Filing Flows › Innovative Solutions & Support (IA) › Q2 FY26 › vs Q1 FY26
Innovative Solutions & Support (IA) Q2 FY26 vs Q1 FY26 (quarter over quarter)
Innovative Solutions & Support's revenue rose $558K (+3%) from $21.8M in Q1 FY26 to $22.4M in Q2 FY26. The biggest changes: Product +$747K (+6%); Services −$189K (-2%). Gross margin 51.1% against 54.5% (-3.4 pts).
Innovative Solutions & Support, Q2 FY26: revenue $22.4M (+2% year over year), operating margin 22.1%, net earnings $3.4M, operating cash flow $2.3M. The chart draws each line against Q1 FY26, the increases inside each band.
Margins
| Q2 FY26 | Q1 FY26 | Change | |
|---|---|---|---|
| Gross margin | 51.1% | 54.5% | -3.4 pts |
| Operating margin | 22.1% | 28.9% | -6.8 pts |
| Net margin | 15.4% | 18.6% | -3.3 pts |
| Free cash flow margin | 3.0% | 32.3% | -29.3 pts |
Every line
| Line | Q2 FY26 | Q1 FY26 | Change | % |
|---|---|---|---|---|
| Product | $14.3M | $13.6M | $747K | +6% |
| Services | $8.1M | $8.2M | −$189K | -2% |
| Revenue | $22.4M | $21.8M | $558K | +3% |
| Gross profit | $11.4M | $11.9M | −$449K | -4% |
| Cost of revenue | $10.9M | $9.9M | $1.0M | +10% |
| Operating profit | $4.9M | $6.3M | −$1.3M | -21% |
| Operating expenses | $6.5M | $5.6M | $900K | +16% |
| Pre-tax earnings | $4.4M | $5.9M | −$1.4M | -24% |
| Other expense, net | $505K | $428K | $77K | +18% |
| Research & development | $1.8M | $1.3M | $462K | +35% |
| SG&A | $4.7M | $4.3M | $438K | +10% |
| Net earnings | $3.4M | $4.1M | −$625K | -15% |
| Income tax | $1.0M | $1.8M | −$801K | -44% |
| Depreciation & amortization | $860K | $1.0M | −$166K | -16% |
| Share-based compensation | $496K | $916K | −$420K | -46% |
| Working capital & other | $2.5M | −$2.2M | $4.7M | — |
| Operating cash flow | $2.3M | $8.2M | −$5.9M | -72% |
| Free cash flow (OCF − capex) | $667K | $7.0M | −$6.4M | -91% |
| Capital expenditures | $1.6M | $1.1M | $515K | +46% |
Questions
How much did Innovative Solutions & Support's revenue grow quarter over quarter in Q2 FY26?
Innovative Solutions & Support's revenue rose $558K (+3%) from $21.8M in Q1 FY26 to $22.4M in Q2 FY26.
What drove Innovative Solutions & Support's revenue change in Q2 FY26?
Product +$747K (+6%); Services −$189K (-2%).