Key Highlights

  • Third quarter 2026 Revenue rose 8.0% year over year to $6.58 million.
  • Gross Margin reached 34.2%, up from 27.9% in the second quarter of 2026.
  • Net loss narrowed sequentially to $1.89 million, or $0.07 per share.
  • Backlog exceeded $52 million after October purchase orders, according to the company.

AmpliTech Group (NASDAQ:AMPG) released unaudited financial results for the third quarter and nine months ended September 30, 2026, on November 12, 2026. The Hauppauge, New York company designs and manufactures radio frequency microwave components, 5G communications systems, semiconductor materials and low-noise amplifiers used in quantum computing. The quarter showed higher revenue and a higher gross margin than a year earlier, alongside growing operating costs and a continuing net loss. Several product orders announced in October also expanded the company's backlog.

Revenue and Margin Changes

Revenue for the third quarter reached $6.58 million, compared with $6.09 million in the same period of 2025. Spectrum Semiconductor Materials distribution revenue grew 36.4% to $2.89 million, reflecting higher distribution-channel volumes. Manufacturing and engineering segment revenue declined to $3.70 million from $3.98 million, as the mix of shipments shifted.

Gross profit for the quarter was $2.25 million, with gross margin of 34.2%. The margin rose about 6.3 percentage points from 27.9% in the second quarter,. For the first nine months, revenue totaled $20.00 million and Gross Profit rose 41.1% to $7.07 million, with gross margin at 35.3% compared with 24.2% in the prior-year period.

The company's product mix shifted during the quarter, with distribution revenue growing faster than revenue from its manufacturing and engineering segment. AmpliTech did not provide a product-level breakdown in its summary, so the reported figures reflect the combined effect of Volume changes and the mix of shipments across its Business lines.

Operating Costs and Net Loss

Selling, general and administrative expenses increased to $3.38 million from $2.48 million a year earlier. The company attributed the rise to higher corporate costs, including legal fees and stock-based compensation, as well as spending on marketing, business development and Cybersecurity initiatives. Research and Development expense rose to $0.86 million from $0.70 million.

The company reported a third-quarter net loss of $1.89 million, or $0.07 per basic and diluted share, narrowing from about $3.09 million in the second quarter. For the nine months, the net loss totaled $6.50 million, compared with $3.80 million in the same period of 2025. AmpliTech said it has made engineering, manufacturing readiness and Supply chain investments ahead of anticipated customer orders, and those costs have not yet appeared fully in current revenue.

AmpliTech's operating expenses were higher in the third quarter in several categories, including corporate, Marketing and cybersecurity spending. The company said some of these outlays were planned in advance of expected production volumes, which means their effect on Earnings may not be fully visible until those orders are shipped and recognized as revenue.

Backlog, Orders and Customer Qualification

AmpliTech said more than $17 million in customer purchase orders were received during the third quarter. Following quarter-end, it announced a $21.7 million follow-on order for 5G O-RAN radios for an Asian mobile network operator program and a separate $1.03 million order for low-noise amplifiers from a satellite communications customer. The company stated that its total Backlog exceeded $52 million as of late October, with shipments expected across 2026 and 2027.

The company also reported that it completed supplier qualification for a leading global telecommunications equipment manufacturer and was added to that company's approved supplier list. AmpliTech noted that deployment timing for its 5G programs remains subject to permits, licensing approvals and site arrangements, and that purchase orders are not the same as recognized revenue.

The company's backlog figures include orders from several programs and customers, with some shipments scheduled for late 2026 and others extending through 2027. AmpliTech said it expects its new production line to begin initial shipments in the fourth quarter of 2026, and that the timing of deliveries depends on production execution and customer schedules.

Final Word

The third quarter shows AmpliTech with higher revenue, improved gross margin and a larger order book, while its operating costs and net loss increased over the same period. Shareholders' Equity reached $65.7 million at quarter-end, and cash and marketable securities totaled about $30.27 million. Whether the backlog converts into recognized revenue depends on customer schedules, production execution and the timing of 5G network deployments, which the company has said remain uncertain.