Mobileye raises annual revenue forecast on autonomous driving chip demand

July 24 (Reuters) - Self-driving technology firm Mobileye Global MBLY.O raised its forecast for fiscal 2025 revenue on Thursday, anticipating a rise in orders for its autonomous driving chips as customers clear existing inventory.

Shares of the company rose more than 8% in premarket trading.

Automakers have largely resumed placing orders for self-driving hardware after an inventory surplus — caused by COVID-19-related supply concerns several years ago — led to a prolonged slump in demand.

Mobileye now expects annual revenue between $1.77 billion and $1.89 billion, compared with its previous forecast of $1.69 billion to $1.81 billion.

"Stronger visibility on industry supply-demand alignment since late-April supports our decision to raise the full-year outlook, while we continue to maintain a conservative stance given the broader macro environment," said Mobileye CEO Amnon Shashua.