Revenue: As of FY2026 Q2, the actual value is USD 1.113 M, missing the estimate of USD 1.502 M.

EPS: As of FY2026 Q2, the actual value is USD -0.09.

EBIT: As of FY2026 Q2, the actual value is USD -7.629 M.

Financial Performance for the Three Months Ended June 30, 2026

Vuzix Corporation reported total sales of $1,113 thousand for the three months ended June 30, 2026, marking a 14% decrease compared to $1,296 thousand in the comparable 2025 period.

Segment Revenue

Sales of Products were $884 thousand in Q2 2026, down 15% from $1,045 thousand in Q2 2025. Sales of Engineering Services amounted to $229 thousand, an 8% decrease from $250 thousand in the prior year period.

Cost of Sales

Total Cost of Sales was $1,759 thousand for Q2 2026, compared to $2,057 thousand for Q2 2025.

Gross Profit (Loss)

The company reported a gross loss of - $645 thousand for the three months ended June 30, 2026, which represents a 15% overall improvement from a gross loss of - $761 thousand in the comparable 2025 period.

Operating Expenses

• Research and Development (R&D): R&D expense increased by 20% to $3,098 thousand in Q2 2026 from $2,571 thousand in Q2 2025. This increase was primarily due to increased external development costs for new products and higher cash salary and benefits from headcount increases.
• Selling and Marketing: Selling and Marketing expense decreased by 11% to $1,210 thousand in Q2 2026 from $1,353 thousand in Q2 2025, largely due to a decrease in non-cash stock-based compensation expense.
• General and Administrative (G&A): G&A expense was $2,682 thousand in Q2 2026, a 3% decrease from $2,757 thousand in Q2 2025.
• Depreciation and Amortization: Depreciation and Amortization was $118 thousand in Q2 2026, compared to $413 thousand in Q2 2025.

Loss from Operations

Loss from Operations was - $7,754 thousand for Q2 2026, compared to - $7,855 thousand for Q2 2025.

Total Other Income (Expense)

Total Other Income (Expense) was $125 thousand for Q2 2026, compared to $189 thousand for Q2 2025.

Net Loss

Net loss attributable to common shareholders was - $7,629 thousand, or - $0.09 per share, for the second quarter of 2026. This compares to a net loss of - $7,666 thousand, or - $0.10 per share, for the second quarter of 2025.

Cash Flow and Balance Sheet

Net cash used in operating activities was - $6.6 million for the second quarter of 2026, versus - $4.8 million for the comparable 2025 period. As of June 30, 2026, Vuzix Corporation had $17.3 million in cash and no current or long-term debt obligations.

Management Outlook

The smart glasses industry is undergoing significant evolution, driven by advancements in AI and platform ecosystems that simplify application development for specialized customer needs. Vuzix Corporation plans to continue investing in waveguide innovation and strengthening strategic partnerships to leverage these opportunities. The company also aims to explore new opportunities beyond AI and AR applications across its enterprise, defense, and ODM/OEM markets.