Financial Performance - Impinj reported third-quarter 2025 revenue of $96.1 million, a slight increase from $95.2 million in the same quarter of 2024[16] - The company experienced a GAAP net loss of $12.8 million, or a loss of $0.44 per diluted share, compared to a net income of $0.22 million in Q3 2024[16] - Adjusted EBITDA for the third quarter was $19.1 million, reflecting strong operational performance[4] - For the fourth quarter of 2025, Impinj expects revenue between $90.0 million and $93.0 million, with a GAAP net loss projected between $2.6 million and $1.1 million[5] - The company anticipates a non-GAAP net income of $14.7 million to $16.2 million for Q4 2025, translating to a non-GAAP net income per diluted share of $0.48 to $0.52[5] - For the nine months ended September 30, 2025, the company reported a net loss of $9,708,000 compared to a net income of $43,528,000 for the same period in 2024[18] - The company expects a GAAP net loss of $1,868,000 for the three months ending December 31, 2025, with an adjusted EBITDA forecast of $16,160,000[26] - Non-GAAP net income for the three months ending December 31, 2025, is projected to be $15,444,000, translating to a non-GAAP net income per share of $0.50[26] Assets and Cash Flow - Total current assets increased to $351.8 million as of September 30, 2025, up from $326.4 million at the end of 2024[14] - Cash and cash equivalents rose to $51.7 million, compared to $46.1 million at the end of 2024[14] - Impinj's total assets reached $516.5 million, an increase from $489.1 million at the end of 2024[14] - The net cash provided by operating activities for the nine months ended September 30, 2025, was $43,610,000, a decrease of 62.3% from $115,687,000 in 2024[18] - Free cash flow for the nine months ended September 30, 2025, was $32,267,000, a decrease of 68.6% from $102,708,000 in 2024[24] - The cash and cash equivalents at the end of the period on September 30, 2025, were $51,726,000, compared to $73,704,000 at the end of the same period in 2024[18] Margins and Operational Performance - The company reported a gross margin of 50.3% for Q3 2025, with a non-GAAP gross margin of 53.0% expected for Q4 2025[4] - The company achieved a GAAP gross margin of 52.8% for the nine months ended September 30, 2025, compared to 52.0% in 2024[23] - Adjusted EBITDA for the nine months ended September 30, 2025, was $53,139,000, up from $50,833,000 in 2024, reflecting a year-over-year increase of 4.6%[23] Stock-Based Compensation and Expenses - The company reported stock-based compensation of $40,096,000 for the nine months ended September 30, 2025, slightly down from $41,336,000 in 2024[23] - The company incurred an induced conversion expense related to convertible notes amounting to $15,026,000 for the nine months ended September 30, 2025[23] Strategic Focus - Impinj continues to focus on its Gen2X solutions, which are contributing to revenue growth and market leadership[2]

Core Insights - Carillon Tower Advisers reported a strong performance in equity markets during the third quarter of 2025, driven by AI advancements, reduced inflation from tariffs, and potential interest rate cuts by the U.S. Federal Reserve [1] - The Russell 2000® Growth Index increased by 12.19% in the quarter, slightly underperforming the Russell 2000 Value Index, which rose by 12.60% [1] Company Highlights: Impinj, Inc. (NASDAQ:PI) - Impinj, Inc. experienced a one-month return of 30.51% and a 52-week gain of 17.95%, closing at $235.89 per share with a market capitalization of $6.862 billion on October 28, 2025 [2] - The company provides RFID chips for inventory and asset tracking, showing strong revenue growth that exceeded expectations, with a broadening adoption of RFID technology beyond traditional uses [3] - Impinj's revenue for the second quarter was reported at $97.9 million, marking a 32% sequential increase but a 4% year-over-year decrease [4]

Core Insights - Alger Weatherbie Specialized Growth Fund's third-quarter 2025 investor letter indicates that equity markets are on an upward trend, with the S&P 500 Index increasing by 8.12% during the quarter [1] - The fund's Class A shares underperformed compared to the Russell 2500 Growth Index in the same period [1] - Impinj, Inc. (NASDAQ:PI) is highlighted as a key stock, showing a one-month return of 30.51% and a 52-week gain of 17.95% [2] Company Performance - Impinj, Inc. reported a market capitalization of $6.862 billion as of October 28, 2025, with shares closing at $235.89 [2] - The company specializes in RAIN RFID technology, which aids in item tracking across supply chains, and is well-positioned for growth as item-level tracking adoption increases [3] - Impinj's fiscal second-quarter results exceeded expectations, contributing positively to its stock performance, alongside an improved outlook for the third quarter [3] Financial Metrics - Impinj, Inc. recorded revenue of $97.9 million for the second quarter, marking a 32% sequential increase but a 4% year-over-year decrease [4] - The company is experiencing ongoing progress with large enterprise rollouts and pilot programs in food and grocery sectors [3]

Group 1 - Impinj (PI) is currently outperforming its peers in the Computer and Technology sector, with a year-to-date return of 36.2% compared to the sector average of 21.6% [4] - The Zacks Rank for Impinj is 1 (Strong Buy), indicating a positive outlook based on earnings estimates and revisions [3] - Over the past 90 days, the Zacks Consensus Estimate for Impinj's full-year earnings has increased by 1233.3%, reflecting improved analyst sentiment [4] Group 2 - Impinj is part of the Electronics - Semiconductors industry, which has gained an average of 37.6% this year, indicating that Impinj is slightly underperforming its industry [6] - Another notable stock in the Computer and Technology sector is Arqit Quantum Inc. (ARQQ), which has seen a year-to-date increase of 49.7% and has a Zacks Rank of 2 (Buy) [5] - The Internet - Software industry, where Arqit Quantum Inc. belongs, has moved up by 17.1% since the beginning of the year [6]

Core Viewpoint - Impinj's stock has seen a significant increase of 11% week to date, driven by positive analyst coverage and strong positioning in the IoT market [1] Analyst Evaluations - Cantor Fitzgerald's Troy Jensen raised his price target for Impinj from $158 to $217 per share, maintaining an overweight (buy) recommendation [2][3] - Barclays' Guy Hardwick initiated coverage with a buy recommendation and set a price target of $200 for Impinj's shares [3] Market Positioning - Both analysts believe Impinj is well-positioned to benefit from the growing adoption of Internet of Things (IoT) technologies, which are crucial for its RFID components [4] - Jensen has increased his revenue and profitability estimates for Impinj for the years 2025 and 2026, reflecting confidence in the company's future performance [4]

SEATTLE--(BUSINESS WIRE)--Impinj to Announce Third-Quarter 2025 Financial Results. ...

Summary of Impinj Conference Call Company Overview - **Company**: Impinj, Ticker: PI - **Industry**: Endpoint Integrated Circuits (ICs) for RFID technology Key Points Market Stability and Volatility - The endpoint IC market is showing signs of stability after a volatile Q1, which was influenced by tariffs affecting partner ecosystems [2][3] - Q2 saw moderated volatility, primarily involving adjustments to delivery timing rather than cancellations [2][3] End Market Penetration - Approximately 50% to 60% of endpoint ICs are shipped to the retail market, which represents an opportunity of 80 billion units annually [5] - Retail apparel has a penetration rate of about 40% by volume, with over 90% penetration on a brand basis [8] - New verticals such as general merchandise ($325 billion unit opportunity) and logistics ($400 billion unit opportunity) are emerging, both currently at low single-digit penetration [8][9] - The food sector presents a significant opportunity, larger than all other verticals combined, but is still in early pilot stages [9][10] Food Market Developments - The largest public pilot in the food category is Kroger's bakery deployment, currently at around 700 stores [13] - Eight out of the ten largest grocers are either piloting or exploring RAIN deployments in food [13] General Merchandise and Retail Apparel - A major North American retailer has expanded from apparel to general merchandise, with ongoing assessments for future phases [14][15] - Despite a softer macro environment, retail apparel continues to see progress with new deployments from brands like Old Navy and Academy Sports [18] Digital Product Passport (DPP) - DPP aims to track items from manufacture to recycling, enhancing consumer engagement and potential use cases [21][22] - The initiative is being phased in, starting with lithium-ion batteries and moving to textiles, which aligns with apparel customers [25] Impinj M800 Chip - The M800 chip is the smallest and most sensitive endpoint IC, offering a 25% increase in die per wafer compared to its predecessor, the M700 [26][27] - Anticipated gross margin accretion of 300 basis points as the M800 ramps up, expected to cross the 50% threshold by 2025 [27] Gen2X Protocol - Gen2X enhances readability, speed, and range of RAIN RFID, enabling fixed or autonomous reading applications [29][30] - Impinj is unique in offering both reader ASICs and endpoint ICs, providing a competitive edge in the RFID market [31] Cost Reduction Strategies - Cost reductions are achieved through smaller, more sensitive chips and competitive pricing in the inlay market, with sub-$0.02 inlays becoming common [33] Future Outlook - All three key markets (apparel, general merchandise, and food) are expected to contribute to growth, with food anticipated to become the largest category in the long term due to its high velocity [34] Additional Insights - The company is actively engaging with major retailers and grocers to expand its market presence and explore new opportunities in various sectors [12][13][14]

Market Opportunity - The RFID market has experienced significant growth, with a rate of over 25% in the last decade and industry volumes exceeding 50 billion units as of last year [1] End Market Breakdown - The primary end market for RFID technology is retail apparel and footwear, which has achieved a mainstream adoption rate of approximately 35% to 40%, with an estimated opportunity size of around 80 billion units [2] - Other notable markets include retail general merchandise, supply chain, and logistics, which are still in the early adoption phase but represent similarly sized opportunities in the couple of hundred billion units per year [2]

Market Opportunity - The RFID market has experienced significant growth, with a rate of over 25% in the last decade and industry volumes exceeding 50 billion units as of last year [1] - The primary end market for RFID technology is retail apparel and footwear, which has reached a mainstream adoption level of approximately 35% to 40% [2] - The overall opportunity in retail apparel and footwear is estimated at around 80 billion units, while other sectors such as retail general merchandise, supply chain, and logistics present similarly sized opportunities in the couple of hundred billion per year, currently in early adoption phases [2]

Impinj Conference Call Summary Company Overview - **Company**: Impinj (NasdaqGS:PI) - **Industry**: RAIN RFID (Radio-frequency identification) Key Market Insights - The RAIN RFID market has experienced significant growth, averaging over **25%** annually, with industry volumes exceeding **50 billion units** as of last year [4][5] - The primary end market for Impinj is **retail apparel and footwear**, which has reached an adoption rate of approximately **35% to 40%** [5] - Other notable markets include **retail general merchandise**, **supply chain**, and **logistics**, which are still in early adoption phases, with potential volumes in the **hundreds of billions** [5] - The **food market** is emerging as a substantial opportunity, expected to surpass other markets in volume, with adoption rates accelerating faster than anticipated [6][8] Growth Projections - There has been a slight slowdown in adoption rates due to the mainstream phase of retail apparel, but new opportunities in food are expected to rejuvenate growth in the coming years [7] - Impinj is optimistic about the food market's potential to enhance visibility into food freshness and inventory management [8] Product Development and Technology - The **M800 endpoint IC** is crucial for enabling food use cases, featuring higher sensitivity for better readability and cost reduction through smaller antennas [10] - Impinj is focusing on developing software solutions that run on their hardware to unlock new use cases and enhance enterprise solutions [14][17] Competitive Landscape - Impinj and **NXP** dominate the endpoint IC market, accounting for over **90%** of volumes [20] - The company emphasizes technological leadership and innovation to maintain a competitive edge, particularly through its **Gen 2X** protocol enhancements [20][21] - There are currently no significant emerging competitors in the market, although second or third-tier providers from China are being monitored [23] Financial Performance - Impinj reported a **13%** sequential revenue increase, driven by positive momentum in both endpoint ICs and systems business [33] - The M800 is expected to become the volume leader, contributing to a **300 basis points** increase in gross margin once fully ramped [39][41] - The company anticipates maintaining gross margins through cost management and innovation, despite low to mid-single-digit ASP declines [27][43] Operational Insights - Channel inventory levels are being closely monitored to ensure alignment with demand, with proactive measures taken to manage inventory shocks [44][46] - Impinj is committed to investing in R&D to capitalize on market opportunities while also seeking operational leverage in SG&A expenses [49] Future Opportunities - Impinj sees significant potential in **machine learning at the edge** for enhancing supply chain visibility and operational efficiency [51][52] - The company is exploring passive reading technologies that could provide real-time inventory tracking without intentional scanning by employees [53] Conclusion - Impinj is positioned to drive a foundational change in retail and supply chain management through its innovative RFID solutions, comparable to the transformation brought by barcodes in the past [57]