AI-extracted from the 10-Q filed 2026-08-06 — Q2 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Q2 revenues reached $61.5M (+19% YoY), driven by Platform growth (+14%) and Volume-based surge (+45%), with net income of $4.3M versus $1.1M prior year.
Biggest Revenue Drivers
Platform$49.1M+14% YoY
Higher revenue from DirectScan systems, partially offset by decreases in CV systems and Exensio software.
Volume-based$12.4M+45% YoY
Increase in Gainshare and Cimetrix runtime licenses.
Biggest Revenue Drivers
Total revenue: $61.5M+19% YoY
Platform$49.1M+14% YoY
Higher revenue from DirectScan systems, partially offset by decreases in CV systems and Exensio software.
Volume-based$12.4M+45% YoY
Increase in Gainshare and Cimetrix runtime licenses.
Largest Expense Items
Costs of revenues$19.1M+28% YoY
Increases in hardware costs, facilities/IT costs, personnel-related costs, and software license costs.
Research and development$17.3M+16% YoY
Higher personnel costs from increased headcount and bonus, plus facilities and software license cost increases.
Selling, general, and administrative$19.0M-4% YoY
Lower personnel-related costs offset by legal expenses for arbitration proceeding.
Margins: Gross margin decreased 2 percentage points to 69% in Q2 2026 from 71% in Q2 2025, primarily due to higher costs of revenues growing faster than revenue growth. The filing cites increased hardware, facilities, and personnel costs as drivers of margin compression.
Watch Items from the Filing
Customer concentration risk: Customer A represents 22% of Q2 2026 revenue and 39% of accounts receivable; Customer C represents 10% of Q2 2026 revenue and 22% of accounts receivable.
SMIC arbitration award ($130M+): Company won arbitration in November 2025 but no payments received; SMIC filed set-aside application in Hong Kong High Court in February 2026. No amount recognized as of June 30, 2026.
Geographic concentration: International revenues (45% in Q2 2026) include exposure to Japan (11%), China (14%), and rest of world (20%); China operations subject to U.S. export control restrictions.
Gross margin compression: Gross margin declined 2 points to 69% YoY despite 19% revenue growth, driven by hardware, facilities, and personnel cost increases outpacing revenue expansion.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
Bronson Joseph RDirectorGrant or award · Jul 1, 2026
Chan Chi-FoonDirectorGrant or award · Jul 1, 2026
Gustafson Michael BDirectorGrant or award · Jul 1, 2026
About PDF SOLUTIONS INC (PDFS): stock profile, AI score and financials
PDF SOLUTIONS INC (PDFS) stock profile, AI quality score, and SEC EDGAR financial data, a Technology sector company. 13F Pro's AI-powered ranking engine scores PDFS at 54.4/100 on a composite quality score built from its SEC filings, placing it at rank #1,322 of 2,925 stocks — the top half of the AI-ranked universe. PDFS scores in the top quartile across institutional flow (92.2), earnings quality (85.0), revenue growth (81.0). Areas of concern include free cash flow (26.0) and revenue scale (26.3), which score below median versus the broader universe. Shareholder dilution risk is elevated at 14.1/100, reflecting ongoing share issuance or stock-based compensation. Based on the latest XBRL financial filings (Q2 2026), PDF SOLUTIONS INC reports quarterly revenue of $61.5M, net income of $4.3M, an operating margin of 8.2%. Top institutional holders of PDFS by reported 13-F value include BlackRock, NEEDHAM INVESTMENT MANAGEMENT, VANGUARD CAPITAL MANAGEMENT, based on the most recent SEC filings. PDFS trades on the Nasdaq exchange and files with the SEC under CIK 1120914. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate PDFS daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for PDF SOLUTIONS INC directly from SEC EDGAR.