Navitas Semiconductor Announces Third Quarter 2023 Financial Results

  • Revenue grows 115% year-over-year, 22% sequentially.
  • Launching four new technology platforms.
  • GaN and SiC continue rapid displacement of legacy silicon power chips.

TORRANCE, Calif., Nov. 09, 2023 (GLOBE NEWSWIRE) -- Navitas Semiconductor Corporation (Nasdaq: NVTS), the industry leader in next-generation power semiconductors, today announced unaudited financial results for the third quarter ended September 30, 2023.

“I am pleased to announce another record quarter for Navitas as our gallium nitride and silicon carbide technologies continue to displace legacy power silicon in traditional markets and enable and accelerate new energy markets,” said Gene Sheridan, CEO and co-founder. “It’s a very exciting time at Navitas as we launch four major new technology platforms across GaN and SiC. We expect Navitas’ revenues to far exceed market growth rates in 2024 and for years to come.”

Financial Highlights

  • Revenue: Total revenue grew to $22.0 million in the third quarter of 2023, a 115% increase from $10.2 million in the third quarter of 2022 and a 22% increase from $18.1 million in the second quarter of 2023.
  • Gross Margin: GAAP gross margin for the third quarter of 2023 was 32.3%, impacted by inventory adjustments, compared to 3.8% in the third quarter of 2022 and 41.5% for the second quarter of 2023. Non-GAAP gross margin for the third quarter of 2023 was 42.1% compared to 38.4% for the third quarter of 2022 and 41.5% for the second quarter of 2023.
  • Loss from Operations: GAAP loss from operations for the quarter was $28.6 million, compared to a loss of $37.4 million for the third quarter of 2022 and a loss of $27.2 million for the second quarter of 2023. On a non-GAAP basis, loss from operations for the quarter was $8.7 million compared to a loss of $10.3 million for the third quarter of 2022 and a loss of $9.6 million for the second quarter of 2023.
  • Cash: Cash and cash equivalents were $176.7 million as of September 30, 2023.

Market, Customer and Technology Highlights

GaN is moving from a beachhead to the mainstream for mobile fast chargers, with continued strength and upside led by major China OEMs Xiaomi and Oppo. We expect 30% of their total mobile charger shipments in 2024 will utilize GaN, and GaN has been adopted by Samsung for the latest Galaxy S23 and other models, contributing to Q3 and expected Q4 2023 revenue ramp. New Gen-4 GaNSense™ half-bridge ICs, targeting ultra-fast chargers of 100 W or more, are projected to contribute another $10 million per year in revenue ramping in 2024. The new GaNSense products replace dozens of components with a single GaN IC and enable switching frequencies up to 2 MHz to reduce footprint and simplify designs.

Launched in September, GaNSafe™ is the world’s most-protected, most-reliable and highest-performance GaN power semiconductor, with advanced sensing, protection, higher-power capability and cool operation. GaNSafe breaks the glass ceiling for GaN to enter high-power, high-reliability markets like AI data centers, solar, EV and industrial. GaNSafe power ICs are featured in a new 6.6 kW, 800 V on-board charger (OBC) platform from Navitas’ dedicated EV system design center, setting industry benchmarks in system efficiency, density and cost, and attracting significant customer interest. The OBC is a ‘hybrid’ platform, featuring GaNSafe and a new, Gen-3 Fast (G3F) GeneSiC™ MOSFET platform, with leading-edge silicon carbide power and switching performance up to 50% better than competition.

Rapid AI adoption has created unprecedented demand for more power, higher efficiency and greater power density. Navitas’ data center design center has developed a new 4.5 kW AC-DC system platform design, with efficiency exceeding the 96% ‘Titanium Plus’ standard, and with twice the power density of previous, best-in-class, legacy silicon designs. GaNSafe and Gen-3 Fast SiC are again used to optimize these high-power applications, with significant growth in the number of customer pipeline projects.

Solar, appliance and industrial markets also show robust growth in the customer pipeline, with broad interest in the new Gen-3 Fast MOSFETs. The Gen-4 GaNSense half-bridge portfolio now includes new application-specific ICs for motor drives, compressors and pumps up to 1 kW, with sensing, autonomy and programming functionality for easy EMI.

Q4 2023 will also see the introduction of a new, breakthrough innovation: ‘bi-directional’ GaN. Each GaN power IC will replace up to four discrete power transistors, dramatically reducing component count, cost and complexity, and delivering major speed and efficiency benefits. Bi-directional GaN technology is expected to usher in major advances in energy storage, grid infrastructure, motor drives and many other emerging topologies and architectures across multiple markets.

Business Outlook

Fourth quarter 2023 net revenues are expected to increase to $25.0 - $26.0 million. Gross margin for the fourth quarter is expected to expand to 42.5%, plus or minus 30 basis points, and operating expenses, excluding stock-based compensation and amortization of intangible assets, are expected to be approximately $20.0 million in the fourth quarter of 2023. Weighted-average basic share count is expected to be approximately 179 million shares for the fourth quarter of 2023.

Further details on the four new technology platforms, Navitas’ growing customer pipeline, financial outlook, and immersive “Planet Navitas” experience are to be revealed at the in-person Investor Day, at the Torrance HQ on December 12th.
Navitas Q3 2023 Financial Results Conference Call and Webcast Information:
When: Thursday, November 9th, 2023
Time: 2:00 p.m. Pacific / 5:00 p.m. Eastern
Toll Free Dial-in: (800) 715-9871 or (646) 307-1963, Conference ID: 5349784
Live Webcast:
Replay: A replay of the call will be accessible from the Investor Relations section of the Company’s website at

Non-GAAP Financial Measures

This press release and statements in our public webcast include financial measures that are not calculated in accordance with generally accepted accounting principles (“GAAP”), which we refer to as “non-GAAP financial measures,” including (i) non-GAAP gross margin, (ii) non-GAAP operating expenses, (iii) non-GAAP research and development expense, (iv) non-GAAP selling, general and administrative expense, (v) non-GAAP loss from operations, (vi) non-GAAP operating margin, and (vi) non-GAAP loss and loss per share. Each of these non-GAAP financial measures are adjusted from GAAP results to exclude certain expenses which are outlined in the “Reconciliation of GAAP Results to Non-GAAP Financial Measures” tables below. We believe these non-GAAP financial measures provide investors with useful supplemental information about our operating performance and enable comparison of financial trends and results between periods where certain items may vary independent of business performance. We believe these non-GAAP financial measures offer an additional view of our operations that, when coupled with the GAAP results and the reconciliations to corresponding GAAP financial measures, provide a more complete understanding of the results of operations. However, these non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP.

Note Regarding Customer Pipeline Statistic

“Customer pipeline” reflects estimated potential future business based on interest expressed by potential customers for qualified programs, stated in terms of estimated revenue that may be realized in one or more future periods. All customer pipeline information constitutes forward-looking statements. Customer pipeline is not a proxy for backlog or an estimate of future revenue, nor should it be considered as any other measure or indicator of financial performance. Rather, Navitas uses customer pipeline as a statistical metric to indicate the company’s current view of relative changes in future potential business across various end markets. Time horizons vary accordingly, based on product type and application. Actual business realized depends on ultimate customer selection, program share and other factors discussed below under “Cautionary Statement Regarding Forward-Looking Statements.”

Cautionary Statement Regarding Forward-Looking Statements

This press release, including the paragraph headed “Business Outlook,” includes “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. The term “customer pipeline” and related information constitute forward-looking statements. Other forward-looking statements may be identified by the use of words such as “we expect” or “are expected to be,” “estimate,” “plan,” “project,” “forecast,” “intend,” “anticipate,” “believe,” “seek,” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Customer pipeline and other forward-looking statements are made based on estimates and forecasts of financial and performance metrics, projections of market opportunity and market share and current indications of customer interest, all of which are based on various assumptions, whether or not identified in this press release. All such statements are based on current expectations of the management of Navitas and are not predictions of actual future performance. Forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions and expectations. Many actual events and circumstances that affect performance are beyond the control of Navitas, and forward-looking statements are subject to a number of risks and uncertainties, including the possibility that the expected growth of our business will not be realized, or will not be realized within expected time periods, due to, among other things, the failure to successfully integrate acquired businesses into our business and operational systems; the effect of acquisitions on customer and supplier relationships, or the failure to retain and expand those relationships; the success or failure of other business development efforts; Navitas’ financial condition and results of operations; Navitas’ ability to accurately predict future revenues for the purpose of appropriately budgeting and adjusting Navitas’ expenses; Navitas’ ability to diversify its customer base and develop relationships in new markets; Navitas’ ability to scale its technology into new markets and applications; the effects of competition on Navitas’ business, including actions of competitors with an established presence and resources in markets we hope to penetrate, including silicon carbide markets; the level of demand in our customers’ end markets and our customers’ ability to predict such demand, both generally and with respect to successive generations of products or technology; Navitas’ ability to attract, train and retain key qualified personnel; changes in government trade policies, including the imposition of tariffs and the regulation of cross-border investments, particularly involving the United States and China; other regulatory developments in the United States, China and other countries; the impact of the COVID-19 pandemic or other epidemics on Navitas’ business and the economies that affect our business, including but not limited to Navitas’ supply chain and the supply chains of customers and suppliers; and Navitas’ ability to protect its intellectual property rights.

These and other risk factors are discussed in the Risk Factors section beginning on p. 15 of our annual report on Form 10-K for the year ended December 31, 2022, as updated in the Risk Factors section of our most recent quarterly report on Form 10-Q, and in other documents we file with the SEC. If any of the risks described above, and discussed in more detail in our SEC reports, materialize or if our assumptions underlying forward-looking statements prove to be incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Navitas is not aware of or that Navitas currently believes are immaterial that could also cause actual results to differ materially from those contained in forward-looking statements. In addition, forward-looking statements reflect Navitas’ expectations, plans or forecasts of future events and views as of the date of this press release. Navitas anticipates that subsequent events and developments will cause Navitas’ assessments to change. However, while Navitas may elect to update these forward-looking statements at some point in the future, Navitas specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Navitas’ assessments as of any date subsequent to the date of this press release.

About Navitas

Navitas Semiconductor (Nasdaq: NVTS) is the only pure-play, next-generation power-semiconductor company, founded in 2014. GaNFast™ power ICs integrate gallium nitride (GaN) power and drive, with control, sensing, and protection to enable faster charging, higher power density, and greater energy savings. Complementary GeneSiC™ power devices are optimized high-power, high-voltage, and high-reliability silicon carbide (SiC) solutions. Focus markets include EV, solar, energy storage, home appliance / industrial, data center, mobile and consumer. Over 185 Navitas patents are issued or pending. Over 100 million GaN and 12 million SiC units have been shipped, and with the industry’s first and only 20-year GaNFast warranty. Navitas was the world’s first semiconductor company to be CarbonNeutral®-certified.

Navitas Semiconductor, GaNFast, GeneSiC and the Navitas logo are trademarks or registered trademarks of Navitas Semiconductor Limited and affiliates. All other brands, product names and marks are or may be trademarks or registered trademarks used to identify products or services of their respective owners.

Contact Information
Stephen Oliver, VP Corporate Marketing & Investor Relations

PR image:

Navitas Semiconductor NVTS


(dollars in thousands, except per-share amounts) 
  Three Months Ended Nine Months Ended 
  September 30, September 30, 
   2023   2022   2023   2022  
NET REVENUES $21,978  $10,243  $53,399  $25,594  
COST OF REVENUES (exclusive of amortization of intangibles included below)  14,878   9,852   33,322   18,655  
GROSS PROFIT  7,100   391   20,077   6,939  
Research and development  16,553   11,526   50,740   34,373  
Selling, general and administrative  14,419   24,053   46,629   62,590  
Amortization of intangible assets  4,774   2,241   14,046   2,413  
Total operating expenses  35,746   37,820   111,415   99,376  
LOSS FROM OPERATIONS  (28,646)  (37,429)  (91,338)  (92,437) 
OTHER INCOME (EXPENSE), net:         
Interest income, net  1,695   638   3,405   666  
Gain from change in fair value of warrants           51,763  
Gain (loss) from change in fair value of earnout liabilities  34,473   (6,098)  (25,503)  112,162  
Other income (expense)  20   (74)  50   (1,215) 
Total other income (expense), net  36,188   (5,534)  (22,048)  163,376  
INCOME (LOSS) BEFORE INCOME TAXES  7,542   (42,963)  (113,386)  70,939  
INCOME TAX (BENEFIT) PROVISION  23   (10,135)  (13)  (9,862) 
NET INCOME (LOSS)  7,519   (32,828)  (113,373)  80,801  
LESS: Net income (loss) attributable to noncontrolling interest     (238)  (518)  (238) 
NET INCOME (LOSS) ATTRIBUTABLE TO CONTROLLING INTEREST $7,519  $(32,590) $(112,855) $81,039  
Basic $0.04  $(0.24) $(0.68) $0.64  
Diluted $0.04  $(0.24) $(0.68) $0.58  
Basic  175,103   138,455   165,719   127,390  
Diluted  185,626   138,455   165,719   140,134  
(dollars in thousands, except per-share amounts) 
  Three Months Ended Nine Months Ended 
  September 30, September 30, 
   2023   2022   2023   2022  
GAAP gross profit $7,100  $391  $20,077  $6,939  
GAAP gross profit margin  32.3%  3.8%  37.6%  27.1% 
Inventory write-off related to discontinued products  2,024      2,024     
Other operational charges  122   172   122   172  
Reserves for write-down of inventory     2,833      2,833  
Inventory write-off related to purchase accounting step-up     539      539  
Non-GAAP gross profit $9,246  $3,935  $22,223  $10,483  
Non-GAAP gross profit margin  42.1%  38.4%  41.6%  41.0% 
GAAP Research and development $16,553  $11,526  $50,740  $34,373  
Stock-based compensation expenses  (6,013)  (5,227)  (20,137)  (15,758) 
Non-GAAP Research and development  10,540   6,299   30,603   18,615  
GAAP Selling, general and administrative  14,419   24,053   46,629   62,590  
Stock-based compensation expenses  (6,066)  (10,547)  (21,673)  (36,378) 
Termination of distributor  (483)     (483)    
Payroll taxes on vesting of employee stock-based compensation  (413)  (154)  (698)  (154) 
Acquisition-related expenses  (18)  (5,442)  (1,485)  (5,442) 
Other  (29)     (105)    
Non-GAAP Selling, general and administrative expense  7,410   7,910   22,185   20,616  
Total Non-GAAP operating expenses $17,950  $14,209  $52,788  $39,231  
GAAP loss from operations $(28,646) $(37,429) $(91,338) $(92,437) 
GAAP operating margin  (130.3)%  (365.4)%  (171.0)%  (361.2)% 
Add: Stock-based compensation expenses included in:         
Research and development  6,013   5,227   20,137   15,758  
Selling, general and administrative  6,066   10,547   21,673   36,378  
Total  12,079   15,774   41,810   52,136  
Amortization of acquisition-related intangible assets  4,774   2,241   14,046   2,413  
Inventory write-off related to discontinued products  2,024      2,024     
Termination of distributor  483      483     
Payroll taxes on vesting of employee stock-based compensation  413   154   698   154  
Other operational charges  122   172   122   172  
Acquisition-related expenses  18   5,442   1,485   5,442  
Reserves for write-down of inventory     2,833      2,833  
Inventory write-off related to purchase accounting step-up     539      539  
Other  29      105     
Non-GAAP loss from operations $(8,704) $(10,274) $(30,565) $(28,748) 
Non-GAAP operating margin  (39.6)%  (100.3)%  (57.2)%  (112.3)% 
GAAP net income (loss) attributable to controlling interest $7,519  $(32,590) $(112,855) $81,039  
Adjustments to GAAP net income (loss)         
Loss (Gain) from change in fair value of earnout liabilities  (34,473)  6,098   25,503   (112,162) 
Total stock-based compensation  12,079   15,774   41,810   52,136  
Amortization of acquisition-related intangible assets  4,774   2,241   14,046   2,413  
Inventory write-off related to discontinued products  2,024      2,024     
Termination of distributor  483      483     
Payroll taxes on vesting of employee stock-based compensation  413   154   698   154  
Other operational charges  122   172   122   172  
Acquisition-related expenses  18   5,442   1,485   5,442  
Reserves for write-down of inventory     2,833      2,833  
Inventory write-off related to purchase accounting step-up     539      539  
Gain from change in fair value of warrants           (51,763) 
Release of tax valuation allowance     (9,915)     (9,915) 
Other expense  9   74   55   1,215  
Non-GAAP net loss $(7,032) $(9,178) $(26,629) $(27,897) 
Average shares outstanding for calculation of non-GAAP net loss per share (basic and diluted)  175,103   138,455   165,719   127,390  
Non-GAAP net loss per share (basic and diluted) $(0.04) $(0.07) $(0.16) $(0.22) 
(dollars in thousands) 
      September 30, 2023 December 31, 2022 
Cash and cash equivalents     $176,698  $110,337  
Accounts receivable, net      17,573   9,127  
Inventories      15,904   19,061  
Prepaid expenses and other current assets      4,511   3,623  
          Total current assets      214,686   142,148  
PROPERTY AND EQUIPMENT, net      8,392   6,532  
INTANGIBLE ASSETS, net      96,176   105,620  
GOODWILL      163,215   161,527  
OTHER ASSETS      5,501   3,054  
          Total assets     $493,920  $425,262  
Accounts payable and other accrued expenses     $14,793  $14,653  
Accrued compensation expenses      15,487   3,907  
Current portion of operating lease liabilities      1,346   1,305  
Deferred revenue      13,759   486  
          Total current liabilities      45,385   20,351  
EARNOUT LIABILITY      38,567   13,064  
DEFERRED TAX LIABILITIES      1,830   1,824  
          Total liabilities      90,570   40,502  
Total stockholders’ equity of Navitas Semiconductor Corporation      403,350   381,132  
Noncontrolling interest         3,628  
          Total equity      403,350   384,760  
Total liabilities stockholders’ equity     $493,920  $425,262  

A photo accompanying this announcement is available at