Financial update for Q1 of 2025 by LeddarTech unveiled
LeddarTech, a leading automotive software company, has announced its financial results for the first quarter of 2025, showcasing a steady progression in the company's performance.
In a move to provide a comprehensive understanding of the company's financial standing, LeddarTech introduced two new non-IFRS financial measures - EBITDA (loss) and Adjusted EBITDA (loss) - in Q2-2024. These measures offer insight into management's perspective on the company's performance.
The company's net loss for the fiscal first quarter of 2025 decreased by 56% compared to the previous quarter, with a net loss of $27.0 million, down from $61.5 million in the fiscal quarter ending December 31, 2023.
LeddarTech's financial improvements were further evident in its cash balance. As of December 31, 2024, the company's consolidated cash and cash equivalents balance increased to $17.7 million, up from $5.3 million on September 30, 2024. This growth was attributed to several significant events, including a $11.3 million fundraise in January 2025 under a standby equity purchase agreement (SEPA) and an advance royalty payment of approximately $5.9 million from Texas Instruments (TI) and other sources subsequent to the end of Q4-2024.
One of the major highlights of Q1 2025 was LeddarTech's first OEM design win for LeddarVision, its advanced LiDAR technology. The major commercial vehicle OEM securing the design win is Ford, marking a significant milestone for LeddarTech in the automotive industry.
LeddarTech's successful participation at the 2025 Consumer Electronics Show (CES) further solidified the company's position in the market.
In addition to these achievements, LeddarTech received ISO/IEC 27001 certification, a key requirement for automotive customers, and announced a collaboration and license agreement with TI, a premier semiconductor partner in the automotive space.
It is important to note that EBITDA (loss) and Adjusted EBITDA (loss) should not be considered alternatives to net loss in measuring performance or used as measures of cash flow. These measures are calculated based on specific criteria. EBITDA (loss) is calculated as net earnings (loss) before interest expenses, deferred income taxes, depreciation of property and equipment, depreciation of right-of-use assets, and amortization of intangible assets. Adjusted EBITDA (loss) is calculated as EBITDA (loss), adjusted for foreign exchange gain (loss), loss (gain) on revaluation of financial instruments, gain or loss on lease modification, share-based compensation, listing expense, transaction costs, restructuring costs, and impairment loss on intangible assets.
LeddarTech's robust pipeline of over 30 active opportunities with original equipment manufacturers (OEMs) and Tier 1 automotive suppliers promises a promising future for the company. The company received US$8 million in advanced royalty payments from TI in January 2025, further strengthening its financial position.
In conclusion, LeddarTech's Q1 2025 financial results demonstrate a steady progression in the company's performance, with significant achievements in terms of financial improvements, strategic collaborations, and design wins. The company's future looks promising with a robust pipeline and a strengthened financial position.
