Arbe continues to struggle with structural profitability, evidenced by a 2026Q1 gross margin of -27.5% and operating expenses that consistently dwarf quarterly revenue.
| Sales/Revenue | 1.45M | 1.03M | 768K | 1.47M | 3.52M | 2.25M | 332K | 0 |
| Revenue Growth % | 115.65% | 33.59% | -47.76% | -58.2% | 56.38% | 577.41% | - | - |
| Cost of Goods Sold | 2.08M | 1.83M | 1.55M | 1.51M | 1.28M | 1.44M | 340K | 237K |
| COGS % of Revenue | - | 178.17% | 202.21% | 102.58% | 36.48% | 64.03% | 102.41% | - |
| Gross Profit | -631K | -802K | -785K | -38K | 2.23M | 809K | -8K | -237K |
| Gross Margin % | -43.61% | -78.17% | -102.21% | -2.58% | 63.52% | 35.97% | -2.41% | - |
| Gross Profit Growth % | - | -2.17% | -1965.79% | -101.7% | 176.14% | 10212.5% | 96.62% | - |
| Operating Expenses | 45.56M | 47.4M | 48.87M | 46.85M | 49.97M | 34.09M | 14.95M | 25.13M |
| OpEx % of Revenue | - | 4620.18% | 6363.02% | 3186.87% | 1420.67% | 1515.65% | 4503.01% | - |
| Selling, General & Admin | 12.38M | 12.58M | 13.78M | 12.77M | 13.23M | 5.52M | 2.16M | 3.12M |
| SG&A % of Revenue | - | 1226.41% | 1793.88% | 868.37% | 376.29% | 245.58% | 649.4% | - |
| Research & Development | 33.18M | 34.82M | 35.09M | 34.08M | 36.73M | 28.56M | 12.79M | 22.01M |
| R&D % of Revenue | - | 3393.76% | 4569.14% | 2318.5% | 1044.38% | 1270.08% | 3853.61% | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -46.19M | -48.2M | -49.65M | -46.88M | -47.73M | -33.28M | -14.96M | -25.13M |
| Operating Margin % | -3191.98% | -4698.34% | -6465.23% | -3189.46% | -1357.15% | -1479.68% | -4505.42% | - |
| Operating Income Growth % | - | 2.92% | -5.9% | 1.77% | -43.43% | -122.48% | 40.48% | - |
| EBITDA | -45.66M | -47.67M | -49.07M | -46.33M | -47.25M | -32.94M | -14.73M | -24.89M |
| EBITDA Margin % | -3155.36% | -4645.91% | -6389.06% | -3151.56% | -1343.47% | -1464.47% | -4436.75% | - |
| EBITDA Growth % | 8.09% | 2.86% | -5.91% | 1.95% | -43.46% | -123.6% | 40.83% | - |
| D&A (Non-Cash Add-back) | 530K | 538K | 585K | 557K | 481K | 342K | 228K | 237K |
| EBIT | -46.19M | -48.2M | -49.65M | -46.88M | -47.73M | -33.28M | -14.96M | -25.13M |
| Net Interest Income | 3.22M | 2.76M | 336K | 3.38M | 7.24M | -24.81M | -667K | 0 |
| Interest Income | 3.22M | 2.76M | 336K | 3.38M | 7.24M | 0 | 0 | 475K |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 24.81M | 667K | 475K |
| Other Income/Expense | 4.16M | 1.78M | 336K | 3.38M | 7.24M | -24.81M | -667K | -475K |
| Pretax Income | -42.02M | -46.42M | -49.32M | -43.5M | -40.49M | -58.09M | -15.63M | -25.61M |
| Pretax Margin % | -2904.28% | -4524.46% | -6421.48% | -2959.18% | -1151.38% | -2583.01% | -4706.33% | - |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| Net Income | -42.02M | -46.42M | -49.32M | -43.5M | -40.49M | -58.09M | -15.63M | -26.08M |
| Net Margin % | -2904.28% | -4524.46% | -6421.48% | -2959.18% | -1151.38% | -2583.01% | -4706.33% | - |
| Net Income Growth % | 16.51% | 5.87% | -13.37% | -7.42% | 30.29% | -271.79% | 40.09% | - |
| Net Income (Continuing) | -42.02M | -46.42M | -49.32M | -43.5M | -40.49M | -58.09M | -15.63M | -25.61M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.34 | -0.41 | -0.61 | -0.61 | -0.49 | -1.37 | -0.26 | -2.85 |
| EPS Growth % | 39.24% | 32.79% | 0% | -24.49% | 64.23% | -426.92% | 90.88% | - |
| EPS (Basic) | - | -0.41 | -0.61 | -0.61 | -0.49 | -1.38 | -0.26 | -2.85 |
| Diluted Shares Outstanding | 122.62M | 111.38M | 80.95M | 72.02M | 68.49M | 60.38M | 62.14M | 9.15M |
| Basic Shares Outstanding | 122.62M | 111.38M | 80.85M | 72.02M | 68.49M | 60.27M | 62.14M | 9.15M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Liquidity and commercialization delay
As reported in recent financial filings, Arbe's quarterly revenue remains highly erratic, fluctuating between $40,000 and $461,000, which suggests that the company has yet to achieve a consistent, repeatable sales cycle typical of a mature semiconductor firm transitioning toward mass-market automotive production.
The revenue trajectory appears driven by sporadic non-recurring engineering fees and evaluation kit sales rather than sustained volume growth. Investors should monitor whether the company can convert its reported design wins into meaningful, recurring chipset shipments, as current figures indicate a lack of commercial momentum.
Based on the provided income statement data, Arbe continues to report negative gross margins, reaching -27.5% in 2026Q1, which highlights the significant cost burden of low-volume production runs and the inability to amortize fixed manufacturing expenses across a broader base of commercial units.
The persistent negative gross margin suggests that the company's current pricing power is insufficient to cover the high unit costs associated with its specialized 4D imaging radar architecture. Until the company achieves significant scale, these margins will likely remain a primary indicator of operational inefficiency.
According to the company's historical income statements, operating expenses consistently dwarf revenue, with R&D spending alone often exceeding $8 million per quarter, indicating that the firm has not yet achieved the operating leverage necessary to scale its bottom line alongside its technical development efforts.
The high fixed-cost structure, dominated by R&D, implies that the company is prioritizing long-term IP development over near-term profitability. This strategy leaves the firm highly exposed to operational slippage, as there is no evidence of cost-scaling efficiency in the current financial data.
Financial statements reveal that R&D remains the dominant cost line item, consistently consuming the vast majority of the company's quarterly budget, which underscores a heavy reliance on continuous innovation to maintain its competitive position in the high-resolution radar market.
Management's expense discipline appears focused on maintaining technical superiority, yet this comes at the cost of significant quarterly operating losses. The lack of a clear path to reducing these R&D expenditures suggests that the company will remain dependent on external capital to fund its ongoing operations.
With cash and equivalents reported at approximately $4.3 million, the company faces a precarious liquidity position that may necessitate dilutive financing or strategic pivots, as the current rate of cash burn appears unsustainable without a rapid transition to high-volume revenue generation.
Short-sellers would likely focus on the widening gap between the company's cash reserves and its quarterly operating losses. This financial profile suggests that the company is in a race against time to secure design wins before its existing capital runway is fully exhausted.
Quick answers to the most common questions about buying ARBE stock.
For fiscal year 2025, Arbe Robotics Ltd. (ARBE) reported total revenue of $1.0M.
Arbe Robotics Ltd. (ARBE) reported a net loss of $46.4M for the fiscal year ending 2025.
Arbe Robotics Ltd. (ARBE) reported an operating income of $-48.2M, resulting in an operating profit margin of -4698.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Arbe Robotics Ltd. (ARBE) generated $-0.8M in gross profit for the year, representing a gross profit margin of -78.2%. This demonstrates the company's core pricing power and production efficiency.