908 Devices Inc.

Hello, everyone. Thank you for joining us and welcome to the 908 Devices second quarter 2026 earnings call. After today's prepared remarks, we will host a question and answer session. If you would like to ask a question, please press star one to raise your hand. To withdraw your question, press star one again. I will now hand the conference over to Barbara Russo in investor relations. Barbara, please go ahead.

Thank you and good morning. On this call, we will be discussing our financial results for the second quarter ending June 30th, 2026, which were released earlier this morning. Joining me from 908 Devices is Kevin Knopp, Chief Executive Officer and Co-Founder, and Joe Griffith, Chief Financial Officer. During today's call, we will make forward-looking statements within the meaning of federal securities laws. These statements involve material risks and uncertainties that could cause actual results or events to materially differ from those anticipated. For a discussion of these risks and uncertainties, please review the forward-looking statement disclosure in the earnings news release, as well as in our most recent annual report on Form 10-K and other SEC filings. These forward-looking statements reflect management's beliefs and assumptions as of the date of this live broadcast, August 11, 2026. Except as required by law, we disclaim any obligation to update forward-looking statements to reflect future events or circumstances. Our commentary today will also include non-GAAP financial measures, which should be considered as a supplement to and not a substitute for GAAP financial measures. The non-GAAP reconciliations can be found in today's earnings press release, which is available in the investor relations section of our website. With that, I now turn the call over to Kevin.

Thanks, Barbara. Good morning, and thank you for joining our second quarter 2026 earnings call. I'm pleased to report that we delivered strong results this quarter, demonstrating the power of our strategy and dedication of our team. In the second quarter, we generated $16.1 million in revenue, representing 23% growth year-over-year. A momentum with U.S. state and local customers remained particularly strong, with these customers representing more than half of our revenues in the second quarter. We're seeing continued funding support at the state and local level, driven by the urgent need to modernize detection capabilities in response to evolving threats, from the ongoing fentanyl crisis to emerging synthetic drugs and chemical hazards. This funding momentum, combined with strong customer demand, gives us confidence in the durability of this growth trajectory. From a profitability standpoint, we are making meaningful progress. The cost structure initiatives we implemented last year are delivering results. Our adjusted EBITDA loss was less than $2 million in the second quarter, which is a 50% improvement year over year. These improvements demonstrate our commitment to scale efficiently while investing in growth. As announced on May 6th, we acquired NearLab, expanding our narcotics detection portfolio. We now have an AI-powered, subscription-based, cloud-connected, near-infrared spectroscopy platform that enables point-and-click analysis of common drugs in seconds. Along with our VIPER and MX908 devices, we provide a comprehensive narcotics workflow for law enforcement, from fast screening to confirmatory analysis. Overall, I'm very pleased with our execution this quarter. We are delivering against our strategy on multiple fronts, expanding our market presence both organically and through strategic M&A, while building a stronger foundation for longer-term value creation. This execution maps directly to our three focus areas for 2026, scaling proven platforms, extending platform leadership, and strengthening revenue durability. Let me walk through the progress we made in each. First, scale our proven platforms. Our objective is to accelerate growth by modernizing legacy detection equipment, especially FTIR, across global fire, law enforcement, and defense enterprise accounts. We've made tangible progress in these areas in 2026. Start with our scale. Over the past 24 months, we've shipped more than 750 FTIR devices, confirming this opportunity is real, substantial, and one we're capturing. Viper, our newest FTR device, is leading that modernization push. We shipped more than 35 units in Q2, and we believe we will achieve our goal of shipping more than 100 Viper devices this year. Two wins this quarter show why. A major South Asian law enforcement agency displaced an incumbent competitive product after a trial, purchasing more than 15 units, and the Bureau of International Narcotics and Law Enforcement Affairs ordered its first Viper unit to support Mexico's narcotic interdiction mission using U.S. State Department funding, a mechanism we believe can extend to other partner nations. Together, these show Viper winning on two key fronts, capturing competitive share and capturing funding. Our flagship MX-908 plays the same role for trace-level analysis as it enables our customers to keep pace as the modern illicit drug landscape evolves from fentanyl to nidazines and now to orphans. Clear evidence of the modernization cycle in motion is our Texas Department of Criminal Justice win. 15 MX-908 devices for corrections facilities statewide were purchased in Q2, converting from a successful two-device trial with the Texas Office of Inspector General. We expect more orders to follow as that program's success becomes visible across the state. That's our playbook working exactly as designed, engage early, prove value, delight the customer, and expand. We also attained a high visibility proof point this summer. MX908 Beacon, Viper, and Explorer devices were part of the security toolkit at several stadiums during the FIFA World Cup. Deployments at major international events are exactly the kind of field validation that builds confidence across the first responder community, raising awareness of our solution. Finally, this momentum is being carried into the third quarter. We are pleased to announce that in July, we secured a $6 million protector order for corrections agency in the Asia-Pacific region. This progress validates the three dynamics underpinning our platform scaling focus. Governments need better tools to identify unknown substances. We have the relationships and technical credibility to win competitive procurements. and every deployment builds an installed base that opens the door to further expansion, feeding a flywheel. Turning to our second focus area, extend platform leadership. Our objective here is to drive growth through greenfield placements, differentiated capabilities and discipline product introductions. In markets our existing platforms don't yet reach. Xplor is the clearest example of that strategy at work. Explorer represents a genuine breakthrough in gas and vapor detection, and the market is responding. Placements grew nearly 70% over the 12 months ending June 30th. That growth is being pulled forward by two tailwinds, one, hazmat incidents, and the other, Soberny defense. Domestically, chemical incidents are rising. A recent Wall Street Journal article noted 131 serious chemical accidents in the U.S. in 2025. up 20% year over year, and first responders are feeling that pressure directly. In May, a chemical tank at a jet park manufacturer in California overheated, forcing the evacuation of more than 40,000 residents near Los Angeles. Responders used Explorer on entry to identify and quantify the hazardous vapors and relied on it throughout cleanup. As these incidents rise, so does the case for Explorer. Internationally, we see the same demand from defense customers. The Danish Defense Acquisition and Logistics Organization selected Explorer to enhance long-range chemical detection for defense operations, an initial multi-unit procurement paired with a framework agreement for future purchases, a strong signal of the competence in the platform's differentiated performance. Explorer is exactly what extended platform leadership is supposed to look like. We identified an unmet need, real-time gas and vapor identification and quantification in the field, built differentiated technology to solve it, and now we're capturing a market opportunity that's growing on its own as chemical incidents rise and customers see what modern detection technology can do. Finally, our third strategic focus area is strengthening revenue durability. Our objective is to build a more predictable revenue mix through recurring revenue from connected services, growth in OEM-based revenue, and longer-term programs. NEAR Lab is a key driver of the connected services vision we're building towards, and while OEM revenue and longer-term programs remain important parts of this focus area, I want to spend today's update on NEAR Lab and where we see its potential. For decades, presumptive drug identification in the field has relied on colorimetric test kits Cheap, single-use, and disposable, with no data trail behind the result. That has created real problems. Innocent substances can trigger false positives, leading to wrongful arrests and legal challenges, and it's becoming a legislative issue. Colorado's legislature voted unanimously this year to ban custodial arrests based solely on colometric results, and reform efforts are underway in at least seven other states. We see that as a durable tailwind, not a one-time event. and it points to where this category is headed, away from disposable chemistry and towards connected technology that produces a defensible, auditable result with the identification, the underlying data and the chain of custody all captured and retained. That's the model NEAR Lab lets us build towards, the same kind of recurring, subscription-based model that has transformed other public safety hardware categories. Thank you for joining us today. This includes Seven Haida Task Force, the multi-agency teams on the front lines of drug trafficking enforcement that tend to set the procurement tone for their regions. Agencies evaluating the platform consistently cite four things. Feed, ease of use, an intuitive interface, and accurate identification. Exactly the attributes that make the case against colometric testing. That commercial motion is already converting. In the roughly two months since close, we sold more than 35 NearLab devices, each with a multi-year software subscription, meeting our expectations for the initial post-acquisition period, with shipments to law enforcement agencies in Colorado and California and customs agencies in Morocco and Iceland. Our overall pipeline is strong and growing, and we're starting to see enterprise-scale opportunities develop in that pipeline, both domestically and internationally. a meaningful early signal of NearLab's longer term potential. But the real opportunity is bigger than any one product. NearLab is an example of what our entire business has the potential to become. Durable hardware paired with recurring connected software and the kind of real-time analytical reach back support our customers consistently tell us they value most from 908. We believe that model, hardware, software, and expert support working together can guide how we build and monetize every product in our portfolio for years to come. With that, I will turn it over to Joe to walk through the detailed financial results for the quarter.