Executive Summary

Q4 FY2024 revenue rose 44% sequentially to $2.95M and 582% year over year from $0.43M, with GAAP gross margin expanding to 56.6% (from 0.2% YoY) on mix, pricing and operational efficiencies .
Adjusted loss from operations improved sequentially to $(3.64)M (vs. $(4.1)M in Q3), and management highlighted continued progress on margin initiatives; GAAP loss from operations was $(11.22)M .
Introduced Q1 FY2025 revenue guidance of $3.05–$3.15M and long‑term targets of ~60% adjusted gross margin and ~30% adjusted operating margin; management is pursuing financing to fund growth and M&A pipeline .
Strategic LOI to acquire Spacecraft Components (expected close in Q1 FY2025) broadens exposure to A&D and transportation and is expected to be accretive; adds ~150 employees and could materially increase FY2025 revenue on close .

What Went Well and What Went Wrong

What Went Well

Strong top‑line and margin execution: Q4 revenue up 44% QoQ to $2.95M; adjusted gross margin reached 56.6%, up 16.3 pts sequentially, driven by favorable mix, pricing and operational efficiencies .
Portfolio traction: EMI Interconnect bookings strengthened with significant new A&D customers; Wireless Systems (RaGE) delivered strong revenue and higher margins in its first full quarter under MOBX .
Strategic roadmap and confidence: “We grew revenues sequentially by 44% for a full year growth rate of 426%… gross margins increased as we integrated RaGE Systems,” and “M&A… will continue to be in the news” (CEO) .

What Went Wrong

Losses remain elevated: GAAP loss from operations was $(11.22)M in Q4; cash at quarter‑end was $0.27M, and management is actively seeking financing to fund working capital and strategy .
Nasdaq compliance risk: Company received a minimum bid price deficiency notice; management may need additional actions (e.g., transfer or reverse split) if compliance is not regained within allowed windows .
Customer concentration and scale: Leidos accounted for ~40% of FY2024 revenue, reinforcing concentration risk as business scales; working capital deficit was ~$20.8M at FY‑end .

Financial Results

Metric	Q4 2023 (oldest)	Q3 2024	Q4 2024 (newest)
Revenue ($USD Millions)	$0.433	$2.100	$2.954
GAAP Gross Margin %	0.2%	n/a	56.6%
Adjusted Gross Margin %	15.0%	~40.3% (derived from +16.3 pts to 56.6%)	56.6%
GAAP Loss from Operations ($USD Millions)	$(4.740)	$(9.300)	$(11.216)
Adjusted Loss from Operations ($USD Millions)	$(3.310)	$(4.100)	$(3.639)
GAAP Basic EPS ($)	$(0.42)	n/a	$(0.34)
Cash and Equivalents ($USD Millions)	n/a	$0.205	$0.266

Notes:

Adjusted metrics exclude depreciation, amortization of acquisition‑related intangibles, M&A costs, inventory write‑offs, stock‑based compensation and impairment, per company definitions and reconciliations .
Q3 2024 adjusted gross margin (~40.3%) is derived from management’s statement of a 16.3 pt sequential improvement to 56.6% .

Segment breakdown: Not disclosed quantitatively; commentary cites:

EMI Interconnect Solutions: filtered ARINC connectors; significant new A&D customers; positioning on lead times .
Wireless Systems (RaGE): strong revenue and higher margins in first full quarter; expanding MSID programs and capabilities .

KPIs and other items (quarter/fiscal context):

Adjusted gross margin FY2024: 45.2% vs. (7.7%) FY2023 .
Working capital deficit at 9/30/24: ~$20.836M; total liabilities $33.558M .
Customer concentration FY2024: Leidos ~40% of revenue .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Net Revenues ($USD Millions)	Q1 FY2025	n/a	$3.05 – $3.15	New
Adjusted Gross Margin Target	Long‑term	n/a	~60%	New
Adjusted Operating Margin Target	Long‑term	n/a	~30%	New

Additional outlook context: CFO said Q4 revenues surpassed the midpoint of guidance; management is pursuing financing to support growth and M&A .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q‑2 and Q‑1)	Current Period (Q4 FY2024)	Trend
M&A/Portfolio expansion	Strategy to acquire/integrate complementary assets; completed EMI (Dec 2023) and RaGE (May 2024)	LOI to acquire Spacecraft Components; expected to be accretive and materially increase FY2025 revenue on close; ~150 employees	Accelerating pipeline; focus on A&D/transportation
EMI/A&D demand	N/A specific to prior quarters in provided docs	Significant new A&D customers; bookings strength; 2‑quarter visibility; geopolitical dynamics supporting demand	Improving bookings and visibility
Wireless Systems (RaGE)	Acquired May 2024; integration highlighted in 10‑K	Strong revenue and increased margins in first full quarter; expanding MSID capabilities with UMass Lowell	Positive integration and product pipeline
AI/Tech adjacency	Broader platform capabilities in connectivity and sensing (10‑K)	Views AI/GPU ecosystem as demand driver; positioning tech alongside NVIDIA‑adjacent use cases	Building narrative around AI‑driven bandwidth needs
Financing/Liquidity	Going concern and need to raise capital (10‑K)	Pursuing financing to fund demand and M&A execution	Active capital raising remains prerequisite

Management Commentary

CEO: “We grew revenues sequentially by 44% for a full year fiscal growth rate of 426%… gross margins increased as we integrated RaGE Systems and continued working on synergies and a more favorable mix of products and engineering services.”
CFO: “Our fourth quarter adjusted gross margin improved 16.3 percentage points sequentially to 56.6%… we are forecasting consolidated revenues of between $3.05 million and $3.15 million for Q1 FY2025… long-term targets are an adjusted gross margin of 60% and adjusted operating margin of 30%.”
Strategy: “M&A… will continue to be in the news as we diversify our technology portfolio,” with Spacecraft Components expected to be accretive and materially increase FY2025 revenue on close .

Q&A Highlights

EMI bookings and demand drivers: Management cited ongoing geopolitical tensions as supporting increased A&D demand for EMI interconnect, with typical visibility of ~two quarters .
Spacecraft Components leverage: Team expects synergies leveraging MOBX go‑to‑market and manufacturing capability; employee base ~150, with <5% engineers .
AI ecosystem: Management sees MOBX IP applicable to GPU/AI‑adjacent use cases requiring higher bandwidth and data rates, aligning development priorities with expected demand .

Estimates Context

We attempted to retrieve S&P Global consensus for revenue and EPS for recent quarters and upcoming periods, but data were unavailable due to access limits. As a result, comparisons versus Wall Street consensus cannot be provided for Q4 FY2024 and Q1 FY2025 at this time (values from S&P Global not available).
Management noted Q4 revenues surpassed the midpoint of internal guidance and guided Q1 FY2025 revenues to $3.05–$3.15M .

Key Takeaways for Investors

Execution inflection: Sequential revenue growth (+44% QoQ) and a step‑function in gross margin (56.6% GAAP; +16.3 pts adjusted QoQ) suggest the acquired portfolio (EMI, RaGE) is scaling with favorable mix; watch sustainability of mix/pricing tailwinds into FY2025 .
De‑risking through M&A: Spacecraft Components acquisition (expected Q1 FY2025 close) should expand A&D/transportation end‑markets and be accretive; closing and integration speed are key near‑term catalysts .
Liquidity overhang: Low cash ($0.27M) and working capital deficit require timely financing; monitor cost of capital, potential dilution and impacts on Nasdaq compliance plans .
Demand signals: EMI bookings in A&D and Wireless Systems MSID programs indicate multiquarter opportunities; collaboration with UMass Lowell supports pipeline breadth .
Margin path: Long‑term targets (60% adjusted GM/30% adjusted OM) set a high bar—delivery hinges on mix, operating leverage, and integration efficiencies .
Trading setup: Near‑term stock drivers include (1) Q1 FY2025 print vs $3.05–$3.15M guide, (2) Spacecraft Components close and accretion details, (3) financing terms/structure, and (4) progress on Nasdaq compliance .

Appendix: Non‑GAAP Adjustments

Adjusted Gross Profit excludes amortization of acquisition‑related intangibles, inventory write‑offs, and stock‑based compensation; Adjusted Loss from Operations further excludes depreciation, M&A expenses, and impairment of long‑lived assets; reconciliations provided in the 8‑K .

MOBIX LABS, INC (MOBX)·Q4 2024 Earnings Summary