Silicom (SILC) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenues grew 17% year-over-year to $16.9 million, surpassing guidance and reflecting strong demand for core products.

• Eight major new design wins in 2025 across edge systems, SmartNIC, and FPGA solutions, expanding Tier 1 customer engagements.

• Positioned for growth in AI inference, post-quantum cryptography, and white-label switching, leveraging over 20 years of IP and engineering excellence.

• Trusted by Tier-1 global customers for high-performance hardware solutions, with early traction in new growth areas.

• The opportunity pipeline is broader than ever, supporting expectations for double-digit revenue growth in 2026 and beyond.

Financial highlights

• Q4 2025 revenue was $16.9 million, up 17% from $14.5 million in Q4 2024; full-year 2025 revenue reached $61.9 million, up from $58.1 million in 2024.

• Gross profit for Q4 2025 was $5.1 million (gross margin 30.2%), compared to $4.2 million (29.1%) in Q4 2024.

• Net loss for Q4 2025 was $1.9 million, improved from a $5.1 million loss in Q4 2024; loss per share was $0.34 versus $0.87.

• Working capital and marketable securities at year-end totaled $111 million, including $74 million in cash and equivalents, with no debt.

• Shareholders' equity at year-end 2025 was $117 million.

Outlook and guidance

• Q1 2026 revenue projected at $16.5–$17.5 million, representing 18% year-over-year growth at the midpoint.

• Double-digit annual revenue growth expected for 2026, with 7–9 new design wins targeted for the year.

• Core business expected to remain the primary growth driver in 2026, with new growth engines in early stages.