Mobileye Global (MBLY) Q1 2023 Earnings Call Transcript

For the period ending April 1, 2023

April 27, 2023 8:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Greetings and welcome to the Mobileye First Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It is not my pleasure to introduce your host, Dan Galves, Chief Communications Officer. Please, you may begin.

Dan Galves

Hello, and welcome to Mobileye’s first quarter 2023 earnings conference call for the periods ending April 1, 2023. Please note that today's discussion contains forward-looking statements based on the business environment as we currently see it. Such statements involve risks and uncertainties. Please refer to the accompanying press release, which includes additional information on the specific risk factors that could cause actual results to differ materially. Additionally, on this call, we will refer to both GAAP and non-GAAP figures. A reconciliation of GAAP to non-GAAP financial measures is provided in our posted earnings release.

Joining us on the call today are Prof. Amnon Shashua, Mobileye's CEO and President; and Anat Heller, Mobileye's CFO.

Thanks. And now I'll turn the call over to Amnon.

Amnon Shashua

Hello, everyone and thank you for joining our earnings call. I'm going to focus my comments on three areas. I'll briefly discuss the quarter we just completed. Expand on the business development progress on our advanced portfolio and then address and adjust to our full year guidance. In what is still a volatile macroenvironment, our business performed well in Q1, revenue was about – was up 16% year-over-year against an industry production backdrop of around 6% year-over-year growth.

EyeQ related revenue was up 11% year-over-year, and a 25,000 SuperVision units, we delivered more than doubled off a low base. Our existing price continues to rise up 6% year-over-year to $54. Operating income of $124 million was a bit higher than we expected, and cash flow continues to be very robust. We generated over $170 million of operating cash flow and capital expenditures were $26 million and that will provide more details on this quarter.

On the new business side, the opportunities in front of us are very large across all product lines. At a high level, the pipeline of opportunities we're pursuing in 2023 is already higher than the $6.7 billion of projected future business we generated from design wins in 2022. And we are expecting more opportunities to present themselves as the year progresses.