- Revenue Growth: Q1 2026 revenue reached $7.6 million, a 49% year-over-year increase, exceeding guidance and driven by Korean military contracts.
- Gross Margin Stability: Non-GAAP gross margin held at 26.3%, reflecting sixth consecutive quarters of positive gross profit despite operational scaling.
- Smart Eyewear Expansion: Commercial production of A1 batteries for smart eyewear began, with shipments underway and potential growth from 50,000 to millions of units in 2027.
- Drone Market Pipeline: $130 million pipeline for drone applications, with 60% revenue potential from drone markets and a silicon-carbon cell achieving 360 Wh/kg performance.
- Technological Advancements: AI2 battery samples show >20% higher volumetric energy density than AI1, with roadmap targeting 400 Wh/kg and 100% silicon anodes in future iterations.
Revenue and Margin Drivers
Revenue growth was largely driven by contracts with Korean military customers and the first commercial shipments of the A1 battery for smart eyewear, which lifted gross margin above expectations and set the stage for a 26.3 % margin in Q1, while cost discipline kept the margin stable.
Commercial Production Milestones
The A1 battery entered commercial production, with reference platform shipments already underway and ramp‑up scheduled for the second half of the year, marking a critical step toward volume scaling and a tangible revenue source for the near term.
Silicon‑Anode Partnerships
Enovix aligned with Honor on an updated qualification framework tailored to silicon‑anode chemistry, positioning the company for a 2027 launch and early small‑volume production, thereby expanding its strategic portfolio into high‑performance markets.
Manufacturing Execution at Fab2
Yield improvements across production zones now hit 90 %+, while Zone 1 dicing delivers 80 % step‑level yields, underscoring the company’s manufacturing maturity and throughput gains, and reducing the cost of goods sold over time.
Sales Leadership
Appointment of Steve Bakos as Senior Vice President of Worldwide Sales signals a commitment to accelerating market penetration and capitalizing on the expanding drone and defense pipeline, while leveraging his global network to close key deals.