EarningsQ3 2026 Earnings Report
MX:PI Q3 2026 EPS Results
Actual EPS$12.88
Consensus EPS$11.38
Beat/MissBeat by +$1.49
One Year Ago EPS$10.82
MX:PI Q3 2026 Revenue Results
Actual Revenue$2.09B
Expected Revenue$2.00B
Beat/MissBeat by +$91.88M
YoY Revenue Growth+16.69%
Earnings Announcement Details
QuarterQ3 2026
Date10/28/2026
TimeAfter Close
Conference CallWednesday, October 28, 2026
MX:PI Upcoming Earnings
IMPINJ's next earnings date is estimated for February 10, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:PI Q3 2026 Earnings Call
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Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive overall. Management reported record revenue, endpoint IC results, unit volumes, strong bookings, resilient demand across retail and supply chain, expanding food opportunities, improving product gross margin, and double-digit fourth-quarter revenue growth guidance. The main challenges were constrained back-end capacity, a near-term systems revenue decline from project timing and inventory burn-down, software that remains pre-revenue, higher operating expenses, and sequentially lower adjusted EBITDA and cash. The breadth of the reported growth and outlook significantly outweighed the stated challenges.Company Guidance
Record Third-Quarter Revenue
Third-quarter revenue reached a record $112.1 million, up 3% sequentially from $108.4 million and up 17% year-over-year from $96.1 million. The quarter exceeded the prior record without licensing revenue.
Record Endpoint IC Performance
Endpoint IC revenue reached a record $97.3 million, up 1% sequentially from $96.4 million and up 24% year-over-year from $78.8 million. Excluding $17 million of second-quarter licensing revenue, endpoint IC product revenue grew 23% sequentially.
Broad-Based Demand and Record Unit Volumes
Endpoint IC revenue and unit volumes, along with total revenue, set new quarterly records. Management cited M800 market strength, resilient retail demand, lighthouse-account growth, Gen2X momentum, supply chain and logistics conversions, and strength at a European retailer as contributors.
Strong Reader IC Growth
Reader IC revenue exceeded expectations and was the company's fastest-growing product line, driven by enterprise demand for partner readers. Management expects strong year-over-year unit-volume and revenue growth for reader ICs in the fourth quarter.
Systems Revenue Beat Expectations
Third-quarter systems revenue was $14.8 million, up 23% sequentially from $12 million and supported by strength across all product lines. Reader and gateway revenue was strong, led by sales to lighthouse accounts.
Healthy Bookings and Backlog
Endpoint IC bookings remained very strong in the third quarter, with book-to-bill greater than one. Customers were already ordering into the first quarter of 2027, and backlog had increased, including bookings somewhat ahead of schedule for M800.
Retail and Supply Chain Demand Remained Resilient
Management reported encouraging retail trends after a prolonged period of softness, with new programs rolling out, existing programs expanding, a resilient retail consumer, and overall retail sales continuing to grow. A second large supply chain and logistics customer conversion to the custom IC was essentially completed in the third quarter, with international expansion still ahead.
Food Solutions Expansion
The company added a large new logo in food replenishment and another in food inventory during the third quarter. Management is engaged with the replenishment customer on reducing out-of-stocks and food spoilage and expects the solution to require the entire platform, although it remains in the early stages.
Kroger Pilot Demonstrated Operational Benefits
Kroger's bakery pilot delivered nearly 70% faster inventory counts, 50% lower waste, approximately 200 basis points of sales lift, and nearly 50 basis points of share gains in the category.
Solutions Efforts Drive Platform Sales
Although software is still in beta, solutions efforts at lighthouse accounts are contributing more than 20% of total revenue through sustained sales across the platform. Management said enterprise demand for the software is acute and delivery schedules are tightly driven by end users.
Physical Intelligence Launch
Impinj launched Physical Intelligence in September, highlighting how its platform provides trusted item-level data to enterprise AI systems and enables enterprises to identify items and their movement so they can take action and improve business outcomes.
New Chief Commercial Officer Appointed
Aileen Ryan, the outgoing President of the RAIN Alliance, will join Impinj on December 1 as Chief Commercial Officer. Management highlighted her four years leading the Alliance, deep ecosystem and enterprise connections, and more than 20 years of engineering and technology leadership experience.
Improved Product Gross Margin
Third-quarter gross margin was 54.9%, compared with 53% in the prior-year quarter. Excluding licensing revenue, product gross margin increased 130 basis points sequentially, driven primarily by M800. Fourth-quarter gross margin is expected to increase by roughly 100 basis points sequentially, driven by M800 mix and returning specialty IC revenue.
Positive Earnings and Free Cash Flow
Third-quarter adjusted EBITDA was $24.5 million, compared with $19.1 million in the prior-year quarter, with a 21.9% adjusted EBITDA margin. GAAP net income was $4.7 million, non-GAAP net income was $22.1 million, or $0.69 per diluted share, and free cash flow was $20.6 million.
Strong Fourth-Quarter Revenue and Earnings Outlook
Fourth-quarter revenue is expected to be between $104 million and $107 million, representing a 14% year-over-year increase at the midpoint versus $92.8 million in the fourth quarter of 2025. Adjusted EBITDA is expected to be between $19.2 million and $20.7 million, while non-GAAP net income is expected to be between $17.6 million and $19.1 million, or $0.55 to $0.60 per diluted share.
Debt Repurchase Reduced Potential Dilution
Impinj repurchased $56.3 million aggregate principal of its 1.125% convertible notes due May 2027 using a mix of cash and shares. Management said the transaction reduced potential dilution by roughly 300,000 shares.
Specialty IC Revenue Returning
After a multi-year drought, modest specialty endpoint IC revenue is expected in the fourth quarter and into 2027. Management described the revenue as gross-margin accretive and noted that specialty ICs had strong demand in 2022 and 2023 before the recent drought.
Continued Back-End Capacity Investment
Impinj plans to continue ramping back-end post-processing throughput at an elevated pace for at least the next two quarters. The company is also investing in additional owned process steps, throughput, site diversification, and capacity, with capital expenditures expected to step up in the first quarter of 2027.
Long-Term Solution and Market Opportunity
Management said the company is oversubscribed with new enterprises seeking to replicate lighthouse-account results and is working to build repeatable solutions. Opportunities were described across retail, supply chain and logistics, food, general merchandise, 3PL deployments, and other applications.
Digital Product Passport Progress
RAIN is approved as a data carrier for Digital Product Passport initiatives. Industrial devices are beginning to include processors with RAIN RFID support, and management expects delegated acts and Digital Product Passport requirements to come into force in the 2029 time frame, with retail apparel expected to lead material adoption.
MX:PI Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed