Mobileye Global Inc. 10-K Summary
Business Context and Reporting Period
This Annual Report on Form 10-K covers the fiscal year ended December 27, 2025. Mobileye Global Inc. is a leader in advanced driver assistance systems (ADAS) and autonomous driving technologies. The company operates primarily through two segments: Mobileye (ADAS and autonomous driving) and Moovit (mobility-as-a-service, reported as "Other"). On February 3, 2026, shortly after the reporting period, Mobileye completed the acquisition of Mentee Robotics Ltd., a humanoid robotics company, for approximately $900 million in cash and stock.
Key Financial Metrics
| Metric (in millions) | 2025 | 2024 | 2023 |
|---|---|---|---|
| Revenue | $1,894 | $1,654 | $2,079 |
| Gross Profit | $904 | $741 | $1,047 |
| Gross Margin | 48% | 45% | 50% |
| Operating Income (Loss) | $(440) | $(3,225) | $(33) |
| Net Income (Loss) | $(392) | $(3,090) | $(27) |
| Adjusted Net Income | $286 | $205 | $659 |
| Operating Cash Flow | $602 | $400 | $394 |
| Cash and Equivalents (Year End) | $1,836 | $1,426 | $1,226 |
Note: Adjusted Net Income excludes amortization of intangible assets, share-based compensation, and goodwill impairment.
Material Changes vs. Prior Period
- Revenue Growth: Revenue increased 15% year-over-year to $1.894 billion, driven by a 23% volume increase in EyeQ SoC sales as Tier 1 customers normalized excess inventory built up in 2023.
- Profitability: GAAP Net Loss improved significantly from $3.09 billion in 2024 to $392 million in 2025. The 2024 loss was heavily impacted by a $2.695 billion non-cash goodwill impairment charge, which did not recur in 2025.
- Adjusted Performance: Adjusted Net Income rose to $286 million (15% margin) from $205 million (12% margin) in 2024, reflecting improved gross margins and operating leverage.
- Goodwill: No goodwill impairment was recorded in 2025. The company passed its annual impairment test, though fair value exceeded carrying value by less than 10%.
- Capital Structure: In July 2025, Intel conducted a secondary offering and the company repurchased $100 million of Class A shares from Intel. This transaction resulted in the "Tax Deconsolidation" of Mobileye from Intel's U.S. tax return effective July 12, 2025.
Guidance, Outlook, and Risks
Outlook and Strategy: Management expects Adjusted Operating Margin to increase in the mid-term future due to operating expense efficiency, though Adjusted Gross Margin may decrease as the company shifts toward selling full system solutions with higher hardware content. The company is advancing its roadmap for "eyes-off/hands-off" solutions (Mobileye Chauffeur) and fleet-focused autonomous driving (Mobileye Drive).
Key Risks and Contingencies:
- Geopolitical Instability: Operations are concentrated in Israel. While operations were not materially affected as of the report date, ongoing conflicts and potential military reserve duty for employees (approx. 3.3% of workforce) pose disruption risks.
- Supply Chain: The company relies on a single supplier (STMicroelectronics) for EyeQ SoCs. Increased demand from the AI industry has led to component shortages and price increases, potentially impacting margins and delivery.
- Intel Relationship: Intel retains approximately 79.5% of outstanding common stock and 97.3% of voting power. Certain corporate actions require Intel's consent, and the company relies on Intel for certain technology licenses (e.g., radar) and administrative services.
- Regulatory Environment: Evolving regulations regarding autonomous driving, data privacy (GDPR, CCPA), and export controls (particularly regarding China) present compliance challenges.
- Legal Proceedings: A U.S. class action lawsuit regarding inventory disclosures was dismissed and affirmed on appeal in December 2025. A patent infringement suit by Facet Technology Corp. is ongoing, with the PTAB ruling in Mobileye's favor on most claims in January 2026.
Investor Verification Checklist
- Goodwill Headroom: Verify the sensitivity of the goodwill impairment test, as the fair value exceeded carrying value by less than 10% in 2025, leaving limited buffer against stock price declines.
- Supply Chain Resilience: Assess the impact of AI-driven semiconductor shortages on EyeQ SoC availability and cost pass-through capabilities.
- Intel Dependency: Review the terms of the Technology and Services Agreement regarding radar IP ownership and the potential for conflicts of interest given Intel's controlling stake.
- Geopolitical Exposure: Monitor the status of conflicts in the Middle East and the percentage of workforce on military reserve duty.
- Customer Concentration: Note that the top three Tier 1 customers (ZF, Valeo, Aptiv) accounted for 62% of 2025 revenue.