Key Highlights

● The WiseEye HX6538 AI processor was integrated into Alibaba's Qwen Glasses N1 series.

● Second-quarter revenue was US$227.4 million, up 14.2% from the first quarter.

● Gross margin improved to 33.1% from 30.4% in the first quarter.

● Cash and other financial assets were US$298.7 million at 30 June.

Latest verified development

On 14 October 2026 Himax Technologies, Inc. (NASDAQ:HIMX) announced that its WiseEye ultralow-power AI processor, the HX6538, has been integrated into Alibaba Group Holding (NYSE:BABA)'s Qwen Glasses N1 series. The chip is built on an Arm Cortex-M55 CPU with an Ethos-U55 AI accelerator and draws about 5 mW. It runs on-device visual AI for real-time human and event detection independently of the main camera system, and wakes the host system when it detects relevant activity.

The aim is to let the glasses sense their surroundings continuously while reducing overall power use and extending battery life. Other recent product items include an eDP touch-and-display driver for automotive displays on 8 September and a palm-vein authentication design in a smart lock on 18 August.

What the release does not say

The release discloses no revenue, order volumes, pricing or guidance. Chief executive Jordan Wu said the selection further validates WiseEye's strengths in ultralow-power operation, always-on sensing and on-device AI processing, and the company described it as a long-term growth opportunity in smart glasses and wearables.

It is therefore a design win rather than a quantified sales event. Whether it becomes material depends on unit volumes of the glasses and Himax's content per device, neither of which was disclosed. In the second quarter automotive products, not consumer wearables, drove the upside, so smart glasses remain an emerging opportunity set against a business still dominated by display drivers.

Himax also announced on 1 July a proposed disposal of its investment in an equity-method investee.

Latest reported results

Himax reported second-quarter 2026 results on 6 August. Revenue was US$227.4 million, up 14.2% from the first quarter and above the guided range of 10% to 13%, mainly on better-than-expected automotive integrated-circuit sales. Gross margin was 33.1%, against 30.4% in the first quarter. GAAP earnings were US$0.114 per diluted ADS, on after-tax profit of US$19.9 million, above the guided range of 8.6 to 10.3 cents. Operating income was US$24.6 million, a margin of 10.8%.

Small and medium display driver revenue was US$162.3 million, large display drivers were US$19.2 million, down 21.0%, and non-driver products were US$45.9 million, up 17.7%. Automotive was the largest contributor at well over half of revenue.

Guidance and balance sheet

For the third quarter the company guided revenue growth of 7% to 11% from the second quarter, gross margin of about 34% and earnings of 8.0 to 10.0 cents per diluted ADS, including roughly US$11.8 million of employee bonus expense. That growth range implies third-quarter revenue of roughly US$243 million to US$252 million. These figures are forecasts, not results.

Cash, cash equivalents and other financial assets were US$298.7 million at 30 June, up from US$287.6 million a quarter earlier. The company paid a US$44 million annual dividend on 10 July and expects third-quarter cash to decline because of that payment and a planned distribution of about US$11.7 million in vested employee bonus awards.

Smart glasses and the 5 November call

Himax has scheduled its third-quarter results call for 5 November 2026 at 8:00 am EST. The design win is validation of WiseEye rather than a sales forecast, with volumes undisclosed. The guided gross margin of about 34% for the third quarter compares with 33.1% in the second.