Inseego Turns Profit, Shares SoarBut Guidance Misses Spark Doubt

Inseego (INSG) reported fiscal 2025 Q4 earnings on Feb 20, 2026, with revenue rising 0.6% to $48.40 million and a dramatic net income turnaround. The company exceeded revenue estimates and delivered a $0.12 non-GAAP EPS beat, while full-year 2026 revenue guidance of ~$190 million reflects confidence in growth.

Revenue

The total revenue of Inseego increased by 0.6% to $48.40 million in 2025 Q4, up from $48.09 million in 2024 Q4.

Earnings/Net Income

Inseego narrowed losses to $0.03 per share in 2025 Q4 from a loss of $0.09 per share in 2024 Q4 (68.4% improvement). Meanwhile, the company achieved a remarkable turnaround with net income of $469,000 in 2025 Q4, representing a 182.9% positive swing from the net loss of $-566,000 in 2024 Q4. The company narrowed losses and achieved a net income, marking a significant turnaround in profitability.

Price Action

The stock price of Inseego has surged 37.20% during the latest trading day, has surged 28.04% during the most recent full trading week, and has climbed 5.77% month-to-date.

Post-Earnings Price Action Review

The strategy of buying Inseego (INSG) shares after a revenue drop quarter-over-quarter on the financial report release date and holding for 30 days resulted in no return over the past three years. The strategy had a CAGR of 0.00% and an excess return of -56.67%, underperforming the benchmark by a significant margin. Additionally, the strategy had a maximum drawdown of 0.00% and volatility of 0.00%, indicating a risk-averse approach but failing to capitalize on broader market gains.

CEO Commentary

Juho Sarvikas, CEO, highlighted Q4 2025 as a “strong quarter” with $48.4M revenue and $6M adjusted EBITDA, exceeding guidance and marking the third consecutive quarter of sequential growth. He emphasized progress on strategic priorities: scaling carrier revenue via Fixed Wireless Access (FWA) and mobile solutions, advancing software platforms (Inseego Connect and Subscribe), and diversifying customer and route-to-market strategies. Noting all three U.S. Tier 1 carriers (T-Mobile, AT&T, Verizon) now partner with Inseego for FWA, he called this an “inflection point” for growth. Challenges included memory market dynamics, but the company secured supply and locked in modest price increases. Sarvikas expressed optimism for 2026, stating the business is “positioned to drive significant growth” through product launches, carrier ramps, and software integration, with a focus on disciplined execution.

Guidance

Steven Gatoff, CFO, provided Q1 2026 guidance: revenue of $33–36M and adjusted EBITDA of $1–2M, citing product delays, inventory adjustments, and go-to-market transitions. For full-year 2026, revenue is guided to ~$190M, reflecting sequential growth from Q1 and a shift to higher-margin carrier-driven revenue. Gatoff noted Q1 operating expenses will rise due to R&D and sales investments, with EBITDA margins expected to improve in the second half. The company anticipates operating leverage and margin expansion as product launches and carrier programs scale, supported by a strengthened capital structure post-preferred stock retirement.

Additional News

Inseego outlined a $190M 2026 revenue target, leveraging expanded partnerships with all three U.S. Tier 1 carriers (T-Mobile, AT&T, Verizon) for Fixed Wireless Access (FWA) solutions. The company also highlighted diversified product launches and a strengthened balance sheet following the retirement of preferred stock. Separately, shares fell 15% premarket after the Q1 2026 revenue outlook of $33–36M disappointed investors, missing analyst estimates of $41.8M. Management attributed the cautious guidance to product delays and inventory adjustments but expressed long-term confidence in growth through carrier-driven revenue and software integration.