantly more lateral units than in Q2 in line with our plans to ship in order of magnitude more later in the quarter.

Our labs achieved the key automotive standup certification full lateral testing, which drives meaningful value for our customers and we can now avoid costly and time consuming external testing.

These significant achievements confirmed that we are well positioned to ramping up is to scale our operations to meet growing demand and of course customer recipes.

Critically we see that the lateral market continues to consolidate.

The number of relevant on the Motiva lateral players is declining we believe there are few competitors remaining that offer manufacturable technologies dismissed OEM performance requirements.

The winner take most scenarios that we have envisioned for quite some time is emerging as we expect to see even fewer companies participating in the space over time.

This comparative dynamics develop we are gaining traction across multiple end markets and delivering on our mission to be the world's premier large scale supplier of best in class solutions for autonomous driving and beyond.

A growing number of engagements across diverse segments underscores the strength and versatility of our technology.

With that let's jump into the details.

Starting with our recent trucking women in September we announced that we were selected for series production of <unk> autonomous trucks by a major commercial vehicle OEM.

Under the terms of the <unk>.

<unk> will provide lighter for the customers L for class a semi trucks were already shipping units to support the Oems data collection trucking fleets.

Although the past several months, we've made significant progress on this collaboration with respect to meeting the customers' requirements and making software modifications to the platform.

Next week I'll be traveling to the U S to meet with companies on the east and West Coast. Several sessions schedule with the Oem's management to discuss technical and business details.

We expect to be able to share the name of the customer in the coming weeks.

And we are tremendously excited about this partnership.

It is a validation of our technology and a milestone that reflects our ability to scale across different sectors.

It demonstrates that our <unk> two platform meets the stringent requirements of the habit trucking industry and cements our position in the autonomous fracking markets.

We're confident that our time of flight Lidar, which can now provide a range of up to 450 meters as well as short and midrange capabilities are ideally positioned to gain additional wins in the trucking space due to the there was the loosen ranger the ability and availability.

As with many customers. We hold this is the start of a collaboration that will lead to expansion over time.

The truck in agreements with just discuss highlights of shifting gears in the industry.

We've noted over the past year.

Speaker #1: Welcome to Enter your meeting ID , zoom . followed by pound . Enter your participant ID , followed by pound . You have joined the meeting as an attendee and will be throughout the meeting .

The race to wall I'll live with four solutions is hitting up significantly.

Customers are rushing to bring solutions to the market and to do this they need a full set of validated.

Ada Menaker: Joining us today are Omer Keilaf, Chief Executive Officer, and Eldar Cegla, Chief Financial Officer. I would like to remind everyone that this call is being recorded and will be available in the Investor Relations section of our website at ir.innoviz.tech. Before we begin, I would like to remind you that our discussion today will include forward-looking statements that are subject to risks and uncertainties relating to future events and the future financial performance of Innoviz. Actual results could differ materially from those anticipated in the forward-looking statements. Forward-looking statements may today speak only to our expectations as of today, and we undertake no obligation to publicly update or revise them. For discussion of some important risk factors that could cause actual results to differ materially from any forward-looking statements, please see the risk factors section of our Form 20F filed with the SEC on 12 March 2025.

Auto grade and manifest verbal lidar lidar to enable to autonomy.

Aside from interface, we believe few of our competitors have proven to be equals attacks.

Speaker #2: To

Plans to deploy level four robotics is around the world are accelerating.

With several programs featuring the it'll be still scheduled for our Sop is around the corner.

The ramp up in our collaborations with VW and Mahindra in support of the rollout of the IV buzz across multiple locations is going well and we are receiving excellent feedback from our customers or our devices performance in their programs.

As level four plants speed up we.

We are also progressing on a variety of level three programs, which are targeted to espresso beans in 27 and beyond in.

In the third quarter, we continued to support the top five Oems with whom we announced an S. W over the summer.

Ada Menaker: Omer, please go ahead.

Omer Keilaf: Thank you, Ada, and good morning to everyone joining us today on the call. The third quarter marked another strong period for Innoviz from a financial and business perspective. Since the last earnings call, we made meaningful progress, and recently we announced that the major commercial vehicle OEM selected us for future sales production of Level 4 autonomous trucks. This agreement, alongside our L3 and L4 automotive wins, and the recent ramp of the Innoviz Smart for non-automotive applications, showcases Innoviz's expanding momentum across all segments of the LiDAR space. From a financial standpoint, the quarter continued to build on the first-half trajectory. We generated $15.3 million in revenues, and year-to-date we generated $42.4 million, approximately 2.3 times more than in the same period of 2024. We are expecting to meet all of our targets for the full year.

As part of automotive development and validation of thought we are gearing up for our four rounds of winter testing in northern Europe.

Where our sensor will undergo another round of comprehensive validation.

A variety of extreme winter conditions, such as rain snow and phone.

This testing is a critical component of enabling automation proving that lateral technology provides sufficient redundancy under all conditions.

To prove you with more color on our level four code collaboration with VW and the critical role that our ladder of place I recently spoke with Christiana offender, the CEO of VW autonomous driving mobility and cross Bookable AT&T, which is spearhead.

Aside from innov. We Believe few of our competitors have proven to be equal the task.

Adding the level for IV Buzz Orben autonomous driving projects here.

Plans to deploy level for robot, taxes, around the world are accelerating with several programs, featuring The Innovative 2, scheduled for Sops around the corner.

Here is our conversation the full version of which will be available on our website.

Omer Keilaf: Cash burn in the quarter was $14 million, and we expect this number to decline sequentially in line with our guidance for declining year-over-year burn. On the production side, we are very pleased with the ramp at Fabrinet. In Q3, we shipped significantly more LiDAR units than in Q2, in line with our plans to ship an order of magnitude more LiDARs in the quarter. Our labs achieved the key automotive standard certification for LiDAR testing, which drives meaningful value for our customers, and we can now avoid costly and time-consuming external testing. These significant achievements confirm that we are well-positioned to ramp Innoviz to scale our operations to meet growing demand and cross-customer SOPs. Critically, we see that the LiDAR market continues to consolidate. The number of relevant automotive LiDAR players is declining.

Heiko, it's Dan it's really great to see you here in Israel.

Krishna what would you say is more of a contribution to the transformation happening in the Uber mobility.

The ramp-up in our collaboration with VW and Moya in support of the rollout of the IDB across multiple locations is going well, and we are receiving excellent feedback from our customers on our devices' performance in their programs.

Further we assume minimal mobility becomes no really real and O I D bus and.

Driven by the turnkey solution for mobile and API large professionals need to.

Two people and good strength for four urban environment. The vehicle binding actually this self autonomous vehicles is a self driving system.

As level 4 plans speed up. We are also progressing on a variety of levels 3 programs which are targeted to as far as Sops in 27 and Beyond. In the third quarter we continue to support the top 5 OEM with whom we announced an S. So DW over the summer

With mobile I N E.

Development and validation efforts. We are gearing up for our Forefront of winter testing in northern Europe.

So it's been.

What I'd say is the most important component that allows it to be safe and reliable.

Where our sensor will undergo. Another round of comprehensive validation under a variety of extreme winter conditions such as rain snow and fog.

It all starts with safety course this.

This vehicle has 27 centers and nine.

<unk> familiar with three long range as you know in six short reach.

Omer Keilaf: We believe that there are few competitors remaining that offer manufacturable technologies that meet OEM performance requirements. The winner-take-most scenario that we've envisioned for quite some time is emerging, as we expect to see even fewer companies participating in the space over time. As these competitive dynamics develop, we are gaining traction across multiple end markets, and delivering on our mission to be the world's premier large-scale supplier of best-in-class LiDAR solutions for autonomous driving and beyond. Our growing number of engagements across diverse segments underscores the strength and versatility of our technology. With that, let's jump into the details. Starting with our recent tracking agreement. In September, we announced that we were selected for series production of Level 4 autonomous trucks by a major commercial vehicle OEM. Under the terms of the engagement, Innoviz will provide LiDARs for the customer's Level 4 Class 8 semi-trucks.

This testing is a critical component of enabling automations. Proving that lateral. Technology provides sufficient redundancy under all conditions.

The combination of all same store and the strong compute platform gives the performance to understand devote.

The IV bus has 27 sensors.

What would you say is the role of the leader in providing reliable perception safety and performance operation.

To provide you with more color on our Level 4 collaboration with VW and the critical role that our lidar plays, I recently spoke with Christian Cinder, the CEO of VW's Autonomous Driving Mobility and Transport Group.

Florida is more than 350 meters of range gives us the range been need for highway speeds.

Which is sparing heading? The Level 4 ID, Buzz urban autonomous driving project.

And we have to precision.

Here is our conversation, the full version of which will be available on our website.

James If I may.

The great thing about light.

Really good no different than a day and night.

We had a great result, when it comes to rain.

Hi Christian. It's really great to see you here in Israel. Absolutely. Uh, Christian what would you say is Moya contribution to the transformation happening in the urban Mobility?

<unk> been foggy conditions, it helps especially the cameras to understand the environment better than without it but would you say leads to a successful partnership with <unk>.

And driven by the chunky solution from Moya. We enable large, professional Fleet.

Yeah, creating together subsystems.

<unk> been there.

Ever and I think what is really special about it too. So the only heightened performance. It's also industrial scale and fully automotive grade.

Omer Keilaf: We are already shipping units to support the OEM's data collection tracking fleet. Over the past several months, we've made significant progress on this collaboration with respect to meeting customers' requirements and making software modifications to the platform. Next week, I'll be traveling to the US to meet with companies on the East and West Coast, and I have several sessions scheduled with the OEM's management to discuss technical and business details. We expect to be able to share the name of the customer in the coming weeks, and we are tremendously excited about this partnership. It is a validation of our technology, and a milestone that reflects our ability to scale across different sectors. It demonstrates that our InnovizTwo platform meets the strictest requirements of the heavy trucking industry, and cements our position in the autonomous trucking market.

To people and goods brands for for urban environments. And we are combining actually this self autonomous vehicle with a self-driving system here with mobile I and the Moya a system.

And what I really love to know a collaboration with the openness.

Fast reaction and I think you're bringing from both sides enormous competence to create this new program.

What do you say is the idea most important component that allows to be safe and reliable.

Please join me in interviews are profoundly crowd for being part of this amazing project. Thank you very much it's a great honor.

Okay.

It all starts with safety first. Uh this vehicle is 27 cents and 9 uh lighters from innovators 3. Long range as you know and 6 short range. Uh and the combination of all sensors. In a strong compute platform, gives the performance to understand the world.

I would like to thank Christian VW, Maya and mobilize for their partnership collaborating with such talented and committed teams.

Source. What would you say is the role of the lie down in providing reliable perception?

As we advance the industrialization of autonomous mobility is truly a privilege.

Safety and performance operation.

Why is the automotive space is our main area of focus let me touch on our progress with the smart, which we introduced over the summer.

Lighter is more than 350; a range of M gives us the range we need for highway speed.

Omer Keilaf: We are confident that our time-of-flight LiDARs, which can now provide a range of up to 450m, as well as short and mid-range capabilities, are ideally positioned to gain additional wins in the tracking space due to their resolution, range, reliability, and availability. As with many customers, we hope this is the start of a collaboration that will lead to expansion over time. The tracking agreement we just discussed highlights a shift in gears in the industry that we've noted over the past year. The race to roll out Level 4 solutions is heating up significantly. Customers are rushing to bring solutions to the market, and to do this, they need a full set of validated, auto-grade, and manufacturable LiDARs to enable true autonomy. Aside from Innoviz, we believe few of our competitors have proven to be equal to the task.

With smart is based on the individual platform and optimized for nonautomotive use cases, we've already been able to announce several engagements with a variety of diverse customers. We've also completed our first preliminary security installation after ongoing.

Um, and we have the Precision to, uh, identify objects in the manner. We need the great thing about lighters is they are really good. No different in day and night. Uh, we have a great resource when it comes to rain, uh, even 4G conditions, it helps, especially the camera.

Significant testing.

To understand the environment better than without it.

And we are expecting to install dozens more by the end of year.

what would you say leads to a successful partnership with, you know this

Smart was compared to a security solution that has been widely adopted around the world over the last several years.

Team of professional auditors tested the preexisting solution by emulating different types of intrusions.

We are creating together subsystems which haven't been there. Uh, ever. Yeah. And I think what is really special, what we do. It's not only high-end performance. It's also industrial scale and fully Automotive grade.

Four out of 10 times the team avoided detection, there were able to reach the fence and penetrated by using several easy tricks. They took advantage of the systems underlying weaknesses.

And what I really love in our collaboration is the openness uh fast reaction uh and I think we are bringing from both sides, a normal competency to create this new product.

Under the same conditions the auditing team was not able to evade a solution based on this small at all.

Mr. Uh me and interviews of a family proud for being part of this Amazing Project. Thank you very much. It's a great honor.

Omer Keilaf: Plans to deploy Level 4 robotaxis around the world are accelerating, with several programs featuring the InnovizTwo scheduled for SOPs around the corner. The ramp-up in our collaboration with Volkswagen and Moia in support of the rollout of the ID.Buzz across multiple locations is going well, and we are receiving excellent feedback from our customers on our devices' performance in their programs. As Level 4 plans speed up, we are also progressing on a variety of Level 3 programs, which are targeted to Q4 SOPs in 2027 and beyond. In the third quarter, we continue to support the top five OEMs, with whom we announced an SOW over the summer.

After such experiments, we've seen customer interest in replacing existing camera and radar based solutions with <unk> based one.

As we expand our presence in the non automotive space, we are benefiting from the shorter faster the market and lower acquisition costs for these applications that come from engaging through distributors and integrators.

I would like to thank Christian VW, Moya and mobili for their partnership. Collaborating with such talented and committed teams. As we advance. The industrialization of autonomous Mobility is truly a privilege.

You know, we're continuing to broaden the scope of use cases that we are addressing and we are in discussion with a number of companies interested in exploring our solution there.

While the automotive space is our main area of focus, let me touch on our program with the innov. Smart, which we introduced over the summer.

Very small.

Our traction here validates our approach of first engaging the high volume automotive end market and after developing auto grade production ready product entering the established industrial market.

Omer Keilaf: As part of our automotive development and validation efforts, we are gearing up for our fourth round of winter testing in Northern Europe, where our sensor will undergo another round of comprehensive validation under a variety of extreme winter conditions, such as rain, snow, and fog. This testing is a critical component of enabling automation, proving that LiDAR technology provides sufficient redundancy under all conditions. To provide you with more color on our Level 4 collaboration with Volkswagen and the critical role that our LiDAR plays, I recently spoke with Christian Senger, the CEO of Volkswagen's Autonomous Driving Mobility and Transport Group, ADMT, which is spearheading the Level 4 ID.Buzz urban autonomous driving project. Here is our conversation, the full version of which will be available on our website.

The Innovative smart is based on the Innovative 2 platform and optimized for non Automotive use cases. We've already been able to announce several engagements with a variety of diverse customers. We've also completed our first parameter, security installation after ongoing significant testing,

Okay.

As we talk about our business momentum, it's important to understand the advantages of our time of flight technology that underpins our success.

And we are expecting to install dozens more by the end of the year, the inovai smart was compared to a security solution that has been widely adopted around the world over the last several years.

After evaluating a variety of approaches, including taping out and testing our own FMC W. Chip, we're now more confident than ever that time of flight will remain the way forward and automotive lidar for the foreseeable future.

A team of professional Auditors tested the pre-existing Solution, by emulating different types of intrusions.

Our time of flight ladder has demonstrated excellent excellence range resolution in field of view as well as reliability durability and availability, which meet the requirements of the automotive Oems versus competitors using F and CWT.

4 out of 10 times. The team avoided detection, they were able to reach the fence and penetrated by using several easy tricks that took advantage of the systems underlying weaknesses.

Under the same conditions, the auditing team was not able to evade a solution based on Innovative smart at all.

After such experiments.

We offer 450 meters range with high pixel rates density.

Better performance in adverse conditions, such as Wayne spoken dust and a lighter users and mature auto grade qualified supply chain.

we've seen customer interest in replacing existing camera, and radar based Solutions with inovis based on

Specially in autonomous driving will the central needs to be ready to support a variety of edge cases.

Eldar Cegla: Hi, Christian. It's really great to see you here in Israel.

Omer Keilaf: Absolutely.

As we expand our presence in the non Automotive space, we are benefiting from a shorter path to the market and lower acquisition costs for these applications that come from engaging through December and integrators.

Eldar Cegla: Christian, what would you say is Moia's contribution to the transformation happening in urban mobility?

And have proven durability and reliability is time of flight has established its advantages versus other technologies.

Many years of testing and experiments, including Opa 15, 15, and FMC W. Lighters, it's clear to US that 905 time of flight is the customers' preferred solution.

Omer Keilaf: Fully autonomous mobility becomes now really real, and our ID.Buzz, driven by the turnkey solution from Moia, enables large professional fleets to do people and goods transport for urban environments. We are combining actually the self-autonomous vehicle with a self-driving system here with Mobileye, and the Moia AV ecosystem.

in All, We are continuing to broaden the scope of use cases that we are addressing and we are in discussion with a number of companies interested in exploring our solution, their Innovative smart,

This industry can only scale on the solid ground of a proven mature technology and 905 time of flight has the capabilities.

Our traction here, validates our approach of first engaging, the high volume automotive and markets and after developing an autograde production ready products entering the established industrial markets.

In particular, our ability and cost profile that meet customer needs in mission critical applications.

Eldar Cegla: Christian, what do you say is the ID.Buzz's most important component that allows it to be safe and reliable?

As we talk about our business momentum, it's important to understand the advantages of our time of flight technology that underpin our success.

Some customers quite publicly committed to using FMC W are now expressing interest in transitioning to tangle flights due to what we believe are the disadvantages of FMC.

Omer Keilaf: It all starts with safety first. This vehicle has 27 sensors and nine LiDARs from Innoviz: three long range, as you know, and six short range. The combination of all sensors and a strong compute platform gives the performance to understand the world.

As we ramp Dana with too.

After evaluating a variety of approaches, including taping out and testing our own fmcw chip. We are now more confident than ever. The time of flight will remain the way forward in automotive lighter for the foreseeable future.

At <unk> and continue to strengthen our capabilities. We are also looking ahead.

We are now happy to unveil this spring.

With two was our evolutionary offering a new technology and meaningful improvement in many aspects, including cost range resolution et cetera, a major step forward compared to the end of this one.

Eldar Cegla: The ID.Buzz has 27 sensors. What would you say is the role of the LiDAR in providing reliable perception, safety, and performance operation?

Our time of light. Lighter has demonstrated excellent and excellent range resolution and field of view as well as reliability durability and availability, which meet the requirements of the automotive oems versus competitors using fmcw

We offer 450 M range with high pixel rates density.

The performance of the <unk> advanced rapidly in it.

Omer Keilaf: LiDAR, with more than 350m of range, gives us the range we need for highway speed, and we have the precision to identify objects in the manner we need. The great thing about LiDARs is they are really good, no difference in day and night. We have great results when it comes to rain, even foggy conditions. It helps, especially the cameras, to understand the environment better than without it.

Production.

The press the platform enabled us to develop this too short to medium range and the <unk> Smuts, which were which were salute evolutions of the analysts do.

Better performance in adverse conditions, such as rain, fog, and dust, and our lighter uses and mature, autograde qualified supply chain.

Especially in autonomous driving where the sensor needs to be ready to support a variety of edge cases.

We believe that these three will again revolutionize the industry.

Its advantages versus other Technologies.

Will allow us to reach a better cost structure, while enabling our 60% smaller phone portal for easier integration into different speaker location.

Eldar Cegla: What would you say leads to a successful partnership with Innoviz?

Black in the Caribbean and behind the windshield.

Something many of our customers have requested.

Omer Keilaf: We are creating together subsystems which haven't been there ever, and I think what is really special is what we do. It's not only high-end performance, it's also industrial scale, and fully automotive grade. What I really love in our collaboration is the openness, fast reaction, and I think we are bringing from both sides enormous competency to create these new products.

It will also offer better performance and power consumption.

<unk> smart and short range.

S. Three will enable us to develop new variants of the lot of lighter two to better serve different and new automotive and automotive applications.

After many years of testing and experimenting including Opa, 1550, and fmcw lighters, it's clear to us that 9005 time of flight is the customer's preferred solution. This industry can only scale on the Solid Ground of a proven mature technology. And 905 time of flight has the capabilities man manufacturability and cost profile that Miss customer needs in Mission critical applications.

As we just discussed we believe that the time of flight will remain the way forward for the foreseeable future.

With three will therefore be based on proven reliable and Manufacturable time of flight technology.

Eldar Cegla: Christian, me and Innoviz are profoundly proud for being part of this amazing project. Thank you very much.

Some customers who have publicly committed to using FMCW are now expressing interest in transitioning to Time of Flight, due to what we believe are the disadvantages of essences, I believe.

As we ramp the in 2.

<unk> is an extremely complex and demanding field.

Omer Keilaf: It's a great honor.

At Fabric and continue to strengthen our in-house capabilities. We are also looking ahead.

<unk> has successfully demonstrated our ability to meet the most stringent requirements of the automotive industry.

Eldar Cegla: I would like to thank Christian, Volkswagen, Moia, and Mobileye for their partnership. Collaborating with such talented and committed teams as we advance the industrialization of autonomous mobility is truly a privilege. While the automotive space is our main area of focus, let me touch on our progress with the Innoviz Smart, which we introduced over the summer. The Innoviz Smart is based on the InnovizTwo platform and optimized for non-automotive use cases. We've already been able to announce several engagements with a variety of diverse customers. We've also completed our first perimeter security installation after ongoing significant testing, and we are expecting to install dozens more by the end of the year. The Innoviz Smart was compared to a security solution that has been widely adopted around the world over the last several years.

Installation behind the windshield as another level of complexity and I am confident that this will be the one to overcome this hurdle.

We are now happy to unveil the Innovative Free. The Innovative issue was revolutionary, offering new technology and meaningful improvements in many aspects, including cost range, resolution, etc. A major step forward compared to the Innovation 1.

You can expect to learn more about this groundbreaking device.

The performance of the interviews, too. Advanced rapidly since its introduction.

Yes.

Now, let's move on to our outlook driven by the ramp up production lines and <unk>. We continue to expect more than a two fold increase in our revenues year over year for 2025 to $50 million to $60 million, we continue to see a growing contribution from lidar.

The first place platform enabled us to develop the Innovative to show to medium range and the Innov, Smart, which we were, which were soul evolutions of the Innovative.

We believe that innov is free will. Again, revolutionize the industry

Sales versus an arena in our revenue mix at the beginning of the year, we guided for $20 million to $50 million.

It will allow us to reach a better cost structure while enabling a 60% smaller form factor for easier integration into different vehicle locations.

Like in the cabin and behind the windshield.

<unk> bookings.

We have booked more than $20 million.

Something many of our customers have requested.

In the first half of the year last quarter, we increased our annual booking guidance for 2025 to $30 million to $60 million I'm happy to tell you that we are already within this range today.

It will also offer better performance and power consumption.

Eldar Cegla: A team of professional auditors tested the pre-existing solution by emulating different types of intrusions. Four out of 10 times, the team avoided detection. They were able to reach the fence and penetrate it by using several easy tricks that took advantage of the system's underlying weaknesses. Under the same conditions, the auditing team was not able to evade a solution based on Innoviz Smart at all. After such experiments, we have seen customer interest in replacing existing camera and radar-based solutions with Innoviz-based ones. As we expand our presence in the non-automotive space, we are benefiting from a shorter path to the market, and lower acquisition costs for these applications that come from engaging through distributors and integrators.

As you recall, we started the year with $80 million in N. A repayment plan with the expansion of existing <unk> plants and the addition of new programs. Our annual repayment plans are now above $110 million.

Like the inov smart and short range, the Innovative with 3 will enable us to develop new variants of the of lighter, to to better, serve different, and new automotive, and unauthorized applications.

As we just discussed, we believe that the time of flight will remain the way forward for the foreseeable future. The Innovative 3 will therefore be based on proven reliable and manufacturable time of flight technology.

To be paid between 2025 and 2027.

Lighter is an extremely complex and demanding field.

As we recognized revenues for these in our release, we are continue to expand our production capabilities with.

Inovis has successfully demonstrated its ability to meet the most stringent requirements of the automotive industry.

Customers milestones and pursue new opportunities across different end markets.

And with that I'll turn it over to Dow to talk about our financials.

Installation behind the windshield as another level of of complexity and I'm confident that innovators will be the 1 to to overcome this hurdle.

Thank you Omar.

And good morning, everybody.

You can expect to learn more about this groundbreaking device at CS.

In the third quarter, we saw continued financial and operational momentum revenues were $15 $3 million year to date, we generated 42 $4 million in revenues to three times, the $18 $2 million in revenues we generated in.

Eldar Cegla: In all, we are continuing to broaden the scope of use cases that we are addressing, and we are in discussion with a number of companies interested in exploring our solution, the Innoviz Smart. Our traction here validates our approach of first engaging the high-volume automotive end market, and after developing an auto-grade, production-ready product, entering the established industrial market. As we talk about our business momentum, it's important to understand the advantages of our time-of-flight technology that underpin our success. After evaluating a variety of approaches, including taping out and testing our own FMCW chip, we are now more confident than ever that time-of-flight will remain the way forward in automotive LiDAR for the foreseeable future. Our time-of-flight LiDAR has demonstrated excellent range, resolution, and field of view, as well as reliability, durability, and availability, which meet the requirements of the automotive OEMs versus competitors using FMCW.

The same period of 2024.

We entered Q, we ended Q3 with approximately $74 $4 million in cash cash equivalents short term deposits and marketable securities on the balance sheet and we have no long term debt.

Now let's move on to our Outlook driven by the ramp of our production line and an Aries, we continue to expect more than a 2-fold increase. In our Revenue zero over here for 2025 to 50 to 60 million dollars. We continue to see a growing contribution from lighter sales versus an Aries in our Revenue. Mix at the beginning of the year, we guided for 20 to 50 million dollars in an bookings.

Since we had booked more than $20 million.

Cash used in operation and capital expenditure in the third quarter was approximately $14 million and we expect this number to decline sequentially.

In the first half of the year last quarter, we increase our energy booking guidance for 2025 to 30 to 60 billion dollars. I'm happy to tell you that we are already within this range today.

Consistent with our expectation for lower year over year cash burden, our strong balance sheet and operational improvements will provide us the runway to cross customers programs into 2020 Fitbit.

Now turning into the income statement, our Q3 revenues of $15 $3 million was 238% up year over year supported by N. Our ease as well as sales of Lidar units.

As you recall we started the year with 80 million dollars. In ennard payments plan with the expansion of existing ennard plans and the addition of new programs, our Energy payment plans are now above 110 million dollars to be paid between 2025 and 2027.

Eldar Cegla: We offer 450m range with high pixel rate density, better performance in adverse conditions such as rain, fog, and dust, and our LiDAR uses a mature auto-grade qualified supply chain. Especially in autonomous driving, where the sensor needs to be ready to support a variety of edge cases and has proven durability and reliability, time-of-flight has established its advantages versus other technologies. After many years of testing and experimenting, including OPA, 1550, and FMCW LiDARs, it's clear to us that 905 time-of-flight is the customer's preferred solution. This industry can only scale on the solid grounds of a proven, mature technology, and 905 time-of-flight has the capabilities, manufacturability, and cost profile that meets customer needs in mission-critical applications. Some customers who are publicly committed to using FMCW are now expressing interest in transitioning to time-of-flight due to what we believe are the disadvantages of FMCW.

As we recognize revenues for this and Aries, We are continuing to expand our production capabilities with customers milestones and pursue New Opportunities, according to different and markets.

Gross margins in the quarter was approximately 15% and approximately 26% year to date margins will continue to be somewhat variable going forward based on the timing of our product ramp and fluctuation in N. R E payment based on customer's milestones.

And with that, I'll turn it over to D to talk about our financials.

Thank you, Omar.

And good morning everybody.

Our operating expenses for Q3 were $18 $1 million, a decrease of approximately 30% from $26 million in Q3 2020 for this quarters operating expenses excluded $2 $4 million of share based compensation compared to $4 2 million.

In Q3 of 2020 for research and development expenses for Q3 were $12.4 million a decrease from $19 $7 million in Q3 2024.

Ities on the balance sheet and we have no long-term debt.

The decrease is primarily related to allocation of costs related to sales of NRI and to their operational realignment in Q1.

Cash used in operation and capital expenditure. In the third quarter was approximately 14 million and we expect this number to decline sequentially.

Eldar Cegla: As we ramp the InnovizTwo at Fabrinet and continue to strengthen our in-house capabilities, we are also looking ahead. We are now happy to unveil the InnovizThree. The InnovizTwo was revolutionary, offering a new technology and meaningful improvement in many aspects, including cost, range, resolution, etc., a major step forward compared to the InnovizOne. The performance of the InnovizTwo advanced rapidly since its introduction. The platform enabled us to develop the InnovizTwo short to medium range and the Innoviz Smart, which were evolutions of the InnovizTwo. We believe the InnovizThree will again revolutionize the industry. It will allow us to reach a better cost structure while enabling a 60% smaller form factor for easier integration into different vehicle locations, like in the cabin and behind the windshield, something many of our customers have requested.

Consistent with our expectation, for lower year-over-year, cash burn.

Quarters, R&D expenses included $1 $3 million of share based compensation compared to $3 million in Q3 of 2024.

Our strong balance sheet and operational improvements will provide us the runway to cross customers programs into 2027.

I'm very proud of our achievements this year.

Year to date.

And look forward to the opportunities ahead as we introduce the innovate three and secure additional automotive and nonautomotive design win with that I'll turn the call back to Omar for his closing remarks.

Now turning into the income statement, our Q3 revenues of 15.3 million was 238% up year-over-year supported by n as well as sales of flers units.

Thank you <unk> before I wrap up the call and open for Q&A I wanted to recap some of our recent developments.

Gross margins. In the quarter was approximately 15% and approximately 26% year to date, margins will continue to be somewhat variable going forward based on the timing of our product ramp and fluctuation in NRE payment based on customers milestones.

We reported record year to date revenues, while continuing to meaningfully lower our annual cash flow.

We've been selected to supply led us for a major global trucking Oems series production of level four autonomous trucks.

Eldar Cegla: It will also offer better performance and power consumption. Like the Innoviz Smart and short range, the InnovizThree will enable us to develop new variants of LiDAR to better serve different and new automotive and non-automotive applications. As we just discussed, we believe that time-of-flight will remain the way forward for the foreseeable future. The InnovizThree will therefore be based on proven, reliable, and manufacturable time-of-flight technology. LiDAR is an extremely complex and demanding field. Innoviz has successfully demonstrated the ability to meet the most stringent requirements of the automotive industry. Installation behind the windshield adds another level of complexity, and I'm confident that Innoviz will be the one to overcome this hurdle. You can expect to learn more about this groundbreaking device at CES. Now, let's move on to our outlook.

Our innovative smart is gaining traction in a variety of applications, including perimeter security and ideas.

Our operating expenses for Q3 were $18.1 million, a decrease of approximately 30% from $26 million in Q3 2024. This quarter's operating expenses included $2.4 million of share-based compensation compared to $4.2 million in Q3.

Testing indicates that platform based on a lighter past outperformed leading solutions.

Our solution provides the safety and security required in a perimeter defense application.

In automotive this is yet another case, where our technology can save lives.

We continue to make progress with level three and level full automotive programs. We are unveiling our next generation, where evolutionary innovate three which will enable us to meet mission critical safety requirements across a variety of new and existing end markets.

2024 research and development expenses for Q3 were 12.4 million. A decrease from 19.7 million in Q3 2024. The, the decrease is primarily related to allocation of cost related to sales of N and to the operational realignment in q1

The quarters are already expenses, including $1.3 million of share-based compensation compared to $3 million in Q3 of 2024.

It is based on industry, leading time of flight technology offering better performance in cost in a smaller form factor.

Although the past quarter, we grew our shipments by an order of magnitude demonstrating the manufacture ability and production readiness of our platform.

Eldar Cegla: Driven by the ramp-up of our production line and NREs, we continue to expect more than a twofold increase in our revenue year over year for 2025 to $50 to $60 million. We continue to see a growing contribution from LiDAR sales versus NREs in our revenue mix. At the beginning of the year, we guided for $20 to $50 million in NRE bookings since we had booked more than $20 million in the first half of the year. Last quarter, we increased our NRE booking guidance for 2025 to $30 to $60 million. I'm happy to tell you that we are already within this range today. As you recall, we started the year with $80 million in NRE payments plan. With the expansion of existing NRE plans and the addition of new programs, our NRE payment plans are now above $110 million to be paid between 2025 and 2027.

In all we are tremendously proud of our progress as we work towards.

I'm very proud of our achievements this, uh, uh, year to date and look forward to the opportunities ahead as we introduce the innovate free and secure additional automotive and non-automotive design wins with that, I'll turn the call back to Omar for his closing remarks.

Our goal of becoming the world's premier large scale provider of best in class Lidar solutions.

Thank you Allah. Before I wrap up the call and open for Q&A. I wanted to recap some of our recent developments.

What I mean.

And beyond.

With that operator, let's open it up for the Q&A.

We reported record year to date revenues while continuing to meaningfully lower our annual cash burn.

To ask a question. Please raise your hand, he was you know mobile or desktop application or press star nine on your telephone keypad and wait for your name to be announced.

We've been selected to supply ladders for a major global tracking, oems serious production of level 4. Autonomous trucks.

The first question is from Mark Delaney with Goldman Sachs. Martin. Please go ahead.

our inov smart is gaining Traction in a variety of applications including perimeter security and its

Hi, Yes. Good afternoon. Good morning, Thank you very much for taking our questions. So when you could start with an update on the <unk> development program for consumer vehicles with the top five auto OEM that you'd previously announced and what do you think needs to happen that's become a series production Award.

Testing indicates that platform based on our lighter outperformed leading Solutions.

Sure so over the last quarter, we were working on.

Our solution provides the Safety and Security required in a perimeter defense application. As in automotive, this is yet another case where out technology can save lives.

<unk> W based on what we've signed on.

Eldar Cegla: As we recognize revenues for these NREs, we are continuing to expand our production capabilities, meet customers' milestones, and pursue new opportunities across different end markets. With that, I'll turn it over to Eldar to talk about our financials. Thank you, Omer, and good morning, everybody. In the third quarter, Innoviz saw continued financial and operational momentum. Revenues were $15.3 million. Year to date, we generated $42.4 million in revenues, 2.3x the $18.2 million in revenues we generated in the same period of 2024. We ended Q3 with approximately $74.4 million in cash, cash equivalent, short-term deposit, and marketable securities on the balance sheet, and we have no long-term debt. Cash used in operation and capital expenditure in the third quarter was approximately $14 million, and we expect this number to decline sequentially, consistent with our expectation for lower year-over-year cash burn.

Previous Bolton.

We delivered on several of the items, which we are still in discussion with the customer.

And we are pending full to follow.

We continue to make progress with level 3 and level 4 automotive programs. We are unveiling our next Generation revolutionary, Innovative 3, which will enable us to meet Mission critical safety requirements across a variety of new and existing and markets.

We'll see following stage of the process.

Generally there are still technical commercial discussions to be completed before with dosing to assist with us.

It is based on industry-leading time of flight technology, offering better performance and costs in a smaller form factor.

Just any sense on timing as to how long that may.

Over the past quarter, we grew our shipments by an order of magnitude, demonstrating the manufacturability and production readiness of our platform.

They take two I'll come to completion.

I'd say its a.

It's not I would say, it's a very developed stage.

In all we are tremendously proud of our progress. As we work toward our goal of becoming the world's Premier large scale provider of best-in-class slider Solutions.

For autonomous driving and Beyond.

Trying to guess on the.

How long it will fair to think about.

With that operator. Let's open it up for the Q&A.

I would say it is there.

Speech.

Okay.

That's helpful.

The other question was on the competitive.

Mary you mentioned the declining number of competitors are now seen can easily made on that and have you seen any recent changes in the competitive landscape a number of business opportunities that are available.

To ask a question, please raise your hand. Use your mobile or desktop application, or press star 9 on your telephone keypad and wait for your name to be announced.

The first question is from Mark Delaney with Goldman Sachs, Mark. Please go ahead.

One of your merchant Lidar competitors recently reported that it's facing financial pressure and then also in light of the current geopolitical backdrop. Thank you.

Yes, that's okay, I think that in general we see disciplined.

Eldar Cegla: Our strong balance sheet and operational improvements will provide us the runway to cross-customers' programs into 2027. Now, turning into the income statement, our Q3 revenues of $15.3 million was 238% up year over year, supported by NREs as well as sales of LiDAR units. Gross margins in the quarter were approximately 15%, and approximately 26% year to date. Margins will continue to be somewhat variable going forward based on the timing of our product ramp and fluctuation in NRE payment based on customers' milestones. Our operating expenses for Q3 were $18.1 million, a decrease of approximately 30% from $26 million in Q3 2024. This quarter's operating expenses included $2.4 million of share-based compensation, compared to $4.2 million in Q3 of 2024. Research and development expenses for Q3 were $12.4 million, a decrease from $19.7 million in Q3 2024.

Protein programs.

Uh, yes, uh good afternoon. Good morning. Thank you very much for taking the questions. So when you could, uh, start with an update on the L3 development program for Consumer vehicles, with the top 5 Auto OEM that you'd previously announced. And what do you think needs to happen for that to become a series production award?

Our what we see in terms of the competitive offers we have from Idose, It's obviously limited.

Due to the let's say consequences.

Either geopolitical or.

The other solution.

Capable of fulfilling the needs and timeline.

And therefore, we we expect we see that modality.

The competitive landscape for automotive lighting solutions.

He is very limited.

So this is what we are reflecting ear in saying that we expect it to continue.

Uh, what we've signed on, uh, previous quarter and we delivered on several of the items which we are, uh, still in discussion with the customer and we are pending for the follow, um, or say following stage of the process. Um, generally there are still, uh, technical, uh, commercial discussions to be completed before it turns into the sales production.

Any sense on time is to how long that may take to all come to completion?

Thank you I'll pass it on.

Okay.

Thank you.

Our next question is from Colin Rusch from Oppenheimer. Please go ahead Colin.

Um, I would say it's uh, it's not uh, I would say it's in a very developed stage.

Thanks, So much guys can you talk a little bit about the incremental investments you might need to make into sensor fusion.

trying to guess on uh, how long it will further take it's hard but I would say it's a very developed uh, stage

Some of your partners as you kind of proliferate. Some of these applications. It seems like having some visibility into the software element of this could be useful for you, but just want to get a sense of how youre thinking about that as a market opportunity evolves.

Okay, uh, that's helpful. Um,

Sure So I think heroes.

I would split the market between automotive and nonautomotive.

Eldar Cegla: The decrease is primarily related to allocation of costs related to sales of NRE and to the operational realignment in Q1. The quarter's R&D expenses included $1.3 million of share-based compensation, compared to $3 million in Q3 2024. I'm very proud of our achievement this year to date, and look forward to the opportunities ahead as we introduce the InnovizThree and secure additional automotive and non-automotive design wins. With that, I'll turn the call back to Omer for his closing remarks.

Well the task of sensor fusion is somehow different than the software opportunity also.

Another question was on the competitive uh environment or you, you mentioned that the decline in number of competitors. You're now seeing, can can you zoom in on that has any of this seen any recent changes in the competitive landscape and number of business opportunities that are available, uh given that 1 of your Merchant light are competitors, recently reported that it's facing Financial pressure and then also in light of the current geopolitical backdrop. Thank you.

In a way.

Also in terms of commercialization and monetization.

Different types of opportunities.

When we're talking about integrating into our platform such as mobile and video where we see several cases, where the OEM once the platform player to take ownership on the sensor fusion there.

Yeah, definitely, I think that in general, we see that when we are approaching programs, uh, our what we see in terms of the competitive, uh, offers we have from others, it's obviously limited due to the, let's say consequences of either geopolitical or uh the other solution and capable of fulfilling the needs and timelines.

Our work with the customer.

<unk>, two obviously, providing them the details and doing the test with them there is a certain software components.

Omer Keilaf: Thank you, Eldar. Before I wrap up the call and open for Q&A, I wanted to recap some of our recent developments. We reported record year-to-date revenues while continuing to meaningfully lower our annual cash burn. We've been selected to supply LiDARs for a major global trucking OEM's series production of Level 4 autonomous trucks. Our Innoviz Smart is gaining traction in a variety of applications, including perimeter security and ITS. Testing indicates that platforms based on our LiDAR plus outperform leading solutions. Our solution provides the safety and security required in a perimeter defense application. As in automotive, this is yet another case where our technology can save lives. We continue to make progress with Level 3 and Level 4 automotive programs. We are unveiling our next generation revolutionary InnovizThree, which will enable us to meet mission-critical safety requirements across a variety of new and existing end markets.

We provide as a license for.

Uh, and therefore, you know, we, we expect we we see that in, in reality, the the comparative landscape. So Automotive lighter Solutions is, is very limited. And so this is what we are reflecting here and saying that we expected to continue.

Working with the <unk>.

The whole software stack will include also the sales and software.

Thank you. I'll pass it on.

Thank you.

They're coming from us.

Clearly in terms of doing some lighter managements.

Our next question is from Colin, Rusch from oppenheim. Please go ahead. Colin.

Weather conditions range.

Range detection.

The gradation.

Things that are related to the letters so in some cases, we provide some.

Some I would say the higher layers of the application.

And when we're talking about north of module application this is where our.

Uh, thanks so much guys. You know, can you talk a little bit about you know, the incremental Investments, you might need to make into Sensor Fusion. Um you know with some of your partners, as you kind of proliferate, some of these applications it seems like having some visibility into the software uh element of this could be useful for you, but just want to get a sense of how you're thinking about that as a as a market opportunity evolves.

Different players related too.

Background removal and compression.

Sure. So I think here I was, um, I would split the market between Automotive and automotive.

Akshay protection specification this depends on the application itself.

Some of this we are doing ourselves so that we are doing with partners.

In these programs there the business model is also involves system support and maintenance and.

Omer Keilaf: It is based on industry-leading time-of-flight technology, offering better performance and cost in a smaller form factor. Over the past quarter, we grew our shipments by an order of magnitude, demonstrating the manufacturability and production readiness of our platform. In all, we are tremendously proud of our progress as we work toward our goal of becoming the world's premier large-scale provider of best-in-class LiDAR solutions for autonomous driving and beyond. With that, Operator, let's open it up for the Q&A.

Because some of these programs.

Most of these programs out 24 seven.

Duration is the difference I would say operational model the same so unlike a vehicle where it drives sales in the utilization.

And then it means that.

It's a longer.

And I'm still working hours in terms of number of cycles. It needs to work. So there was this silicon.

Many of the current revenue is coming from.

<unk> supports over several years.

And we are working with different customers to understand their needs.

Well, the task of Sensor Fusion is somehow different. And the software opportunity also is in a way, uh, also in terms of commercialization and monetization is, uh, different types of opportunities. When when talking about integrating into a platform such as mobilet or Nvidia, where we see, uh, in several cases where the OEM ones, the platform player to take ownership on the Sensor Fusion there, uh, our, uh, work with the customer with related to obviously providing them the details and doing the test with them. There is a certain uh software uh, components that we uh, provide as a as a license for working with the the all the whole software stack will include also a certain software layer coming from us primarily in terms of uh, doing some

Operator: To ask a question, please raise your hand using your mobile or desktop application, or press star nine on your telephone keypad and wait for your name to be announced. The first question is from Mark Delaney with Goldman Sachs. Mark, please go ahead.

I was I elaborated earlier of votes.

Pacific use case, which is the security perimeter security.

I was literally blown away.

We hope this sector is under served and it's not I would say you would expect that such as the Maine. We will have a solution of this will be the domestic.

[Analyst] (Goldman Sachs): Yes, good afternoon, good morning. Thank you very much for taking the questions. I was hoping you could start with an update on the L3 development program for consumer vehicles with the top five auto OEM that you'd previously announced. What do you think needs to happen for that to become a series production award?

Lighter management, uh, weather conditions, uh, range detection, uh, degradation, or things that are related to the letters itself. In some cases, we provide some, uh, I would say, higher layers of, uh, the application. Uh, and when talking about not automatically go,

We are all aware of.

The situation in different places around the world and seeing that even the best.

Omer Keilaf: Sure. Over the last quarter, we were working on the SOCW based on what we signed on the previous quarter. We delivered on several of the items, which we are still in discussion with the customer, and we are pending for the following stage of their process. Generally, there are still technical and commercial discussions to be completed before it turns into a series production.

Solutions that are used in different cases that are super expensive youll see how easily though.

Okay.

From our eyes.

It won't be an analytic.

And we see that we need to when we show our solution to different customers.

Recently.

Really again blown ways.

The only way I can express it.

And I think there is a lot of work to be done.

To integrate our solution to the different BMS the video monitor systems used by the come on.

[Analyst] (Goldman Sachs): Any sense on timing as to how long that may take to all come to completion?

Control panels.

So I think this is where we expect to see a very nice development in the coming months.

Omer Keilaf: I would say it's not, I would say it's in a very developed stage. Trying to guess on how long it will further take is hard, but I would say it's in a very developed stage.

Adding to it also.

It's a longer. Um, and I would say, working hours in terms of number of hours that needs to work. So there was a certain element of recurrence. Revenue is coming from uh, support of several years.

Yes.

And really some other things that I hope that we'll be able to share in the coming months.

[Analyst] (Goldman Sachs): Okay. That's helpful. Another question was on the competitive environment. Omer, you mentioned the declining number of competitors you're now seeing. Can you zoom in on that? Has Innoviz seen any recent changes in the competitive landscape and number of business opportunities that are available, given that one of your merchant LiDAR competitors recently reported that it's facing financial pressure, and then also in light of the current geopolitical backdrop? Thank you.

So.

And a big bulk of it is related to the.

Creating the right insights.

And we, we are working with different customers to understand their needs. And, you know, I I, I was, I elaborated earlier about a specific use case which is security perimeter, security. I was literally Blown Away.

These applications APR.

The analytics that needs to be done.

To to make use of his predecessor of disciplined.

And automotive markets. So this is where we are currently diving into.

With how, uh, this sector is under served. And, you know, it's not, it's I would say you would expect that such a domain would have a solution that will be hermetic.

Omer Keilaf: Yeah, definitely. I think that in general, we see that when we are approaching programs, what we see in terms of competitive offers we have from others is obviously limited due to the, let's say, consequences of either geopolitical or the other solution incapable of fulfilling the needs and timeline. Therefore, we expect, we see that in reality, the competitive landscape for automotive LiDAR solutions is very limited. This is what we are reflecting here and saying that we expect it to continue.

And I'm sure, we'll find more opportunities.

Same goes with the.

you know, we are all aware of, uh, you know, the situation in different places around the world and seeing that even the best

This liability.

And create new markets.

So we'll share more but.

This bundle, which will be a mix between those.

Compute and software.

So excellent.

As a follow up with.

The next next generation product and as you start to scale up volumes.

solutions that are used in different cases that are super expensive, you see how easily the governments compromise and and cell phone being a metric. And and and we see that we need to when we show our solution to different customers. They they are, there's really, really, again blown away. It's really the only way I can express it.

<unk> seen some of the maturation of the supply chain.

Can you talk a little bit about the potential.

Cost reduction trajectory.

They are expecting here over the next couple of years and how that May impact you.

um, and I think there there's a lot of work to be done, uh, to integrate our solution to the different VMS, the video monitor systems used by the common

No your opportunity to address.

[Analyst] (Goldman Sachs): Thank you. I'll pass it on.

The address even larger pockets of demand.

Omer Keilaf: Thank you.

Operator: Our next question is from Colin Rusch from Oppenheimer. Please go ahead, Colin.

I can talk about generally like us will continue to reduce costs it will come through.

Um, control panels. Um, so I think this is where I expect to see a very nice development in the coming months.

[Analyst] (Oppenheimer): Thanks so much, guys. Can you talk a little bit about the incremental investments you might need to make into sensor fusion with some of your partners as you kind of proliferate some of these applications? It seems like having some visibility into the software element of this could be useful for you, but just want to get a sense of how you're thinking about that as the market opportunity evolves.

uh, adding to it also uh tolls its

Resolution.

In technology, we keep doing so.

<unk>.

That relies on the new technology developments.

It allows us to benefit from further cost reduction and we will keep doing so I think on top of it.

Omer Keilaf: Sure. I think here I would split the market between automotive and non-automotive. Well, the task of sensor fusion is somehow different, and the software opportunity also is, in a way, also in terms of commercialization and monetization, different types of opportunities. When talking about integrating into a platform such as Mobileye or NVIDIA, we see in several cases where the OEM wants the platform player to take ownership of the sensor fusion. Our work with the customer is related to obviously providing them the details and doing the test with them. There is a certain software component that we provide as a license for working with the overall software stack, which will include also a certain software layer coming from us, primarily in terms of doing some LiDAR management, weather conditions, range detection, degradation, or things that are related to the LiDARs itself.

Do expect that a major part of the cost reduction will council industrialization.

And and really some other things that I I hope this will be able to share in the coming months. So and and a big part of it is related to the um, creating the right insights. I mean, in these applications kpis, the, the analytics that needs to be done to to make use of the 3D sensors or different than

When you think.

Really the baseline of what is a lighter.

An automotive market. So this is where we are currently diving into.

Light source laser chip and then it takes the silicon based.

and I'm sure we'll find more opportunities where our

The processing units I think that what I've just described.

Describe.

sensors with their performance reliability, uh, can uh, create new markets.

Also be described by CD drive.

There are many electronics.

Two cost of logs at some point of time and so they are really priced in the tens of dollars.

Uh, solution more. But uh, in this bundle, it will be a mix between sensors.

Uh, compute and and and software.

There is nothing fundamentally more expensive in the light of these kind of technologies that may be.

So excellent. And just as a, as a follow up with the, the next, uh, Next Generation product and as you start to scale up volume. So if you, you know,

20 years ago.

Cost thousands of low hundreds of dollars in the moment.

Eventually it was nothing fundamentally different and therefore I do expect that as the technology will continue to evolve you will do.

Eventually you need to have investments to do the rights.

Seeing some of the, the maturation of the supply chain. Um, you know, can you talk a little bit about the potential, uh, cost reduction trajectory, um, that you're expecting here? Over the next couple of years and and how that may impact? Um, you know, your your opportunity to uh, address even larger pockets of demand.

LOI in terms of cost reduction.

Okay, no, I can talk about it. Generally, letters will continue to reduce costs. It will come through.

I wouldn't do a $10 million investment now to save $10 in the bill of materials is not yet the downward volume adjusted prices.

Um, you know, um Revolution.

Omer Keilaf: In some cases, we provide some, I would say, higher layers of the application. When talking about non-automotive application, this is where there are different layers related to background removal and compression, object detection, classification. This depends on the application itself. Some of this we are doing ourselves, some of that we are doing with partners. In these programs, the business model also involves a certain support and maintenance because some of these programs, or I would say most of these programs, are 24/7 operation. It's a different, I would say, operational mode of the sensor, unlike a vehicle where it drives a certain utilization. It means that it's a longer, I would say, working hours in terms of number of hours it needs to work. There is a certain element of recurrent revenues coming from support over several years.

Uh, about in technology, uh, where we keep doing so and the, you know, the 3,

But you can imagine that as the.

As the volume was below these kind of opportunities available to us.

And.

We are no longer.

In a stage, where we're talking about whether this technology can be enabled.

Relies on a new technology development that allows us to benefit from further cost reduction and we'll keep doing. So I think on top of it, uh, I do expect that a major part of the cost reduction will come from industrialization.

Sure.

But we see industry utilization stage, where we need to do integration of.

When you think on, um, really the Baseline of what is the lighter. It's a, you know, a light source, a laser Chip and A detector silicon based

Discrete electronics into more chips.

Primarily.

I would say execution.

R&D, just maybe without the our total deposits.

A processing unit. I think that what I just kind of described can uh also be described by a CD drive, you know, there are many electronics.

Straightforward.

Processes that were done in other markets.

Before starting.

That used to cost a lot at some point of time and today, uh really priced at the tens of dollars.

I was working on several other industries such as mobile.

And in these areas we've done the same.

And there's nothing fundamentally more expensive in a lighter than these kind of technologies that maybe, uh, you know, 20 years ago.

So I expect to see lateral go cheaper and cheaper.

Have, uh, you know, cost thousands of dollars and hundreds of dollars and then lower.

And.

Eventually available even to consumer applications.

Excellent. Thanks, so much guys.

To ask a question. Please raise your hand, using your mobile or desktop application or press star nine on your telephone keypad and wait for your name to be announced.

Omer Keilaf: We are working with different customers to understand their needs. I elaborated earlier about a specific use case, which is security, perimeter security. I was literally blown away with how this sector is underserved. You would expect that such a domain would have a solution that will be hermetic. We are all aware of the situation in different places around the world, and seeing that even the best solutions that are used in different cases that are super expensive, you see how easily they are compromised and powerful being hermetic. We see that we need to, when we show our solution to different customers, they are literally, again, blown away. It's the only way I can express it.

Our next question will come from E tiny alley.

Eventually, there's nothing fundamentally different and therefore I, I do expect that as the technology will continue to evolve. You will do, um, you know, eventually you you need to have Investments to do, uh, the rights, uh, Roi in terms of, uh, cost reduction.

From TD Cohen <unk>. Please go ahead.

Great. Thank you good afternoon everybody.

Deposit.

I was hoping you can walk us through <unk>.

More of what Youre seeing in some of your L. Three and L for discussions with automakers and specifically maybe talk about what you think it will take us accelerate sourcing decisions.

But you can imagine that as the as the volume would grow. This kind of opportunities are available to us.

Kind of automakers looking for at this point to make those decisions and then broadly in the next few years, if you talked to automakers and look at the market, how youre seeing L. Three and maybe al for penetration.

And, uh, if we are no longer in a stage where we’re talking about whether this technology can be enabled, we are in a

Kind of play out in the industry I'm sure.

I mean, obviously thats. The question that comes up many times with investors and the way I like to address it as well.

When you look on the Chinese markets.

If you could you can look at it as kind of a crystal ball of.

I would say, uh, industrialization stage where we need to do integration of the discrete electronics into more chips. These are primarily, I would say, execution and, um, R&D, just maybe without the output part of it—straightforward processes that were done in other markets.

Automotive market is heading.

The western Oems are aware that the Chinese calls, though we come in.

Omer Keilaf: I think there's a lot of work to be done to integrate our solution to the different VMS, the video monitor systems used by the common control panels. I think this is where I expect to see a very nice development in the coming months. Adding to it also tolls, ITS, and really some other things that I hope that we'll be able to share in the coming months. A big part of it is related to creating the right insights. I mean, in these applications, the KPIs, the analytics that needs to be done to make use of a 3D sensor are different than an automotive market. This is where we are currently diving into. I'm sure we'll find more opportunities where our sensors, with their performance ability, can create new markets.

You know before starting, you know with I was working on several other Industries such as mobile um and and in these areas we've done the same.

There are fast moving the equipped with both technologies and they understand that they need to keep the differentiation.

uh, so I expect to see Largo cheaper and cheaper and, uh,

Eventually available. Even to Consumer applications.

Going forward.

I think there is a lot of evidence seeing that level four is coming to fruition youll see many players trying to move faster understanding that.

Excellent. Thanks so much guys.

To ask a question, please raise your hand using your mobile or desktop application, or press *9 on your telephone keypad and wait for your name to be announced.

It's going to be a point where seats are going to be taken around the David eventually city has alluded to be populated with global Texas and there will be a limit.

Our next question will come from ittai me.

From uh TD Cohen it, I please go ahead.

Due to congestion of family cost could actually be allowed to grow.

Uh great thank you. Good afternoon everybody.

And the race has begun.

Because several of these players are rolling out.

And therefore, we do see sense of urgency coming from others.

In terms of level three.

Also sure that several of the discussions we're having right now with customers is also looking on the opportunity related to organ level suite.

As you are.

Um, I was hoping you can walk us through um more of what you're seeing in some of your L3 and L4 discussions with automakers and specifically, maybe talk about what you think it will take to accelerate forcing decisions, um, kind of what our automakers looking for at this point to make those decisions. And then broadly in the next few years, um, as you talk to auto makers and and look at the market, how you're seeing L3, maybe L4 penetration, uh, kind of play out in the industry.

Yeah, sure.

Be aware today most of the level three applications are targeting highway some Oems are seeing.

Omer Keilaf: We'll share more, but in this bundle, it will be a mix between sensors, computes, and software.

I mean, obviously that's the question that comes up many times with investors, and the way I like to address it is.

The highway is a good first.

First step, but some of the Oems are looking.

[Analyst] (Oppenheimer): Excellent. Just as a follow-up with the next generation product and as you start to scale up volumes, if you've seen some of the maturation of the supply chain, can you talk a little bit about the potential cost reduction trajectory that you're expecting here over the next couple of years, and how that may impact your opportunity to address even larger pockets of demand?

To add in Oregon experienced knowing that that is.

You know, when you look and on the Chinese market and you could, you could look at it as kind of the crystal ball of where the automotive Market is heading.

Their customers are really interested list.

So we are in discussions with Oems our own several concepts I mean, obviously.

He is a very innovative companies and we talked about the <unk> three is a new platform, where we can design around the different volumes. So.

And the West, oh yeah, is aware that the Chinese cars are becoming, um, they're fast moving, they're equipped with small technologies, and they understand that they need to keep the differentiation going forward.

Omer Keilaf: Okay. No, I can talk about generally, LiDARs will continue to reduce costs. It will come through revolution parts in technology where we keep doing so. The InnovizThree relies on a new technology development that allows us to benefit from further cost reduction, and we'll keep doing so. I think on top of it, I do expect that a major part of the cost reduction will come from industrialization. When you think on really the baseline of what is a LiDAR, it's a light source, a laser chip, and a detector, silicon-based, a processing unit. I think that what I just kind of described can also be described by a CD drive. There are many electronics that used to cost a lot at some point of time, and today are really priced at the tens of dollars.

In a way a handsome complex wounds with one of the things that we're working on.

So definitely I expect.

The C level suite, Orben, Ohio way.

At some point of time, we are growing very fast in the west.

<unk> four is definitely already come.

Very helpful and as a follow up back.

Uh, I think there is a lot of evidence seeing that Level 4 is coming to fruition. You see, many players are trying to move faster, understanding that? Um, you know, it's going to be a point where seats are going to be taken around the table. Eventually, cities are going to be populated with robot taxis, and there will be a limit, due to congestion, on how many cars could actually be allowed to optimize.

Back of the <unk> three can you talk a little bit more about some of the performance improvement that you're targeting and also just remind us when the.

And the race has begun, uh, because uh, several of these players are rolling out.

They start production is expected for that platform. Thank you.

And therefore, we do see a sense of urgency coming from others.

Yes sure so.

I think the next.

China is related to L. Three's, where are we seeing some of the customers.

Um, in terms of Level 3, I know I can also share that some of the discussions we're having right now with customers are also looking at the opportunity related to urban Level 3.

I can take it to them to build different.

One is the highway and the other one is the Oregon.

Both of them are actually related to the design of the vehicle.

It's because when you talk about highways and Youll see some Oems they wanted to add to the lighter behind the windshield.

Omer Keilaf: There is nothing fundamentally more expensive in a LiDAR than these kind of technologies that maybe 20 years ago have cost thousands of dollars, and hundreds of dollars, and then lower. Eventually, there is nothing fundamentally different. Therefore, I do expect that as the technology will continue to evolve, you will do eventually, you need to have investments to do the right ROI in terms of cost reduction. I wouldn't do a $10 million investment now to save $10 in the bill of material. It's not yet the time where the volume justifies it. You can imagine that as the volume would grow, these kind of opportunities are available to us. We are no longer in a stage where we're talking about whether this technology can be enabled.

Later by itself is a very complex and.

Challenging technology, even if you don't put it behind the windshield, putting it behind the windshield as maybe another magnitude of churn of difficulty because these ads restrictions.

<unk> related to the size.

As you are might be aware today. Most of the level 3 applications are targeting Highway. Some oems are seeing, uh, the highway as a, as a good, uh, First Step. But some of the oems are looking, uh, to add an urban, uh, experience knowing that that is, uh, What, uh, their customers are really interested with. Uh, so we, we are in discussions with oems around, uh, several Concepts. I mean, obviously, you know, this is a very Innovative companies and we, we talked about the innovate 3, as a, as a new

And power consumption.

So the integration into the windshield, which has its own kind of integration challenges. So.

New platform where we can design around these different variants. So in a way, a hint on kind of like 1 of 1 of the things that we are working on.

This is kind of something that as I said in the earlier in the call.

Seeing these challenges we are obviously.

We're working to show the customer that we feel obviously, we can overcome these additional changes by building a product that has a certain buffer related to the performance.

Um, so definitely, I expect, uh, to sea level 3, Urban or Highway uh, at some point of time growing very fast in, in the west. Uh, level 4 is definitely already coming.

Significant volume reduction 60%.

And power consumption reduction.

Omer Keilaf: We are in a, I would say, industrialization stage where we need to do integration of discrete electronics into more chips. These are primarily, I would say, execution and R&D, just maybe without the R part of it. Straightforward processes that were done in other markets. Before starting Innoviz, I was working on several other industries such as mobile. In these areas, we've done the same. I expect to see LiDAR go cheaper and cheaper and eventually available even to consumer applications.

Several additional though.

Very helpful and as a follow-up, um, back to the, the Innovative 3, can you talk a little bit more about, um, some of the performance Improvement that, that you're targeting. And also just remind us when the, uh, the start production is expected for for that platform. Thank you.

Yes.

Yeah, sure. So

Design perspective that we included in either with three which we believe will give us even additional.

Vantages was related to this specific challenge and this is why I said as I said earlier there are only maybe two larger companies have ever got to a level three.

On the road there are many of the announced level III, but I think <unk>, probably provided a solution for the best levels Grateful day available and I believe that we will be the one.

Solving this problem as well.

They can get into a level three or so again it says design.

The discussion is also related to cost because it requires more than one central.

[Analyst] (Oppenheimer): Excellent. Thanks so much, guys.

You don't want to use nine items as much as we would like obviously.

Operator: To ask a question, please raise your hand using your mobile or desktop application, or press star nine on your telephone keypad and wait for your name to be announced. Our next question will come from Itai Michaeli from TD Cowen. Itai, please go ahead.

So it means that you do need to take into consideration design cost and this is where.

Another good design of the Lidar.

Good understanding most of the different use cases as well a good discussion between the latter.

Customers. Um, I I can take it to into 2 different, uh, tasks. What is the highway the the other 1 is the urban. Uh, both of them are actually related to the design of the vehicle, right? Because when you talk about Highway, then you see some oems, they want to to add the lighter behind the windshield and you know, lighter by itself is a very complex and challenging technology. Even even if you don't put it behind the windshield, putting it behind the windshield adds, maybe another magnitude of challenge of difficulty because it adds restrictions uh constraints related to the size uh and power consumption. And also the integration into the windshield which adds its own kind of uh integration uh challenges. So, uh, you know, this is kind of a something that as I said in in the earlier in the call, you know, seeing uh these uh, challenges we are always

[Analyst] (TD Cowen): Great. Thank you. Good afternoon, everybody. I was hoping you can walk us through more of what you're seeing in some of your L3 and L4 discussions with automakers, and specifically maybe talk about what you think it will take to accelerate sourcing decisions, kind of what are automakers looking for at this point to make those decisions. Then broadly, in the next few years, as you talk to automakers and look at the market, how you're seeing L3 and maybe L4 penetration kind of play out in the industry.

Developer and the OEM is needed.

So these are the two.

Mentioned other than that.

All three programs will we have already integrated whether it's in the roof.

Uh working to show the customers that with you know these 3 we can also come these additional challenges by building a product that has a certain buffer related to the performance.

In the grill and the first one that is expected to launches in 2007.

That's all very helpful. Thank you.

Uh, significant volume reduction 60% and and power consumption reduction. Uh, there are several additional uh nice

Our next question is from Josh Josh Papa from J P. Morgan cash. Please go ahead.

Omer Keilaf: Yeah, sure. I mean, obviously, that's the question that comes up many times with investors. The way I like to address it is when you look on the Chinese market, you can look at it as kind of the crystal ball of where the automotive market is heading. The Western OEMs are aware that the Chinese cars are becoming, they are fast-moving. They are equipped with more technologies, and they understand that they need to keep the differentiation going forward. I think there is a lot of evidence seeing that Level 4 is coming to fruition. You see many players trying to move faster, understanding that it's going to be a point where seats are going to be taken around the table.

Hi, good morning, and thanks for taking my questions Congrats to the team on all the progress this quarter I wanted to start with a question on the ELD for commercial OEM win could.

Could you maybe share any details around the <unk> timeline, the number of flight hours per unit and the overall volume. Unfortunately, you expect as part of this platform, thanks, and I have a phone.

Sure.

So we said that we expect to announce.

Design perspective that we included in 3, which we believe will give us even additional advantages related to this specific challenge. And this is why I say, as I said earlier, um, there are only maybe 2 large companies that ever got to a Level 3, uh, on the road. There are many that have announced Level 3, but I think, uh, you know, this has probably provided a solution for the best levels for today available. And I believe that we will be the one, uh, solving this problem as well.

If you do have announced includes the customer in a several weeks where we are.

Turning to share more information when we want to be respectful.

Yes.

With the.

Towards the OEM.

And while we.

We're working on.

On this announcement.

There is going to be multiple sensors their visual but I do want to be again want to wait for it.

Omer Keilaf: Eventually, cities are going to be populated with robotaxis, and there will be a limit due to congestion of how many cars could actually be allowed to operate. The race has begun because several of these players are rolling out. Therefore, we do see a sense of urgency coming from others. In terms of Level 3, I can also share that some of the discussions we're having right now with customers is also looking on the opportunity related to urban Level 3. As you might be aware, today, most of the Level 3 applications are targeting highway. Some OEMs are seeing the highway as a good first step, but some of the OEMs are looking to add an urban experience, knowing that that is what their customers are really interested with. We are in discussions with OEMs around several concepts.

It's in the next step in the next few weeks. So we preferred to wait at this point.

Makes sense. Thank you for that and then curious if you could give us a preview for expectations into 2026 in terms of revenue and gross profit.

Uh, taking into a level 3 Urban. So again, it says design, uh, discussion. It's also related to cost because it it requires more than 1 cents. So, uh, you don't want to use 9 lighters as much as we would like, uh, obviously. Uh, so it means that you do need to take into consideration design cost. And this is where uh another good design of the lighter uh and a good understanding also of the different use cases is well a good discussion between a lateral uh developer and the OEM is needed. Um so these are the 2 uh I would mention other than that they are Level 3 programs. Will we have already integrated whether

How should we think about the contribution from the ramp of the contract wins under the <unk> platform and some of the ongoing developments globally large automakers.

Is, is the roof or, uh, in the grill and the first 1 that is expected to launch is in, uh, 27.

That's not very helpful. Thank you.

Just wondering if you could give us a sense of what the strategic priority for the company looks like in 2026. Thank you.

Our next question is from Jess Patwa from JP Morgan. Josh, please go ahead.

I think obviously, we'll book them.

Guidance.

The next quarter.

But other than that of course, we are expecting.

Growth.

With the deployment of the vehicles level four vehicles, whether it's coming from first of all again, while other customers of mobilize. This we are working with and we expect mobile and also to grow there.

Hi, good morning, and thanks for taking my questions. Congrats to the team on all the progress this quarter. I wanted to start with a question on the L4 commercial OEM win. Could you maybe share any details around the SOP timeline, the number of liars per unit, and the overall volume opportunity you expect as part of this platform? Thanks, and I have a follow-up.

Omer Keilaf: I mean, obviously, Innoviz is a very innovative company, and we talked about the InnovizThree as a new platform where we can design around it different variants. In a way, it hangs on kind of like one of the things that we are working on. I definitely expect to see Level 3 urban or highway at some point of time growing very fast in the West. Level 4 is definitely already coming.

Customer base.

Which we are already.

Selling led us with customers that are currently in those discussions and obviously, we're waiting to see them.

Sure. Um so we said that we we expect to announce uh to do an announcement with the customer in a several weeks where we are planning to share more information and you know we want to be respectful uh for the for the with the

Mature.

Cool.

Other than that.

Yeah.

We have different customers.

The truck.

We were awarded.

This is going to be deployed.

And the top five OEM.

Towards the OEM, uh, while we are working on the on, on this announcement. Uh there's going to be multiple sensors per visual but you know, I I do want to be again, want to wait for it. I mean, it's, it's in the next couple is the next few weeks. So we prefer to wait at this point.

It depends on how things will develop.

[Analyst] (TD Cowen): Very helpful. As a follow-up back to the InnovizThree, can we talk a little bit more about some of the performance improvement that you're targeting? Also, just remind us when the start of production is expected for that platform. Thank you.

And I think the smiles.

Is where we are.

Very excited around.

We see where our solution.

Really unlocks.

Soon it is because.

Omer Keilaf: Yeah, sure. I think the next challenge related to L3 is where we're seeing some of the customers. I can take it into two different paths. One is the highway, and the other one is the urban. Both of them are actually related to the design of the vehicle, right? Because when you talk about highways and you see some OEMs, they want to add the LiDAR behind the windshield. LiDAR by itself is a very complex and challenging technology, even if you don't put it behind the windshield. Putting it behind the windshield adds maybe another magnitude of difficulty because it adds restrictions, constraints related to the size and power consumption, and also the integration into the windshield, which adds its own kind of integration challenges.

When you think about the liners that are currently available in the market, which are also <unk>.

No political.

Elements are also very strong in those areas.

Um, makes sense. Thank you for that. And then, I’m curious, if you could give us a preview for expectations into 2026 in terms of revenue and gross profit, you know, how should we think about the contribution from the ramp of the contract wins under the Mobile Lite Drive platform and some of the ongoing development work with large automakers? Just wondering if you could give us a sense of what the strategic priority for the company looks like in 2026. Thank you.

And when you look on the available solutions for non automotive.

Relatively limited in their capabilities.

Being able to share and sell our long range high resolution automotive grade.

Several applications that were not available.

I think securities where we see.

To grow their, um, customer base, uh, which we have already.

An amazing fit because we have an extraordinary product.

So problems that other laterals as far as I am aware of.

Uh selling laid out to customers that are currently in those discussions. And, you know, obviously we're waiting to see them um mature to uh, to a program.

Capable of with the geopolitical element is giving us.

and other than that, uh,

Omer Keilaf: This is kind of something that, as I said earlier in the call, seeing these challenges, we are obviously working to show the customers that with InnovizThree, we can overcome these additional challenges by building a product that has a certain buffer related to the performance, significant volume reduction, 60%, and power consumption reduction. There are several additional nice design perspectives that we included in InnovizThree, which we believe will give us even additional advantages related to this specific challenge. This is why, as I said earlier, there are only maybe two LiDAR companies that ever got to a Level 3 on the road. There are many that have announced Level 3, but I think Innoviz has probably provided a solution for the best Level 3 today available. I believe that we will be the one solving this problem as well.

Big advantage.

So I think we will continue to grow.

These markets and there are still other Oems that were in discussion I mean, we talked about.

The profile et cetera, but they'll actually.

Other Oems and level four platforms.

Which as I said once we announce on the award we got form a truck.

you know, we we are we have uh, different customers. I will be this truck uh, that we were awarded. Uh, the this is going to be deployed, uh, and the top 5, OEM depends on how of course, things will develop. Um, I think the, the smart is where we are very excited around.

Uh, we see where our solution.

One of the largest stock truck companies in the World obviously, it's.

Really unlocks, uh, opportunities. Uh, because

Votes discussions with other companies and other liberal for buses.

Our excuse being drafted.

I believe it.

I think we are a good fit.

<unk>.

Many of them.

I appreciate all the color ma'am, thank you and good luck.

When you think about the lighters that are currently available in the market, which are from also geopolitical, uh, elements are also very strong in in those areas as well. And when you look on the available solutions for none of the motive, there are uh relatively Limited in in their uh, capabilities.

Thank you very much.

There are no further questions in hand, handing the call back to Amit for closing remarks, Thank you very much.

Thank you very much for joining our call.

Next week I'll be traveling to the U S and meeting with different customers.

Omer Keilaf: Taking into a Level 3 urban, again, it's a design discussion. It's also related to cost because it requires more than one sensor. You don't want to use nine LiDARs, as much as we would like, obviously. It means that you do need to take into consideration design cost. This is where another good design of the LiDAR and a good understanding also of the different use cases is where a good discussion between a LiDAR developer and the OEM is needed. These are the two I would mention. Other than that, there are Level 3 programs where we are already integrated, whether it's in the roof or in the grille. The first one that is expected to launch is in 2027.

The east and West Coast I'll be in New York for the Barclays.

In Europe the conference happy to meet you there.

And of course CFS is coming along.

For us, it's our innovation celebration opportunities national holidays in August we're going to show.

Uh, being able to share and sell our long range, high resolution Automotive grade unlocks, uh, several applications that were not available. Uh, I think security is where we see, uh, an amazing fit because we have an extraordinary product that solve problems that otherwise, as far as I I'm aware of, I'm capable of with the geopolitical elements is giving us a big advantage.

There are new.

Technologies, and we look forward to meet with them. Thank you very much.

Um, so I think we'll continue to grow in these markets, and there are still other OEMs that we are in discussion with. I mean, we talked about...

[Analyst] (TD Cowen): That's very helpful. Thank you.

Operator: Our next question is from Jesh Patra from JP Morgan. Jesh, please go ahead.

Uh, you know, the top 5 Etc, but they'll actually uh, other oems and and level 4 platforms. Uh, which I as I said, once we announced on the award, we got from a truck 1 of the largest star truck companies in the world. Obviously it's uh vote discussions with other truck companies and other level 4 persons, they are rfqs being drafted.

[Analyst] (JP Morgan): Hi, good morning, and thanks for taking my questions. Congrats to the team on all the progress this quarter. I wanted to start with a question on the L4 commercial OEM win. Could you maybe share any details around the SOP timeline, the number of LiDARs per unit, and the overall volume opportunity you expect as part of this platform? Thanks, and I have a follow-up.

I believe it's a

I think we have a good fit to a good many of them.

Official, all the color. Thank you. And good luck.

Thank you very much.

Omer Keilaf: Sure. We said that we expect to announce, to do an announcement with the customer in several weeks, where we are planning to share more information. We want to be respectful towards the OEM while we are working on this announcement. There is going to be multiple sensors per vehicle, but I do want to be, again, want to wait for it. It is in the next couple, in the next few weeks, so we prefer to wait at this point.

There are no further questions. I'm handling the call back to Omar for closing remarks. Thank you very much. Thank you very much for joining our call. Uh, next week, I'll be traveling to the US, um, meeting with different customers in the, the East and West coasts. I'll be in New York for the about this. New York conference. Happy to meet you there. Uh, and of course, the Cs is coming along. It's always uh, for us, it's a Innovation celebration opportunity. It's a whole national holiday themed movies. We're going to show our new uh Technologies and we look forward to meet with them. Thank you very much.

[Analyst] (JP Morgan): Makes sense. Thank you for that. Curious if you could give us a preview for expectations into 2026 in terms of revenue and gross profit. How should we think about the contribution from the ramp of the contract wins under the Mobileye Drive platform and some of the ongoing development work with large automakers? Just wondering if you could give us a sense of what the strategic priority for the company looks like in 2026. Thank you.

Omer Keilaf: I think obviously we'll talk about the guidance in the next quarter. Other than that, of course, we are expecting growth with the deployment of vehicles, Level 4 vehicles, whether it's coming from Volkswagen or other customers of Mobileye that we are working with. We expect Mobileye also to grow their customer base, which we are already selling LiDARs to customers that are currently in those discussions. Obviously, we're waiting to see them mature to a program. Other than that, we have different customers. This truck that we were awarded is going to be deployed, and the top five OEM depends on how, of course, things will develop. I think the Smart is where we are very excited around.

Omer Keilaf: We see where our solution really unlocks opportunities because when you think about the LiDARs that are currently available in the market, which are from also geopolitical elements, are also very strong in those areas as well. When you look on the available solutions for non-automotive, they are relatively limited in their capabilities. Being able to share and sell our long-range, high-resolution automotive grid unlocks several applications that were not available. I think security is where we see an amazing fit because we have an extraordinary product that solves problems that other LiDARs, as far as I am aware of, aren't capable of. The geopolitical element is giving us a big advantage. I think we'll continue to grow on these markets. There are still other OEMs that we're in discussion.

Omer Keilaf: I mean, we talked about the top five or etc., but there are actually other OEMs and Level 4 platforms, which, as I said, once we announced on the award we got from a truck, one of the largest truck companies in the world, obviously, it's both discussions with other truck companies and other Level 4 platforms. There are RFQs being drafted, and I believe it's, I think we have a good fit to many of them.

[Analyst] (JP Morgan): Appreciate all the call, Omer. Thank you, and good luck.

Omer Keilaf: Thank you very much.

Operator: There are no further questions. I'm handing the call back to Omer for closing remarks.

Omer Keilaf: Thank you very much. Thank you very much for joining our call. Next week, I'll be traveling to the US, meeting with different customers in the East and West Coast. I'll be in New York for the Berkeley New York Conference. Happy to meet you there. CES is coming along. It's always, for us, an innovation celebration opportunity. It's a national holiday at Innoviz. We're going to show our new technologies, and we look forward to meeting you. Thank you very much.