QuickLogic's Revenue Rebound Slowed for a Second Straight Quarter

The Tip Desk · October 18, 2026 · 3 min read

The chip developer reported $5.5 million in second-quarter revenue, while its outlook calls for non-GAAP profitability in the second half.

QuickLogic Corporation (QUIK), a fabless semiconductor company, posted a second consecutive slowdown in sequential revenue growth even as its margins improved and losses narrowed. Revenue from continuing operations increased 8.5% from the preceding quarter, following sequential gains of 35.3% in the first quarter and 84.0% in the fourth quarter of 2025. The recovery continued, but each successive quarter added revenue at a slower pace.

The sequential slowdown accompanied a different trajectory against the year-earlier period: second-quarter revenue rose 48.7%. QuickLogic's business spanned embedded programmable-logic intellectual property, radiation-hardened chips, and ruggedized programmable-logic products. Its latest quarter brought additional development contracts and customer evaluation shipments, alongside a forecast that still called for a profitable second half on an adjusted basis.

The clearest improvement in the quarter's operating economics came in gross margin from continuing operations, which reached 43.9%, compared with 36.5% in the first quarter. Non-GAAP gross margin was 46.8%. That left the company retaining a larger portion of sales before operating expenses, although the improvement had not yet produced an operating profit. QuickLogic did not identify a specific cause for the margin expansion in its results announcement.

The operating loss narrowed to $1.7 million from $2.1 million in the preceding quarter. Gross profit totaled $2.4 million, while operating expenses were $4.1 million. Those expenses included $1.6 million for research and development. The remaining gap between gross profit and spending showed the distance still separating the quarter's operations from the profitability the company forecast for the second half.

The reported net result also included a benefit outside operating earnings. QuickLogic recorded a $0.95 million gain on extinguishment of a vendor payable and reported a net loss of $0.9 million, or $0.05 a share. Its non-GAAP net loss was $1.1 million, or $0.06 a share. The adjusted calculation excluded that gain along with stock-based compensation and restructuring costs, making the distinction relevant to assessing the company's earnings trajectory.

New products accounted for approximately $4.7 million of quarterly revenue and 85% of sales. Mature products contributed $0.8 million. The new-product category included devices manufactured on semiconductor processes of 180 nanometers or smaller, embedded FPGA intellectual property, and related professional services. The sales mix therefore encompassed both chips and intellectual-property work; QuickLogic did not provide a separate revenue figure for the licensing opportunities highlighted during the quarter.

The latest contract announcements included a feasibility study to evaluate QuickLogic's embedded FPGA intellectual property for a potential architectural license. The company also received a contract to develop and qualify new packaging for its one-time-programmable discrete FPGAs to meet new program requirements. Neither announcement carried a disclosed contract value or revenue timetable, leaving their contribution to the growth outlook unspecified.

Customer evaluation activity continued around RadPro, QuickLogic's U.S.-fabricated radiation-hardened FPGA. The company shipped multiple development kits during the second quarter, following initial shipments announced in the first quarter. QuickLogic also demonstrated its embedded FPGA fabric with PQSecure's CRYSTAL-1000C post-quantum cryptographic core; the company said the core could be implemented as a reprogrammable function within system-on-chip designs.

At June 28, cash and cash equivalents stood at $18.5 million, and the revolving credit balance was $5 million. Those balances provided the financial backdrop to management's next operating target, after a quarter that remained loss-making under both reported and adjusted measures.

QuickLogic's full-year growth outlook is now 70% to 80%, a range Chief Executive Brian Faith said the company had narrowed. Faith said QuickLogic is modeling non-GAAP profitability and positive operating cash flow for the second half of 2026. That forecast places the next milestone beyond another revenue increase: the company expects its growth to translate into profitable, cash-generating operations.