Ideal Power (IPWR) Q3 2026 earnings summary

Executive summary

• Sales funnel expanded to ~$450M, split roughly evenly between automotive and AI data center/industrial circuit-protection opportunities; focus remains converting evaluations into design-ins and volume orders.

• Customer programs are taking longer than expected to reach production as system architectures and specifications evolve.

• Q3 progress included a Power Integrations intelligent circuit-breaker prototype, RDK shipments, and functional first silicon from the foundry.

Financial highlights

• Q3 2026 revenue was $7,000 vs. $24,450 in Q3 2025; gross loss was $2,768 vs. $1,619.

• Operating expenses were $3.92M vs. $3.02M, mainly reflecting personnel, stock compensation and non-cash patent impairments; operating loss was $3.92M vs. $3.02M.

• Net loss was $3.58M vs. $2.94M in Q3; 9M net loss was $10.63M vs. $8.68M.

Outlook and guidance

• AI data center product revenue is expected mainly in H2 2027, following H1 development agreements, NRE work and potential small/RDK orders; revenue is expected to build over multiple years.

• Q4 2026 cash burn guidance is $2.7M–$2.9M; FY 2026 cash burn is forecast at $10.4M–$10.6M vs. $9.6M in 2025.

• Near-term priorities include customer NRE agreements, broader RDK shipments, advancing Stellantis’ EV contactor program and completing JEDEC qualification by year-end 2026.

• Operating expenses may increase modestly as sales and engineering teams expand; quarterly R&D and stock-compensation expense may vary.