Innodata (INOD) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 2026 results with revenue of $92.1 million, up 58% year-over-year, and all key metrics exceeding consensus estimates.

• Adjusted EBITDA reached $25.4 million, up 92% year-over-year, representing 27.5% of revenue.

• Net income for Q2 2026 was $14.4 million, or $0.43 per basic share, doubling from the prior year.

• Leadership transition announced: Rahul Singhal to become President and CEO, Jack Abuhoff to Executive Chairman.

• Customer base diversified, with the largest customer now 37% of revenue (down from 56% in Q1), and a Big Tech customer scaling to 34%.

Financial highlights

• Revenue: $92.1 million for Q2 2026, up 58% year-over-year, exceeding consensus by $5.8 million.

• Adjusted gross profit: $45.4 million (49% margin), up from $23.0 million (39%) in Q2 2025.

• Adjusted EBITDA: $25.4 million for Q2, up from $13.2 million in Q2 2025.

• Net income: $14.4 million for Q2, EPS $0.43 basic, $0.41 diluted.

• Cash, cash equivalents, and short-term investments: $250.4 million as of June 30, 2026, up from $82.2 million at year-end.

Outlook and guidance

• Reiterated full-year 2026 revenue growth guidance of 40% or more year-over-year.

• Large new potential engagements in the pipeline are not yet included in forecasts; will be added only when fully secured.

• Management expects existing cash and internally generated funds to provide sufficient liquidity for at least the next 12 months.