Inseego | 10-Q: FY2025 Q3 Revenue Beats Estimate at USD 45.89 M

Revenue: As of FY2025 Q3, the actual value is USD 45.89 M, beating the estimate of USD 41.86 M.

EPS: As of FY2025 Q3, the actual value is USD 0.03.

EBIT: As of FY2025 Q3, the actual value is USD 2.914 M.

Segment Revenue

• Mobile Solutions: Revenue decreased by $16.2 million, or 50.3%, to $16.0 million for the three months ended September 30, 2025, compared to $32.3 million for the same period in 2024.
• Fixed Wireless Access Solutions: Revenue increased by $7.9 million, or 81.5%, to $17.7 million for the three months ended September 30, 2025, compared to $9.7 million for the same period in 2024.
• Software Services and Other: Revenue increased by $0.2 million, or 1.5%, to $12.2 million for the three months ended September 30, 2025, compared to $12.0 million for the same period in 2024.

Operational Metrics

• Gross Profit: Increased to $19.1 million, or a gross margin of 41.6%, for the three months ended September 30, 2025, compared to $18.8 million, or a gross margin of 34.8%, for the same period in 2024.
• Operating Income: Increased to $2.2 million for the three months ended September 30, 2025, compared to $1.0 million for the same period in 2024.
• Net Income: Increased to $1.4 million for the three months ended September 30, 2025, compared to $9.0 million for the same period in 2024.

Cash Flow

• Operating Cash Flow: Net cash used in operating activities was - $4.8 million for the nine months ended September 30, 2025, compared to net cash provided by operating activities of $47.7 million for the same period in 2024.
• Investing Cash Flow: Net cash used in investing activities was - $5.7 million for the nine months ended September 30, 2025, compared to - $3.7 million for the same period in 2024.
• Financing Cash Flow: Net cash used in financing activities was - $14.6 million for the nine months ended September 30, 2025, compared to - $32.8 million for the same period in 2024.

Unique Metrics

• Customer Concentration: For the three months ended September 30, 2025, two customers accounted for 71.6% and 23.6% of revenues, respectively.

Future Outlook and Strategy

• Core Business Focus: The company is focusing on its 5G WAN portfolio, which includes secure and high-performance mobile broadband and fixed wireless access solutions. The company aims to continue advancing wireless WAN technology and driving industry transformations.
• Non-Core Business: The company completed the sale of its Telematics Business in November 2024 to focus on its core 5G wireless solutions business and to de-leverage its capital structure.