MICROVISION, INC.
For the period ended Jun 30, 2026. Filed Aug 6, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Aug 6, 2026
MVIS$1.16+1.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-05-15.
0001493152-26-023667
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-08-06.
0001493152-26-036371
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 40 previous paragraphs and 47 current paragraphs.
25 unchanged; 14 reworded; 6 added; 1 removed; 0 previous and 2 current paragraphs rearranged.
Tables are not compared: 9 previous and 9 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
On July 22, 2026, we filed a Certificate of Amendment to our Amended and Restated Certificate of Incorporation (the “Amendment”) with the Secretary of State of the State of Delaware to effect a 1-for-15 reverse stock split (the “Reverse Stock Split”) of shares of common stock, $0.001 par value. Effective August 1, 2026, pursuant to the Reverse Stock Split, every fifteen shares of issued and outstanding shares of common stock were combined into one share of common stock. Simultaneously, we reduced the total authorized number of shares of capital stock to 175,000,000 shares consisting of 150,000,000 shares of common stock and 25,000,000 shares of preferred stock, $0.001 par value. There was no change in the par value per share of common stock of $0.001.
Current report
The historical share and per share information included herein have been adjusted to reflect the Reverse Stock Split.
Current report
The increase in research and development expense during the three months ended June 30, 2026 compared to the same period in 2025 was primarily due to higher salary and benefits expense of $3.3 million due to increased headcount from acquisitions (seePart I, Item 1, Note 4. Business Combinations), higher building expenses of $1.0 million, higher purchased services of $0.9 million, higher direct materials and equipment costs of $0.4 million, and higher IT and software costs of $0.3 million. In connection with the Consolidation Plan, the Redmond-based reductions were substantially complete as of July 3, 2026; accordingly, the upward trend in research and development expense seen in the first half of 2026 is not expected to continue.
Current report
Unrealized gain (loss) on derivative liability
Current report
During the first quarter of 2026, we completed the strategic acquisition of certain assets related to the worldwide lidar business of Luminar Technologies, Inc. (“Luminar”). The purchase price of $33.0 million was funded with cash on hand and, following the closing of the acquisition, we completed the 2026 Notes Financing to support the cash funding. The acquisition resulted in a near-term increase in headcount and leased properties, thereby significantly increasing cash usage and decreasing available liquidity. In light of this increase in operating expenses and cash usage, in March 2026 we began the implementation of a consolidation plan, which included a workforce reduction and other operational efficiencies, thereby partially offsetting the increase in cash usage that resulted from the Luminar acquisition. SeePart I, Item 1, Note 4. Business Combinations andNote 15. Restructuring Charges for additional discussion. The operating expense and cash usage improvements resulting from the consolidation plan are expected to begin taking effect during the third quarter of 2026. In the meantime, however, the combination of the higher cash burn during the first half of 2026 with historical losses and current liquidity, when analyzed in the aggregate in accordance with Accounting Standards Codification (“ASC”) 205-40, raises substantial doubt about our ability to continue as a going concern through at least twelve months from the date the condensed consolidated financial statements are issued.
Current report
Bolstering our strategic plan driven by revenue generation and achievement of operational efficiencies, we intend to increase liquidity through near-term financing activities, including utilization of the ATM facility. Notwithstanding such plans, there can be no assurance that financing activities will be successful or timely, or that capital can be raised on commercially acceptable terms, or at all. If we are unable to raise additional capital within the expected timeframe, we may be required to take additional measures to conserve liquidity, which could include, but not necessarily be limited to, streamlining operations and otherwise reducing operating expenses. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.
Removed paragraphs (1)
Previous report
Unrealized gain on derivative liability
Reworded paragraphs (14)
Previous wording
We have incurred substantial losses since inception and expect to incur significant losses in the near term. We have funded operations to date primarily through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from development contract revenues, product sales and licensing activities. In October 2024, we entered into a securities purchase agreement with an institutional investor for the purchase of senior secured convertible notes of up to $75.0 million. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability. In February 2025, we entered into another securities purchase agreement with the same institutional investor for the issuance and sale of $8.0 million in shares of common stock, plus warrants to purchase additional shares of common stock for approximately $9.0 million. SeePart I, Item 1, Note 8. Warrant Liability. In February 2026, we entered into a securities purchase and exchange agreement with the same investor, pursuant to which we issued two senior secured convertible notes due March 2028 – one for approximately $20.6 million in exchange for the previously existing senior secured convertible note due March 2026 and the other for approximately $22.4 million. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability for additional discussion.
Current wording
We have incurred substantial losses since inception and expect to incur significant losses in the near term. We have funded operations to date primarily through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from development contract revenues, product sales and licensing activities. In October 2024, we entered into a securities purchase agreement with an institutional investor for the purchase of senior secured convertible notes due March 2026 of up to $75.0 million (the “Prior Note”). SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability. In February 2025, we entered into another securities purchase agreement with the same institutional investor for the issuance and sale of $8.0 million in shares of common stock, plus warrants to purchase additional shares of common stock for approximately $9.0 million. SeePart I, Item 1, Note 8. Warrant Liability. In February 2026, we entered into a securities purchase and exchange agreement with the same investor, pursuant to which we issued two senior secured convertible notes due March 2028 (the “2026 Notes Financing”) – one for approximately $20.6 million in exchange for the Prior Note and the other for approximately $22.4 million. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability for additional discussion.
Previous wording
The increase in revenue for the three months ended March 31, 2026 compared to the same period in 2025 was primarily due to shipments of our long-range IRIS sensors to automotive and industrial customers and shipments of our short-range MOVIA L sensors to a security and defense customer, among others.
Current wording
The increase in revenue for the three and six months ended June 30, 2026 compared to the same period in 2025 was primarily due to shipments of our long-range IRIS sensors to automotive and industrial customers and shipments of our short-range MOVIA L sensors to a security and defense customer, among others.
Previous wording
Cost of revenue can fluctuate significantly from period to period, depending on the product mix and volume, the level of overhead expense and the volume of direct material purchased.
Current wording
Cost of revenue can fluctuate significantly from period to period, depending on the product mix and volume, the level of overhead expense and the volume of direct material purchased. For the first three and six months of 2026, cost of revenue was positively impacted by sensor sales out of acquired IRIS and existing MOVIA L inventories.
Previous wording
The increase in research and development expense during the three months ended March 31, 2026 compared to the same period in 2025 was primarily due to higher salary and benefits expense of $3.7 million due to increased headcount from acquisitions (seePart I, Item 1, Note 4. Business Combinations), higher one-time employee-related restructuring charges of $1.0 million stemming from the Luminar acquisition and Consolidation Plan, higher building expenses of $0.7 million, higher direct materials and equipment costs of $0.5 million, and higher IT and software costs of $0.3 million. These increases were partially offset by lower share-based compensation expense of $0.3 million.
Current wording
The increase in research and development expense during the six months ended June 30, 2026 compared to the same period in 2025 was primarily due to higher salary and benefits expense of $7.0 million, higher one-time employee-related restructuring charges of $1.0 million stemming from the Luminar acquisition and Consolidation Plan, higher building expenses of $1.8 million, higher purchased services of $0.9 million, higher direct materials and equipment costs of $0.9 million, and higher IT and software costs of $0.6 million.
Previous wording
The increase in sales, marketing, general and administrative expense during the three months ended March 31, 2026 compared to the same period in 2025 was primarily due to higher salary and benefits expense of approximately $1.4 million due to increased headcount from acquisitions, higher professional and purchased service fees of $2.6 million primarily related to acquisitions (seePart I, Item 1, Note 4. Business Combinations), and higher employee-related restructuring charges of $0.1 million. These increases were partially offset by lower share-based compensation expense of $0.7 million and lower building expenses of $0.3 million.
Current wording
The increase in sales, marketing, general and administrative expense during the three months ended June 30, 2026 compared to the same period in 2025 was primarily due to higher professional and purchased service fees of $2.3 million primarily related to acquisitions (seePart I, Item 1, Note 4. Business Combinations) and higher salary and benefits expense of approximately $1.2 million due to increased headcount from acquisitions. These increases were partially offset by lower share-based compensation expense of $0.9 million.
Previous wording
The decrease in interest expense during the three months ended March 31, 2026 compared to the same period in 2025 primarily relates to $7.3 million of non-cash interest expense representing the discount on the 2025 Purchase Agreement for warrants and shares of common stock (seePart I, Item 1, Note 8. Warrant Liability) and $2.1 million of non-cash interest expense related to the modification of notes payable during the three months ended March 31, 2025 (seePart I, Item 1, Note 7. Notes Payable and Derivative Liability).
Current wording
The decrease in interest expense during the six months ended June 30, 2026 compared to the same period in 2025 relates to $7.3 million of non-cash interest expense representing the discount on the 2025 Purchase Agreement for warrants and shares of common stock during the six months ended June 30, 2025 (seePart I, Item 1, Note 8. Warrant Liability) and $2.1 million non-cash interest expense related to the modification of notes payable during the six months ended June 30, 2025 (seePart I, Item 1, Note 7. Notes Payable and Derivative Liability). These decreases were partially offset by accelerated non-cash interest expense related to the conversions of notes payable during the six months ended June 30, 2026.
Previous wording
Unrealized gain on derivative liability reflects the revaluation of our derivative liability associated with notes payable as of March 31, 2026. Due to the decrease in the fair value of the derivative liability as of March 31, 2026 driven primarily by the decrease in our stock price, we recognized an unrealized gain. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liabilityfor additional discussion.
Current wording
Unrealized gain (loss) on derivative liability reflects the revaluation of our derivative liability associated with notes payable as of June 30, 2026. Due to the decrease in the fair value of the derivative liability as of June 30, 2026 driven primarily by the value of equity conversions, we recognized an unrealized loss. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability for additional discussion.
Previous wording
Unrealized gain on warrant liability reflects the revaluation of our warrant liability as of March 31, 2026. Due to the decrease in the fair value of the warrant liability as of March 31, 2026 driven primarily by the decrease in our stock price, we recognized an unrealized gain. SeePart I, Item 1, Note 8. Warrant Liabilityfor additional discussion.
Current wording
Unrealized gain on warrant liability reflects the revaluation of our warrant liability as of June 30, 2026. Due to the decrease in the fair value of the warrant liability as of June 30, 2026 driven primarily by the decrease in our stock price, we recognized an unrealized gain. SeePart I, Item 1, Note 8. Warrant Liability for additional discussion.
Previous wording
As a result of the debt exchange during the three months ended March 31, 2026 and the debt modification during the three months ended March 31, 2025, we recognized losses on the extinguishment of notes payable. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liabilityfor additional discussion.
Current wording
As a result of the debt exchange during the six months ended June 30, 2026 and the debt modification during the six months ended June 30, 2025, we recognized losses on the extinguishment of notes payable. SeePart I, Item 1, Note 7. Notes Payable and Derivative Liability for additional discussion.
Previous wording
We have incurred significant losses since inception. We have funded operations to date primarily through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from development contract revenues, product sales, and licensing activities. As of March 31, 2026, the Company had $46.1 million in cash and cash equivalents. In addition to cash and cash equivalents, the Company also has potential availability of $42.0 million left on our existing $150.0 million ATM facility that was put in place in the first quarter of 2024, subject to certain limitations, including ongoing listing on The Nasdaq Global Market.
Current wording
We have incurred significant losses since inception. We have funded operations to date primarily through the sale of common stock, convertible preferred stock, warrants, the issuance of convertible debt and, to a lesser extent, from development contract revenues, product sales, and licensing activities. As of June 30, 2026, we had $27.2 million in cash and cash equivalents. In addition to cash and cash equivalents, we also have potential availability of $41.2 million on our existing $150.0 million ATM facility that was put in place in the first quarter of 2024, subject to certain conditions.
Previous wording
In consideration of the $46.1 million in cash and cash equivalents and $42.0 million on our existing ATM, the Company has total liquidity of $88.1 million. Pursuant to terms of the securities purchase and exchange agreement entered into in February 2026, we will maintain minimum cash liquidity of the lesser of $21.5 million or 110% of the then outstanding balance of the Note for the remaining duration of the Note term. Based on our current operating plan, including expected financing activities, we anticipate that we have sufficient cash and cash equivalents to fund our operations for at least the next 12 months.
Current wording
In consideration of the $27.2 million in cash and cash equivalents and $41.2 million available capacity on our existing ATM, we have potential total liquidity of $68.4 million. Pursuant to terms of the securities purchase and exchange agreement entered into in February 2026, as amended, we are required to maintain minimum cash liquidity of the lesser of $17.5 million or 110% of the then outstanding balance of the Notes for so long as the Notes remain outstanding.
Previous wording
Cash used in operating activities totaled $16.4 million during the three months ended March 31, 2026 compared to cash used in operating activities of $14.1 million during the same period in 2025. Cash used in operating activities resulted primarily from cash used to fund our net loss, after adjusting for non-cash charges such as interest expense, share-based compensation, depreciation and amortization charges, unrealized and realized gains and losses, and changes in operating assets and liabilities. The changes in cash used in operating activities were primarily attributed to increased operating expenses related to personnel and operations; seePart I, Item 1, Note 4. Business Combinations.
Current wording
Cash used in operating activities totaled $35.6 million during the six months ended June 30, 2026 compared to cash used in operating activities of $26.8 million during the same period in 2025. Cash used in operating activities resulted primarily from cash used to fund our net loss, after adjusting for non-cash charges such as interest expense, share-based compensation, depreciation and amortization charges, unrealized and realized gains and losses, and changes in operating assets and liabilities. The overall increase in cash used in operating activities for the first half of 2026 compared to the same period of the prior year is primarily attributable to increased operating expenses related to personnel and operations following the acquisitions closed in January 2026, as well as separation costs stemming from the Redmond-based workforce reduction; seePart I, Item 1, Note 4. Business Combinations.
Previous wording
During the three months ended March 31, 2026, net cash provided by investing activities was $9.2 million compared to net cash provided by investing activities of $3.1 million during the three months ended March 31, 2025. During the three months ended March 31, 2026, we sold short-term investment securities totaling $42.5 million to, in part, fund the $33.2 million purchase price to acquire from Luminar Technology, Inc. (“Luminar”) certain assets related to Luminar’s worldwide lidar sensor business (seePart I, Item 1, Note 4. Business Combinations). During the three months ended March 31, 2025, we purchased short-term investment securities totaling $10.3 million and sold short-term investment securities totaling $13.5 million.
Current wording
During the six months ended June 30, 2026, net cash provided by investing activities was $8.9 million compared to net cash provided by investing activities of $2.8 million during the same period in 2025. During the six months ended June 30, 2026, we sold short-term investment securities totaling $42.5 million, in part, to fund the $33.2 million purchase price to acquire from Luminar Technology, Inc. (“Luminar”) certain assets related to Luminar’s worldwide lidar sensor business (seePart I, Item 1, Note 4. Business Combinations). During the six months ended June 30, 2025, we purchased short-term investment securities totaling $19.3 million and sold short-term investment securities totaling $22.4 million.
Previous wording
Cash provided by financing activities totaled $21.0 million during the three months ended March 31, 2026, compared to net cash provided by financing activities of $8.2 million during the same period of 2025. During the three months ended March 31, 2026, we received approximately $20.7 million in net proceeds, inclusive of certain debt issuance costs, from the issuance of a $22.4 million senior secured convertible note (seePart I, Item 1, Note 7. Notes Payable and Derivative Liability). Net proceeds from issuance of common stock and warrants were $0.3 million during the three months ended March 31, 2026 compared to $8.2 million during the three months ended March 31, 2025.
Current wording
Net cash provided by financing activities totaled $21.4 million during the six months ended June 30, 2026, compared to net cash provided by financing activities of $43.3 million during the same period of 2025. During the six months ended June 30, 2026, we received approximately $20.7 million in net proceeds, inclusive of certain debt issuance costs, from the issuance of a $22.4 million senior secured convertible note (seePart I, Item 1, Note 7. Notes Payable and Derivative Liability). Net proceeds from issuance of common stock and warrants were $0.8 million during the six months ended June 30, 2026 compared to $43.3 million during the same period of 2025.
Rearranged current paragraphs (2)
Current report — wording carried from elsewhere
The increase in sales, marketing, general and administrative expense during the six months ended June 30, 2026 compared to the same period in 2025 was primarily due to higher professional and purchased services fees of $4.9 million primarily related to acquisitions, higher salary and benefits expense of $2.6 million due to increased headcount from acquisitions, and higher restructuring charges of $0.1 million. These increases were partially offset by lower share-based compensation expense of $1.6 million.
Current report — wording carried from elsewhere
The increase in interest expense during the three months ended June 30, 2026 compared to the same period in 2025 primarily relates to accelerated non-cash interest expense related to the conversions of notes payable during the three months ended June 30, 2026 (seePart I, Item 1, Note 7. Notes Payable and Derivative Liability).