Arbe Robotics Ltd.

Q2 2026 revenue was $0.7 million, up from $0.3 million in Q2 2025. Gross loss was around breakeven versus a $0.2 million gross loss a year ago. Operating expenses were $9.8 million, down from $11.3 million in Q2 2025; operating loss was $9.8 million versus $11.5 million, adjusted EBITDA was a loss of $8.7 million versus a loss of $8.9 million, and net loss was $9.1 million versus $10.2 million. Cash, cash equivalents and short-term bank deposits were $41.9 million at June 30, 2026, and backlog was $1 million. Management reaffirmed full-year 2026 guidance for revenue of $4 million to $6 million and adjusted EBITDA loss of $28 million to $31 million. Ram Machness also said cash burn is targeted to fall below $7 million per quarter, with the full effect of cost cuts expected by the third quarter.

Ram Machness emphasized that Arbe is shifting from a purely automotive chipset model toward broader markets with more immediate revenue potential, especially defense, homeland security, robotaxi, and other non-automotive applications. He said the strategy is already producing revenue from three sources: more chip sales to Tier 1s, radar system sales, and engineering/development work. His tone was constructive and upbeat, with repeated references to growing demand, shorter sales cycles, and meaningful growth expected in the second half of 2026 into 2027.

Karine Pinto-Flomenboim focused on the financial improvement and balance-sheet position. She highlighted the $0.7 million revenue figure, near-breakeven gross loss, lower operating expenses of $9.8 million, and reduced net loss of $9.1 million, while noting that lower share-based compensation and headcount reductions helped offset higher foreign exchange impacts. She said cash was $41.9 million, shareholders’ equity was $40.5 million, and the company remains committed to AI investment even as it lowers its cost structure; she also reaffirmed full-year guidance of $4 million to $6 million in revenue and a $28 million to $31 million adjusted EBITDA loss.

Analysts focused on the new defense framework agreement and asked what volumes could look like and whether the partnership could expand. Management said the agreement is long term, starts with 3 defined projects, and could extend to additional applications, but it would not disclose the exact end use; they pointed to use cases such as unmanned ground vehicles, mission vehicles, and perimeter security. On robotaxi, management said several vehicles are already equipped with Arbe radars, the development of the perception stack is beginning, and rollout is expected toward the end of the year and beginning of next year, with more robotaxi opportunities still in earlier stages.