INVE Technologies, Inc. Reports Third Quarter 2026 Financial Results

Rhea-AI Summary

INVE Technologies (NASDAQ: INVE) reported third-quarter 2026 net income of $588,000 following its completed sale of the IoT business to Trackonomy. Earnings were $0.02 per basic and diluted share, versus a $0.15 loss a year earlier. Revenue fell to $3.088 million from $5.009 million; it covers activity only through the September 15 closing and is not comparable with the full prior-year quarter.

GAAP gross margin rose to 18.3% from 10.7%, but operating expenses increased to $8.805 million from $6.116 million. Profit included a $6.127 million asset-sale gain and a $1.817 million foreign-subsidiary dissolution gain. Adjusted EBITDA, a non-GAAP earnings measure, remained negative at $3.035 million, versus negative $3.568 million. INVE currently has no commercial revenue and is not providing guidance. It signed a partnership agreement with Trackonomy and plans targeted enterprise SaaS acquisitions focused on physical AI.

13 points · 0 major

MixediHow this balance works

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

1 major · 7 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointQ3 GAAP net income of $588,000 reversed a $3.451 million loss; EPS improved to $0.02 from negative $0.15.
• Moderate pointQ3 GAAP gross margin rose to 18.3% from 10.7% a year earlier.
• Moderate pointQ3 non-GAAP operating expenses fell to $4.012 million from $4.522 million a year earlier.
• Moderate pointQ3 adjusted EBITDA loss narrowed to $3.035 million from $3.568 million a year earlier.
• Moderate pointIoT business sale to Trackonomy closed September 15, 2026, generating a $6.127 million gain. 9.5% of market cap
• Moderate pointNine-month revenue increased to $16.182 million from $15.318 million in the comparable 2025 period.
• Moderate pointNine-month GAAP gross profit increased to $2.771 million from $192,000 in the comparable 2025 period.
• Moderate pointNine-month net loss narrowed to $7.513 million from $14.282 million; loss per share improved to $0.34 from $0.63.
• Moderate pointNine-month adjusted EBITDA loss narrowed to $8.341 million from $12.056 million in the comparable 2025 period.

4 minor points

• Minor pointForeign-subsidiary dissolution generated a $1.817 million net gain in the third quarter.
• Minor point. Forward-looking: it has not happened yet and may not happen.Trackonomy partnership agreement signed as INVE pursues targeted enterprise SaaS acquisitions focused on physical AI.
• Minor pointNine-month non-GAAP operating expenses fell to $12.478 million from $13.540 million in the comparable 2025 period.
• Minor pointTotal liabilities declined to $7.811 million at September 30, 2026, from $10.636 million at December 31, 2025.

Negative

• Major pointNo current commercial revenue following the September 15 sale of the IoT business.
• Moderate pointQ3 revenue fell to $3.088 million from $5.009 million; activity ended September 15, limiting year-over-year comparability.
• Moderate pointQ3 GAAP operating expenses increased to $8.805 million from $6.116 million, primarily reflecting asset-sale transaction costs.
• Moderate pointQ3 operating loss widened to $8.241 million from $5.582 million a year earlier.
• Moderate pointCash and cash equivalents declined to $86.789 million from $128.609 million at December 31, 2025.

2 minor points

• Minor pointNine-month operating loss widened to $17.956 million from $17.437 million in the comparable 2025 period.
• Minor pointStockholders' equity declined to $130.885 million from $140.701 million at December 31, 2025.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Focused on Providing Physical AI Solutions Through Targeted Acquisitions of Enterprise SaaS Companies 

Signed Strategic Partnership Agreement with Trackonomy

SANTA ANA, Calif.,  Nov. 12, 2026 /PRNewswire/ -- INVE Technologies, Inc. (NASDAQ: INVE) today released its financial results for the third quarter ended September 30, 2026.

Financial Results for Fiscal Third Quarter 2026
Revenue for the third quarter of 2026 was $3.1 million, compared to $5.0 million in the third quarter of 2025. The year-over-year decrease was due to lower unit sales of RFID transponder products and the IoT business divestiture to Trackonomy during Q3. Net revenue for the third quarter of 2026 reflects only activity through September 15, 2026, the closing date of the asset sale transaction, and therefore is not comparable to the full prior-year period.

Third quarter 2026 GAAP gross margin was 18.3% and non-GAAP gross margin was 31.6%, compared to third quarter 2025 GAAP gross margin of 10.7% and non-GAAP gross margin of 19.1%. The year-over-year improvement was primarily driven by continued cost savings and efficiencies resulting from the transition of production to the Thailand facility, higher utilization at the Thailand facility, and the non-recurrence of prior-year inventory obsolescence charges.

GAAP operating expenses, including research and development, selling and marketing, general and administrative, and restructuring and severance, were $8.8 million in the third quarter of 2026, compared to $6.1 million in the third quarter of 2025. The year-over-year increase in GAAP operating expenses was primarily driven by an increase in costs associated with the asset sale transaction. Non-GAAP operating expenses were $4.0 million in the third quarter of 2026, compared to $4.5 million in the third quarter of 2025. The year-over-year decrease in non-GAAP operating expenses reflects management's disciplined cost control.

Third quarter 2026 GAAP net income was $0.6 million, or $0.02 per basic and diluted share, compared to GAAP net loss of $3.5 million, or $0.15 per basic and diluted share, in the third quarter of 2025. The year-over-year increase was primarily driven by a gain recognized on the asset sale and a net gain recognized on the dissolution of a foreign subsidiary, partially offset by higher strategic transaction-related costs and higher stock-based compensation related to the acceleration of unvested RSUs associated with the closing of the asset sale.

Third quarter 2026 non-GAAP adjusted EBITDA loss was $3.0 million, compared to a non-GAAP adjusted EBITDA loss of $3.6 million in the third quarter of 2025. The year-over-year improvement was primarily driven by disciplined management of operating expenses in support of the Company's strategic initiatives.

Financial Outlook
Following the sale of its IoT Business to Trackonomy on September 15, 2026, the Company currently has no commercial revenue. Consequently, the Company is not providing financial guidance.

Conference Call
INVE Technologies management will hold a conference call today, November 12, 2026, at 5:00 p.m. EST (2:00 p.m. PST) to discuss the company's third quarter 2026 financial results and its business strategy. 

Toll-Free: +1 877-545-0320
International Number: +1 973-528-0002
Call ID: 779755
Webcast link: Register and Join

The teleconference replay will be available through Thursday, November 26, 2026, by dialing +1 877-481-4010 (Toll-Free Replay Number) or +1 919-882-2331 (International Replay Number) and entering passcode 54742.

About INVE Technologies
INVE Technologies, Inc. is a publicly traded operating company focused on acquiring and operating enterprise-enabled intelligent software businesses that require the addition of physical AI in compliance driven industries. Its strategy is to combine established enterprise SaaS platforms with Physical AI capabilities to support automated, continuous, and verifiable operational data. For additional information, visit invetechnologies.com.  

Non-GAAP Financial Measures
This press release includes financial information that has not been prepared in accordance with accounting principles generally accepted in the United States (GAAP), including non-GAAP adjusted EBITDA, non-GAAP gross profit, non-GAAP gross margin and non-GAAP operating expenses. INVE Technologies uses non-GAAP financial measures internally in analyzing its financial results and believes they are useful to investors, as a supplement to GAAP measures, in evaluating operational performance. INVE Technologies believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating operating results and trends. Non-GAAP gross profit and margin exclude stock-based compensation and amortization and depreciation. Non-GAAP adjusted EBITDA excludes items that are included in GAAP net income (loss), GAAP operating expenses, and GAAP gross margin, and excludes income tax provision (benefit), interest income, net, foreign currency gains (losses), net, stock-based compensation, amortization and depreciation, gain on asset sale, net gain on dissolution of foreign subsidiary, restructuring and severance, and strategic review-related costs. Non-GAAP operating expenses exclude stock-based compensation, amortization and depreciation, strategic review-related costs, and restructuring and severance. The exclusions are detailed in the reconciliation table included in this press release. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP measures to their most directly comparable GAAP financial measures as detailed in this press release.

Note Regarding Forward-Looking Information
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those involving future events and future results that are based on current expectations as well as the current beliefs and assumptions of management of INVE Technologies and can be identified by words such as "anticipate," "believe," "continue," "plan," "will," "intend," "expect," "outlook," and similar references to the future. Any statement that is not a historical fact is a forward-looking statement, including statements regarding INVE Technologies' strategy and focus. Forward-looking statements are only predictions and are subject to a number of risks and uncertainties, many of which are outside INVE Technologies' control, which could cause actual results to differ materially and adversely from those expressed in any forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: INVE Technologies' ability to successfully execute its business strategy; INVE Technologies' ability to successfully acquire one or more enterprise software companies; the success of the strategic partnership agreement with Trackonomy; and the other risk factors discussed in its periodic reports, including its Annual Report on Form 10-K for the year ended December 31, 2025, as amended, Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, and subsequent reports filed with the Securities and Exchange Commission. All forward-looking statements are based on information available to INVE Technologies on the date hereof, and INVE Technologies assumes no obligation to update such statements. 

INVE Technologies Investor Relations Contact:
IR@invetechnologies.com

INVE Technologies, Inc.
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
(unaudited)
		Three Months Ended				Nine Months Ended
		September 30,		September 30,		September 30,		September 30,
		2026		2025		2026		2025
Net revenue		$               3,088		$            5,009		$          16,182		$          15,318
Cost of revenue		2,524		4,475		13,411		15,126
Gross profit		564		534		2,771		192
Operating expenses:
Research and development		1,228		828		3,179		2,505
Selling and marketing		1,455		1,369		4,094		4,322
General and administrative		5,958		3,517		13,209		9,720
Restructuring and severance		164		402		245		1,082
Total operating expenses		8,805		6,116		20,727		17,629
Loss from operations		(8,241)		(5,582)		(17,956)		(17,437)
Non-operating income (expense):
Interest income, net		866		1,309		2,908		3,841
Gain on Asset Sale		6,127		—		6,127		—
Net gain on dissolution of foreign subsidiary		1,817		—		1,817		—
Foreign currency gains (losses), net		84		(25)		(327)		(1,425)
Income (loss) before income tax benefit (provision)		653		(4,298)		(7,431)		(15,021)
Income tax benefit (provision)		(65)		847		(82)		739
Net income (loss)		588		(3,451)		(7,513)		(14,282)
Cumulative dividends on Series B convertible preferred stock		(214)		(207)		(636)		(617)
Net loss available to common stockholders		$                 374		$          (3,658)		$          (8,149)		$         (14,899)
Net income (loss) per common share:
Basic		$                  0.02		$              (0.15)		$              (0.34)		$              (0.63)
Diluted		$                  0.02		$              (0.15)		$              (0.34)		$              (0.63)
Weighted average common shares outstanding:
Basic		24,193		23,849		24,151		23,736
Diluted		24,213		23,849		24,151		23,736

 

INVE Technologies, Inc.
Condensed Consolidated Balance Sheets
(in thousands)
(unaudited)
		September 30,		December 31,
		2026		2025
ASSETS
Current assets:
Cash and cash equivalents		$             86,789		$            128,609
Restricted cash		300		300
Accounts receivable, net of allowances		—		4,070
Inventories		—		7,419
Prepaid expenses and other current assets		1,375		2,267
Total current assets		88,464		142,665
Property and equipment, net		32		7,316
Operating lease right-of-use assets		—		841
Equity investments		50,200		200
Other assets		—		315
Total assets		$            138,696		$            151,337
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$                  803		$               3,619
Operating lease liabilities		—		331
Deferred revenue		—		2,760
Accrued compensation and related benefits		373		776
Accrued income taxes payable		313		288
Other accrued expenses and liabilities		5,568		1,619
Total current liabilities		7,057		9,393
Long-term operating lease liabilities		—		525
Other long-term liabilities		754		718
Total liabilities		7,811		10,636
Total stockholders' equity		130,885		140,701
Total liabilities and stockholders' equity		$            138,696		$            151,337

 

INVE Technologies, Inc.
Reconciliation of GAAP to Non-GAAP Financial Information
(in thousands)
(unaudited)
		Three Months Ended				Nine Months Ended
		September 30,		September 30,		September 30,		September 30,
		2026		2025		2026		2025
Reconciliation of GAAP gross margin to non-GAAP gross margin
GAAP gross profit		$                564		$                534		$              2,771		$                192
Reconciling items included in GAAP gross profit:
Stock-based compensation		41		5		54		15
Amortization and depreciation		372		415		1,312		1,277
Total reconciling items included in GAAP gross profit		413		420		1,366		1,292
Non-GAAP gross profit		$                977		$                954		$              4,137		$              1,484
Non-GAAP gross margin		32 %		19 %		26 %		10 %
Reconciliation of GAAP operating expenses to non-GAAP operating expenses
GAAP operating expenses		$              8,805		$              6,116		$            20,727		$            17,629
Reconciling items included in GAAP operating expenses:
Stock-based compensation		(1,436)		(703)		(2,767)		(2,396)
Amortization and depreciation		(91)		(117)		(256)		(235)
Strategic review-related costs		(3,102)		(372)		(4,981)		(376)
Restructuring and severance		(164)		(402)		(245)		(1,082)
Total reconciling items included in GAAP operating expenses		(4,793)		(1,594)		(8,249)		(4,089)
Non-GAAP operating expenses		$              4,012		$              4,522		$            12,478		$            13,540
Reconciliation of GAAP net loss to non-GAAP adjusted EBITDA
GAAP net income (loss)		$                588		$            (3,451)		$            (7,513)		$          (14,282)
Reconciling items included in GAAP net income (loss):
Income tax provision (benefit)		65		(847)		82		(739)
Interest income, net		(866)		(1,309)		(2,908)		(3,841)
Foreign currency (gains) losses, net		(84)		25		327		1,425
Stock-based compensation		1,477		708		2,821		2,411
Amortization and depreciation		463		532		1,568		1,512
Gain on Asset Sale		(6,127)		—		(6,127)		—
Net gain on dissolution of foreign subsidiary		(1,817)		—		(1,817)		—
Strategic review-related costs		3,102		372		4,981		376
Restructuring and severance		164		402		245		1,082
Total reconciling items included in GAAP net income (loss)		(3,623)		(117)		(828)		2,226
Non-GAAP adjusted EBITDA		$            (3,035)		$            (3,568)		$            (8,341)		$          (12,056)

 

View original content:https://www.prnewswire.com/news-releases/inve-technologies-inc-reports-third-quarter-2026-financial-results-302938393.html

SOURCE INVE Technologies, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were INVE Technologies' third-quarter 2026 earnings?

INVE reported $588,000 in GAAP net income and earnings of $0.02 per basic and diluted share. The prior-year quarter had a $3.451 million net loss and a $0.15 loss per share. The quarter included gains from the asset sale and dissolution of a foreign subsidiary.

Why does INVE Technologies have no commercial revenue after its IoT sale?

INVE has no current commercial revenue following the sale of its IoT business to Trackonomy on September 15, 2026. Consequently, the company is not providing financial guidance. Third-quarter revenue includes activity only through the sale's closing date.

Why did INVE Technologies' third-quarter 2026 gross margin improve?

INVE attributed the improvement to production cost savings and efficiencies from its Thailand transition, higher utilization at that facility, and the absence of prior-year inventory obsolescence charges. GAAP gross margin was 18.3%, compared with 10.7% a year earlier.

How much did INVE Technologies hold in equity investments at September 30, 2026?

INVE held $50.200 million in equity investments at September 30, 2026, compared with $200,000 at December 31, 2025.