Inseego (INSG) investor relations material

Executive summary

• Q2 2026 revenue reached $44.0 million, at the high end of guidance, up 9.7% year-over-year and 28% sequentially, driven by strong mobile solutions growth, new carrier wins, and a diversified product portfolio.

• Adjusted EBITDA for Q2 2026 was $0.5 million, with a GAAP net loss of $8.4 million, reflecting continued profitability on an adjusted basis amid ongoing investments and higher operating expenses.

• The company launched refreshed mobile products across all three North American Tier-1 carriers and expanded international operations, including new leadership and Amsterdam as the international hub.

• The Nokia FWA business acquisition, expected to close in Q4 2026, is anticipated to double revenue, expand global reach, and includes a contingent EBITDA reimbursement from Nokia if the acquired business is unprofitable in the first year.

• Product delays and engineering process limitations created a revenue gap for 2026 that will not be fully recovered, despite new customer wins and expanded product launches.

Financial highlights

• Q2 2026 total revenue was $44.0 million, up 9.4% year-over-year and 28% sequentially; product revenue was $31.7 million (72% of total), mobile solutions revenue was $17.3 million (up 26% YoY), FWA revenue was $14.4 million, and software/services revenue was $12.3 million.

• Q2 2026 non-GAAP gross margin was 34.4%, while GAAP gross margin was 33.8%, both pressured by higher memory/component costs.

• Q2 2026 adjusted EBITDA was $0.5 million (1.2% margin); GAAP net loss was $8.4 million, or $(0.52) per share.

• Cash and cash equivalents at June 30, 2026 were $1.9 million, with $10 million drawn on a $20 million working capital facility and $49 million in long-term debt due 2029.

• Net cash used in operating activities for the first half of 2026 was $22.1 million; net cash used in investing activities was $8.3 million.

Outlook and guidance

• Full-year 2026 revenue outlook is approximately $155 million, reflecting lower second half expectations due to product delays, slower FWA customer recovery, and removal of MSO revenue.

• Q3 2026 revenue guidance is $28.0 million–$35.0 million, with adjusted EBITDA expected between negative $2.0 million and negative $1.0 million.

• Gross margin is expected to improve in Q3 as memory cost increases are passed through to customers.

• The Nokia FWA acquisition is expected to close in Q4 2026, with integration and synergy realization risks noted.

• MSO revenue opportunity ($15–$20 million) removed from 2026 outlook and treated as upside.