Impinj, Inc.

Second quarter revenue was a record $108.4 million, up 46% sequentially from $74.3 million in Q1 2026 and up 11% year over year from $97.9 million in Q2 2025. Endpoint IC revenue was a record $96.4 million, up 53% sequentially and up 14% year over year; excluding licensing revenue, endpoint IC product revenue grew 26% sequentially and 16% year over year. Second quarter gross margin was a record 60.9% versus 52.4% in Q1 2026 and 60.4% in Q2 2025; excluding licensing revenue, product gross margin was 53.6% versus 52.6% a year ago. Adjusted EBITDA was a record $30.7 million, with adjusted EBITDA margin of 28.3%; non-GAAP net income was a record $27 million, or $0.86 per share, and GAAP net income was $12.2 million. Cash, cash equivalents and investments ended the quarter at $263.7 million, inventory was $91.5 million, capex was $2.4 million, and free cash flow was $29.2 million. For Q3, revenue is expected to be between $105.5 million and $108.5 million, adjusted EBITDA between $20.7 million and $22.2 million, and non-GAAP EPS between $0.59 and $0.63; product gross margin is expected to increase sequentially and operating expense to rise sequentially.

Chris Diorio emphasized that Impinj is seeing broad-based demand strength across multiple verticals and believes the company is moving from primarily a component seller toward a solution provider. He said food is an unusually broad early market opportunity, while supply chain/logistics and general merchandise still have much larger volume potential than food today. His tone was very upbeat and confident, repeatedly stressing record results, market expansion, and excitement about Gen2X, AI-enabled solutions, and the company’s future.

Cary Baker focused on the hard numbers and the near-term outlook. He cited record Q2 revenue of $108.4 million, record gross margin of 60.9%, record adjusted EBITDA of $30.7 million, and record non-GAAP EPS of $0.86, then guided Q3 revenue to $105.5 million-$108.5 million, adjusted EBITDA to $20.7 million-$22.2 million, and EPS to $0.59-$0.63. He said Q3 product gross margin should rise sequentially, with operating expense also increasing sequentially, and noted cash/investments of $263.7 million, inventory of $91.5 million, capex of $2.4 million, and free cash flow of $29.2 million.

Analysts pressed on why Q3 guidance was so strong, and management pointed to pull-ins in general merchandise, supply chain/logistics, and food, plus continued retail apparel growth and last year’s share gains. Questions also focused on food pilots, tariffs, competitive pressure from a new endpoint IC, Gen2X benefits, custom ASICs, and whether channel inventory could create surprises. Management said food is still early but unusually broad, tariffs created some pull-forward in Q2 but not a major driver, the new competitor product has not been seen meaningfully in market yet, and better visibility into the supply-chain/logistics channel should reduce inventory surprises—though they said Q1 2027 will be the real test.