AmpliTech Group — Q3 2026 Earnings Summary

Financial Performance:

• Q3 2026 revenue increased 8.0% year-over-year to $6.58 million, compared to $6.09 million in Q3 2025.
• Q3 gross profit was $2.25 million with a gross margin of 34.2%, a sequential increase of 6.3 percentage points from 27.9% in Q2 2026.
• Q3 net loss narrowed to $1.89 million ($0.07 per share) from $3.09 million in Q2 2026.
• For the nine months ended September 30, 2026, revenue was $20.00 million and gross profit increased 41.1% year-over-year to $7.07 million (from $5.01 million).
• Nine-month gross margin expanded to 35.3% from 24.2% in the prior-year period.
• Nine-month net loss was $6.50 million, compared to $3.80 million in the prior-year period.
• Q3 Manufacturing and Engineering segment revenue was $3.70 million, down from $3.98 million a year earlier.
• Q3 Spectrum Semiconductor Materials distribution revenue increased 36.4% year-over-year to $2.89 million.
• Selling, general, and administrative expenses were $3.38 million in Q3 2026, up from $2.48 million in Q3 2025.
• Research and development expense was $0.86 million in Q3 2026, up from $0.70 million in Q3 2025.
• Net cash used in operating activities was $8.48 million for the nine-month period.
• Shareholders' equity doubled to $65.7 million.

Guidance and Future Outlook:

• The Company expects full-year 2026 revenue of at least $28 million, withdrawing a previous $50 million target.
• Management anticipates that investments in engineering, manufacturing readiness, and supply chain capabilities will support more efficient conversion of orders into revenue during 2027 and 2028.
• Revenue recognition timing remains subject to production, delivery, acceptance, and conditions such as technology transfers, geopolitical developments, and customer evaluation processes.
• The Company expects to fulfill backlog orders during the remainder of 2026 and throughout 2027.
• Management believes the company can meet normal operating obligations and planned capital requirements over the next 18 months based on existing liquidity.

Business Segments and Product Lines:

• The Company serves 5G and telecommunications infrastructure, SATCOM and space, defense and aerospace, and semiconductor and quantum-computing applications.
• Over 3,000 AmpliTech radio units were deployed in support of a North American mobile network operator program.
• A record $21.7 million follow-on purchase order was received for 5G O-RAN radios supporting an Asian mobile network operator program, bringing cumulative orders under that program to approximately $34 million.
• A $1.03 million follow-on Low-Noise Amplifier (LNA) order was received from a Fortune 1000 satellite communications customer.
• A dedicated production line was completed post-quarter-end, with initial shipments expected during Q4 2026.
• The 5G Medium Power Radio Unit demonstrated interoperability with OCUDU, expanding software environments for customer evaluation.
• The Company achieved formal recognition as an approved vendor with a major telecom infrastructure provider after completing new-supplier qualification and onboarding.

Market and Competitive Landscape:

• Total bookings in October alone were near $25 million, contributing to a record backlog exceeding $52 million as of October 21, 2026.
• All backlog is shippable between FY2026 and FY2027.
• The Company is expanding its presence in the global 5G and O-RAN ecosystem through new business opportunities and approved vendor status.
• Supply-chain constraints and customer-directed deployment delays, particularly among international 5G network operators, impacted the ability to meet the previous $50 million revenue target.

Risks and Challenges:

• Revenue recognition is subject to delays in technology transfers, global geopolitical developments, extended customer evaluation processes, and other factors beyond the Company's control.
• Customer deployment schedules and revenue recognition remain subject to change.
• Forward-looking statements involve risks including changes in customer demand, order modifications, supply-chain and manufacturing constraints, regulatory requirements, and competitive conditions.
• Purchase orders and backlog are not guarantees of future revenue.

Management Commentary and Tone:

• CEO Fawad Maqbool highlighted the 8.0% year-over-year revenue increase, strong growth in the Spectrum segment, and meaningful sequential improvement in gross margin.
• Management emphasized the priority of disciplined execution to turn firm orders into product deliveries, customer acceptance, and revenue.
• The tone reflects confidence in the strengthened balance sheet, proprietary technology portfolio, and planned production capabilities to support long-term growth.
• Management noted that while commercial milestones are significant, the focus remains on converting potential into sustainable financial performance.

Other Key Points:

• As of September 30, 2026, cash, cash equivalents, and marketable securities totaled approximately $30.27 million ($19.48 million cash and $10.79 million marketable securities).
• Working capital reached approximately $42.14 million with a current ratio of approximately 6.93.
• Total assets were $76.13 million, compared to $51.48 million at December 31, 2025.
• Total stockholders' equity was $65.72 million, compared to $32.86 million at December 31, 2025.
• Equity financing completed during 2026 included approximately $20.11 million in net proceeds from the July closing of the Series A Rights exercise process.
• The Company received more than $17 million in customer purchase orders during Q3 2026, including follow-on orders under established O-RAN radio programs.
• The Company will host a conference call on November 12, 2026, at 5:00 p.m. Eastern Time.