Innoviz Technologies Ltd. Q2 FY2024 earnings call

• Revenues for Q2 exceeded the guidance range, demonstrating strong top-line performance. - Reached an important agreement with a major platform partner to supply short- and long-range LiDARs for their Level 4 autonomous driving platform, with the platform already selected by several OEM programs. - Announced an agreement with The Indoor Lab to supply InnovizTwo LiDARs in their airport portfolio starting with Denver, Nashville, and Tampa International airports. - Continued to meet with existing and potential customers globally, with a robust pipeline of RFIs (Requests for Information) and RFQs (Requests for Quotation) having over 15 programs in the pipeline, 50% of which are in the RFQ stage. - Matured the InnovizTwo platform and upgraded the Advanced AI Perception Software. - Added a short-range LiDAR to the portfolio, enabling a full set of short- and long-range solutions as a one-stop shop for customers, which streamlines their supply chain and lowers costs.

Revenues for Q2 2024 were $6.7 million, which is above the previously provided guidance range of $4 million to $5 million. In terms of segment performance, the company's LiDAR products are the core, with strong revenue growth driven by new partnerships and customer engagements. However, specific revenue contribution percentages for individual product segments aren't explicitly detailed beyond the overall revenue figure.

• Expected Q3 2024 revenue in the range of $3.5 million to $5 million. - Reiterated confidence in achieving 2 to 3 additional programs from existing and new customers in 2024 and $20 million to $70 million of new NRE (Non-Recurring Engineering) bookings in 2024.

• Actual results could differ materially from forward-looking statements due to risks and uncertainties related to future events and financial performance, as outlined in the Risk Factors section of the Form 20-F filed with the SEC on March 12, 2024.

Q: With the L4 platform award announced today for both short- and long-range LiDAR, can you help us better understand if there are new firm series production awards that you're planning to add to your backlog?

A: Omer Keilaf stated that this is a very meaningful award with multiple customers already opting in and several in discussion, with a high multiple of LiDARs per vehicle, similar to the VW announcement in significance.

Q: Wondering if you can maybe help quantify some of the details of The Indoor Lab LLC program? When might you expect deliveries to ramp up?

A: Omer Keilaf said they are starting to deliver units to equip the mentioned airports by the end of 2024 and The Indoor Lab is working with new airports to expand the program.

Q: Kevin Cassidy asked about Robotaxis using more of their LiDAR instead of rotating LiDARs.

A: Omer Keilaf responded that yes, their LiDARs are being considered for various Level 4 applications including Robotaxis, trucks, shuttles, and buses.

Q: Kevin Garrigan asked about pricing strategy for short-range LiDAR in new markets.

A: Omer Keilaf said pricing is determined by the competitive landscape and value generated for customers, with short-range LiDAR benefiting from the platform's cost opportunities and flexibility.