Impinj, Inc.

Welcome to the impinged third quarter 2026 financial results conference call and webcast. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star and then one on a touch-tone phone. To withdraw your questions, you may press star and two. Please also note today's event is being recorded. At this time, I'd like to turn the floor over to Mr. Andy Cobb, Vice President, Corporate Finance and IR. Please go ahead.

Thank you, Jamie. Good afternoon, and thank you all for joining us to discuss Impinj's third quarter 2026 results. On today's call, Chris Diorio, Impinj's co-founder and CEO, will provide a brief overview of our market opportunity and performance. and Pinge's CFO will follow with a detailed review of our third quarter financial results and fourth quarter outlook. We will then open the call for questions. You can find management's prepared remarks plus trended financial data on the company's investor relations website. We will make statements in this call about financial performance and future expectations that are based on our outlook as of today. Any such statements are forward-looking under the Private Securities Litigation Reform Act of 1995. Whereas we believe we have a reasonable basis for making these forward-looking statements, our actual results could differ materially because any such statements are subject to risks and uncertainties. We describe these risks and uncertainties in the annual and quarterly reports we file with the FCC. We do not undertake and expressly disclaim Any obligation to update or alter our forward-looking statements, except as required by law. On today's call, all financial metrics, except for revenue, or where we explicitly state otherwise, are non-GAAP. All balance sheet and cash flow metrics, except for free cash flow, are GAAP. Please refer to our earnings release for a reconciliation of non-GAAP financial metrics to the most comparable GAAP metrics. Before turning to our results and outlook, Note that we will participate in the 2026 BMO Technology and Innovation Leaders Conference on November 12th in New York, the 30th Annual UBS Global Technology and AI Conference on December 2nd in Scottsdale, the Barclays 24th Annual Global Technology Conference on December 9th in San Francisco, and the 29th Annual Needham Growth Conference on January 13th in New York. We look forward to connecting with many of you at these events. I will now turn the call over to Chris.

Thank you, Andy, and thank you all for joining the call. Our third quarter results were strong, with endpoint IC revenue and unit volumes, as well as total revenue, all setting new quarterly records. M800's market strength, resilient retail demand, growth at our Lighthouse accounts, and Gen2x momentum all contributed to the record results. Looking forward, we see those trends continuing. Starting with silicon, M800 demand, the custom ASIC conversion at our supply chain and logistics end user, and strength at our visionary European retailer anchored our strong unit volume growth. We met, but were unable to get ahead of market need despite us ramping our backend wafer post-processing throughput as quickly as we could. We will continue ramping our backend at an elevated pace for at least the next two quarters to meet the growing demand. With strong support from our wafer foundry partner, we remain confident in our ability to deliver. ReaderIC revenue also beat our expectations and was our fastest growing product line, driven by enterprise pull for partner readers. Looking to the fourth quarter, we anticipate strong year-over-year unit volume and revenue growth for both endpoint and reader ICs, including returning specialty endpoint IC revenue. Turning to solutions, today's revenue still derives primarily from hardware sales. Our software is in beta at our Lighthouse accounts and not yet generating meaningful revenue. That said, the enterprise need for our software is acute with very tight and user-driven delivery schedules, confirming our conviction in the long-term software opportunity. Third quarter reader and gateway revenue was strong, led by sales into those lighthouse accounts. We expect those accounts to burn down reader and gateway stock in the fourth quarter. So despite us having a strong pipeline, fourth quarter deliveries will not see the typical seasonal step up. Looking into 2027, we expect that timing to reverse. Even as we invest in and drive solutions in and beyond our Lighthouse accounts, I encourage you to not lose sight of the fact that our solutions efforts at those accounts generate sustained sales across our entire platform, today contributing more than 20% of our total revenue. Turning to food, as we highlighted last quarter, there are four distinct types of food programs, store replenishment, in-store inventory, loss identification and automated self-checkout. The third quarter added a large new logo and replenishment and another in inventory. We are closely engaged with the former on operational improvements for reduced out of stocks and food spoilage. Although it is still early days, we expect the solution to require our entire platform. And for those of you who may have missed Kroger's recent investor day, Their bakery pilot delivered nearly 70% faster inventory counts, 50% lower waste, approximately 200 basis points of sales lift, and nearly 50 basis points of share gains in the category. With trusted item level data, in our parlance, physical intelligence, Kroger is creating a better store routine with lower waste, higher availability, and more sales. We launched physical intelligence in September. spotlighting how our platform provides real, trusted item data to enterprise AI systems. Physical intelligence tells enterprises what items they have and when and where the items are moving, enabling the enterprises to take action and, by learning from those actions, improve their business outcomes. Building on that launch, I'm thrilled to announce that Aileen Ryan, the outgoing president of the RAIN Alliance, will join us on December 1st as Chief Commercial Officer. In her four years leading the Alliance, Aileen built deep ecosystem and enterprise connections that will serve us well. She also brings 20 plus years of engineering and leadership experience at technology companies. Aileen will lead Lighthouse Accounts success, as well as our solutions go to market, including partnerships and whole solutions delivery. She will partner closely with Gahan Richardson, now EVP of Product Management, and Karl Brasic, our SVP who leads go-to-market for our endpoint and reader ICs, readers, gateways, and solution engines. In closing, our strong market and product leadership, solutions focus and enterprise engagements continue driving record results. Our secular growth opportunity in retail, supply chain and logistics, food, and a long tail of other applications continues expanding. Our solutions pipeline also continues growing with exciting emerging opportunities in food. As we continue driving our bold vision, I remain confident in our market position and energized by the opportunities ahead. As always, before I turn the call over to Cary for our financial review and fourth quarter outlook, I'd like to thank every member of the Impinj team for your tireless effort. I feel honored by my incredible good fortune to work with you.