Silicon IP licensor Ceva's Q4 revenue edges past estimates

Reuters
Yesterday
Silicon IP licensor Ceva's Q4 revenue edges past estimates

Overview

  • Silicon IP licensor's Q4 revenue slightly beat analyst expectations, growing 7% yr/yr

  • Company completed strategic NPU licensing agreement with leading PC OEM

  • Company raised $63 mln through follow-on offering, strengthening balance sheet

Outlook

  • Ceva anticipates continued demand for AI and connectivity technologies as industry shifts to Physical AI

  • Company expects sustained growth from diversified licensing agreements across smart edge markets

  • Ceva enters 2026 with strong market positioning in connectivity, sensing, and inference

Result Drivers

  • NPU LICENSING AGREEMENT - Strategic NPU licensing agreement with a leading PC OEM boosted revenue and validated AI strategy

  • DIVERSIFIED IP DEMAND - Signed 18 IP licensing agreements across AI, connectivity, and sensing, reflecting strong demand

  • ROYALTY REVENUE INCREASE - Achieved strongest quarterly royalty performance in over four years, contributing to revenue growth

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Slight Beat*

$31.30 mln

$31.03 mln (5 Analysts)

Q4 EPS

-$0.04

Q4 Net Income

-$1.10 mln

Q4 Adjusted Gross Margin

89.00%

Q4 Adjusted Operating Income

$5.70 mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the semiconductors peer group is "buy"

  • Wall Street's median 12-month price target for CEVA Inc is $33.00, about 45.6% above its February 13 closing price of $22.67

Press Release: ID:nPn91qRn4a

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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