Spok (SPOK) Q2 2026 earnings summary

Executive summary

• Achieved a 92% sequential increase in software operations bookings, totaling $9.5 million, with 14 six-figure and one seven-figure new customer contracts, including one of the largest in company history, reflecting strong execution and strategic focus on software revenue growth.

• Adjusted EBITDA reached $9.1 million in Q2 2026, up 22.1% year-over-year and nearly 74% sequentially, marking a record quarter.

• Net income for Q2 2026 was $4.1 million, down from $4.6 million in Q2 2025, impacted by $1.5 million in severance and restructuring charges.

• Closed the sale of narrowband spectrum licenses for $8 million in July 2026, with most proceeds received and gain to be recognized in Q3; no federal tax expected due to deferred tax assets.

• Strategic realignment in April 2026 resulted in a 10% workforce reduction, expected to save over $6 million annually and included $1.5 million in restructuring charges.

Financial highlights

• Q2 2026 total revenue was $35.0 million, down 1.9% year-over-year; software revenue rose 3.2% to $17.8 million, driven by 51.7% growth in license revenue and 53.4% in managed services, while wireless revenue declined 6.7% to $17.2 million.

• Adjusted operating expenses fell nearly 8% year-over-year to $27.1 million, reflecting benefits from strategic realignment.

• Cash and cash equivalents stood at $16.6 million as of June 30, 2026, with no debt.

• $6.5 million was returned to stockholders in Q2 2026 via dividends.

• Dividend of $0.3125 per share declared for Q3 2026.

Outlook and guidance

• 2026 total revenue guidance is $132.5 million–$139.5 million, with a midpoint of $136 million, slightly lowered due to deal timing and shorter contract terms.

• Wireless revenue expected at $67.0–$70.0 million; software revenue at $65.5–$72.0 million.

• Adjusted EBITDA guidance remains $28.0–$32.0 million, with a midpoint of $30 million.

• Year-end 2026 cash balances projected at $26 million–$29 million, up from $16.6 million at Q2 close.

• Sufficient liquidity is anticipated for both short- and long-term needs.