Data I/O (DAIO) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $4.9M; adjusted EBITDA loss was $71K, improving from a $563K loss YoY.

• V-TEK and A & J Programming closed in October for $23M, including $3M in equity; the expanded business is expected to nearly double revenue and be immediately accretive.

Financial highlights

• Q3 net sales were $4.9M vs. $5.4M YoY; nine-month sales were $13.3M vs. $17.5M.

• Q3 operating loss was $2.0M and net loss was $2.7M, or $0.27/share, vs. $1.4M and $0.15/share YoY.

• Nine-month net loss was $7.5M, or $0.77/share, vs. $2.5M, or $0.27/share, in 2025.

• Q3 operating expenses were $4.9M, including ~$1.4M of one-time costs; bookings were $5.0M vs. $4.9M in Q2.

Outlook and guidance

• No formal forward guidance; V-TEK is expected to nearly double revenue and be accretive to earnings, with Q4 beginning to reflect acquired revenue.

• Management targeted actioning ~50% of identified cost synergies within 90 days; savings areas include materials, manufacturing, role overlap and operational improvements.

• New core-platform products are planned for Q1 and a new programming platform by the end of 2027; programming-services margins could improve 100–300 bps over time.

• Strategic priorities include programming services, programming and security provisioning platforms, expense optimization and applying AI to integration and operations.