Impinj Stock Earnings Reports

Impinj reported Q1 2026 revenue of $74.3M (down 20% sequentially, flat YoY). Endpoint IC revenue was $63.2M (down sequentially, up 3% YoY) and systems revenue was $11.0M (down both sequentially and YoY). Adjusted EBITDA was $3.4M (4.5% margin); GAAP net loss was $25.3M; non‑GAAP net income was $4.4M, or $0.14/sh. Cash, cash equivalents and investments totaled $235.2M and inventory was $86.3M. Management highlighted record endpoint IC bookings in Q1, driven by a custom ASIC ramp for a large North American supply‑chain customer, retailer rebuys, and customers booking beyond standard lead times. Inlay partner channel inventory declined sequentially and entered Q2 at healthy levels. Gross margin was 52.4% in Q1; management said a one‑time back‑end production issue (~100 bps headwind) is fixed and product gross margin should increase sequentially in Q2 (also helped by $17M license revenue in Q2 comparables). OpEx was $35.5M and expected to be similar in Q2, with seasonal step‑ups in the back half of the year. Notable corporate actions: opportunistic repurchase of $40.2M principal of convertible notes to reduce potential dilution (~400k shares). Key market opportunities called out: (1) large North American supply‑chain customer converting fully to a custom ASIC (volumes expected to more than double in Q2 and complete conversion by year‑end), enabling upstream expansion, (2) continued retail apparel momentum and Gen2X benefits improving tag readability, and (3) a large European grocer exceeding readability targets and progressing toward a full store self‑checkout pilot — a potentially massive grocery opportunity. Management emphasized continued investment in enterprise solutions (ML on readers, Gen2X improvements) while adopting a prudent stance for H2 2026 given macro uncertainty. Q2 guidance: revenue $103M–$106M, adjusted EBITDA $27.8M–$29.3M, non‑GAAP EPS $0.77–$0.82.