Applied Optoelectronics reports second-quarter 2026 revenue of $191.9 million

Applied Optoelectronics reported results for the second quarter ended June 30, 2026, on August 6, 2026. GAAP revenue was $191.9 million, up from $103 million in the second quarter of 2025 and $151.1 million in the first quarter of 2026. GAAP gross margin was 27.7%, and non-GAAP gross margin was 29.8%.

GAAP net loss was $22.8 million, or $0.28 per basic share, compared with a GAAP net loss of $9.1 million, or $0.16 per basic share, in the second quarter of 2025 and a GAAP net loss of $14.3 million, or $0.19 per basic share, in the first quarter of 2026. On a non-GAAP basis, net income was $5.5 million, or $0.06 per diluted share.

The company said it expects third-quarter 2026 non-GAAP gross margin of 29% to 30.5%. It also expects non-GAAP net income of $10.1 million to $24 million, and non-GAAP income per share of $0.11 to $0.26 using approximately 92.8 million shares.

Dr. Thompson Lin, AOI's Founder, President and Chief Executive Officer, said the company forecasts that demand will continue to outpace its production capacity through mid-2027. Stefan Murry, AOI's Chief Financial Officer and Chief Strategy Officer, said total manufacturing capacity is approaching 200,000 units per month. Applied Optoelectronics said Stefan Murry, its Chief Financial Officer and Chief Strategy Officer, continues to expect that, by the end of 2026, the company will be capable of producing around 650,000 pieces of 800G and 1.6 Tb products per month.