Amprius (AMPX) Q2 FY26 earnings call: guidance and Q&A

How flexible is Amprius' technology platform in using alternate anode/electrolyte inputs, including semi-solid/solid-state, to integrate material advances, especially with NDAA compliance?

Amprius has 5 chemistry platforms and good dexterity. They've qualified 2 sets of 11 new suppliers for anode, cathode, separator, and binders for NDAA, holding them in cells made in South Korea and the U.S. The Fremont pilot line aids quick validation. They are on track for full U.S. NDAA compliance by 2027.

“We have 5 chemistry platforms, a power-based one, energy-based one, balanced one. We have very good dexterity, as you say. We have had long serving suppliers over the last several years. And as a part of NDAA, we've qualified 2 sets of 11 new suppliers for the anode, cathode, separator and 7 other binders, et cetera, that go into our batteries.”

asked by Colin Rusch · answered by Thomas Stepien

How will the technology roadmap and scale leverage into incremental sales and operating margin over the next 12-24 months, given the methodical purchasing patterns?

The PAC program helps scale sales with a "flywheel effect." New VP of Sales Anne Torricelli will organize large sales groups. The breadth of offerings allows serving new segments like robotics and eVTOL with minimal tweaks. Margins depend on regional and product mix, with pouch cells and EMEA sales being most accretive. NDAA-compliant pouch cells are expected to be accretive.

“The margins really depend on both the regional mix and the product mix. And we do see, in essence, our sales are the most accretive for us. And as we launch the NDAA-compliant pouch cells, we think that will be accretive and will help us get to our margin targets just as expected.”

asked by Colin Rusch · answered by Thomas Stepien

With stricter domestic requirements for drones kicking in by 2027-2028, will this be an inflection point for domestic drone/cell manufacturing, requiring Amprius to ramp up U.S. capacity, and what avenues are available?

Amprius has good visibility through 2027-2028. They are pleased with the 3 Korean CMs and Nanotech Energy in the U.S., but need to go faster and deeper. They are actively working with other U.S. manufacturers and expect to announce more partners soon. The goal is to always have supply ahead of demand.

“We're actively working with other U.S. manufacturing, as we said in the call, not quite ready to announce anybody yet, but stay tuned there. So look, we always want the boat to go faster here, but we are pleased with the demand.”

asked by Mark Shooter · answered by Thomas Stepien

With DoorDash receiving FAA Part 135 certification for drone delivery, does Amprius envision company-by-company certification or a broader FAA opening for commercial drones, and how does Amprius position itself?

Amprius has an agreement with Matternet. The FAA likely certifies on a vehicle-by-vehicle basis, not batteries. The company is asking its new CBO to explore delivery drone requirements and compare them to current offerings to turn seeds into future revenue. Amprius' batteries offer critical advantages like longer range and greater payload.

“I don't know that the FAA would certify batteries. I think they tend to do that on a vehicle-by-vehicle basis. We're not FAA experts here. But that's part of what the change we did with Ronnie and Anne. The new delivery drones won't necessarily help us make the next quarter.”

asked by Eric Stine · answered by Thomas Stepien

Given the gross margin guidance hike, how should investors think about potentially achieving the 30%+ gross margin target earlier than 2030, considering tailwinds like efficiency and pouch cell accretion?

The company aims to achieve targets sooner if possible, acknowledging the elements are there. The 30%+ target by 2030 provides room to manage the cost structure associated with full NDAA compliance. The main driver for accelerating margin improvement is revenue mix, particularly selling more customized pouch cells. Margins may be lumpy quarter-to-quarter due to mix and North America revenue increases before full NDAA cost recovery.

“We will always try to do it sooner. And I think the elements are definitely there for the taking, right? But we also just want to be cognizant of what we're signing up for. And as you've seen us in the way that we've guided this year, our goal is to deliver what we promised and a little bit more.”

asked by Tim Moore · answered by Ricardo Rodriguez

Is Amprius close to purchasing an existing U.S. facility to retool for pouch cell manufacturing, leveraging excess capacity from EV battery players, to boost U.S. manufacturing?

The company is actively looking for a partner to do this, acknowledging excess capacity from EV players. The model is to work with partners, not purchase facilities directly. The investment in equipment is about one-third of building a new facility, with a 2-3 year payback if capacity is filled.

“Yes, Tim, I mean, you're basically reading our mind, right? It's no secret that we're out there looking for a partner to do that for us, and there's plenty of capacity from folks who leaned into EVs maybe too aggressively here over the past couple of years. And so we would just say stay tuned.”

asked by Tim Moore · answered by Ricardo Rodriguez

What is the current backlog? What is the margin range between defense vs. UAV cylindrical vs. light electric vehicle opportunities? For the $24 million European drone order, how much is expected to ship in 2026 vs. 2027?

Backlog is not a key metric; the company has good visibility from open POs and ships much within the quarter. Margin range is low 20s to high 30s, varying by cylindrical vs. customized pouch cells and region (China lower end). No significant pricing discrimination between defense and non-defense end markets. The $24 million European drone order will be completed over the next 2.5 quarters.

“The margin range, I think, ranges basically from the low 20s to the high 30s if you take on the lower end, the commoditized or slightly more commoditized cylindrical cell that is easily swappable versus a highly customized pouch cell.”

asked by Derek Soderberg · answered by Ricardo Rodriguez

What is the production capacity in China, South Korea, and the U.S. (cylindrical vs. pouch)? What are the typical lead times for planning capacity with manufacturers?

Total production capacity is >2 GWh/year, equating to 12-15 million cells per quarter. The breakdown by CM is not disclosed for competitive reasons. China has a balanced cylindrical/pouch mix, Korea is developing this balance, while the U.S. is currently unbalanced (cylindrical identified, pouch not yet). Lead time for full NDAA/U.S. capacity setup is 1-2 years; for regional flexibility, it's 1-1.5 quarters.

“We total it up in the deck, Ted, to greater than 2 gigawatt hours a year. And in an earlier call, we broke that out. And on an average cell that's working out to be something like 12 million to 15 million cells per quarter, sometimes as should think about sell units.”

asked by Edward Jackson · answered by Thomas Stepien