Company: LIDRW
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001437749-25-033677
Chunk: 183

Company: AEye, Inc.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part II, Item 1
Chunk 183
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 us to incur significant additional expense, disrupted our business, and resulted in a proxy contest, all of which could negatively impact our stock price. 

Risk Factors Relating to Our Business and Industry

We are an early stage company with a history of losses and we expect to incur significant expenses and continuing losses for at least the next few years.

We have incurred net losses in each year since our inception. In the nine months ended September 30, 2025 and 2024, we incurred net losses of approximately $26.6 million and $26.9 million, respectively. We expect that we will continue to incur significant losses through at least the next few years as we:

      • 
      continue to utilize our third-party partners for design, testing, and commercialization; 

      • 
      expand our operations and supply chain capabilities to produce our lidar components and systems, including costs associated with outsourcing the production which, in some instances, requires significant upfront payments by us; 

      • 
      expand our design, development, and commercialization; 

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      build up inventories of parts and components for our lidar solutions; and 

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      maintain a level of general and administrative spending to meet the requirements of operating as a public company. 

As of September 30, 2025, we had an accumulated deficit of approximately $399.7 million. Even if we are able to increase sales or licensing of our products, there can be no assurance that we will be commercially successful. Since we will incur the costs and expenses from these efforts prior to receiving incremental revenues with respect thereto, our losses in future periods may be significant. In the past, design wins, the first step towards commercialization with a particular OEM, have taken longer than originally expected. Such delays, including delays that may occur in the future, will impact the timing of our revenue. If our products do not achieve sufficient market acceptance, we will not become profitable. If we fail to become profitable, or if we are unable to fund our continuing losses, we may be unable to continue our business operations. There can be no assurance that we will ever achieve or sustain profitability.

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Our business model for the Automotive market substantially relies on us maintaining a relationship with one or more Tier 1 automotive suppliers; our business could be materially and adversely affected if we are unable to establish or maintain a relationship with one or more Tier 1 automotive suppliers, or even if we establish and maintain