Mobileye Global (MBLY) Financials

Mobileye Global (NASDAQ: MBLY) showed a sharp deterioration in profitability in Q1 2026, but the company still generated positive operating cash flow and ended the quarter with a sizable cash balance. Revenue rose year over year, yet the quarter was overwhelmed by a very large impairment charge tied to operating expenses. Looking at the last several years, Mobileye’s core business has remained cash-generative at times, but results have been volatile, and the balance sheet has been reshaped by a major goodwill/intangible asset impairment.

• Revenue grew year over year in Q1 2026 to $558 million from $438 million in Q1 2025, showing continued top-line expansion.
• Gross profit improved to $275 million in Q1 2026 from $207 million a year earlier, indicating better underlying product economics.
• Operating cash flow remained positive at $75 million in Q1 2026, despite the reported net loss.
• Mobileye finished Q1 2026 with strong liquidity, including $1.21 billion in cash and equivalents and $133 million in short-term investments.
• Balance-sheet debt appears limited; total liabilities were only $571 million at quarter-end, which is modest relative to assets and equity.
• Inventory and working capital management did not consume excessive cash in Q1 2026, helping support operating cash flow.
• Historically, the company has often produced positive operating cash flow, including several quarters in 2024 and 2025, even when GAAP earnings were negative.
• Q1 2026 included a massive impairment charge of $3.789 billion, which drove the quarter’s operating loss and net loss.
• Goodwill dropped sharply from $8.2 billion in Q3 2025 to $4.911 billion in Q1 2026, while intangible assets also fell, confirming a major write-down.
• Capital spending was relatively light at $30 million in Q1 2026, suggesting the company is not currently in a heavy build-out phase.
• Net income was deeply negative at $(3.818) billion in Q1 2026, or $(4.68) per share, compared with a much smaller loss a year earlier.
• Operating income plunged to $(3.896) billion in Q1 2026, mainly because of the impairment charge.
• Cash fell sharply during the quarter, with net change in cash and equivalents of $(622) million.
• Investing cash outflows were heavy at $(699) million in Q1 2026, including a large acquisition-related outflow of $591 million.
• Profitability has been inconsistent over the last four years, with periods of modest profits offset by recurring quarterly losses and at least one prior major impairment episode in 2024.

Bottom line: Mobileye’s operating business still appears capable of generating cash, and its liquidity position remains solid, but the latest quarter was dominated by a large non-cash impairment that severely damaged reported earnings. For retail investors, the key questions are whether core revenue growth can accelerate enough to sustain margins, and whether the business can translate sales into consistent GAAP profits without further large write-downs.