InTest Corporation — Third Quarter 2026 Earnings Summary

Financial Performance

• Q3 2026 orders are expected to range from $48 million to $50 million, representing a 28% to 33% increase compared to Q3 2025.
• Q3 2026 revenue is projected at the high end of the guidance range ($33 million to $35 million), reflecting growth of more than 30% compared to $26.2 million in Q3 2025.
• Backlog at the end of Q3 2026 is estimated between $58 million and $60 million, an increase of approximately 28% to 32% from $45.4 million at June 30, 2026.
• The estimated book-to-bill ratio for Q3 2026 is expected to be above 1.3x.
• Actual results are preliminary and subject to change upon completion of financial closing procedures.

Guidance and Future Outlook

• Management expects revenue for both Q3 2026 and the full year 2026 to be at the high end of guidance ranges.
• The company anticipates a strong finish to 2026 and entering 2027 with promising momentum due to strengthened backlog.
• Order levels are expected to vary quarter-to-quarter based on the timing of customer capital investments.

Business Segments and Product Lines

• Record orders are driven primarily by back-end semiconductor orders.
• Demand for advanced semiconductor test solutions is fueled by customer capacity expansions linked to AI-driven data center demand.
• Newer products, specifically high-powered chillers and advanced manipulators, are contributing substantially by addressing rising power conversion requirements and growing mixed-signal and analog test needs.
• Key target markets include Semiconductor (front-end and back-end), Automotive/EV, Defense/Aerospace, Industrial, Life Sciences, and Safety/Security.

Market and Competitive Landscape

• Semiconductor demand anticipated for the second half of the year has materialized.
• Growth is supported by customers' capital expenditures driven by AI data center requirements.

Risks and Challenges

• Forward-looking statements are subject to risks including the ability to execute the VISION 2030 Strategy.
• Risks include the potential to realize benefits from acquisitions and successfully integrate acquired operations.
• Challenges may arise from supply chain issues, converting backlog to sales, and timely shipping.
• External factors include inflation, changes in market cycles, trade policy, rising interest rates, and foreign currency fluctuations.
• Risks also encompass changes in customer capital expenditure rates, material weaknesses in internal controls, and access to capital.

Management Commentary and Tone

• President and CEO Rich Rogoff stated that anticipated semiconductor demand for the second half of the year has materialized, led by record back-end orders.
• Management expressed confidence that revenue for Q3 and the full year will be at the high end of guidance ranges.
• The tone indicates optimism regarding the company's positioning for a strong finish to 2026 and momentum into 2027.

Other Key Points

• Management will participate in the 18th Annual CEO Investor Summit on October 13, 2026, during SEMICON West in San Francisco.
• Third quarter 2026 financial results are scheduled to be reported on November 6, 2026.
• Orders and backlog are defined as key performance metrics; orders represent written communications requesting products/services, while backlog consists of firm purchase orders for which revenue has not yet been recognized.
• The company's growth strategy includes organic growth and acquisitions to add innovative technologies, expand geographic reach, and penetrate new markets.