Key Highlights

  • Net revenues rose 38% to USD 13.99 million in the quarter ended September 30, 2026, from USD 10.11 million a year earlier, driven mainly by growth in U.S. Data Center related sales.
  • Loss from operations widened to USD 34.4 million from USD 19.4 million, as selling, general and administrative expense climbed 252% to USD 18.4 million on Stock Compensation and Acquisition costs.
  • Nine-month Revenue fell 14% to USD 33.1 million, as mobile and consumer sales in China declined, and China's share of sales dropped to 33% from 52%.
  • Navitas closed its Claros acquisition on October 6, 2026, paying about USD 126 million in cash, net of cash acquired, plus roughly 6.9 million Class A shares.

Data Center Demand Lifts the Quarter, Not the Year

Navitas Semiconductor (NASDAQ:NVTS) filed its Quarterly Report for the period ended September 30, 2026 on November 3, 2026. Net revenues were USD 13.99 million, up 38% from USD 10.11 million, and the company tied the increase mainly to U.S. data center related revenue. U.S. customers made up 53% of third quarter sales, against 21% a year earlier, while China fell to 29% from 52%. Over nine months, revenue declined 14% to USD 33.1 million because of weaker mobile products sales in the Asia region, primarily China, and consumer markets. Cost of revenues, excluding amortization, was 61% of third quarter revenue, which implies a gross Margin near 39%, our own arithmetic.

Stock Compensation and Earnout Charges Drive the Losses

Navitas designs gallium nitride and silicon carbide power chips for AI data centers, grid infrastructure and industrial electrification, and relies on third-party manufacturers. Operating expenses rose 72% to USD 39.9 million. Selling, general and administrative expense jumped because of stock-based compensation, including the effect of prior-year reversals tied to departing executives, plus legal, professional and acquisition costs. Restructuring expense was USD 3.2 million, mostly a noncash USD 2.9 million Impairment on an epitaxial reactor under the Navitas 2.0 plan. Other expense for nine months was USD 209.7 million, mainly earnout remeasurement losses of USD 211.0 million, which sit in other income (expense), below the operating line. Adding other expense and tax to the operating loss gives a nine-month net loss near USD 299 million, our own arithmetic.

Claros Deal, Cash Burn and What Comes Next

The October 6, 2026 purchase of Claros adds integrated voltage regulator technology for AI data centers and was paid from cash on hand. Management said it expects continued net operating losses and negative operating cash flow, and that research and development, administrative and Capital spending will rise. It believes cash on hand is sufficient even after the deal, though the extract supplied here did not include the cash balance. Research and Development was USD 15.1 million, or 108% of revenue, so the company is still spending more than it sells. Key risks are reliance on Manufacturing partners for capacity and yield, a China Business that has shrunk, and integration of Claros. Restructuring costs are expected to finish by the end of 2026.

Where Things Stand

Revenue jumped 38% because U.S. data center demand more than offset weakness elsewhere, while the loss widened because spending grew faster than sales and large noncash items hit the income statement. The quarter shows momentum in a narrow area, but nine-month sales are still down 14%, and Navitas Semiconductor (NASDAQ:NVTS) remains deeply unprofitable at the operating line. The Claros deal broadens the product set toward AI power delivery, at a cost of about USD 126 million in cash. The next signals are whether data center sales keep scaling, whether stock compensation normalizes, and how quickly Claros contributes.