AEye, Inc. Revenue Disclosure
| 16. | REVENUE |
Product Revenue
The Company recorded revenue for product sales of $157 and $97 in 2025 and 2024, respectively. The Company does not incur significant contract costs in fulfilling or obtaining their contracts with customers.
Development Contracts
The Company has entered into research and development contracts as well as a sales, marketing, and technical support service contract with companies primarily in both the Automotive and Non-Automotive markets. The Company assessed the number of performance obligations associated with the promises under each agreement, and recognized $76 and $105 in revenue for performance obligations that had been satisfied as of December 31, 2025 and 2024 respectively, in the consolidated statements of operations and comprehensive loss.
Disaggregation of Revenue
The Company recognized the following revenues by geographic area based on the primary billing address of the customer and by the timing of the transfer of goods or services to customers (point in time or over time), as it believes such criteria best depict how the nature, amount, timing and uncertainty of its revenue and cash flows are affected by economic factors. Total revenue based on the disaggregation criteria described above is as follows (in thousands):
| Year ended December 31, | ||||||||
| 2025 | 2024 | |||||||
| Revenue by primary geographical market: | ||||||||
| United States | $ | 117 | $ | 154 | ||||
| Europe | 93 | 48 | ||||||
| Asia-Pacific | 23 | — | ||||||
| Total | $ | 233 | $ | 202 | ||||
| Revenue by timing of recognition: | ||||||||
| Recognized at a point in time | $ | 157 | $ | 97 | ||||
| Recognized over time | 76 | 105 | ||||||
| Total | $ | 233 | $ | 202 | ||||
Contract Liabilities
The Company had no contract liabilities as of December 31, 2025 and 2024.
Remaining Performance Obligations
Revenue allocated to remaining performance obligations represents the transaction price allocated to the performance obligations that are unsatisfied, or partially unsatisfied. It includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods and does not include contracts where the customer is not committed. The customer is not considered committed where they are able to terminate for convenience without payment of a substantive penalty under the contract. Additionally, as a practical expedient, the Company has not disclosed the value of unsatisfied performance obligations for contracts with an original expected length of one year or less.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 18, 2026 | Showing above |
| 2024 | Feb 24, 2025 | |
| 2023 | Mar 27, 2024 | |
| 2022 | Mar 16, 2023 | |
| 2021 | Mar 28, 2022 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.