908 Devices Inc.

Total revenue in Q2 2026 was $16.1 million, up 23% from $13.0 million in the prior-year period. Handheld product and service revenue was $15.5 million, up 24% from $12.5 million. Gross profit was $8.3 million versus $6.4 million a year ago, and gross margin was 52% versus 49%. Adjusted gross profit was $9.2 million versus $7.3 million, with adjusted gross margin at 57%, up about 85 basis points year over year. Net loss from continuing operations was $11.9 million versus $12.9 million, and adjusted EBITDA was negative $1.9 million versus negative $3.9 million. The company shipped 198 devices and ended the quarter with $101.5 million in cash, cash equivalents and marketable securities and no debt. For 2026, management raised guidance to revenue of $68 million to $70 million, representing 21% to 25% growth, including handheld product and service revenue of $65 million to $67 million and OEM/funded partnerships of about $3 million. Adjusted gross margin is still expected in the mid- to high-50% range, and adjusted EBITDA loss is expected to improve to the mid-single-digit millions.

Kevin Knopp framed the quarter as strong execution across the board, emphasizing that the company is scaling proven platforms, extending platform leadership, and building revenue durability. He highlighted momentum in state and local public safety, competitive wins for VipIR and MX908, and the strategic value of NIRLAB as a recurring-revenue and workflow-expansion opportunity. His tone was confident and optimistic, especially about the durability of demand and the company’s ability to build a broader, more connected product portfolio.

Joseph Griffith focused on the financial improvement: revenue of $16.1 million, gross margin of 52%, adjusted gross margin of 57%, and adjusted EBITDA loss of $1.9 million, all better than last year. He pointed to higher product volume, better channel mix, and lower facility costs as margin drivers, while noting offsetting pressure from lower service gross margin and acquisition-related costs. He also said the company ended with $101.5 million in cash, cash equivalents and marketable securities, no debt, and raised full-year revenue guidance to $68 million to $70 million while maintaining mid- to high-50% adjusted gross margin and mid-single-digit millions adjusted EBITDA loss expectations.

Analysts focused on bundling potential, NIRLAB cross-selling, recurring revenue mix, AVCAD timing, and what the $6 million ProtectIR order means for the back half. Management said the broader portfolio is already producing bundled orders, especially across law enforcement workflows from screening to confirmation, and that NIRLAB should expand cross-selling with MX908 while also creating a subscription-based recurring model. On AVCAD, management said the contract has run its course, the government is considering commercial off-the-shelf options like MX908 under procurement reform, and the opportunity is now excluded from core guidance but still viewed as a long-term upside opportunity. On revenue mix, Joe Griffith said recurring revenue was about 31% of total revenue in the quarter, with an aspiration to move toward the 30%s and eventually approach 40% over time.