EarningsQ2 2026 Earnings Report
MX:ZEPPN Q2 2026 EPS Results
Actual EPS-$0.90
Consensus EPS―
Beat/Miss―
One Year Ago EPS-$0.36
MX:ZEPPN Q2 2026 Revenue Results
Actual Revenue$1.15B
Expected Revenue―
Beat/Miss―
YoY Revenue Growth+6.73%
Earnings Announcement Details
QuarterQ2 2026
Date09/02/2026
TimeBefore Open
Conference CallWednesday, September 2, 2026
MX:ZEPPN Upcoming Earnings
Zepp Health's next earnings date is estimated for November 23, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:ZEPPN Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly optimistic, with strong 33.8% revenue growth, higher average selling prices, year-over-year gross-margin expansion, market-share gains, product launches, and progress toward profitable growth. The main challenges were near-term memory-cost pressure, foreign-exchange headwinds, continued operating and net losses, higher operating expenses, and a lower second-quarter growth range. The positive operating and strategic developments significantly outweighed the stated challenges.Company Guidance
Strong First-Quarter Revenue Growth
First-quarter revenue reached US$51.5 million, up 33.8% year over year and in line with guidance. Amazfit-branded revenue also grew 33.8% year over year, driven primarily by the launches of ActiveMax, Active 3 Premium, and T-Rex Ultra 2, despite the quarter traditionally being a softer season for consumer electronics.
Premiumization and Higher Average Selling Prices
Average selling price increased more than 20% year over year. Premium T-Rex models priced at US$399 and US$549 accounted for nearly 50% of total T-Rex family unit sales in March and April, while the T-Rex Ultra 2 raised Amazfit's price ceiling to US$550, the highest in the company's history.
Gross Margin Expansion Despite Cost Headwinds
First-quarter gross margin was 37.7%, representing a 0.4 percentage-point expansion from Q1 2025. Gross profit increased 35.3% to US$19.4 million, despite higher memory component costs and unfavorable foreign-currency fluctuations.
Broad-Based Product Portfolio Performance
Growth was broad based across both entry-level and premium tiers. ActiveMax and Active 3 Premium were positioned around the US$169 price point, while T-Rex Ultra 2 served the premium segment and the newly introduced Bip MAX expanded the entry-level lineup.
Market Share Gains in Key Regions
Amazfit achieved sequential value-share expansion across EMEA, the United States, and Asia Pacific. Based on third-party data, the brand now ranks among the top six smartwatch brands in both the United States and Europe by value share.
Expanded HYROX Partnership
Zepp Health entered into an exclusive three-year global partnership with HYROX, expanding the collaboration across training, competition, and recovery. The partnership includes smartwatches, smart rings, smart cameras, smart glasses, connected app experiences, HYROX-specific training modes, and performance-data integrations.
Expansion of Hybrid Training Platform
The company continued developing Amazfit as a comprehensive hybrid training platform integrating endurance, strength, and recovery through hardware, AI-driven training intelligence, software, and data. The company said it aims to build a global leadership position in hybrid training.
New Balance Products Introduced in a Hybrid Training Environment
Balance 3 and Balance Ultra were introduced at the New York HYROX event. The products use Hybrid Charge Energy Intelligence in the Zepp app to combine BioCharge, live load, and training load into one view of personal capacity.
Expansion in the Running Segment
The company launched the Cheetah 2 lineup, including Cheetah 2 Pro for marathon training and Cheetah 2 Ultra for demanding mountain and trail environments. Both integrate with Zepp Coach, running metrics, personalized training plans, recovery insights, and third-party training platforms.
Strengthened Software Ecosystem
Zepp OS features including Zepp Coach, BioCharge, and hybrid training and HYROX modes are being deployed across a growing range of devices. Management said the software ecosystem is becoming an increasingly important reason users choose and remain loyal to Amazfit.
Athlete and Performance Validation
Cheetah 2 Pro was supported by marathon events in Paris, London, and Boston, while T-Rex Ultra continued gaining credibility through high-altitude alpinism and expedition use. Amazfit athlete Joanna Wietrzyk completed a clean sweep of all four HYROX majors in the season and set a new HYROX world record.
Supply Chain Preparation and Manufacturing Diversification
The company said its vertically integrated supply chain and diversified manufacturing footprint across China and Vietnam provide multiple ways to address macroeconomic pressures. It also secured memory supply through diversified sourcing channels and is optimizing memory requirements across current and future products.
Operating Loss Narrowed and Adjusted Net Loss Ratio Improved
Operating loss narrowed to US$6.3 million from US$17.2 million in Q1 2025. Adjusted net loss was US$17.9 million, or 34.8% of sales, compared with US$18.1 million, or 41% of sales, in Q1 2025.
Inventory Management Improved
Ending inventory declined to US$62.8 million from US$72.8 million at the end of Q4 2025.
Debt Reduction and Share Repurchases
Since the beginning of 2023, the company has cumulatively retired US$46.7 million of debt. As of March 31, 2026, it had repurchased US$17 million of the US$20 million authorized share-repurchase program.
Continued Investment in Products and Technology
The company is continuing to invest in new products and technologies, including AI, to maintain its competitive edge. Management indicated that there could be more than nine product launches during 2026, with additional launches still planned.
Second-Quarter Revenue Growth Guidance
Management expects second-quarter revenue of US$63 million to US$68 million, representing approximately 6% to 14% year-over-year growth, supported by demand across the product portfolio.
Expected Return to Profitable Growth
Management said its 2026 target remains a profitable growth path and that it expects full-year 2026 profitable growth over 2025.
MX:ZEPPN 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