inTEST (INTT) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue reached $32.8 million, up 25.1% sequentially but down 10.3% year-over-year, with gross margin expanding to 45.4% and adjusted EPS of $0.16, driven by strong demand and order momentum in diversified end markets.

• Orders for Q4 rose 22.2% year-over-year to $37.5 million, with backlog up 36% year-over-year to $53.9 million, providing strong forward visibility into 2026.

• Nearly 80% of Q4 revenue came from non-semi markets, reflecting successful diversification and reduced reliance on the semi business.

• New product introductions, especially from Alfamation and Acculogic, contributed significantly to revenue and margin improvement.

• Continued execution of Vision 2030 strategy, emphasizing market diversification and innovation.

Financial highlights

• Q4 revenue was $32.8 million; full-year 2025 revenue was $113.8 million, down 12.9% year-over-year.

• Q4 gross margin was 45.4%, up 350 bps sequentially and 570 bps year-over-year, aided by higher-margin new products and cost actions.

• Q4 net income was $1.2 million; adjusted EBITDA was $3.2 million (9.7% margin); full-year net loss was $2.5 million; adjusted EBITDA was $4.0 million (3.5% margin).

• Q4 adjusted EPS was $0.16; full-year adjusted EPS was $0.06 (vs. $0.51 in 2024).

• Debt reduced by $7.6 million in 2025, ending with $7.5 million outstanding and $58 million in liquidity, including $18.1 million in cash equivalents.

Outlook and guidance

• 2026 revenue guidance: $125–$130 million (midpoint 12% growth over 2025); gross margin ~45%; operating expenses $53–$55 million.

• Q1 2026 guidance: revenue $31–$33 million, gross margin ~44%, operating expenses $13.3–$13.7 million.

• Guidance assumes modest semi recovery in H2 2026, with growth driven by industrial, aerospace, defense, auto EV, and life sciences.

• Capital expenditures expected at 1–2% of revenue; effective tax rate ~18%.

• Guidance excludes potential acquisitions and restructuring.