Filing Flows › Smith Micro Software (SMSI) › Q1 2026
Smith Micro Software (SMSI) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 1, 2026
Smith Micro Software (SMSI) reported revenue of $4.2M for the first quarter 2026 (Q1 2026), -9% from a year earlier and +6% from the quarter before. Operating margin was -79.9%, net loss $3.9M (92.3% of revenue).
Smith Micro Software, Q1 2026: revenue $4.2M (-9% year over year), operating margin -79.9%, net loss $3.9M, operating cash flow −$3.8M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $4.2M | +6% | -9% |
| Operating profit | −$3.4M | — | — |
| Net earnings | −$3.9M | — | — |
| Operating cash flow | −$3.8M | — | — |
What changed
Revenue was $4.2M in Q1 2026, down 9% year over year and up 6% from the previous quarter. Cloud Based usage Fees was the largest line at 62% of revenue. Cloud Based usage Fees lost $487K year over year (down 16%), 122% of the total change.
Gross margin was 78.4%, up 5.6 points from Q1 2025. Operating costs exceeded revenue by $3.4M, an operating margin of -79.9%. Operating expenses fell 22% while revenue fell 9%. The quarter ended with a net loss of $3.9M, narrower than the previous quarter's $4.6M loss.
Operating cash flow was −$3.8M. Non-cash charges added back $1.2M of depreciation and amortization and $586K of share-based compensation. Working capital and other items used $1.7M. Capital expenditures of $11K exceeded it, leaving free cash flow of −$3.8M.
Questions
What was Smith Micro Software's revenue in the first quarter 2026?
Smith Micro Software (SMSI) reported revenue of $4.2M for the first quarter 2026 (Q1 2026), -9% from a year earlier and +6% from the quarter before.
Was Smith Micro Software profitable in the first quarter 2026?
Operating loss was $3.4M (-79.9% of revenue) and net loss $3.9M.