Ceva Q2 Revenue Up 24% Year-Over-Year
On August 9, semiconductor IP leader Ceva announced its financial results for the second quarter of 2024. The company achieved a revenue of $28.4 million for the quarter, reflecting a significant 24% year-over-year increase. Non-GAAP diluted earnings per share were reported at $0.17.
Ceva's revenue from licensing and related services reached $17.3 million in Q2, marking a 28% increase from the previous year. Royalties generated $11.2 million, showing a 19% growth.
In the second quarter, Ceva secured 11 new agreements, including five with original equipment manufacturers (OEMs) and one with a new client. These agreements encompass advanced technologies such as AI chips for industrial and consumer edge devices, next-generation wireless infrastructure for seamless AI integration, 5G satellites, 5G RedCap, and Bluetooth connectivity for wearable and ear-worn devices.
Chip shipments based on Ceva IP totaled 461 million units in Q2, representing a 25% year-over-year increase. As of the end of the quarter, total shipments of Ceva IP-based chips have surpassed 18 billion, with Bluetooth chips comprising a significant portion.
Ceva attributes its strong quarterly performance to the expanding role of artificial intelligence across various sectors. The company also finalized long-term agreements with two infrastructure OEMs to develop custom chips driven by the growing AI traffic in wireless networks. Additionally, Ceva entered into a strategic partnership with a leading U.S. analog semiconductor company to enhance its Ceva-Waves Bluetooth product portfolio.
Amir Panush, CEO of Ceva, stated, “We are delighted to report strong Q2 results that exceeded our expectations, with licensing revenue up 28% and royalties up 19%. The rising demand for our IP portfolio is driven by the increasing adoption of AI across diverse industries and devices. The growth in our royalty revenue is supported by the expanding market presence and market share growth in IoT, as well as robust performance in the smartphone sector.”
