Impinj (PI) Q4 2025 earnings summary

Executive summary

• 2025 was challenging due to tariffs, supply chain disruptions, inventory reductions, and slow adoption in key markets, but year-over-year endpoint IC volumes grew 9% and market share increased.

• Achieved record adjusted EBITDA and cash in 2025, with successful launches of M800 and Gen2X, and a custom endpoint IC for a major logistics customer now in production.

• Shipped over 150 billion endpoint ICs and 6 million connectivity devices as of December 31, 2025.

• Focused on developing whole-platform solutions for enterprise customers, accelerating solutions strategy with new executive leadership and partnerships.

• Achieved major deployments with global enterprises in retail, logistics, and supply chain sectors.

Financial highlights

• Full-year 2025 revenue was $366.1M, with Q4 revenue between $92.8M and $96.1M; endpoint ICs contributed up to $78.8M in Q4.

• Q4 2025 gross margin was 54.5% (non-GAAP), up from Q3; full-year non-GAAP gross margin was 55.3%.

• Q4 adjusted EBITDA was $16.4M; full-year adjusted EBITDA was a record $69.6M (19.3% margin).

• Q4 non-GAAP net income was $15.6M ($0.50/share); full-year non-GAAP net income was $64.2M ($2.11/share).

• Free cash flow for 2025 was $45.9M; cash and investments at year-end totaled $279.1M.

Outlook and guidance

• Q1 2026 revenue expected between $71M and $74M, with non-GAAP net income projected at $2.5M to $4M ($0.08–$0.13/share).

• Q1 adjusted EBITDA forecasted at $1.2M to $2.7M; GAAP net loss projected at $16.6M to $15.1M.

• Q1 endpoint IC and systems revenue expected to decline sequentially due to inventory reductions and project timing.

• Gross margin expected to decline sequentially in Q1 due to lower revenue and annual price reductions.