Airgain (AIRG) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue rose 19% sequentially and 0.7% year-over-year to $13.7 million, with positive adjusted EBITDA and strong growth in enterprise and automotive segments, while consumer sales remained stable, supported by Wi-Fi 7 demand and Tier 1 relationships.

• Growth was driven by increased demand for IoT modem solutions and AirgainConnect portfolio, with expanded offerings for public safety and critical field operations, and new IoT opportunities in robotics, drones, and data center monitoring.

• Customer engagement and pipeline maturity improved, with more programs advancing to trials and deployments, including five Tier 2 design wins and a major Tier 1 opportunity reaching final certification.

• Strategic focus remains on converting AirgainConnect pipeline, advancing Lighthouse commercialization, and increasing operating leverage.

• The company completed a non-cash acquisition of the HPUE product business from Nextivity, resulting in a $0.3 million gain.

Financial highlights

• Q2 2026 sales were $13.7 million, up 19% sequentially and 0.7% year-over-year; non-GAAP gross margin was 43.6%, GAAP gross margin was 42.3%.

• Adjusted EBITDA was $0.4 million, up $1.3 million sequentially; non-GAAP net income was $0.3 million ($0.02 per share), while GAAP net loss was $1.7 million ($0.13 per share).

• Non-GAAP operating expenses were $5.7 million, down 12% year-over-year; GAAP operating expenses were $7.5 million.

• Cash and cash equivalents at June 30, 2026, were $7.6 million.

• Net cash provided by financing activities in the first half of 2026 was $2.9 million, primarily from equity issuance and option exercises.

Outlook and guidance

• Q3 2026 sales projected at $14.25–$16.25 million (midpoint $15.25 million), with non-GAAP gross margin expected between 41.5%–44.5% (midpoint 43%).

• Non-GAAP operating expenses projected at $6 million; non-GAAP EPS at $0.04; adjusted EBITDA at $0.7 million.

• GAAP net loss per share expected at $(0.03); non-GAAP net income per share at $0.04.

• Management expects continued investment in engineering and sales to drive long-term growth, with existing cash expected to meet working capital needs for at least the next 12 months.

• Enterprise and automotive expected to drive growth, offset by a sequential decline in consumer due to supply and regulatory timing issues.