Mobileye beats estimates, hunts for CEO as founder departs

July 23 (Reuters) - Mobileye Global ‌founder Amnon Shashua ​plans ​to step down as chief executive officer after the appointment of a successor, the autonomous driving technology maker said on ‌Thursday, as it reported second-quarter results that topped Wall Street ⁠estimates.

Mobileye said its board would hire an executive search firm and conduct a comprehensive ‌process to select a new ‌CEO. Shashua will remain a director and has been offered the role of chairman once a successor is appointed.

The Israeli company also ​reported second-quarter revenue of $508 million, beating analysts' estimates of $481.24 million, according to LSEG data.

The ADAS hardware maker's shares were up about 8% ⁠in premarket trading.

Mobileye said demand for next-generation ADAS remains strong, highlighting a new high-volume design win with ​Stellantis, days after the carmaker became the fifth of the world's 10 largest carmakers to contribute data to its ​Road Experience Management (REM) platform.

Automakers have ramped ‌up focus on equipping their vehicles with advanced driver-assistance systems, boosting demand for microprocessors made by Mobileye, which works ⁠with more than 50 original equipment manufacturers, including Ford and Volkswagen.

The company reported strong momentum in Mobileye's core business driving a 3% increase in system shipments ⁠during the quarter.

It said the increase was partly offset by lower average selling prices ​for its EyeQ chips mainly due to higher-than-expected export volumes from Chinese automakers, which typically buy lower-priced chips.

"The core business continued its strong momentum in Q2 as ‌we focus our development and execution efforts on a number of advanced product launches in late 2026 and ‌throughout 2027," Shashua said.

The company also narrowed its 2026 revenue forecast range to $1.97 ⁠billion to $2.02 billion, raising the ‌midpoint by $20 million. Adjusted ​earnings per share of 19 cents also topped estimates of 6 cents.

(Reporting by Rashika Singh in Bengaluru; Editing by ‌Vijay Kishore)

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