Applied Optoelectronics(AAOI) - 2025 Q1 - Quarterly Results

Financial Performance - GAAP revenue for Q1 2025 was $99.9 million, a 145$40.7 million in Q1 2024[6] - GAAP gross margin improved to 30.6%, up from 18.7% in Q1 2024[6] - GAAP net loss narrowed to $9.2 million, compared to a net loss of$23.2 million in Q1 2024[6] - Non-GAAP net loss for Q1 2025 was $0.9 million, significantly improved from a loss of$12.0 million in Q1 2024[6] - Total revenue for Q1 2025 reached $99,859 thousand, a significant increase from$40,673 thousand in Q1 2024, representing a growth of 145%[20] - The net loss for Q1 2025 was $9,172 thousand, a reduction from a net loss of$23,170 thousand in Q1 2024, indicating improved financial performance[20] - Non-GAAP net loss for Q1 2025 was $859 thousand, compared to a non-GAAP net loss of$12,032 thousand in Q1 2024, reflecting a significant reduction in losses[22] - Adjusted EBITDA for Q1 2025 was $435 thousand, a notable recovery from an adjusted EBITDA loss of$13,015 thousand in Q1 2024[22] - The company reported a diluted net loss per share of $0.18 for Q1 2025, an improvement from$0.60 in Q1 2024[22] Revenue Guidance and Projections - The company expects Q2 2025 revenue in the range of $100 million to$110 million[10] - The company is increasing confidence in a ramp-up of 800G sales in the second half of 2025 based on customer forecasts[3] Production and Manufacturing - The production capacity for 800G transceivers is projected to exceed 100,000 units per month by year-end, with 40% produced in the US[3] - The company is actively expanding manufacturing capabilities in Taiwan to enhance resilience[3] Research and Development - Operating expenses increased to $39,481 thousand in Q1 2025 from$29,237 thousand in Q1 2024, primarily driven by higher research and development costs of $17,810 thousand, up from$11,712 thousand[20] - Research and development expenses accounted for 17.8% of total revenue in Q1 2025, highlighting the company's commitment to innovation and product development[20] Customer Engagement and Market Expansion - Three new design wins were secured with an existing hyperscale customer in the datacenter business[3] - The company continues to focus on expanding its datacenter segment, which generated $32,049 thousand in revenue for Q1 2025, up from$28,986 thousand in Q1 2024[20]