Seeing Machines Shares Rise on Strong Automotive Growth

Seeing Machines Limited (LON: SEE) reported a FY2025 trading update, signaling strong growth in its core automotive business and progress towards profitability.

The AI-powered operator monitoring systems company said revenue is expected to be ahead of market expectations, driven by a surge in automotive production and strategic cost management. However, it is also seen coming in lower than FY24.

Headline Numbers:

• Revenue: Expected to be in the range of $62m – $63m, surpassing market expectations of $58m, although down from $67.6m in FY2024.
• Annualised Recurring Revenues (ARR): $13.4m, a slight increase from $13.2m in FY2024 (excluding Caterpillar).
• Cash: $23.1m at 30 June 2025, nearly flat compared to $23.5m in FY2024.
• Adjusted EBITDA: Loss expected to be in the range of $29m – $30m, slightly wider than the consensus estimate of a $28.9m loss.

Following the trading update, Seeing Machines shares rose, hitting a high of 3.50p per share. However, it has pulled back slightly and is now trading around 3.18p, up 2.4%.

The company highlighted increasing automotive production volumes, which rose by 35% to over 1.5 million units in FY2025.

This surge is boosting higher-margin royalty revenue as the July 2026 EU General Safety Regulation (GSR) deadline approaches, which mandates the use of camera-based Driver Monitoring Systems (DMS) technology in all new vehicles.

Automotive revenue includes $10.2m of royalty license revenue related to guaranteed minimum volume royalty payments, indicating strong commercial agreements.

The company said cars on the road with Seeing Machines' DMS/OMS technology increased by 69% year-over-year to over 3.7 million units. They added that Guardian Generation 3 is in full production, with quarterly hardware sales increasing by 120% in Q4 FY2025

Current trading is said to be in line with expectations, with quarter-on-quarter sequential automotive production royalty volumes continuing to increase into H2 FY2025.

The company anticipates accelerated momentum in production volumes as the GSR deadline nears. Furthermore, referral agreements with Mitsubishi for Guardian Generation 3 are progressing well, with potential for broader applications of Seeing Machines' technology across various Mitsubishi Group businesses.

“The significant growth in vehicles equipped with our DMS/OMS technology, alongside the strong start in Guardian Generation 3 sales, underpins our unwavering commitment to safety, innovation and customer value,” said Paul McGlone, CEO of Seeing Machines.