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    QUIK
    Earnings call· Jun 2026(Q2 FY26)

    QUICKLOGIC Q2 FY26 earnings call QUIK

    Aug 11, 2026 Source

    Executive summary

    QuickLogic Q2 FY26 — Full-Year Growth Outlook Narrowed to 70-80% Despite Q2 Delay

    QuickLogic reported Q2 FY26 revenue at the low end of guidance and forecast flat Q3 revenue, primarily due to a delayed 7-figure contract extension and the removal of an Intel 18A ASIC design from the 2026 forecast. Despite these near-term headwinds, the company narrowed its full-year growth outlook to 70-80% and reiterated expectations for non-GAAP profitability and positive cash flow in the second half of 2026, driven by government contracts, RadPro, and new market opportunities.

    Highlights

    5

    • Full-year growth outlook narrowed to a range of 70% to 80%.

    • Non-GAAP profitability and cash flow positive operations are modeled for the second half of 2026.

    • Q2 non-GAAP gross margin of 46.8% exceeded the 42% outlook.

    • Net cash increased by $9.7 million in the first half of fiscal 2026, reaching $13.5 million at Q2 close.

    • Expansion of RadPro Dev Kit opportunities and new customer engagements in automotive, robotics, and commercial satellite applications.

    Concerns

    4

    • Q2 revenue of $5.5 million was at the low end of guidance due to a delayed 7-figure contract extension.

    • Q3 revenue is forecast flat at $5.5 million (+/- 10%) primarily due to contract delays.

    • A commercial ASIC design targeting Intel 18A was removed from the second half 2026 forecast.

    • Full-year 2026 mature product revenue is now estimated to be flat with 2025 at approximately $3.3 million.

    Guidance & targets

    22
    CategoryTargetConfidence
    Full-year revenue growth outlook
    70% to 80%
    high materiality
    High
    Non-GAAP profitability
    profitable
    high materiality
    High
    Cash flow operations
    positive
    high materiality
    High
    Q3 total revenue
    $5.5 million plus or minus 10%
    high materiality
    High
    Q3 new product revenue
    $4.7 million
    medium materiality
    High
    Q3 mature product revenue
    $0.8 million
    medium materiality
    High
    Full-year 2026 mature revenue
    approximately $3.3 million
    medium materiality
    Medium
    Q3 non-GAAP gross margin
    approximately 47% plus or minus 5%
    medium materiality
    High
    Full-year non-GAAP gross profit margin
    approximately 51%
    medium materiality
    High
    Q3 non-GAAP operating expenses
    approximately $3.6 million plus or minus 5%
    medium materiality
    High
    Full-year non-GAAP OPEX
    $13.7 million to $13.9 million
    medium materiality
    High
    Q3 non-GAAP net loss
    about $900,000
    medium materiality
    High
    Q3 non-GAAP EPS
    approximately $0.05 per share loss
    medium materiality
    High
    Q3 stock-based compensation
    approximately $900,000
    low materiality
    High
    Q3 cash use
    approximately $400,000
    medium materiality
    High
    Q3 net cash balance
    slightly over $13 million
    medium materiality
    High
    eFPGA IP architectural license
    potential to sign
    medium materiality
    Medium
    Initial Storefront device demand
    expected
    medium materiality
    High
    12LP eval kit release
    scheduled for Q4
    low materiality
    High
    Follow-on 1 million LUT contract for Intel 18A-P
    targeting Q4 delivery
    medium materiality
    High
    Meaningful chiplet revenue
    beginning in 2027
    medium materiality
    Medium
    New small package option for mature products
    multi-million-dollar market
    medium materiality
    Medium

    Segment performance

    2
    SegmentRevenueYoYQoQMargin
    New Product
    Revenue for Q2 2026.
    		$4.7 million59.7%8.6%—
    Mature Product
    Revenue for Q2 2026.
    		$0.8 million6.9%8.8%—

    Operational metrics

    11
    Non-GAAP gross margin
    46.8%above 42% outlook
    Q2 FY26

    Significant increase over 31% in Q2 2025 and 39.6% in Q1 2026.

    Non-GAAP operating expenses
    $3.5 millionslightly above $3.3 million outlook
    Q2 FY26

    Due to R&D cost allocations and new hires. Compares to $2.5 million in Q2 2025 and $3.2 million in Q1 2026.

    Non-GAAP net loss
    $1.1 million
    Q2 FY26

    Compares to $1.5 million loss in Q2 2025 and $1.3 million loss in Q1 2026.

    Non-GAAP EPS
    $0.06
    Q2 FY26

    Loss per share.

    Stock-based compensation
    $753,000compared to outlook of $900,000
    Q2 FY26

    Compares to $843,000 in Q2 2025 and $858,000 in Q1 2026.

    Restructuring costs
    $16,000
    Q2 FY26

    Compares to $21,000 in Q2 2025 and $11,000 in Q1 2026.

    Non-recurring gain
    $950,000
    Q2 FY26

    Included in GAAP results, removed for non-GAAP. No non-recurring gains in Q2 2025 or Q1 2026.

    Net cash balance
    $13.5 millioncompared favorably with projection of slightly less than $12 million
    Q2 FY26 close

    Excluding a $5 million drawdown from line of credit. Compares to $3.8 million at Q4 2025 close.

    Net cash increase
    $9.7 million
    H1 FY26

    Inclusive of $9.8 million raised with ATM.

    ATM raise
    $9.8 million
    H1 FY26

    Prior to last conference call.

    Non-GAAP OPEX growth
    approximately 17%over 2025
    FY26

    Compared to 70% to 80% revenue growth, illustrating strong inherent leverage.

    Industry KPIs

    5
    MetricValueDetails
    Backlog order book$89 millionUSD
    Ai data center revenue—
    Design wins socket pipeline—
    Node platform ramp scheduleIntel 18A-P; GlobalFoundries 12LP
    End market segment revenue mixNew Product: $4.7 million; Mature Product: $0.8 millionUSD

    Orderbook & backlog

    1
    U.S. government contract$89 millionlast year

    increased

    Total ceiling value. Revenue recognition from this contract will contribute a significant percentage of total Q4 revenue.

    Product announcements

    1
    ProductTypeDetails
    12LP eval kitlaunch

    Deals & partnerships

    7
    Existing customer7-figure extension of an existing contract7-figure

    Customer is reevaluating functions for embedded FPGA versus fixed ASIC logic. This delay caused Q2 revenue to be at the low end of guidance and Q3 revenue to be flat.

    Commercial ASIC design customereFPGA hard IP contract for commercial ASIC design targeting Intel 18A

    Several uncertainties arose recently, making it a 2027 opportunity.

    Customer that funded 1 million LUT developments in Intel 18AFollow-on contract for Intel 18A-P implementation

    Leveraging development work completed for Intel 18A; time and cost to develop for 18A-P will be de minimis.

    New customerDesign targeting automotive, industrial automation and robotic applications

    One of several new customers for ASIC designs incorporating eFPGA hard IP.

    International customerASIC for a LEO satellite application

    One of several new customers for ASIC designs incorporating eFPGA hard IP.

    New customereFPGA architectural license

    Interest in an eFPGA architectural license, following a 5-figure feasibility study with promising initial results.

    DIB (Defense Industrial Base)Contract to fund and qualify smaller package for mature products

    For existing devices in smaller packages than currently offered, for new designs.

    Risks & headwinds

    3
    Delayed 7-figure contract extensionQ2 FY26, Q3 FY26, FY26

    7-figure revenue removed from 2026 forecast; caused Q2 revenue to be at low end of guidance and Q3 revenue to be flat.

    Mitigation: Confident in securing the extension for 2027; customer reevaluating design functions for optimal partitioning.

    Commercial ASIC design targeting Intel 18A removed from forecastH2 FY26

    Revenue opportunity removed from H2 2026 forecast.

    Mitigation: Now a 2027 opportunity due to uncertainties; focus shifting to Intel 18A-P.

    Mature product revenue flatFY26

    Full-year 2026 mature revenue estimated flat with 2025 at approximately $3.3 million.

    Mitigation: Previously anticipated an increase in H2; new small package option for DIBs expected to open multi-million dollar market from 2027.

    What to watch in Q3 FY26

    5

    7-figure contract extension

    2027
    CurrentDelayed from 2026
    TargetSigned and contributing revenue

    Why it matters

    This contract represents a significant revenue contribution that was previously expected in 2026 and its realization is key to future growth.

    This contract extension has been delayed as the customer is reevaluating what functions it wants to put in embedded FPGA versus the functions that will be locked down in the fixed portion of its ASIC prior to finalizing the design. This delay is the sole reason why Q2 revenue was at the low end of our guidance range and the primary reason why we will forecast flat Q3 revenue. We remain confident in securing this contract extension, but this delay removes it from our 2026 forecast.

    Q&A highlights

    7

    Given Q4 is critical for full-year growth, what is the confidence level on revenue timing, and are there risks of milestones slipping into 2027?

    Management expressed high confidence, stating that engineering resources are aligned to meet revenue recognition milestones. Work is being scheduled, and in some cases, engineering has already commenced. The primary remaining factor is the business side closing a couple of contracts.

    “We look at these contracts that I was alluding to in the call and when we would need to make delivery of these items, and we are scheduling work now so that we can hit those milestones for rev rec. And so now it's a matter of closing on a couple of these contracts in order to make that happen.”

    asked by Neil Young · answered by Brian C. Faith

    3 min read6 chapters

    Detailed Narrative

    01

    Q2 Revenue Performance and Delays

    QuickLogic's Q2 FY26 revenue of $5.5 million landed at the low end of its guidance range. This was primarily attributed to the delay of a 7-figure extension of an existing customer contract, which was originally forecasted for Q2 and Q3 recognition. The customer is reevaluating eFPGA functions versus fixed ASIC logic, pushing this opportunity into 2027. Additionally, a commercial ASIC design targeting Intel 18A was removed from the H2 2026 forecast due to uncertainties, also becoming a 2027 opportunity. These delays are the main reasons for the flat Q3 revenue forecast.

    02

    Full-Year Outlook and Growth Drivers

    Despite the Q2 headwinds, QuickLogic narrowed its full-year growth outlook to a robust 70-80% and reiterated expectations for non-GAAP profitability and positive cash flow in the second half of 2026. This confidence is underpinned by the ongoing U.S. government contract, which has a total ceiling value of $89 million and is expected to contribute a significant percentage of total Q4 revenue. Other drivers include a stable base of mature product business, continued demand for RadPro Dev Kits, and existing IP contracts scheduled for Q4.

    03

    Intel 18A-P Transition and Opportunities

    The company is observing a shift in development and customer design activity from Intel 18A to Intel 18A-P, which offers improved performance (9% higher) or lower power (18% lower). QuickLogic expects the time and cost to develop eFPGA hard IP for 18A-P to be de minimis due to prior 18A development work. A follow-on contract for a 1 million LUT Intel 18A-P implementation is targeted for Q4 delivery, and the release of 18A-P is anticipated to accelerate design activity and eFPGA hard IP opportunities.

    04

    New Market Sectors and Architectural Licensing

    QuickLogic is actively pursuing new customer engagements and market sectors. The company is in late-stage negotiations for two potential contracts: one for automotive, industrial automation, and robotic applications, and another with an international customer for a LEO satellite application. Furthermore, a 5-figure feasibility study for an eFPGA IP architectural license has been successfully completed, with promising initial results that could lead to a full architectural license by late 2026.

    05

    Storefront and Chiplet Strategy Advancement

    The digital proof of concept strategy has generated over 5 active chiplet proposals targeting GlobalFoundries 12LP, Intel 18A, and 18A-P. A new 12LP eval kit, incorporating discrete FPGA test chips and compatible with common third-party development environments, is scheduled for Q4 release. This kit aims to accelerate customer evaluations and is expected to lead to meaningful chiplet revenue starting in 2027, alongside initial Storefront device demand from RadPro evaluations.

    06

    Mature Products and Government Interest

    QuickLogic's mature products, utilizing one-time📎-programmable anti-fuse technology, continue to see demand from defense and aerospace contractors and have been designed into new programs. A DIB has contracted with QuickLogic to fund and qualify a smaller package option for these devices, which is projected to open a new multi-million-dollar market starting in 2027 with minimal operational investment. The company is also seeing a significant increase in RFIs/RFPs from government channels, indicating expanding opportunities.

    AI-generated summary of the company’s earnings call. Not investment advice.