Amprius Technologies, Inc. (AMPX) Q3 2025 Earnings Call Transcript
Access earnings results, analyst expectations, report, slides, earnings call, and transcript.
Overview
The earnings call highlights strong revenue growth, improved gross margins, and increased customer adoption, which are positive indicators. The Q&A section supports this with discussions on significant customer demand and strategic partnerships. Despite some uncertainties in cash flow breakeven timing, the company's optimistic market outlook and strategic expansions suggest a positive sentiment. The absence of negative financial surprises and the focus on growth initiatives further reinforce a positive stock price reaction over the next two weeks.
Key Financial Performance
Revenue $21.4 million, a 42% increase from the second quarter and up 173% from Q3 2024. The increase was driven by the addition of new customers and larger orders from existing customers.
Gross Profit Margins 15%, an improvement from 9% in the previous quarter. This was due to a favorable product mix and higher volumes.
Operating Expenses (OpEx) $8 million, slightly down from the previous quarter but up $1.9 million year-over-year. The increase was due to targeted investments in sales and go-to-market efforts, as well as reallocation of R&D expenses.
Operating Loss $4.7 million, compared to $6.8 million in the prior quarter, representing a reduction of over 30% quarter-over-quarter.
Net Loss $3.9 million or negative $0.03 per share, with 126.6 million weighted average shares outstanding.
Adjusted EBITDA Negative $1.4 million, compared to negative $3.8 million in the previous quarter, reducing the adjusted EBITDA loss by over 60%.
Backlog $53.3 million, an 83% increase quarter-over-quarter, highlighting strong demand.
Cash and Cash Equivalents $73.2 million as of September 30, 2025, with no debt.
You have reached the limit. Sign up to access full content
Get started
Operating Highlights
New SiCore pouch and cylindrical cells: Introduced 2 new SiCore pouch cells and 3 new SiCore cylindrical cells optimized for unmanned aerial systems, high-altitude platform systems, and electric airplane duty cycles. These balanced power and energy cells cater to electric aerospace platforms requiring high power and energy for takeoff, landings, and long-range capabilities.
500-watt hour per kilo battery platform: Developed and validated a 500-watt hour per kilo and 1,300-watt hour per liter battery platform, which is unmatched in the market.
Customer expansion: Shipped batteries to 159 end customers in Q3, including 80 new customers. Total customer base since Q1 2023 reached 444.
Geographic revenue distribution: 75% of Q3 revenue came from outside the United States, showcasing strong international presence.
Defense and public safety markets: Deepened relationships with defense contractors and public safety markets, including a $35 million purchase order from a leading UAS manufacturer and collaboration with AeroVironment for U.S. Army's xTech Prime program.
Revenue growth: Achieved record revenue of $21.4 million in Q3, a 42% increase from Q2 and 173% year-over-year growth.
Gross margin improvement: Achieved a second consecutive quarter of positive gross margin, improving to 15% in Q3 from 9% in Q2.
Contract manufacturing capacity: Utilized 1.8 gigawatt hours of contract manufacturing capacity, equivalent to producing 50 million cells per year, ensuring scalability without significant capital investment.
U.S. domestic production: Secured a $12 million contract from the Defense Innovation Unit to expand Fremont, California pilot line capacity and develop an NDAA-compliant supply chain.
Amazon collaboration: Advanced to the integration assessment phase in Amazon Devices Climate Tech Accelerator, focusing on feasibility, customer value, sustainability, and supply chain readiness.
You have reached the limit. Sign up to access full content
Get started
Risk or Challenges
Regulatory and Policy Risks: Uncertainty driven by U.S. tariffs and customer delays related to the U.S. government shutdown could impact operations and revenue. Additionally, changes in Beyond Visual Line Of Sight (BVLOS) rules by the U.S. Federal Aviation Authority could affect market dynamics.
Supply Chain and Manufacturing Risks: Dependence on contract manufacturing partners, including geographic concentration in South Korea, poses risks related to supply chain disruptions and geopolitical issues. Efforts to diversify supply chain and expand domestic manufacturing capacity are ongoing but not yet fully realized.
Economic and Market Risks: The lumpiness in the light electric vehicle (LEV) sector due to customer product introduction cycles creates revenue volatility. Additionally, the reliance on defense and aerospace markets exposes the company to fluctuations in government funding and policy changes.
Strategic Execution Risks: The timing and availability of funding for the Colorado facility and other capital-intensive projects remain uncertain. Delays or changes in these plans could impact long-term growth and operational scalability.
Customer Concentration Risks: A significant portion of revenue is derived from a few large customers, including a $35 million purchase order from a leading UAS manufacturer. This concentration increases vulnerability to changes in customer demand or relationships.
Financial Risks: While the company has achieved positive gross margins, it continues to operate at a net loss, with cash flow challenges tied to working capital needs, including a $11.2 million increase in accounts receivable.
You have reached the limit. Sign up to access full content
Get started
Guidance & Outlook
Revenue Growth: Amprius expects continued revenue growth driven by new customer additions and larger orders from existing customers. The company has a backlog of $53.3 million in orders, an 83% increase quarter-over-quarter.
Manufacturing Capacity: Amprius plans to leverage its contract manufacturing network, which currently has over 1.8 gigawatt hours of capacity, to meet growing demand without significant additional capital investment. The company is also exploring geographic diversification of its manufacturing partners.
U.S. Government Collaboration: Amprius has secured a $12 million contract with the U.S. Government Defense Innovation Unit to expand its Fremont facility and develop a domestic supply chain for battery components. This funding is expected to cover most capital investments over the next several quarters.
Colorado Facility Plans: The company has completed designs for a Colorado manufacturing facility but is monitoring industry dynamics, including demand, government incentives, and trade tariffs, before proceeding with construction.
Product Development: Amprius is broadening its product portfolio with new SiCore pouch and cylindrical cells optimized for electric aerospace applications. The company is also advancing to the integration assessment phase with Amazon for potential collaboration.
Market Trends: Amprius anticipates growth in the electric aerospace market, projected to double to $80 billion by the end of the decade. The company expects increased demand driven by U.S. government policies promoting domestic drones and changes to FAA regulations.
You have reached the limit. Sign up to access full content
Get started
Shareholder Return Plan
The selected topic was not discussed during the call.
You have reached the limit. Sign up to access full content
Get started
Key Q&A
Q:Could you talk about the cadence of U.S. capacity development and the destination of the electrode production?
A:The company will have both a U.S. contract manufacturer and manufacturers in NDAA-compliant countries, including Korea. They already have a contract manufacturer in Korea and plan to expand the network for pouch and cylindrical cells.
Q:Can you discuss the cycle time and progress in qualifying different battery configurations?
A:It will take until next summer to fully qualify the 11 major components of the battery. Five components are already fully qualified as NDAA-compliant, and the remaining six are expected to be qualified by next summer.
Q:Are customers moving through the sales funnel faster, and are purchase orders increasing?
A:The qualification period varies from 2 quarters to over a year depending on complexity. The company has over 400 customers, and the process is distributed across them.
Q:What led to the significant increase in new customers this quarter?
A:The increase is due to higher demand, increased awareness of Amprius, and timing of seeds planted over a year ago turning into purchase orders. 80 new customers were added this quarter.
Q:What drove the improvement in gross margin from 9% to 15% this quarter?
A:The improvement was mainly driven by product mix, particularly a larger share of revenues from the SiCore product, along with higher revenue and pricing levels.
Q:What is the margin profile of the second-generation SiCore battery?
A:The goal is to achieve margins north of 20% at closer to 80% capacity utilization, which has not yet been reached.
Q:What are the trade-offs between the first-generation SiMaxx and the second-generation SiCore products?
A:SiMaxx is considered the first-generation product, and SiCore is the second-generation product. The company continuously improves its products but does not explicitly separate them into further generations.
Q:What is the updated timeline to cash flow breakeven?
A:The company is not pinning down a specific quarter but estimates that an additional $10 million in revenue would result in positive EBITDA, which is a good proxy for cash flow breakeven.
Q:What are the expectations for gross margin as revenue expands?
A:Gross margin is expected to improve as the mix shifts towards the SiCore product, but fluctuations are anticipated due to customer and product diversity. The company is focused on achieving 20% or higher gross margins.
Q:How important is establishing U.S. contract manufacturing capacity for certain customers?
A:It is important for customers demanding U.S.-made products, particularly for the DIU program. The company is building a pilot line in the U.S. as part of a $12 million DIU contract.
Q:What is the significance of the $53 million in near-term orders?
A:The large purchase order is for a year and is synchronized with customers' end-use needs. The backlog is growing, and the company is building customer-facing capabilities.
Q:What is the potential for repeat orders to grow?
A:The company is optimistic about repeat orders due to a strong product and market demand. However, some seasonality and holidays may affect the rhythm of orders.
Q:What is the significance of the Amazon Devices Climate Tech Accelerator program?
A:The program provides access to engineering teams at Amazon, offering an opportunity to build trust and potentially secure business. The company is currently in advanced stages of the program.
Q:Did the company have any design service or government grant revenue this quarter?
A:Yes, the company had approximately $400,000 in government grant revenue, recorded under other income.
Q:What is the current SKU count for the company's products?
A:The company currently has 20 SKUs, with more in development.
Q:What is the company's current capacity utilization and potential revenue at full capacity?
A:The company has a theoretical capacity of 1.8 gigawatt-hours, which could generate $1 billion in revenue at full utilization. Current utilization is not explicitly stated.
Q:What is the impact of moving engineering work into cost of goods sold on margins?
A:The adjustment was minimal, amounting to a few hundred thousand dollars, and is not expected to significantly impact margins in the future.
Q:What is the end goal of the DIU-funded pilot line?
A:The pilot line aims to increase capacity and capability for domestic battery production. The DIU is interested in domestic batteries, and additional solicitations for larger-scale production are expected.
Q:Review of Unclear Management Responses
A:Management avoided providing a specific timeline for cash flow breakeven, stating it is tough to pin down a specific quarter. They also did not provide explicit details on the margin profile of the second-generation SiCore battery or the exact impact of moving engineering work into cost of goods sold on future margins.
You have reached the limit. Sign up to access full content
Get started
Earnings Word Cloud
The most frequently occurring keywords in this quarter's earning call
AUSA
Amazon
CFO Rodriguez
Climate Tech
DIU contract
Defense Unit
Expo
ISR
India
International
London
NDAA
President Stepien
Reconnaissance
SA cell
SiCore battery
SiCore cell
SiCore silicon
Surveillance
UAS
UAV
aerospace
altitude platform
cell battery
component
configuration
depreciation
fire
income
intelligence
kilogram
market offering
measure
mission
order customer
person
readiness
supplier
traction
AMPX Transcript
Amprius Technologies, Inc. (AMPX) Q1 2026 Earnings Call Transcript
Positive5-7
The earnings call reveals several positive aspects: Amprius projects significant revenue growth and aims for positive EBITDA by 2026, supported by a government contract. The company is expanding manufacturing and diversifying its supply chain, with strong market expansion plans. The Q&A highlights increased defense opportunities and strategic moves to reduce dilution. Despite some unclear management responses, the overall sentiment is positive, with optimistic guidance and strategic partnerships likely to boost stock price.
Amprius Technologies, Inc. (AMPX) Q4 2025 Earnings Call Transcript
Positive3-5
The earnings call summary and Q&A session indicate strong revenue growth, increased customer base, and strategic partnerships, including a U.S. government contract. Despite some uncertainties in guidance specifics, the company's proactive measures in manufacturing and market expansion are positive. The positive sentiment is bolstered by the company's advancements in technology and potential market opportunities, outweighing any concerns from vague responses. Overall, these factors suggest a likely positive stock price movement.
Amprius Technologies, Inc. (AMPX) Q3 2025 Earnings Call Transcript
Positive11-7
The earnings call highlights strong revenue growth, improved gross margins, and increased customer adoption, which are positive indicators. The Q&A section supports this with discussions on significant customer demand and strategic partnerships. Despite some uncertainties in cash flow breakeven timing, the company's optimistic market outlook and strategic expansions suggest a positive sentiment. The absence of negative financial surprises and the focus on growth initiatives further reinforce a positive stock price reaction over the next two weeks.
Amprius Technologies, Inc. (AMPX) Q2 2025 Earnings Call Transcript
Positive8-8
The earnings call highlights several positive factors: strong customer pipeline transition from qualification to revenue, gross margin positivity, significant market opportunities in drones and light electric vehicles, and a substantial government contract. Despite some lack of clarity on revenue mix and contract specifics, the overall sentiment is positive, with expectations of revenue growth and strategic partnerships.
AMPX Report
Frequently Asked Questions
Where does this earnings call transcript come from?
All transcripts are sourced directly from the official live webcast or the company’s official investor relations website. We use the exact words spoken during the call with no paraphrasing of the core discussion.
How soon is the transcript available after the earnings call ends?
Full verbatim transcripts are typically published within 4–12 hours after the call ends. Same-day availability is guaranteed for all S&P 500 and most mid-cap companies.
Is the transcript edited or altered in any way?
No material content is ever changed or summarized in the “Full Transcript” section. We only correct obvious spoken typos (e.g., “um”, “ah”, repeated 10 times”, or clear misspoken ticker symbols) and add speaker names/titles for readability. Every substantive sentence remains 100% as spoken.
Why do some answers appear as “Unclear” or “Inaudible”?
When audio quality is poor or multiple speakers talk over each other, we mark the section instead of guessing. This ensures complete accuracy rather than introducing potential errors.
Who creates the AI Summary and Key Q&A highlights shown above the transcript?
They are generated by a specialized financial-language model trained exclusively on 15+ years of earnings transcripts. The model extracts financial figures, guidance, and tone with 97%+ accuracy and is regularly validated against human analysts. The full raw transcript always remains available for verification.
