Ideal Power Inc.

Ideal Power reported modest revenue in Q2 2026, but no specific revenue figure or EPS was stated on the call. Operating expenses were $3.6 million, versus $3.1 million in Q2 2025, and net loss was $3.4 million compared with $3.0 million a year ago. Cash burn was $2.5 million in Q2 2026, flat versus Q2 2025 and within guidance of $2.5 million to $2.7 million. After a registered direct offering that closed on May 18, the company raised $27.7 million in net proceeds and ended June with $41.3 million in cash and cash equivalents, no debt, and 21.1 million fully diluted shares. For Q3 2026, cash burn is expected to be approximately $2.7 million to $2.9 million, and full-year 2026 cash burn is expected to be approximately $10.3 million to $10.5 million.

David Somo framed the quarter as a period of accelerating commercial traction, especially around 800-volt DC data center architectures and AI infrastructure. He emphasized that Ideal Power is working across multiple customer levels—directly with circuit-protection makers, with system integrators, and potentially with hyperscalers—to meet the market’s push toward close-to-market-ready solutions. He was constructive on Stellantis, saying discussions have deepened and that the foundry agreement gives confidence in long-term scale and cost structure.

Timothy Burns focused on balance sheet strength and disciplined spending. He highlighted the $27.7 million net proceeds from the May 18 offering, $41.3 million in cash at June 30, and no debt, while noting Q2 cash burn of $2.5 million and full-year 2026 cash burn guidance of $10.3 million to $10.5 million. He also said operating expenses rose to $3.6 million from $3.1 million mainly due to higher stock-based compensation, personnel costs, and noncash patent impairments, and he reiterated that expenses should increase only modestly as the sales and engineering teams expand.

Analysts asked mainly about the hyperscaler opportunity, customer collaboration model, foundry capacity, Stellantis timing, and whether the new shelf registration signaled an imminent capital raise. Management said hyperscalers vary in how directly they engage suppliers, but Ideal Power is aiming to offer a system-level circuit protection solution that can be evaluated by hyperscalers and their partners. On the foundry agreement, management said it supports future automotive-scale volumes and a gross margin target of 40%+; on the shelf, Burns said it was ‘good housekeeping’ and that the company has no intention to raise capital now. On Stellantis, Somo said the conversations have deepened and become more detailed, which he viewed as a positive sign.