Everspin Tech (NASDAQ:MRAM) reported fourth-quarter 2025 results that management said came in toward the high end of its outlook, driven by strength in data center, energy management, and industrial automation end markets. The company also outlined product milestones in its xSPI STT-MRAM portfolio and reiterated a longer-term strategy of reaching $100 million in annual revenue over the next three to five years.
Fourth-quarter results and drivers
President and CEO Sanjeev Aggarwal said Everspin delivered fourth-quarter revenue of $14.8 million and non-GAAP EPS of $0.11 per diluted share. CFO Bill Cooper added revenue was up 12% year over year and within the company’s guidance range of $14 million to $15 million.
- Data center: Growth was driven by ongoing work with IBM on its FCM4 module, the recently introduced FCM5, and a RAID reference design at top-five hyperscale operators, according to Aggarwal.
- Energy management and industrial automation: The CEO said demand “returned to normal levels” after a period of inventory consumption that weighed on prior-year demand.
Cooper said MRAM product sales, including Toggle and STT-MRAM, were $13.5 million, up 22% from the year-ago quarter. Licensing, royalty, patent, and other revenue declined to $1.3 million from $2.2 million in the fourth quarter of 2024 due to the completion of projects that were active in the prior year.
Margins, expenses, and balance sheet
On profitability, Cooper said GAAP gross margin was 50.8%, slightly down from 51.3% in the year-ago period, primarily due to lower licensing and other revenue. GAAP operating expenses were $8.6 million, down sequentially and up slightly from $8.4 million in the fourth quarter of 2024.
Everspin recorded $2.0 million in other income in the quarter. Cooper said this was tied to a strategic award won in mid-2024 to upgrade manufacturing equipment at the company’s Chandler, Arizona facility.
Non-GAAP net income was $2.6 million, or $0.11 per diluted share (based on 23.8 million weighted average diluted shares). Cooper noted the company’s non-GAAP results exclude stock-based compensation.
Everspin ended the quarter with $44.5 million in cash and cash equivalents, compared with $45.3 million at the end of the prior quarter. Cooper said the company remained debt-free. Cash flow from operations was $2.8 million in the fourth quarter, up from $0.9 million in the third quarter.
Cooper also said Everspin did not experience a material tariff-related impact in the fourth quarter and does not expect a material impact in coming quarters.
DoD contract and non-product revenue cadence
Aggarwal highlighted “below-the-line” items including revenue tied to a Department of Defense contractor engagement. He said Everspin recognized $2 million in other income in the fourth quarter and $10.5 million to date from a $14.6 million contract to develop a sustainment plan for Everspin’s MRAM manufacturing facilities to provide continuous onshore MRAM capabilities for aerospace and defense customers. Management expects the work to progress on schedule with estimated completion in the first half of 2027.
During the Q&A, Aggarwal discussed a program referenced by an analyst in connection with QuickLogic, saying the award QuickLogic discussed “does not relate” to the joint project Everspin has been working on. He also said Everspin expects a decline in non-product revenue in the first quarter due to a project completion in the fourth quarter, with the joint program potentially “kicking in again towards the second half” of the year, but not in the first half.
Design wins and product roadmap updates
Aggarwal said Everspin recorded 238 design wins in 2025, up from 178 in the prior year, spanning industrial automation, casino gaming, energy management, and military and aerospace applications.
He also detailed progress in the company’s xSPI STT-MRAM portfolio. Everspin ramped its PERSYST 64 Mb xSPI STT-MRAM High-Reliability product to full production during the fourth quarter and saw strong demand tied to new customer interest and design wins, “specifically in the low Earth orbital (LEO) satellite market.” Aggarwal said the devices are AEC-Q100 grade 1 qualified and designed for harsh conditions, including operation at 125°C with a minimum 10 years of data retention. He said the company began shipping the product in the current quarter and is taking orders to support high-volume production.
In addition, Aggarwal said Everspin is qualifying higher-density high-reliability parts at 128 Mb and 256 Mb, targeted to be available in high volume in the second half of this year. He also said Everspin is on track to tape out a monolithic 256 Mb xSPI STT-MRAM device on a 16-nanometer FinFET node at TSMC in the second half of this year, describing it as the company’s first product in its “Unified Memory” family aimed at unifying code storage and data memory for edge AI, industrial, and mission-critical designs.
On partnerships, Aggarwal said Everspin qualified its PERSYST 64 Mb xSPI STT-MRAM for Microchip’s PIC64-HPSC series of 64-bit MPUs and is supporting an ecosystem of components being qualified by Microchip for harsh space environments. In response to an analyst question, Aggarwal said Everspin is seeing “steady progress” with both Microchip and Lattice as it works to get products qualified and integrated into partners’ standard offerings, adding that PIC64 is currently targeted toward aerospace and defense markets.
Market environment, NOR flash discussions, and outlook
Management discussed broader memory market dynamics, with Aggarwal citing industry-wide memory shortages driven by AI and describing supplier allocation and shifts in manufacturing capacity. He said NOR suppliers are converting lines to support other memory products to maximize margins, creating a gap in NOR flash supply and prompting customers to look for alternatives.
Aggarwal said Everspin is in conversations with customers evaluating xSPI STT-MRAM as a NOR flash replacement, noting the company has capacity to support demand and that its parts are compatible with NOR flash, while emphasizing that revenue timing depends on customer qualification cycles. In Q&A, he added that Everspin is being listed as an alternate for NOR flash at various distributors worldwide, but said it is “very difficult to quantify” potential upside.
For the first quarter of 2026, Cooper guided for total revenue of $14 million to $15 million, or consistent with the fourth quarter. The company expects GAAP net loss per fully diluted share between $(0.03) and net income of $0.02. On a non-GAAP basis, Everspin anticipates net income per share of $0.07 to $0.12. Cooper also said Everspin plans to exclude patent defense costs, in addition to stock-based compensation, from non-GAAP results going forward.
Cooper said the company expects a sequential decline in non-product revenue due to a project completion in the fourth quarter, creating a gross margin headwind, but still targets gross margin “in the 50% range.”
Looking further out, Aggarwal reiterated a goal of reaching $100 million in annual revenue over the next three to five years. In response to an analyst question, he said he expects the largest contribution to come from PERSYST products, with licensing and the company’s “Unisys” unified code and data memory solutions contributing over time. He also said Everspin expects “Unisys to kick in some volume” in 2027, and that the company anticipates its first “enhanced serial NOR-like xSPI product family” to be in production in 2027 and contributing to the $100 million target.
About Everspin Tech (NASDAQ:MRAM)
Everspin Technologies, Inc (NASDAQ: MRAM) is a semiconductor company specializing in the design, development and marketing of magnetoresistive random access memory (MRAM) solutions. Established in 2008 as a spin-out from Freescale Semiconductor, the company pioneered commercial MRAM products and continues to advance the technology through successive generations, including Toggle MRAM and spin-transfer torque (STT) MRAM. Everspin’s non-volatile memory devices offer a unique combination of performance, endurance and data retention for a variety of applications.
The company’s product portfolio includes discrete MRAM chips, embedded MRAM IP for integration into system-on-chip (SoC) designs and companion devices that leverage MRAM’s fast write speeds and low power consumption.
