Enovix Guides 2027 Revenue at $65 Million to $85 Million

The Tip Desk · November 12, 2026 · 3 min read

Third-quarter revenue was $11.0 million and non-GAAP gross margin hit a record 34.5% as drone and defense sales and smart eyewear lifted the mix.

Enovix Corporation (ENVX), a developer and manufacturer of advanced lithium-ion batteries, reported third-quarter 2026 revenue of $11.0 million, up 38% from a year earlier and 22% from the second quarter, the sixth consecutive quarter of year-over-year growth.

The company said drone and defense customers accounted for approximately 70% of that revenue. Non-GAAP gross margin reached a record 34.5%, up 13.5 points from 21.0% a year earlier, which Enovix attributed to a richer mix including smart eyewear and drone and defense sales. GAAP gross margin was 30.1%.

Non-GAAP net loss was $0.15 a share, compared with $0.14 a year earlier. GAAP net loss was $0.19 a share.

The drone, defense and industrial pipeline grew 18% to about $216 million from $183 million in the prior quarter, with drones at $150 million. Enovix said 2027 revenue backlog received an initial 100,000-battery purchase order from a multinational provider of dual-use drone systems for conventional cells, plus an initial production order for MX1-B01 high-energy aerial drone cells from a U.S. drone manufacturer after field trials, with deliveries scheduled in early 2027. A $19 million expansion to double drone battery capacity at its military-qualified South Korean facility is underway and expected to come online in the second quarter of 2027.

In smart eyewear, year-to-date shipments as of the release reached about 19,000 units against a 50,000-pack backlog the company said will be completed in the first half of 2027. In smartphones, AI-1 cells passed cell-level qualification testing internally, and the lead OEM customer was expected to finish parallel qualification, but the test used a pre-AI-2 process that did not meet the latest energy-density target of more than 1,000 watt-hours per liter. Enovix said it would not proceed with system-level field testing on those units and is concentrating silicon-anode development on smart eyewear.

Interim Chief Executive Officer Ryan Benton said the company is aligning resources and cost structure with its strongest near-term opportunities and concentrating silicon-anode development on smart eyewear.

A restructuring in early November included a 220-position reduction that cut about $8.5 million of annual cost and rebalanced resources toward Korean operations. Since quarter-end, Enovix retired $128 million face value of 4.75% convertible senior notes due 2030 for about $81 million, a 36% discount that cut debt by $46.6 million more than it paid; remaining 2030 notes stand at $232.0 million. It also declared a warrant dividend of one warrant for every four shares, with each warrant buying one share at $3.00, payable in cash or in 3.00% convertible senior notes due 2028 at full face value.

Cash, cash equivalents, marketable securities and restricted cash ended October 4, 2026 at $512.2 million, or $2.35 a share, down from about $552.1 million at the end of the second quarter. The company repurchased $6.2 million of common stock in the third quarter and another $15.5 million in October.

Enovix is guiding fiscal 2027 revenue at $65 million to $85 million, at the midpoint nearly double its expected 2026 revenue of $36.7 million to $37.7 million. It said nearly half the 2027 midpoint is already in backlog. Fourth-quarter 2026 revenue is guided at $9.0 million to $10.0 million, compared with $11.3 million in the year-ago quarter. Non-GAAP loss from operations is guided at $28.0 million to $31.0 million.