Financial Data and Key Metrics Changes - In Q4 2025, the company reported revenue of $6.2 million, a decrease from $6.7 million in Q4 2024, attributed to the exit of lower-margin business [6][11] - Q4 GAAP gross margin improved to 18.1% from -14.9% in Q4 2024, while non-GAAP gross margin rose to 25.6% from -5.2% [6][10] - For fiscal year 2025, revenue was $21.5 million, down $5.1 million from the previous year, with GAAP gross margin at 6.1% and non-GAAP gross margin at 14.3%, both showing improvement from fiscal year 2024 [11][12] Business Line Data and Key Metrics Changes - The transition of production from Singapore to Thailand has structurally reduced costs and improved manufacturing efficiency, contributing to margin expansion [5][18] - The company has completed its transition to a pure-play IoT company, enhancing focus on high-value IoT opportunities [18][19] Market Data and Key Metrics Changes - The company is scaling production to support IFCO's requirement for 100 million BLE smart labels per year, with ongoing opportunities to tag their full pool of over 400 million reusable containers [31][32] - The current pipeline includes approximately 25% opportunities in healthcare, logistics, and food and beverage sectors [34] Company Strategy and Development Direction - The company is focused on its Perform, Accelerate, and Transform strategy, aiming to strengthen core business, drive operational efficiency, and expand margins [3][17] - Key initiatives include the development of BLE technology, new product development, and strategic partnerships to enhance market positioning [21][23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the progress made in 2025 and the operational foundation established for profitable growth in 2026 [19][28] - The company anticipates variability in gross margins as it scales production for the IFCO program and a new customer in Q1 2026 [15][47] Other Important Information - The company exited Q4 2025 with $128.9 million in cash equivalents, reflecting a strong balance sheet [13][14] - The company has implemented new enterprise software systems to enhance operational efficiency and customer responsiveness [18] Q&A Session Summary Question: Insights on the IFCO opportunity and revenue potential - Management highlighted the excitement around the IFCO project, noting the capacity to scale up to 100 million units per year and the potential for ongoing revenue from tagging reusable containers [31][32] Question: Clarification on supplier exclusivity for IFCO - The agreement with IFCO is exclusive, with the company being the sole supplier for the duration of the contract [33] Question: Breakdown of the new opportunity pipeline by end market - The pipeline consists of approximately 25% opportunities in healthcare, logistics, and food and beverage sectors [34] Question: Changes in the NPD pipeline and revenue contribution - Management indicated that two-thirds of the NPD pipeline opportunities are expected to meet or exceed the 30% gross margin target [38] Question: Development phase for the IFCO deal and ramp-up plans - The company is still in the product development phase, with significant ramp-up expected towards the end of 2026 [40]

Earnings Conference Call Q4 and FY 2025 March 12, 2026 Trademarks This presentation contains trademarks, service marks, trade names and copyrights of Identiv and other companies, and are the property of their respective owners. © 2026 Identiv, Inc. All Rights Reserved | 3 AGENDA © 2026 Identiv, Inc. All Rights Reserved | 4 Safe Harbor | Note Regarding Forward-Looking Information This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. ...

Financial Data and Key Metrics Changes - In Q3 2025, the company reported revenue of $5.0 million, down from $6.5 million in Q3 2024, attributed to exiting lower margin business [5][10] - GAAP gross margin improved to 10.7% from 3.6% year-over-year, while non-GAAP gross margin increased to 19.1% from 9.3% [5][8] - GAAP net loss from continuing operations decreased to $3.5 million, or $0.15 per share, compared to a loss of $9.3 million, or $0.40 per share in Q3 2024 [8][10] - Non-GAAP adjusted EBITDA loss was $3.6 million, an improvement from $4.5 million in Q3 2024 [8][9] Business Line Data and Key Metrics Changes - The transition to the new manufacturing facility in Thailand has been completed, leading to lower costs and improved efficiency [4][12] - The company has achieved 100% production of RFID tags, inlays, and labels in Thailand, marking a significant operational milestone [12][21] Market Data and Key Metrics Changes - The company is seeing growth from existing channel customers and increased traction in BLE projects, contributing to expected sales growth in Q4 2025 [26][30] - The new opportunity pipeline has expanded, with 118 new opportunities identified, and 18% of these have been converted to sales [19][20] Company Strategy and Development Direction - The company continues to execute its Perform, Accelerate, and Transform (PAT) strategy, focusing on operational excellence, high-value segments, and strategic M&A [3][19] - The strategic focus has shifted to being a pure play in IoT and RFID technologies following the separation from the physical security business [15][22] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the progress made in Q3 and the potential for continued growth in high-value segments [11][22] - The company anticipates completing the Singapore site shutdown by year-end and expects further margin expansion as the Thailand facility reaches full productivity [4][10] Other Important Information - The company has launched CRM and MRP automation initiatives to enhance operational efficiency [12] - New product development initiatives are underway, particularly in BLE technology, which is expected to drive future growth [16][18] Q&A Session Summary Question: What is driving the expected sales growth in Q4? - Management noted growth from existing channel customers and increased traction in BLE projects as key drivers [26] Question: Is IFCO on track for volume shipments next year? - Management confirmed progress with IFCO and ongoing product development, with prototypes being tested in the field [28][29] Question: What can be expected for gross margins in Q4? - Management indicated that while benefits from the Singapore shutdown will continue, full impact on gross margins may not be realized until Q1 of the following year [32] Question: What percentage of new opportunities converted are above the 28% gross margin goal? - Approximately two-thirds of the converted opportunities are expected to exceed the 30% gross margin threshold [36] Question: What is the status of healthcare opportunities? - Management remains positive about healthcare opportunities, noting that these projects typically take longer to commercialize compared to logistics and consumer products [39]

Financial Performance - Q3 2025 net revenue was $5.0 million, compared to $6.5 million in Q3 2024, due to exiting lower-margin business earlier in FY 2025[9] - GAAP gross margin improved to 10.7% in Q3 2025 from 3.6% in Q3 2024, due to the completion of the production transition to Thailand[9] - Non-GAAP gross margin increased to 19.1% in Q3 2025 from 9.3% in Q3 2024[9] - GAAP operating expenses decreased to $6.1 million in Q3 2025 from $9.8 million in Q3 2024, driven by a reduction in strategic review costs[9] - Non-GAAP operating expenses were $4.5 million in Q3 2025, compared to $5.1 million in Q3 2024, reflecting key organic growth investments[9] - GAAP net loss from continuing operations improved to ($3.5 million) in Q3 2025 from ($9.3 million) in Q3 2024, due to reduced strategic review costs[9] - Non-GAAP adjusted EBITDA was ($3.6 million) in Q3 2025, compared to ($4.5 million) in Q3 2024, driven by expanded gross margin and lower operating expenses[9] Business Outlook - The company expects net revenue for Q4 2025 to be between $5.4 million and $5.9 million[10] Strategic Initiatives - The company's "Perform, Accelerate, and Transform" (P-A-T) strategy remains central to transforming the company and creating lasting value for stockholders[7] - The company completed the transition of 100% of RFID production to its Thailand facility[21] - The company converted approximately 18% year-to-date of its new opportunity pipeline into sales, representing almost 10% of Q3 sales[21]