Impinj Reports First Quarter 2026 Financial Results

SEATTLE--(BUSINESS WIRE)-- Impinj, Inc. (Nasdaq: PI), a leading RAIN RFID provider and Internet of Things pioneer, today released its financial results for the first quarter ended March 31, 2026. “Our first-quarter results were solid, with revenue and adjusted EBITDA exceeding the top end of our guide range,” said Chris Diorio, Impinj co-founder and CEO. “Endpoint IC bookings hit an all-time record, engendering a strong second-quarter revenue outlook” First Quarter 2026 Financial Summary Revenue of $74.3 million GAAP gross margin of 49.1%; non-GAAP gross margin of 52.4% GAAP net loss of $25.3 million, or loss of $0.83 per diluted share using 30.3 million shares Adjusted EBITDA of $3.4 million Non-GAAP net income of $4.4 million, or income of $0.14 per diluted share using 31.0 million shares A reconciliation between GAAP and non-GAAP information is contained in the tables below. Additionally, descriptions of these non-GAAP financial measures are provided in the “Non-GAAP Financial Measures” sections below. Second Quarter 2026 Financial Outlook Impinj provides guidance based on current market conditions and expectations; actual results may differ materially. Please refer to the comments below regarding forward-looking statements. The following table presents Impinj’s financial outlook for the second quarter of 2026 (in millions, except per share data): Three Months Ending June 30, 2026 Revenue $103.0 to $106.0 GAAP Net income $7.6 to $9.1 Adjusted EBITDA income $27.8 to $29.3 GAAP Weighted-average shares — diluted 31.3 to 31.5 GAAP Net income per share — diluted $0.24 to $0.29 Non-GAAP Net income $24.6 to $26.1 Non-GAAP Weighted-average shares — diluted(1) 32.6 to 32.8 Non-GAAP Net income per share — diluted(1) $0.77 to $0.82 (1) Non-GAAP diluted net income per share includes the impact of our convertible debt, using the if-converted method, which assumes full share settlement. To arrive at Non-GAAP diluted net income per share, interest expense is added back to net income and weighted average shares include total shares issuable at conversion of 1.2 million. A reconciliation between GAAP and non-GAAP financial measures is provided in the “Non-GAAP Financial Measures” section below. Conference Call Information Impinj will host a conference call and webcast to discuss its first-quarter 2026 results and second-quarter 2026 outlook today, April 29, 2026 at 5:00 p.m. ET / 2:00 p.m. PT. Interested parties may access the call by dialing +1-412-317-1863. A live webcast and replay will also be available on the company’s website at investor.impinj.com. Following the call, a telephonic replay will be available for five business days and may be accessed by dialing +1-412-317-0088 and entering passcode 6529184. Management’s prepared written remarks, along with quarterly financial data, will be made available on Impinj’s website at investor.impinj.com along with this release. Forward-Looking Statements This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding our financial guidance and considerations for the second quarter of 2026 and future periods. Forward-looking statements are subject to known and unknown risks and uncertainties and are based on potentially inaccurate assumptions that could cause actual results to differ materially from those expected or implied by the forward-looking statements. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. The potential risks and uncertainties that could cause actual results to differ from the results predicted include, among others, those risks and uncertainties included under the caption “Risk Factors” and elsewhere in our annual report on Form 10-K and quarterly reports on Form 10-Q filed with the U.S. Securities and Exchange Commission. All information provided in this release and in the attachments is as of the date hereof, and we undertake no duty to update this information unless required by law. About Impinj Impinj (Nasdaq: PI) helps businesses and people analyze, optimize, and innovate by wirelessly connecting billions of everyday things — such as apparel, automobile parts, luggage, and shipments — to the Internet. The Impinj platform uses RAIN RFID to deliver timely data about these everyday things to business and consumer applications, enabling a boundless Internet of Things. www.impinj.com Impinj is a registered trademark of Impinj, Inc. All other trademarks are the property of their owners. IMPINJ, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except par value, unaudited) March 31, 2026 December 31, 2025 Assets: Current assets: Cash and cash equivalents $ 32,295 $ 48,206 Short-term investments 99,544 127,130 Accounts receivable, net 72,354 70,785 Inventory 86,300 84,961 Prepaid expenses and other current assets 8,545 8,135 Total current assets 299,038 339,217 Long-term investments 103,385 103,766 Property and equipment, net 49,672 50,290 Intangible assets, net 8,815 9,501 Operating lease right-of-use assets 20,500 20,896 Other non-current assets 671 795 Goodwill 20,443 20,721 Total assets $ 502,524 $ 545,186 Liabilities and stockholders’ equity: Current liabilities: Accounts payable $ 15,442 $ 13,614 Accrued compensation and employee related benefits 10,827 9,936 Accrued and other current liabilities 3,352 3,664 Current portion of operating lease liabilities 1,521 776 Current portion of long-term debt — 96,745 Current portion of deferred revenue 1,358 1,791 Total current liabilities 32,500 126,526 Long-term debt 241,470 184,141 Operating lease liabilities, net of current portion 22,078 22,536 Deferred tax liabilities, net 1,929 2,062 Deferred revenue, net of current portion 641 690 Total liabilities 298,618 335,955 Stockholders’ equity: Common stock, $0.001 par value 30 30 Additional paid-in capital 627,840 606,852 Accumulated other comprehensive income 1,457 2,509 Accumulated deficit (425,421 ) (400,160 ) Total stockholders’ equity 203,906 209,231 Total liabilities and stockholders’ equity $ 502,524 $ 545,186 IMPINJ, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (in thousands, except per share data, unaudited) Three Months Ended March 31, 2026 2025 Revenue $ 74,250 $ 74,277 Cost of revenue 37,791 37,596 Gross profit 36,459 36,681 Operating expenses: Research and development 28,724 25,314 Sales and marketing 9,757 8,055 General and administrative 12,609 12,396 Amortization of intangibles 537 485 Total operating expenses 51,627 46,250 Loss from operations (15,168 ) (9,569 ) Other income, net 2,666 2,060 Induced conversion expense (11,938 ) — Interest expense (773 ) (1,223 ) Loss before income taxes (25,213 ) (8,732 ) Income tax benefit (expense) (48 ) 281 Net loss $ (25,261 ) $ (8,451 ) Net loss per share — basic $ (0.83 ) $ (0.30 ) Net loss per share — diluted $ (0.83 ) $ (0.30 ) Weighted-average shares outstanding — basic 30,292 28,639 Weighted-average shares outstanding — diluted 30,292 28,639 IMPINJ, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands, unaudited) Three Months Ended March 31, 2026 2025 Operating activities: Net loss $ (25,261 ) $ (8,451 ) Adjustments to reconcile net loss to net cash provided by (used in) operating activities: Depreciation and amortization 3,845 3,521 Stock-based compensation 14,691 12,522 Accretion of discount or amortization of premium on investments (188 ) (590 ) Amortization of debt issuance costs 517 414 Induced conversion expense related to convertible notes 11,938 — Deferred tax expense (103 ) (93 ) Changes in operating assets and liabilities: Accounts receivable (1,601 ) (220 ) Inventory (1,355 ) 896 Prepaid expenses and other assets (202 ) 870 Accounts payable 1,402 (6,623 ) Accrued compensation and employee related benefits 913 (13,401 ) Accrued and other liabilities (832 ) 405 Operating lease right-of-use assets 390 653 Operating lease liabilities 292 (887 ) Deferred revenue (466 ) (159 ) Net cash provided by (used in) operating activities 3,980 (11,143 ) Investing activities: Purchases of investments (21,223 ) (25,910 ) Proceeds from maturities of investments 48,700 49,000 Purchases of property and equipment (1,747 ) (1,863 ) Net cash provided by investing activities 25,730 21,227 Financing activities: Payment of 2021 Notes (47,031 ) — Proceeds from exercise of stock options and employee stock purchase plan 3,010 5,847 Payments of taxes on restricted stock units (1,553 ) (787 ) Net cash provided by (used in) financing activities (45,574 ) 5,060 Effect of exchange rate changes on cash and cash equivalents (47 ) 120 Net increase (decrease) in cash and cash equivalents (15,911 ) 15,264 Cash and cash equivalents Beginning of period 48,206 46,053 End of period $ 32,295 $ 61,317 Non-GAAP Financial Measures To supplement our condensed consolidated financial statements prepared and presented in accordance with U.S. generally accepted accounting principles, or GAAP, our key non-GAAP performance measures include adjusted EBITDA, non-GAAP net income (loss) and free cash flow as defined below. We use adjusted EBITDA and non-GAAP net income (loss) as key measures to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operating plans. We use free cash flow as a key measure when assessing our sources of liquidity, capital resources, and quality of earnings. We believe these measures provide useful information for period-to-period comparisons of our business to allow investors and others to understand and evaluate our operating results in the same manner as our management and board of directors. Our presentation of these non-GAAP financial measures is not meant to be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP, and our non-GAAP measures may be different from similarly termed non-GAAP measures used by other companies. Adjusted EBITDA We define adjusted EBITDA as net income (loss) determined in accordance with GAAP, excluding, if applicable for the periods presented, the effects of stock-based compensation; depreciation and amortization; restructuring costs; settlement income and related costs; induced conversion expense; other income, net; interest expense; acquisition related expense and related purchase accounting adjustments; and income tax benefit (expense). Non-GAAP Net Income (Loss) We define non-GAAP net income as net income (loss), excluding, if applicable for the periods presented, the effects of stock-based compensation; depreciation and amortization; restructuring costs; settlement income and related costs; induced conversion expense; acquisition related expense and related purchase accounting adjustments; and the corresponding income tax impacts of adjustments to net income (loss). Free cash flow We define free cash flow as net cash provided by (used in) operating activities, determined in accordance with GAAP, less purchases of property and equipment. IMPINJ, INC. RECONCILIATIONS OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (in thousands, except percentages, unaudited) Three Months Ended March 31, 2026 2025 GAAP Gross margin 49.1 % 49.4 % Adjustments: Depreciation and amortization 2.7 % 2.6 % Stock-based compensation 0.5 % 0.7 % Non-GAAP Gross margin 52.4 % 52.7 % Certain amounts may be off due to rounding GAAP Net loss $ (25,261 ) $ (8,451 ) Adjustments: Depreciation and amortization 3,845 3,521 Stock-based compensation 14,691 12,522 Other income, net (2,666 ) (2,060 ) Induced conversion expense 11,938 — Interest expense 773 1,223 Income tax benefit (expense) 48 (281 ) Adjusted EBITDA $ 3,368 $ 6,474 GAAP Net loss $ (25,261 ) $ (8,451 ) Adjustments: Depreciation and amortization 3,845 3,521 Stock-based compensation 14,691 12,522 Induced conversion expense 11,938 — Income tax effects of adjustments(1) (815 ) (1,288 ) Non-GAAP Net income $ 4,398 $ 6,304 Non-GAAP Net income per share — diluted $ 0.14 $ 0.21 GAAP Weighted-average shares — diluted 30,292 28,639 Dilutive shares from stock plans 708 806 Non-GAAP Weighted-average shares — diluted 31,000 29,445 (1) The tax effects of the adjustments are calculated using the statutory rate, taking into consideration the nature of the item and relevant taxing jurisdictions. IMPINJ, INC. RECONCILIATIONS OF GAAP FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES (in thousands, except percentages, unaudited) Three Months Ended March 31, 2026 2025 GAAP Net cash provided by (used in) operating activities $ 3,980 $ (11,143 ) Adjustments: Purchases of property and equipment (1,747 ) (1,863 ) Free cash flow $ 2,233 $ (13,006 ) IMPINJ, INC. RECONCILIATIONS OF GAAP FINANCIAL OUTLOOK TO NON-GAAP FINANCIAL OUTLOOK (in thousands, except per share data, unaudited – calculated at the midpoint of the outlook range) Three Months Ending June 30, 2026 GAAP Net income $ 8,318 Adjustments: Forecasted Depreciation and amortization 3,850 Forecasted Stock-based compensation 18,050 Forecasted Interest expense 632 Forecasted Other income, net (2,450 ) Forecasted Income tax expense 100 Adjusted EBITDA $ 28,500 GAAP Net income $ 8,318 Adjustments: Forecasted Depreciation and amortization 3,850 Forecasted Stock-based compensation 18,050 Forecasted Income tax effects of adjustments (4,875 ) Non-GAAP Net income $ 25,343 GAAP Net income per share — diluted $ 0.26 Non-GAAP Net income per share — diluted $ 0.80 GAAP Weighted-average shares — diluted 31,400 Dilutive shares 1,300 Non-GAAP Weighted-average shares — diluted 32,700 View source version on businesswire.com: https://www.businesswire.com/news/home/20260429046627/en/ For more information, contact: Investor Relations Andy Cobb, CFA Vice President, Corporate Finance & Investor Relations +1-206-315-4470 [email protected] Media Relations Emily Schauer Senior Corporate Communications Manager +1 206-209-2923 [email protected] Source: Impinj, Inc.