Arbe Robotics (NASDAQ:ARBE) reported second-quarter revenue growth and narrowed losses as the radar technology company expanded sales beyond automotive applications, particularly into defense and homeland security markets.
Revenue for the second quarter of 2026 totaled $0.7 million, compared with $0.3 million in the prior-year quarter, marking Arbe’s third consecutive quarter of revenue growth. The company said its sales came from increased chipset shipments to Tier 1 suppliers, radar-system sales into defense and civilian programs, and engineering and development work for customers.
Defense and homeland security activity expands
Machness said a leading global defense and homeland security integrator selected Arbe’s technology for three projects under a framework agreement that could add further projects over time. Arbe shipped complete radar systems from its own production line to support the customer’s immediate operational needs.
The company did not identify the integrator or disclose projected volumes for the projects. During the question-and-answer session, Machness said Arbe had been asked not to discuss the exact applications. He cited unmanned ground vehicles, mission vehicles and perimeter security as examples of radar applications in the defense market.
Arbe also said it sees demand across multiple defense and homeland security channels and has shipped systems for further evaluation. Machness said potential customers are seeking to reduce the time required for full integration and field deployment because the company’s products address “multiple urgent operational needs.”
Sensrad, Arbe’s Tier 1 supplier of imaging radar systems based on its chipset, continues to supply Forterra, an autonomous-systems supplier to the U.S. Department of Defense. Forterra integrates the radar into its AutoDrive perception suite, which is designed to help vehicles detect obstacles and navigate unstructured environments where GPS may not work.
Separately, Sensrad announced a collaboration with VirtuRail to integrate radar into automated service vehicles used for underground tunnel construction. Arbe said it continues to supply chipsets supporting Sensrad customers including Forterra, Tianyi and Rockit.
Automotive programs progress in China and robotaxis
In automotive, Arbe said radar systems supplied to a global robotaxi customer were integrated into vehicles during the second quarter, and those vehicles have begun on-road trials. The Phoenix radar system is designed to provide 360-degree sensing for Level 4 autonomous driving.
Machness said development of the perception stack based on Arbe’s radar is beginning and is expected to roll out toward the end of 2026 and the beginning of 2027 for one robotaxi provider. He added that other robotaxi opportunities remain in earlier stages.
In China, Arbe continued shipping chipsets to HiRain to support a Level 4 program selected by a large Chinese automaker. HiRain has advised Arbe that the program is progressing toward start of production in the coming months, according to Machness.
HiRain is also developing a lower-specification radar platform based on Arbe’s chipset, featuring 24×12 channels, alongside its higher-end 48×48 system. Machness said the two platforms provide a path into China’s market for Level 2 and Level 3 vehicles. HiRain is also participating in additional RFIs and RFQs involving its radar portfolio, with Arbe supporting the evaluation process.
Losses narrow as company reduces expenses
Gross loss was approximately breakeven in the second quarter, compared with a $0.2 million gross loss a year earlier. Operating expenses fell to $9.8 million from $11.3 million, primarily due to lower share-based compensation expenses.
Arbe reported an operating loss of $9.8 million, compared with an operating loss of $11.5 million in the second quarter of 2025. Adjusted EBITDA loss was $8.7 million, compared with a loss of $8.9 million a year earlier. Net loss narrowed to $9.1 million from $10.2 million.
Chief Financial Officer Karine Pinto-Flomenboim said the company’s cost-reduction actions, including lower headcount, are expected to be fully reflected in the third quarter. Machness said Arbe reduced its cost base by about 15% from first-quarter levels and is targeting quarterly cash burn below $7 million by the third quarter, supported by lower expenses and revenue growth.
As of June 30, Arbe held $41.9 million in cash equivalents and short-term bank deposits, while shareholders’ equity stood at $40.5 million. Management said it believes its cash position provides sufficient runway to execute its strategy.
Full-year outlook reaffirmed; CFO transition announced
Arbe reaffirmed its 2026 guidance for revenue of $4 million to $6 million and an adjusted EBITDA loss of $28 million to $31 million. Machness said the company expects meaningful growth in the second half of 2026 and into 2027 as its end-market diversification strategy develops.
The company also announced that Pinto-Flomenboim’s final day as CFO was the day of the earnings call, concluding nearly five years in the role. President and Co-Founder Kobi Marenko said he will temporarily oversee financial functions with the finance team during the transition.
Assaf Pereg is set to join Arbe as incoming CFO effective Aug. 30, 2026. Pereg previously worked at Ibex Medical Analytics and held finance roles at Nano Dimension, Aquarius Engines, Become Technological Solutions and Cyberint, according to the company.
About Arbe Robotics (NASDAQ:ARBE)
Arbe Robotics Ltd. is a technology company specializing in high-resolution 4D imaging radar solutions for the automotive industry. The company’s radar platform is designed to enhance advanced driver-assistance systems (ADAS) and support the development of autonomous vehicles by providing detailed object detection, precise range and velocity measurements, and accurate environmental mapping under diverse driving conditions.
Founded in 2015 and headquartered in Tel Aviv, Israel, Arbe Robotics has developed its own semiconductor chipset and accompanying software stack.
