LEDS earnings analysis
What we found in LEDS's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
SemiLEDs Corporation reported a challenging second quarter of 2026 with revenue declining by 49% year-over-year to $9.1 million, primarily attributed to reduced buy-sell purchase orders. Despite the revenue drop, the company achieved improved gross margins of 27%, up from 5%, paving the way for a net profit of $1.5 million or $0.18 per share, representing a notable turnaround from previous losses.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Profitability Return
- SemiLEDs reported a net income of $1.5 million for Q2 2026, a significant improvement from a loss of $603,000 in Q1 2026.
- Increased Gross Margin
- Gross margin improved to 27% in Q2 2026, up from 5% in Q1 2026, reflecting better operational efficiency.
- Cash Position Improvement
- Cash and cash equivalents increased to $6.0 million as of May 31, 2026 from $2.4 million in May 2025.
- Higher LED Component Sales
- Revenues from LED components reached $998,000 in Q2 2026, increasing from $360,000 in Q2 2025.
- Decreased Operating Expenses
- Operating expenses slightly decreased to $1.05 million in Q2 2026 from $1.00 million in the prior year's quarter.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Revenue Volatility
- Reported revenue declined by 49% YoY to $9.1 million, primarily due to decreased buy-sell purchase orders.
- Nasdaq Compliance Risks
- The company remains at risk of being delisted from Nasdaq due to past noncompliance with shareholder equity requirements.
- Supply Chain Dependence
- Reliance on chip suppliers exposes the company to significant risks regarding delivery schedules and product quality.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.18
- Gross margin
- 27%
- Segment
- LED components
- Segment
- buy-sell purchase orders
What they said about what is next.
Management anticipates fluctuating buy-sell purchase orders may continue into Q4 2026, impacting revenue recognition.
The filing reads about the same as the one before it.
What came before.
- 10-Q · April 14, 2026
- SemiLEDs reported a sharply lower quarter with revenues of $1,064 (thousands) and a net loss of $603 (thousands), or $(0.07) per share, compared with revenue of $10,872 (thousands) and net income of $388 (thousands) in…
- 10-Q · January 14, 2026
- SemiLEDs reported revenue of $2,569,000 for the three months ended November 30, 2025, up from $1,261,000 a year earlier (+$1,308,000, +103.8%), but gross profit collapsed to $18,000 (0.7% gross margin) versus $260,000…
- 10-K · November 28, 2025
- SemiLEDs positions itself as a developer of vertical copper‑alloy LED chips and integrated modules with a focus on UV LED, Mini‑LED and wafer‑level packaging. The 10‑K discloses concentrated customer and geographic…
- 10-Q · April 11, 2025
- SemiLEDs reported a strong quarter-on-year operational rebound: revenue for the three months ended February 28, 2025 was $10,872 (in thousands) versus $886 (in thousands) a year earlier, producing gross profit of $1,003…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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