Socket Mobile (SCKT) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue was $3.0 million, down 25% year-over-year and 18% sequentially.

• Gross margin declined to 46.4% from 49.9% in Q2 2025 and 51.3% in Q1 2026.

• Operating loss increased to $1.2 million from $687,000 in Q2 2025 and $767,000 in Q1 2026.

• Net loss for the quarter was $1.3 million, compared to $792,000 in Q2 2025.

• Management is focused on cost control, aligning expenses with market conditions, and rolling out AI-driven efficiency initiatives.

Financial highlights

• Adjusted EBITDA loss was $745,000, compared to $100,000 in Q2 2025 and $298,000 in Q1 2026.

• Loss per share was $0.16, up from $0.10 in Q2 2025 and $0.11 in Q1 2026.

• Cash balance at quarter-end was $1.6 million, down from $2.0 million at year-end 2025 and $1.7 million at the end of Q1 2026.

• Inventory reduced to $3.8 million from $3.9 million sequentially.

• Total assets decreased to $12.4 million from $14.4 million at December 31, 2025.

Outlook and guidance

• Management expects continued cost discipline and efficiency gains from AI initiatives.

• Anticipates growth in industrial scanning market, with direct enterprise sales expected to increase.

• No going concern issues raised by auditors; bank line remains untapped as a liquidity option.

• Focus remains on supporting customers and pursuing growth opportunities despite market uncertainty.