Tel Aviv, Israel, November 11th / PRNewswire / -- Innoviz Technologies Ltd. (Nasdaq ticker: INVZ, hereinafter referred to as "the Company," "we," or "Innoviz") today announced business and strategic updates, reported quarterly financial results as of September 30, 2026, and updated its financial and operational targets for 2026. Innoviz is a provider of high-performance automotive-grade lidar (LiDAR) sensing platforms for the automotive, security, defense, and industrial markets.
Innoviz CEO and founder Omer Keilaf stated that over the past year, the company has taken decisive measures to diversify its business and to strengthen the path towards long-term growth and profitability. The company has repositioned Innoviz to two complementary end markets: automotive, as well as defense and homeland security businesses conducted under the Perciz brand.
Keilaf states that in the field of national defense, the company is delivering the first batch of customer orders and is also engaged in active discussions with dozens of potential customers, including large strategic defense contractors from Israel and overseas. Many customers have ordered samples for testing and evaluation. In September, the Israeli Defense Research and Development Agency MAFAT recognized the company's LiDAR maturity, robustness, and performance, as well as its suitability for defense applications.
He also stated that with the rapid changes in the nature of warfare, with a focus shifting towards unconventional tactics, the company is ready to mass-produce automotive-grade sensors that are suitable for addressing the most pressing security challenges of today, such as anti-drone systems ( counter-UAS ). The company believes that its partner-oriented approach to entering the market may enable it to secure large-scale defense orders in the first half of next year.
In terms of the automotive business, Keilaf indicates that the project is still in progress, but revenue in the third quarter fell short of expectations. The main reason was that a client adjusted the project timeline, resulting in a delay in the revenue from NRE. The company expects to realize the full value of these NRE by 2027.
To accelerate the profit-making process, the company is implementing business restructuring. At the current pace of operation, it is estimated that about $17.5 million in costs can be saved each year. This restructuring will help the company extend its financial sustainability until 2028 and lay the foundation for expansion by integrating automotive and defense businesses.
Business and Strategic Updates
- The company is repositioning itself around two complementary end markets – Innoviz currently serves two end markets: automobiles, as well as the defense and homeland security business conducted under the Perciz brand. The company expects that the defense and security business will support revenue growth and an increase in gross margin, due to factors such as a shorter sales cycle and an average selling price (ASP) that is an order of magnitude higher than that of the automobile business. Meanwhile, the automobile business is expected to see scale growth as projects begin to ramp up.
- Defense order shipments – Innoviz has begun delivering the first batch of customer orders and has also shipped samples to dozens of other organizations for testing, development, and integration.
- Obtained MAFAT Recognition — In September, the Israel Defense Research and Development Agency MAFAT recognized the maturity, robustness, and performance of Innoviz LiDAR's solution, as well as its suitability for defense applications. The company believes that, given MAFAT's reputation worldwide and the extensive exchange of defense capabilities between Israel and other countries, this recognition may help to support the potential needs of Western defense customers in the future.
- Positive contacts were made at AUSA – During the annual meeting and exhibition of the Army Association of the United States ( AUSA ) held in October, Innoviz met with dozens of potential clients, including chief technology officers and senior leaders from leading defense companies and system integrators.
- Automotive project advancement – Projects with Volkswagen (VW) and Daimler Truck (Daimler Truck) are progressing, as are other development projects with L3 and L4. This includes the L4 autonomous delivery platform project in collaboration with LOXO.
- Optimizing Operations – Innoviz is implementing business restructuring to accelerate profitability. To maximize efficiency, the company will streamline its R&D and operations. As a result of these measures, the number of employees will be reduced by about 20%, and the company expects that this restructuring will lead to cost savings of approximately $17.5 million per year compared to the current operating pace.
Financial Performance for the Third Quarter of 2026
Revenues in the third quarter of 2026 were $12.1 million, a decrease from $15.3 million in the third quarter of 2025. Revenues were composed of sales from the NRE service and the LiDAR unit.
Operating expenses in the third quarter of 2026 were $19.7 million, representing a 9% increase from $18.1 million in the third quarter of 2025.
As of September 30, 2026, the liquidity amounted to approximately $54.4 million, including cash and cash equivalents, short-term deposits, tradable securities, and short-term restricted cash.
Financial and Operational Goals for the Fiscal Year 2026
The company has updated its targets for the fiscal year 2026 to:
- Revenues range from $44 million to $46 million;
- Add 2 to 3 new projects;
- Perciz revenue accounts for approximately 6% to 7% of the total income;
- The new NRE payment plan amount ranges from 20 million to 30 million US dollars.
Teleconference
Innoviz Management will hold a web conference today, at 9:00 a.m. Eastern Time (6:00 a.m. Pacific Time) on November 11, 2026, to discuss business and strategic updates, financial results for the third quarter of 2026, as well as financial and operational targets. Innoviz CEO Omer Keilaf and Chief Financial Officer Eldar Cegla will moderate the meeting, followed by a Q&A session.
Investors can register in advance to participate. After registration, they will receive all relevant information.
The call recording will also be available in the investor section of the Innoviz website shortly after the meeting ends, and will be preserved for 90 days.
About Innoviz
Innoviz is a leading provider of LiDAR technology, serving as a primary supplier to global automotive manufacturers. It is also expanding its existing sensing solutions into markets such as defense, homeland security, industry, and smart infrastructure.
The LiDAR sensors and accompanying software suite of Innoviz are designed to provide excellent detection range, resolution, and reliability, enabling accurate 3D perception even under harsh weather conditions. These sensors are engineered in accordance with the stringent standards of the automotive industry for performance and safety, and are increasingly being used in applications that require precise, real-time spatial perception and continuous target localization.
The company's business spans the United States, Europe, and Asia, designing solutions for original equipment manufacturers in the automotive industry, system integrators, municipal agencies, commercial enterprises, government organizations, and other customers around the world. Through the Perciz brand, Innoviz utilizes its existing automotive-grade LiDAR sensors for defense, anti-drone, perimeter intrusion detection, and homeland security applications. For more information, please visit innoviz.tech.
Media Contact
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[ email protected ]Note 1As the company increasingly focuses on the defense market (where the importance of new projects and the NRE payment plan as performance indicators is lower), the company does not intend to provide guidance on these indicators in the coming period.
Forward-looking Statements
This announcement contains certain forward-looking statements that are defined under the federal securities laws, including statements regarding the services and products provided by Innoviz, the expected technical capabilities of its products, the markets in which the company operates, the company's ability to successfully compete in the defense and homeland security markets, the expected NRE payments, the expected capacity expansion and/or the potential number of products under third-party platform projects, as well as the anticipated future operating and financial results of Innoviz (including revenue and NRE), and the potential synergies between the company's automotive and defense market activities. Such forward-looking statements are typically identified by words such as "believes," "expects," "anticipates," "estimates," "intends," "strategy," "future," "opportunity," "plans," "potential," "possible," "should," "will," "shall," "will continue," "is likely to result in," and similar expressions. Forward-looking statements are predictions and other statements about future events based on current expectations and assumptions, and therefore involve risks and uncertainties.
“NRE ( Non - Recurring Engineering, non-repetitive engineering)” refers to services that are typically ordered from Innoviz as part of a project design bid, including but not limited to application engineering, product adaptation services, testing and verification services, standardization and certification work, as well as change requests (usually throughout the project lifecycle). NRE can generally be paid for at milestones during the project development phase, which may last for several years.
Various factors may lead to significant differences between actual future events, as well as actual orders or payments under forward-looking revenue and NRE reservations, and the forward-looking statements contained in this announcement. These factors include, but are not limited to: the ability to implement business plans, forecasts, and other expectations; the ability to convert design wins into confirmed orders and order volumes; the ability to achieve broader market adoption of the company's products and solutions; the ability to maintain and expand initial deployments and assess them as long-term business relationships; the risk that initial purchase orders may not convert into expected sales, as well as the risk that outcomes depend on the success of third-party integrators and partners; risks related to the defense and homeland security markets, including procurement cycles, budget constraints, and regulatory and export control factors; the company's defense and security business being still in its early stages; dependence on decisions by third-party platforms, regulatory approvals, and market conditions related to the expected volume of products under the projects; the risk that anticipated synergies in the automotive and defense markets may not be realized, or that these markets have different sales cycles, regulatory regimes, and profit margin structures; the possibility that preliminary arrangements (including evaluation of cooperation and letters of intent) may not convert into final supply, development, or commercial agreements according to the expected terms and quantities; the possibility that NRE may be used to offset liabilities and compensation obligations; the ability to achieve the expected cost savings from the company's operational restructuring, as well as the risk that restructuring may disrupt operations, result in higher costs than expected, or affect the retention of key personnel; the risk of customers delaying, rescheduling, or modifying project timelines, including NRE confirmation and payment times; whether the company's liquidity and capital resources are sufficient to fund operations during the expected period; the ability to identify and seize additional opportunities; potential changes and developments in the highly competitive environment of LiDAR technology and related industries; and the company's expectations regarding the impact of geopolitical developments in the Middle East, including the impact of ongoing conflicts in Israel on the company's continued operations.The above list is not exhaustive. Readers should carefully consider the relevant risks and other uncertainties described in the 20-F annual report for the fiscal year ending December 31, 2025, submitted by Innoviz to the U.S. Securities and Exchange Commission (SEC) on March 4, 2026, as well as other documents from Innoviz that are submitted from time to time to SEC. These documents identify and explain other significant risks and uncertainties that could lead to material differences between actual events and results and the forward-looking statements. The agreements and letters of intent mentioned in this announcement are subject to various conditions, including the successful completion of the evaluation phase, negotiations on final terms, and the customer's choice to proceed further. The MAFAT mentioned in this announcement does not constitute a purchase decision, a contractual commitment, or a future funding commitment. There is no guarantee that any such arrangement or acknowledgment will result in a final agreement, a confirmed order, payment, or mass production, nor is there any guarantee that the quantity, timing, or commercial terms will be consistent with current expectations. Forward-looking statements are only valid as of the date they are made. Readers are reminded not to rely too heavily on forward-looking statements, and Innoviz assumes no responsibility and has no intention of updating or revising these forward-looking statements due to new information, future events, or other reasons. Innoviz does not guarantee that it will be able to achieve its expected objectives.
