Sequans Communications S (SQNS)
NYSE:SQNS
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Earnings Data
Report Date
Aug 04, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
-0.44Last Year’s EPS
-2.8Same Quarter Last Year
Strong Buy
Based on 4 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
Overall the call presents constructive operational progress: a growing backlog, multiple design wins moving into production, tangible product momentum across Cat-M/Cat-1bis/RF, progress on 5G eRedCap, and a decisive balance sheet move to eliminate convertible debt and simplify capital structure. Near-term challenges include Q1 revenue and margin pressure, increased cash burn, realized losses from monetizing Bitcoin, supply-chain driven cost inflation and an outstanding audit/filing timing issue. Management has clear targets to reduce OpEx and drive breakeven by year-end and has provided specific guidance/visibility (backlog, Q2 revenue range, BTC redemption timetable) that supports their optimistic outlook.Company Guidance
Strong Design-Win Pipeline and Backlog
Design-win pipeline exceeds $300M of potential 3-year product revenue entering 2026; 44% already in production at the start of the year. Q1 added 3 projects that transitioned to production and management expects >50% of the pipeline (≈$150M of 3-year potential) to be in production by end of June. Product order backlog of ≈$22M secured for 2026 with early indications into Q1 2027.
Sequential Revenue Guidance and Expected Ramp
Q1 revenue was $6.1M and company guides Q2 revenue to $6.8M–$7.4M, with management expecting sequential growth throughout 2026 driven mainly by product revenue and production ramps.
Debt Redemption and Balance Sheet Simplification
Negotiated early redemption of $94.5M convertible debt: approximately 62% redeemed by April 30 (≈$58.6M of face value referenced between disclosures), $35.9M expected to be redeemed by June 1, 2026. Post-redemption the company expects a near debt-free balance sheet and at least 600 unencumbered Bitcoin; cash and cash equivalents were $10.6M at quarter end.
Improvement in IFRS Loss and BTC Mark-to-Market Volatility Reduced
IFRS net loss improved to $54.3M in Q1 from $76.4M in Q4 (improvement of $22.1M, ~28.9%). Mark-to-market valuation charge on Bitcoin fell to $29.3M from $56.3M in Q4 (~48% improvement), lowering one major source of non-operating volatility quarter-over-quarter.
Product Momentum Across Cat-M, Cat-1bis and RF Transceivers
Cat-M is a meaningful growth driver with strong visibility from asset tracking and smart metering; Cat-1bis is positioned for a breakout with multiple customer ramps. RF transceiver business shows early traction with management citing roughly $4M–$5M of potential revenue this year outside core IoT and a larger high-margin market opportunity (company-estimated market potential of $100M+ annually).
5G eRedCap Technical Progress
Received first engineering test chips for 5G eRedCap during the quarter; customer sampling targeted for H2 2027. Management expects eRedCap to consolidate multiple 4G IoT categories and drive higher ASPs (management-cited premium of ~10–15% vs 4G).
Cost Reduction Plan and Path to Cash Flow Breakeven
Operating expenses fell to $11.8M in Q1 from $12.3M in Q4 (~4.1% reduction). Company targets cash operating expenses below $10M and specifically ~$9M by year-end, and continues to target approaching cash flow breakeven by the end of 2026 as revenue scales and cost program benefits are realized.
SQNS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
SQNS Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 05, 2026 | $3.52 | $3.51 | -0.28% |
Feb 10, 2026 | $3.54 | $3.50 | -1.13% |
Sep 30, 2025 | $9.58 | $9.46 | -1.25% |
Jul 07, 2025 | $14.30 | $14.30 | 0.00% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Sequans Communications S (SQNS) report earnings?
Sequans Communications S (SQNS) is schdueled to report earning on Aug 04, 2026, Before Open (Confirmed).
What is Sequans Communications S (SQNS) earnings time?
Sequans Communications S (SQNS) earnings time is at Aug 04, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is SQNS EPS forecast?
SQNS EPS forecast for the fiscal quarter 2026 (Q2) is -0.44.
