Itron Q2 Earnings Beat, Raises Full-Year Outlook on Record Margins
ITRI sits 18% above its 52-week low of $77.77 on elevated volume (3.1× avg).
Summary
Itron reported Q2 2026 results with record gross margins and raised its full-year earnings outlook, despite a 7% revenue decline. Adjusted EBITDA grew 8% to $97 million, and free cash flow was $81 million.
Key Events · Earnings and Guidance · ITRI
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Record Gross Margins Drive Beat
Adjusted gross margin reached 41.4%, up 460 bps year-over-year, driving adjusted EBITDA of $97 million (up 8%) and non-GAAP diluted EPS of $1.59, beating expectations.
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Full-Year Guidance Raised
Management raised full-year 2026 non-GAAP diluted EPS guidance to $6.30-$6.50 (from prior implied ~$6.00 midpoint) and revenue to $2.37-$2.41 billion, citing durable demand and operational efficiencies.
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Revenue Declines on Project Timing
Total revenue of $563 million fell 7% year-over-year, driven by a 17% drop in Networked Solutions due to project deployment timing, partially offset by 13% growth in Outcomes.
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Strong Free Cash Flow
Free cash flow was $81 million, down $9 million from the prior year but still robust, supporting the company's capital allocation strategy including the $200 million buyback program.
Analysis · ITRI · Industrial Applications And Services
Record gross margins and a raised full-year earnings outlook signal structurally improved profitability at Itron. While revenue declined 7% year-over-year, adjusted EBITDA grew 8% and free cash flow remained strong at $81 million. The updated guidance—non-GAAP EPS of $6.30-$6.50—reflects management's confidence in durable demand and operational efficiency, despite a top-line miss. This is a notable positive signal for a company that recently faced a cybersecurity breach and has been actively repurchasing shares.
How filings like this one have moved
In the 30 days to Oct 5, 2026, 29.2% of the 1496 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.63%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, ITRI was trading at $91.51 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $3.8B. The 52-week trading range was $77.77 to $142.00. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.