Ambarella, Inc.

ambarella.com

What Do They Do?

Sells AI and video-processing chips and software for automotive, security-camera, and robotics makers.

How Do They Make Money?

Most revenue comes from semiconductor products, with customer payment terms of 30 days to 60 days and sales counted when products ship or are delivered. Project work earns money as services are provided or when completed and accepted.

FY2026 revenue

Who Are Their Customers?

It sells worldwide to companies that design or make products, including automotive suppliers, using its own sales staff and distributors. Product makers are end customers; design firms or automotive suppliers may buy chips for them.

Customers above 10% of revenue, FY2026

of revenue from one customer

FY2024: 67% from two customers

Do Revenues Turn Into Profits?

Not on paper. It lost $75.9M in FY2026, but brought in more cash than it spent: $58M of free cash flow.

Operating income, FY2026

−21% of revenue

▼ −35% (Loss) vs FY2025 (−$126.6M, −44%)

Net income, FY2026

−19% of revenue

▼ −35% (Loss) vs FY2025 (−$117.1M, −41%)

Free cash flow, FY2026

15% of revenue

▲ +147% vs FY2025 ($23.5M, 8%)

How Are They Changing?

Since the FY2026 annual report

Latest quarter: Q2 FY2027, the three months to Jul 31, 2026

Revenue: ▲ +13%; vs $95.5M in Q2 FY2026
Net income: ▼ −67% (Loss); vs −$20M in Q2 FY2026

Sep 3, 2026 Issues third-quarter revenue guidance Forecast revenue of $115.0 million to $124.0 million for the quarter ending October 31, 2026.

Growing. Revenue grew 18% in 4 years, from $331.9M in FY2022 to $390.7M in FY2026, about 4% a year.

Toward physical AI The older report framed AI around computer vision that lets edge devices perceive scenes and make decisions; the latest describes AI that can also reason, plan and interact with the physical world, including generative AI on devices.

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