SES AI reported first‑quarter 2026 results with revenue of $6.70 million, a 47 % sequential increase from the fourth quarter of 2025. The figure surpassed the consensus estimate of $3.65 million to $3.70 million, giving the company a revenue beat. Non‑GAAP earnings per share were a loss of $0.03, missing the consensus estimate of a $0.01 loss.
Gross margin improved sharply, with GAAP gross margin rising to 18.1 % from 11.3 % in Q4 2025, and non‑GAAP margin increasing to 18.3 % from 11.7 %. The jump reflects a higher mix of energy‑storage system (ESS) product sales and early contributions from drone‑format pouch cells. CFO Jing Nealis noted, “Our Q1 gross margin on a GAAP basis was 18.1%, compared to 11.3% in the fourth quarter of 2025.”
The company secured a multi‑year distribution agreement with ATG EPower valued at approximately $20 million over three years, expanding its presence in the North American ESS market. CEO Qichao Hu said, “We have now entered the North American market through our multi‑year distribution agreement with ATG EPower. This contract valued at approximately $20 million over 3 years.”
SES AI completed the conversion of its Chungju, South Korea manufacturing line from EV pouch cells to drone‑format pouch cells, ramping the line to an annual capacity of roughly one million cells. CEO Hu added, “We have completed the conversion of our manufacturing line at our Chungju, South Korea facility from EV pouch cells to drone‑format pouch cells, with the converted line now ramping up to an annual capacity of approximately 1,000,000 drone cells.”
Chief Financial Officer Jing Nealis will step down effective April 27, 2026, and Yi (Ray) Liu, CFA, CPA, will assume the role. CEO Hu confirmed, “Jing will be transitioning from her role as Chief Financial Officer effective April 27, and We have appointed Ray Liu as our new CFO effective April 27.”
Management reaffirmed its full‑year 2026 revenue guidance of $30 million to $35 million, citing continued momentum from the new distribution agreement and the ramp‑up of drone‑cell production. CEO Hu stated, “We are reaffirming our full year 2026 revenue guidance of $30 million-$35 million, with contributions expected from all 3 of our revenue‑generating business units.”
The company also noted that the fourth quarter of 2025 was impacted by approximately $1.5 million of revenue that was pushed into the first quarter, which benefited Q1 results. CFO Nealis remarked, “As a reminder, the fourth quarter of 2025 was impacted by approximately $1.5 million of revenue that was pushed into the first quarter, which benefited Q1 results.”
Overall, the results demonstrate a strengthening of SES AI’s core battery platform, with sequential revenue growth and margin expansion driven by higher‑margin ESS sales and early drone‑cell revenue. The CFO transition and the new ATG EPower partnership signal management confidence in scaling operations, while the drone‑cell ramp‑up positions the company to capture growing demand in defense and commercial drone markets. The reaffirmed full‑year guidance reflects expectations of continued revenue momentum as the company leverages its AI‑enabled materials discovery platform across its three business units.
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