CEVA Reports 24% Revenue Growth in Q2 2024

By Tamara Parker • Wednesday, August 07 15:19 • Permanent Link

Ceva, Inc. has reported its financial results for the second quarter ended June 30, 2024, showing significant growth compared to the same period in 2023.

The company's total revenue for the second quarter of 2024 was $28.4 million, marking a 24% increase from the $22.9 million reported for the second quarter of 2023. Licensing and related revenue for the second quarter of 2024 was $17.3 million, up 28% from the $13.6 million reported for the same quarter a year ago. Royalty revenue for the second quarter of 2024 also saw a notable increase, rising to $11.2 million, a 19% year-over-year growth from the $9.4 million reported for the same quarter in 2023.

The company achieved a GAAP gross margin of 90% for the second quarter of 2024, compared to 85% in the second quarter of 2023. Furthermore, the GAAP operating loss for the second quarter of 2024 was $0.04 million, a significant improvement from the GAAP operating loss of $5.3 million reported for the same period in 2023. The GAAP net loss for the second quarter of 2024 was $0.3 million, compared to a GAAP net loss of $4.9 million reported for the same period in 2023.

Non-GAAP metrics also showed positive trends, with the non-GAAP gross margin for the second quarter of 2024 coming in at 91%, compared to 86% for the same period in 2023. The non-GAAP operating income for the second quarter of 2024 was $4.4 million, a significant improvement from the non-GAAP operating loss of $1.1 million reported for the second quarter of 2023. Non-GAAP net income and diluted income per share for the second quarter of 2024 were $4.2 million and $0.17, respectively, compared with non-GAAP net loss and diluted loss per share of $0.5 million and $0.02, respectively, reported for the second quarter of 2023.

The company ended the quarter with approximately $158 million in cash and cash equivalent balances, marketable securities, and bank deposits, providing a strong financial position to leverage growth opportunities.

Ceva, Inc. also highlighted achievements in securing strategic deals and expanding its IP portfolio, indicating a positive outlook for future growth. Following these announcements, the company's shares moved 21.3%, and are now trading at a price of $19.57. For the full picture, make sure to review CEVA's 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.