10-Q · May 12, 2026
Evolv Technology reported strong Q1 2026 results, with revenue reaching $46.3 million, a 45% increase year-over-year, surpassing estimates by 5.8%. Despite an EPS loss of $0.02, the company raised its revenue guidance…
Earnings analysis · 10-Q
EVLV earnings analysis
Filed August 11, 2026 · Our reading of the company's report
The latest report
Evolv delivered Q2 revenue of $43.753 million, representing approximately 33% year-over-year growth and a $2.1 million consensus beat, but revenue declined approximately 5% sequentially and GAAP diluted EPS was $(0.05).…
Read full summary
Evolv delivered Q2 revenue of $43.753 million, representing approximately 33% year-over-year growth and a $2.1 million consensus beat, but revenue declined approximately 5% sequentially and GAAP diluted EPS was $(0.05). Management raised 2026 revenue and ARR outlook and introduced $15 million-$16 million of Adjusted EBITDA guidance. However, unresolved material weaknesses, a $402.1 million accumulated deficit, $30.0 million of term debt, ongoing regulatory exposure and covenant requirements materially temper the operating momentum.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.05
What stood out
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Revenue grew 33% year over year
Q2 revenue was $43.753 million, up approximately 32.6% from $33 million in Q2 2025, although down approximately 4.9% from $46 million in Q1 2026.
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Revenue beat consensus by $2.1M
Revenue exceeded the $41.635 million consensus estimate by approximately $2.1 million, or 5.1%.
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Adjusted EPS beat estimates
Adjusted diluted EPS was $(0.02), better than the $(0.03) consensus estimate by $0.01; GAAP diluted EPS was $(0.05).
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Full-year outlook was raised
Management raised 2026 revenue guidance to $180 million-$185 million from $175 million-$180 million and introduced Adjusted EBITDA guidance of $15 million-$16 million.
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ARR and subscription mix outlook improved
Ending ARR guidance increased to $148 million-$150 million from $145 million-$150 million, while expected purchase-subscription deployments increased to approximately 60% from 55%.
What to watch
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Material weaknesses remain unresolved
Management concluded that disclosure controls were not effective as of June 30, 2026 and identified material weaknesses across the control environment, risk assessment, period-end reporting, complex transactions, accounting policies, and IT general controls. Prior financial statements were restated for annual periods ended December 31, 2022 and 2023 and quarterly periods beginning in Q2 2022.
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Persistent losses and accumulated deficit
The company reported net losses of $14.3 million for the six months ended June 30, 2026 and $42.2 million for the comparable 2025 period, with an accumulated deficit of $402.1 million as of June 30, 2026.
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Debt and covenant constraints
As of June 30, 2026, $30.0 million of initial term-loan debt was outstanding, while a $30.0 million delayed-draw facility and $15.0 million revolver remained undrawn and available. The facilities include minimum ARR and liquidity covenants, with a minimum EBITDA covenant taking effect June 30, 2027.
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Evolving AI regulation raises costs
The company’s AI-related risk exposure has expanded as regulations develop: the EU AI Act imposes requirements for high-risk applications beginning August 2, 2027, and the Colorado AI law became effective June 30, 2026.
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AI component demand pressures supply
AI-driven semiconductor demand is straining component capacity and supplier availability, potentially increasing shortages, lead times and cost volatility for components used in the company’s products.
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Founder-share dispute may add volatility
On July 16, 2026, 1,897,500 contingently returnable founder shares were forfeited, and a portion had not been returned for cancellation as of the filing; recurring fair-value changes on unreturned shares could materially affect earnings.
Management's outlook
The company raised 2026 revenue guidance to $180 million-$185 million from $175 million-$180 million, increased ending ARR guidance to $148 million-$150 million from $145 million-$150 million, and introduced Adjusted EBITDA guidance of $15 million-$16 million. Expected purchase-subscription deployments were raised to approximately 60% from 55%.
Earlier filings 4
10-K · March 10, 2026
Evolv’s 2025 10-K emphasizes its hardware-enabled Security-as-a-Service strategy (proprietary AI, cloud analytics, and subscriptions) and highlights scale (over 4 billion visitors screened) and a large addressable…
10-Q · August 14, 2025
Evolv reported quarterly revenue of $32,544,000 (up $7,320,000 or 29.0% vs Q2 2024's $25,224,000) driven by subscription growth, but reported a GAAP net loss and EPS deterioration driven by large non‑cash fair‑value…
10-K · April 28, 2025
Evolv positions itself as an AI-powered, cloud-connected security screening company selling hardware + multi-year Security-as-a-Service subscriptions (flagship Evolv Express and new Evolv eXpedite). Deployment metrics…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.