Airgain Inc (NASDAQ:AIRG), a provider of wireless connectivity solutions, reported financial results for the fourth quarter and full year 2025 that fell short of analyst expectations, leading to a sharp decline in its stock price in after-hours trading.
Earnings and Revenue Miss
The company's quarterly performance was weaker than anticipated on both the top and bottom lines. For the fourth quarter of 2025, Airgain reported sales of $12.1 million, which represents a 19.6% decrease from the $15.1 million reported in the same period a year ago. This result came in below the analyst consensus estimate of $12.95 million.
On a profitability basis, the company reported a non-GAAP net loss of $0.3 million, or a loss of $0.03 per share. This was wider than the estimated loss of $0.017 per share forecast by analysts. The company's GAAP net loss for the quarter was $2.4 million, or $0.20 per share.
Market Reaction and Outlook
The market reacted negatively to the earnings miss and a cautious near-term outlook. Following the release, the stock was down approximately 12.7% in after-market trading. This sharp decline reflects investor disappointment with the quarterly results and the company's guidance for the current quarter.
For the first quarter of 2026, Airgain provided an outlook that is notably below current analyst expectations:
- Revenue: The company expects sales between $10.5 million and $12.5 million, with a midpoint of $11.5 million. This is significantly lower than the analyst estimate of $13.01 million for Q1 2026.
- Earnings: Airgain anticipates a non-GAAP net loss per share of $0.07 at the midpoint, which is also wider than the estimated loss of $0.036 per share.
Key Highlights from the Report
Despite the financial shortfall, management highlighted progress on its strategic growth platforms, AirgainConnect and Lighthouse. CEO Jacob Suen pointed to completed trials with major network operators and an expanded customer pipeline as signs of forward momentum. The company also completed the acquisition of the HPUE product line assets from Nextivity in February 2026, a move aimed at strengthening its system-level connectivity portfolio for mission-critical applications.
A breakdown of the full-year 2025 results shows the challenges across the company's markets:
- Full-year 2025 sales were $51.8 million, down 14.6% from $60.6 million in 2024.
- The consumer segment was a bright spot, with sales increasing by $4.4 million, driven by higher antenna sales.
- This growth was offset by significant declines in the enterprise (down $6.9 million) and automotive (down $6.3 million) segments.
- On a positive note, the company improved its full-year GAAP gross margin to 43.5%, up from 40.9% in 2024, reflecting better product margins and operational efficiencies.
Conclusion
Airgain's fourth-quarter earnings report presented a mixed picture. While the company demonstrated progress on its long-term platform strategy and improved its gross margins, it failed to meet near-term financial targets and issued guidance for the current quarter that is well below Wall Street's expectations. The significant after-hours sell-off indicates that investors are prioritizing the current revenue weakness and cautious outlook over the company's strategic advancements. The key challenge for Airgain in 2026 will be converting its growing pipeline of customer trials and engagements into commercial deployments that can drive a sustained revenue recovery.
For a detailed look at Airgain's historical earnings and future estimates, you can review the data here.
Disclaimer: This article is for informational purposes only and does not constitute financial advice, a recommendation, or an offer or solicitation to buy or sell any securities. The information presented is based on data provided and should not be the sole basis for any investment decisions.
