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FinanceNavitas Semiconductor Plunges 12% on Q2 Earnings Miss
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Navitas Semiconductor (NASDAQ: NVTS) saw its stock price drop over 12% on Tuesday after reporting disappointing second-quarter earnings. The company posted revenue of $10.5 million, down from $14.5 million in the same quarter of 2025. While revenue beat analyst estimates of $9.8 million, the company missed badly on adjusted net income, reporting a loss of $0.95 per share versus expectations of a $0.04 loss. Navitas is pivoting from low-margin consumer products to high-power applications for AI data centers, a strategy it calls 'Navitas 2.0.' The company guided for Q3 revenue of $13-14 million, up from $10.1 million a year ago, with adjusted gross margin just below 40%. No net income guidance was provided.
Source report
Author: Eric Volkman, The Motley Fool
Stock Tickers:
- NVTS: -2.75%
- NVDA: -3.55%
Shares of next-generation chip company Navitas Semiconductor (NASDAQ: NVTS) fell more than 12% on Tuesday after the company released its latest quarterly results, which featured a significant miss on bottom-line expectations.
A Quarter to Forget
Navitas reported its second-quarter figures after market close on Monday:
- Revenue: $10.5 million, down from $14.5 million in Q2 2025
- Non-GAAP net income: $9.3 million ($0.95 per share), compared to a loss of $9.8 million in the year-ago period
While Navitas beat analysts' consensus revenue estimate of $9.8 million, it badly missed the average adjusted net loss projection of $0.04 per share.
The company emphasized sequential revenue growth of 22% over the prior quarter. CEO Chris Allexandre stated that the results "demonstrate the increasing traction of our strategic shift to Navitas 2.0 and focus exclusively on high-power markets."
This strategic shift moves Navitas away from low-margin consumer products—such as fast smartphone chargers—toward high-power applications for clients, including artificial intelligence (AI) data center operators.
Guiding for Growth
Navitas also provided guidance for the current (third) quarter:
- Expected revenue: $13 million to $14 million, a significant improvement over $10.1 million in Q3 2025
- Adjusted gross margin: Forecast just below 40%
- Net income guidance: Not provided
Investor Takeaway
No investor welcomes a steep revenue decline or a major bottom-line miss in the same quarter. For Navitas and its shareholders, the hope is that the company can successfully execute its business pivot and begin delivering meaningful growth once again.
This article is for informational purposes only and does not constitute investment advice.
Source
Yahoo FinanceWestern
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Navitas Semiconductor Stock Plummets 12% on Q2 Earnings Miss