Sequans Communications 6-K, filed Aug 4, 2026

Sequans Communications (SQNS)

6-K 2026-08-04 For: 2026-06-30

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Added on August 04, 2026

About this 6-K

Sequans Communications filed this 6-K on August 4, 2026.

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Exhibit			Description

99.1			Press release dated August 4, 2026


(in US$ millions, except share and per share data)	Q2 2026		Q1 2026 (1)		Q2 2025 (2)
Revenue	$7.5		$6.1		$8.1
Gross profit	$2.5		$2.3		$5.2
Gross margin (%)	32.9	%	37.7	%	64.4	%
Operating income (loss)	($7.2)		($50.5)		($8.5)
Net profit (loss)	($9.8)		($76.2)		($9.0)
Diluted income (loss) per ADS	($0.65)		($5.23)		($3.53)
Non-IFRS diluted income (loss) per ADS (3)	($0.27)		($1.41)		($3.14)
Weighted average number of diluted ADS (IFRS)	14,983,376		14,576,046		2,540,605
Weighted average number of diluted ADS (Non-IFRS)	14,983,376		14,576,046		2,540,605
(1) The financial results for Q1 2026 differ from the preliminary unaudited results disclosed in the Company’s May 5, 2026 earnings press releases. The changes primarily relate to the re-evaluation of the value of the convertible debt upon the amendment on February 10, 2026 to permit the full redemption of the notes.
(2) The financial results for 2025 differ from the preliminary unaudited results disclosed in the Company’s July 31, 2025 earnings press releases. The changes primarily relate to the finalization of purchase accounting and other adjustments attributable to normal year-end closing procedures, audit adjustments, and the completion of management’s review.
(3) See Use of Non-IFRS/non-GAAP Financial Measures disclosure on page 3.


		Three months ended
(in thousands of US$, except share and per share amounts)		June 30, 2026.		March 31, 2026 (1)		June 30, 2025 (2)


Revenue		7,459		6,054		8,142
Cost of revenue		(5,005)		(3,771)		(2,900)
Gross profit		2,454		2,283		5,242


Research and development expense		(7,541)		(7,368)		(8,489)
Sales and marketing expense		(2,059)		(2,023)		(2,198)
General and administrative expense		(2,333)		(2,375)		(3,019)
Digital asset Impairment losses		(3,007)		(29,334)		—
Digital asset gain (loss) on sales, net		5,275		(11,683)		—


Total operating income (expenses)		(9,665)		(52,783)		(13,706)
Operating profit (loss)		(7,211)		(50,500)		(8,464)
Financial income (expense):
	Interest income (expense), net	(2,384)		(4,855)		138
	Change in fair value of derivative financial instruments	170		10,630		—
	Gain (loss) on debt extinguishment	—		(31,498)		—
	Foreign exchange gain (loss)	(135)		153		(476)
Profit (Loss) before income taxes		(9,560)		(76,070)		(8,802)
Income tax expense		(212)		(146)		(154)
Profit (Loss)		$	(9,772)	$	(76,216)	$	(8,956)
Attributable to:
	Shareholders of the parent	(9,772)		(76,216)		(8,956)
	Minority interests	—		—		—
Basic income (loss) per ADS		($0.65)		($5.23)		($3.53)
Diluted income (loss) per ADS		($0.65)		($5.23)		($3.53)
Weighted average number of ADS used for computing:
— Basic		14,983,376		14,576,046		2,540,605
— Diluted		14,983,376		14,576,046		2,540,605
(1) The financial results for the three months ended March 31, 2026 differ from the preliminary unaudited results disclosed in the Company’s May 5, 2026 earnings press releases. The changes primarily relate to the re-evaluation of the value of the convertible debt upon the amendment on February 10, 2026 to permit the full redemption of the notes.
(2) The financial results for the six months ended June 30, 2025 differ from the preliminary unaudited results disclosed in the Company’s July 31, 2025 earnings press releases. The changes primarily relate to the finalization of purchase accounting and other adjustments attributable to normal year-end closing procedures, audit adjustments, and the completion of management’s review.


		Six months ended June 30,
(in thousands of US$, except share and per share amounts)		2026		2025 (1)

Revenue		13,513		16,196
Cost of revenue		(8,776)		(5,763)
Gross profit		4,737		10,433
Other operating Income (expenses)				—
Research and development expense		(14,909)		(15,712)
Sales and marketing expense		(4,082)		(4,553)
General and administrative expense		(4,708)		(5,470)
Digital asset Impairment losses		(32,341)		—
Digital asset losses on sales, net		(6,408)		—

Total operating income (expenses)		(62,448)		(25,735)
Operating profit (loss)		(57,711)		(15,302)
Financial income (expense):
	Interest income (expense), net	(7,239)		506
	Change in fair value of derivative financial instruments	10,800		—
	Gain (loss) on debt extinguishment	(31,498)		—
	Foreign exchange gain (loss)	18		(993)
Profit (Loss) before income taxes		(85,630)		(15,789)
Income tax expense		(358)		(435)
Profit (Loss)		$	(85,988)	$	(16,224)
Attributable to:
	Shareholders of the parent	(85,988)		(16,224)
	Minority interests	—		—
Basic income (loss) per ADS		($5.82)		($6.42)
Diluted income (loss) per ADS		($5.82)		($6.42)
Weighted average number of ADS used for computing:
— Basic		14,778,513		2,528,226
— Diluted		14,778,513		2,528,226
(1) The financial results for the six months ended June 30, 2025 differ from the preliminary unaudited results disclosed in the Company’s July 31, 2025 earnings press releases. The changes primarily relate to the finalization of purchase accounting and other adjustments attributable to normal year-end closing procedures, audit adjustments, and the completion of management’s review.


		At June 30,		At Dec 31,
(in thousands of US$)		2026		2025
ASSETS
	Non-current assets
	Property, plant and equipment	$	3,824	$	4,299
	Intangible assets	8,261		8,522
	Goodwill	3,676		3,676
	Digital assets pledge as collateral for convertible debt	—		141,505
	Digital assets, unrestricted	18,376		45,686
	Deposits and other receivables	746		2,161
	Prepaid expenses	1,891		2,213
	Other non-current financial assets	397		409
	Total non-current assets	37,171		208,471
	Current assets
	Inventories	4,007		3,933
	Trade receivables	5,092		3,278
	Contract assets	169		98
	Prepaid expenses	2,554		2,564
	Other receivables	7,954		5,953
	Research tax credit receivable	5,700		5,898

	Cash and cash equivalents	20,972		13,386
	Total current assets	46,448		35,110
Total assets		$	83,619	$	243,581
EQUITY AND LIABILITIES
	Equity
	Issued capital, euro 0.01 nominal value, 1,525,077,202 shares authorized, issued and outstanding at June 30, 2026 (1,599,589,702 shares at December 31, 2025)	$	17,858	$	18,718
	Share premium	177,169		185,598
	Other capital reserves	78,459		77,515
	Treasury shares	(933)		(9,363)
	Accumulated deficit	(231,062)		(145,074)
	Other components of equity	223		284
	Total equity	41,714		127,678
	Non-current liabilities
	Government research financing	2,354		3,297
	Lease liabilities	1,230		1,225
	Trade payables and other non-current liabilities	200		1,360
	Provisions	2,261		2,112
	Deferred tax liabilities	127		129
	Contract liabilities	2,273		3,157
	Total non-current liabilities	8,445		11,280
	Current liabilities
	Trade payables	10,032		10,081
	Convertible debt	—		56,422
	Convertible debt embedded derivative	—		10,800
	Lease liabilities	73		601
	Government loan	—		979
	Government research financing	3,614		4,308
	Contract liabilities	5,932		7,224
	Income tax liabilities - Parent	3,047		3,124
	Other current liabilities and provisions	10,762		11,084
	Total current liabilities	33,460		104,623
Total equity and liabilities		$	83,619	$	243,581


(in thousands of US$, except share and per share amounts)		Three months ended
		June 30, 2026		March 31, 2026 (3)		June 30, 2025 (4)
IFRS profit (loss) as reported		$	(9,772)	$	(76,216)	$	(8,956)
Add back
	Non-cash stock-based compensation expense according to IFRS 2 (1)	468		476		879
	Non-cash impairment of digital assets	3,007		29,334		—
	Non-cash change in the fair value of embedded derivatives	(170)		(10,630)		—
	Non-cash interest on convertible debt and other financing (2)	2,474		4,979		108
	Non-cash impact on gain (loss) on debt extinguishment	—		31,498		—
Non-IFRS profit (loss) adjusted		$	(3,993)	$	(20,559)	$	(7,969)
IFRS basic profit (loss) per ADS as reported		($0.65)		($5.23)		($3.53)
Add back
	Non-cash stock-based compensation expense according to IFRS 2 (1)	$0.03		$0.03		$0.35
	Non-cash impairment of digital assets	$0.20		$2.01		$0.00
	Non-cash change in the fair value of embedded derivatives	($0.01)		($0.73)		$0.00
	Non-cash interest on convertible debt and other financing (2)	$0.16		$0.34		$0.04
	Non-cash impact on gain (loss) on debt extinguishment	$0.00		$2.16		$0.00
Non-IFRS basic profit (loss) per ADS		($0.27)		($1.41)		($3.14)
IFRS diluted profit (loss) per ADS		($0.65)		($5.23)		($3.53)
Add back
	Non-cash stock-based compensation expense according to IFRS 2 (1)	$0.03		$0.03		$0.35
	Non-cash impairment of digital assets	$0.20		$2.01		$0.00
	Non-cash change in the fair value of embedded derivatives	($0.01)		($0.73)		$0.00
	Non-cash interest on convertible debt and other financing (2)	$0.16		$0.34		$0.04
	Non-cash impact on gain (loss) on debt extinguishment	$0.00		$2.16		$0.00
Non-IFRS diluted profit (loss) per ADS		($0.27)		($1.41)		($3.14)

	(1) Included in the IFRS profit (loss) as follows:
	Cost of product revenue	$	2	$	2	$	13
	Research and development	154		156		181
	Sales and marketing	56		70		191
	General and administrative	256		248		494
	(2) Related to the difference between contractual and effective interest rates
	(3) The financial results for the three months ended March 31, 2026 differ from the preliminary unaudited results disclosed in the Company’s May 5, 2026 earnings press releases. The changes primarily relate to the re-evaluation of the value of the convertible debt upon the amendment on February 10, 2026 to permit the full redemption of the notes.
	(4) The financial results for 2025 differ from the preliminary unaudited results disclosed in the Company’s July 31, 2025 earnings press releases. The changes primarily relate to the finalization of purchase accounting and other adjustments attributable to normal year-end closing procedures, audit adjustments, and the completion of management’s review.


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