Danish data processing unit specialist Napatech A/S reported second-quarter 2026 revenue of $7.4 million, a 55% increase from the same period a year earlier, as the company accelerates its shift toward AI-driven network infrastructure.
Gross margins remained robust at 67.3%, up from 66.9% in Q2 2025, while EBITDA losses narrowed to negative DKK 6.6 million from negative DKK 19.6 million a year prior. Operating and free cash flows remained negative at DKK 32.1 million and DKK 35.3 million, respectively, with cash and equivalents declining to DKK 62.7 million by quarter-end. Total available liquidity stood at DKK 84.3 million, including undrawn credit facilities of DKK 21.6 million.
For the first half of 2026, revenue rose 61% year-over-year to $13.1 million, while EBITDA losses improved to negative DKK 24.8 million from negative DKK 48.7 million in H1 2025. Unit shipments increased 20% to 2,671 units, with core infrastructure revenue growing 65% to $12.8 million and gross margins near 70%. The company secured 12 design wins during the period. AI infrastructure revenue dipped slightly to $0.3 million, while Rest of World revenue surged 141% to $5.9 million and Americas revenue rose 27% to $7.3 million.
Napatech maintained its full-year 2026 guidance, projecting revenue of DKK 200–240 million and gross margins of 60–70%. Adjusted unit volume guidance was reduced to 7,700–9,700 units, reflecting a shift toward higher-value, higher-speed products. The company expects quarterly revenue to exceed $10 million in both Q3 and Q4, moving toward cash flow neutrality and potential positive free cash flow. CFO Klaus Skovrup noted that first commercial AI infrastructure orders have been delivered and that the company aims for cash flow neutrality in the coming quarters.
The shares were little changed at $41.60, near the midpoint of the 52-week range of $20.40 to $60.00.
