Universal Electronics (UEIC) Q3 2026 earnings summary

Executive summary

• Q3 net sales were $89.4M vs. $90.6M a year earlier; GAAP operating income improved to $2.9M from a $4.5M loss, and net loss narrowed to $0.3M from $8.3M.

• Adjusted diluted EPS rose to $0.17 from $0.08; cost reductions lowered Q3 GAAP operating expenses by $8.9M YoY.

• 9M net sales were $241.7M vs. $280.5M; net loss narrowed to $6.0M from $17.5M.

Financial highlights

• Q3 GAAP gross profit was $23.6M vs. $25.1M; gross margin was 26.3% vs. 27.7%, while adjusted non-GAAP gross margin was 26.3% vs. 29.1%.

• Q3 adjusted non-GAAP operating income was $3.7M vs. $1.6M; adjusted operating margin was 4.1% vs. 1.7%.

• Q3 adjusted net income was $2.3M, or $0.17 per diluted share, vs. $1.1M and $0.08 a year earlier.

• 9M adjusted non-GAAP net income was $5.6M vs. $2.0M; gross margin was 29.0% vs. 28.7%.

Outlook and guidance

• FY2026 adjusted non-GAAP diluted EPS guidance was reaffirmed at $0.45–$0.65 vs. $0.31 in FY2025; $0.42 was delivered through 9M 2026.

• Pricing surcharges and permanent adjustments are expected to recover roughly three-quarters of identified annual inflation, with most benefit beginning in Q1 2027.

• Remaining-2026 capital expenditures and patent development spending are estimated at $1.0M–$1.5M; Brazil manufacturing wind-down is expected to be substantially complete in Q1 2027.