We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
AEVA Q2 Earnings Beat on Service Growth and Gross Profit
Read MoreHide Full Article
Key Takeaways
Aeva's adjusted loss narrowed to 41 cents per share as revenues rose 11.3% to $6.1 million.
Professional service revenues surged 174.5% to $3.6 million, becoming AEVA's top revenue source.
Aeva posted a $2.2 million gross profit and 35.7% margin, reversing a year-ago gross loss.
Aeva Technologies, Inc. (AEVA - Free Report) reported an adjusted loss of 41 cents per share for the second quarter of 2026, narrower than the Zacks Consensus Estimate and the year-ago loss of 44 cents.
Revenues increased 11.3% year over year to $6.1 million and surpassed the consensus estimate of $6 million by 0.1%. Professional service revenues nearly tripled, helping the company generate positive gross profit compared with a year-ago loss.
Product revenues declined 39.4% year over year to $2.5 million. In contrast, professional service revenues jumped 174.5% to $3.6 million from $1.3 million, becoming the largest contributor to the quarterly top line.
Total cost of revenues fell sharply to $3.9 million from $8.2 million. Product costs decreased to $2.6 million from $4 million, while professional service costs dropped to $1.3 million from $4.2 million. The lower cost base more than offset the softer product contribution.
Aeva Gross Margin Turns Positive
Gross profit was $2.2 million against a gross loss of $2.7 million in the prior-year quarter. Gross margin improved to 35.7% from negative 49.4%, marking a substantial improvement in the economics of delivered products and services.
However, total operating expenses increased 14.1% year over year to $36.7 million. Research and development expenses rose to $24.9 million from $22.8 million, while general and administrative expenses increased to $10.2 million from $8 million. Selling and marketing expenses advanced to $1.6 million from $1.4 million.
AEVA Limits Operating Loss Despite Higher Costs
GAAP operating loss narrowed slightly to $34.6 million from $34.9 million. On a non-GAAP basis, operating loss widened to $26 million from $25.1 million, reflecting higher operating expenses despite the gross profit improvement.
GAAP net loss narrowed to $79.6 million from $192.7 million. The prior-year result included a $70 million fair-value loss on a share subscription liability. The latest quarter included a $44.7 million loss from the change in fair value of warrant liabilities, compared with $88.5 million a year earlier.
Aeva Launches Optical Connectivity Business
Aeva launched an Optical Connectivity business that uses its high-power optical-source and silicon-photonics technology for next-generation artificial intelligence data centers. The company signed a joint development agreement for a Near-Packaged Optics solution intended for a hyperscaler.
Initial deployment is targeted for the second half of 2027, followed by a production ramp in 2028. The initiative extends Aeva’s photonics platform beyond sensing and creates an additional commercialization path for technology developed for its lidar systems.
AEVA Advances Automotive and Industrial Programs
Bendix selected Aeva’s 4D lidar and perception software to develop the next generation of its commercial-vehicle advanced driver-assistance system. Bendix’s existing system is available on most major Class 8 truck platforms in North America, giving the program meaningful potential scale.
Aeva also began shipping production-intent Atlas sensors to Daimler Truck from its automated assembly line. It continued work with a top-10 European passenger-vehicle manufacturer and the NVIDIA DRIVE Hyperion platform. In industrial sensing, SICK launched its first sensor powered by Aeva’s Eve precision technology.
Aeva Boosts Liquidity With Follow-On Offering
The company ended June with $177.9 million in cash, cash equivalents and marketable securities. Including a fully undrawn $125 million facility, total available liquidity was $302.9 million.
Aeva generated $115 million in gross proceeds from a follow-on stock offering during the quarter. For the first six months of 2026, net cash used in operating activities was $57 million, compared with $60.6 million a year ago. Second-quarter gross cash use, defined as operating cash flow less capital expenditures, was $31.4 million.
Key Releases From the Auto Space
General Motors (GM - Free Report) reported second-quarter 2026 adjusted earnings of $3.57 per share, up 41.3% year over year. The figure beat the Zacks Consensus Estimate of $3.13 by 14.06%. Revenues increased 1.9% to $48.03 billion and surpassed the consensus estimate of $46.56 billion by 3.15%. General Motors raised its full-year adjusted EBIT guidance to $14-$16 billion from $13.5-$15.5 billion. Adjusted earnings are now projected to be $12-$14 per share, up from the prior range of $11.50-$13.50.
Tesla, Inc. (TSLA - Free Report) reported second-quarter 2026 adjusted earnings of 33 cents per share, which declined 17.5% year over year. The figure missed the Zacks Consensus Estimate of 50 cents by 34%. Revenues advanced 25.5% to $28.24 billion and surpassed the consensus estimate of $25.81 billion by 9.41%. Tesla expects 2026 capital expenditures to exceed $25 billion and rise further over the next two to three years.
Ford (F - Free Report) reported second-quarter 2026 adjusted earnings of 42 cents per share, beating the Zacks Consensus Estimate of 33 cents by 27.27%. Earnings rose 13.5% from 37 cents a year ago. Automotive revenues of $44.89 billion fell 4.4% year over year and missed the consensus mark of $45.72 billion by 1.81%. Ford’s consolidated second-quarter revenues came in at $48.3 billion, down 3.7% year over year. The company raised its full-year adjusted EBIT outlook to $10-$11 billion from $8.5-$10.5 billion.
View the Zacks #1 Rank List
Image: Bigstock
AEVA Q2 Earnings Beat on Service Growth and Gross Profit
Key Takeaways
Aeva Technologies, Inc. (AEVA - Free Report) reported an adjusted loss of 41 cents per share for the second quarter of 2026, narrower than the Zacks Consensus Estimate and the year-ago loss of 44 cents.
Revenues increased 11.3% year over year to $6.1 million and surpassed the consensus estimate of $6 million by 0.1%. Professional service revenues nearly tripled, helping the company generate positive gross profit compared with a year-ago loss.
AEVA currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Aeva Technologies, Inc. Price, Consensus and EPS Surprise
Aeva Technologies, Inc. price-consensus-eps-surprise-chart | Aeva Technologies, Inc. Quote
AEVA's Service Revenues Drive Top-Line Growth
Product revenues declined 39.4% year over year to $2.5 million. In contrast, professional service revenues jumped 174.5% to $3.6 million from $1.3 million, becoming the largest contributor to the quarterly top line.
Total cost of revenues fell sharply to $3.9 million from $8.2 million. Product costs decreased to $2.6 million from $4 million, while professional service costs dropped to $1.3 million from $4.2 million. The lower cost base more than offset the softer product contribution.
Aeva Gross Margin Turns Positive
Gross profit was $2.2 million against a gross loss of $2.7 million in the prior-year quarter. Gross margin improved to 35.7% from negative 49.4%, marking a substantial improvement in the economics of delivered products and services.
However, total operating expenses increased 14.1% year over year to $36.7 million. Research and development expenses rose to $24.9 million from $22.8 million, while general and administrative expenses increased to $10.2 million from $8 million. Selling and marketing expenses advanced to $1.6 million from $1.4 million.
AEVA Limits Operating Loss Despite Higher Costs
GAAP operating loss narrowed slightly to $34.6 million from $34.9 million. On a non-GAAP basis, operating loss widened to $26 million from $25.1 million, reflecting higher operating expenses despite the gross profit improvement.
GAAP net loss narrowed to $79.6 million from $192.7 million. The prior-year result included a $70 million fair-value loss on a share subscription liability. The latest quarter included a $44.7 million loss from the change in fair value of warrant liabilities, compared with $88.5 million a year earlier.
Aeva Launches Optical Connectivity Business
Aeva launched an Optical Connectivity business that uses its high-power optical-source and silicon-photonics technology for next-generation artificial intelligence data centers. The company signed a joint development agreement for a Near-Packaged Optics solution intended for a hyperscaler.
Initial deployment is targeted for the second half of 2027, followed by a production ramp in 2028. The initiative extends Aeva’s photonics platform beyond sensing and creates an additional commercialization path for technology developed for its lidar systems.
AEVA Advances Automotive and Industrial Programs
Bendix selected Aeva’s 4D lidar and perception software to develop the next generation of its commercial-vehicle advanced driver-assistance system. Bendix’s existing system is available on most major Class 8 truck platforms in North America, giving the program meaningful potential scale.
Aeva also began shipping production-intent Atlas sensors to Daimler Truck from its automated assembly line. It continued work with a top-10 European passenger-vehicle manufacturer and the NVIDIA DRIVE Hyperion platform. In industrial sensing, SICK launched its first sensor powered by Aeva’s Eve precision technology.
Aeva Boosts Liquidity With Follow-On Offering
The company ended June with $177.9 million in cash, cash equivalents and marketable securities. Including a fully undrawn $125 million facility, total available liquidity was $302.9 million.
Aeva generated $115 million in gross proceeds from a follow-on stock offering during the quarter. For the first six months of 2026, net cash used in operating activities was $57 million, compared with $60.6 million a year ago. Second-quarter gross cash use, defined as operating cash flow less capital expenditures, was $31.4 million.
Key Releases From the Auto Space
General Motors (GM - Free Report) reported second-quarter 2026 adjusted earnings of $3.57 per share, up 41.3% year over year. The figure beat the Zacks Consensus Estimate of $3.13 by 14.06%. Revenues increased 1.9% to $48.03 billion and surpassed the consensus estimate of $46.56 billion by 3.15%. General Motors raised its full-year adjusted EBIT guidance to $14-$16 billion from $13.5-$15.5 billion. Adjusted earnings are now projected to be $12-$14 per share, up from the prior range of $11.50-$13.50.
Tesla, Inc. (TSLA - Free Report) reported second-quarter 2026 adjusted earnings of 33 cents per share, which declined 17.5% year over year. The figure missed the Zacks Consensus Estimate of 50 cents by 34%. Revenues advanced 25.5% to $28.24 billion and surpassed the consensus estimate of $25.81 billion by 9.41%. Tesla expects 2026 capital expenditures to exceed $25 billion and rise further over the next two to three years.
Ford (F - Free Report) reported second-quarter 2026 adjusted earnings of 42 cents per share, beating the Zacks Consensus Estimate of 33 cents by 27.27%. Earnings rose 13.5% from 37 cents a year ago. Automotive revenues of $44.89 billion fell 4.4% year over year and missed the consensus mark of $45.72 billion by 1.81%. Ford’s consolidated second-quarter revenues came in at $48.3 billion, down 3.7% year over year. The company raised its full-year adjusted EBIT outlook to $10-$11 billion from $8.5-$10.5 billion.