# Quantum Corporation (QMCO) Q1 2026 Financial Results Summary
On September 10, 2025, Quantum Corporation (Nasdaq: QMCO) announced its financial results for its fiscal first quarter of 2026, which ended on June 30, 2025.
## Financial Highlights
– **Revenue**:
– Fiscal Q1 2026: **$64.3 million**
– Fiscal Q1 2025: **$72.3 million**
– **Decrease**: **11.1%** year-over-year
– **Gross Profit**:
– Fiscal Q1 2026: **$22.7 million** (35.3% of revenue)
– Fiscal Q1 2025: **$27.1 million** (37.4% of revenue)
– **Decrease**: **16.1%** in gross profit dollars
– **Operating Expenses**:
– Total Operating Expenses Q1 2026: **$35.3 million** (54.9% of revenue)
– Total Operating Expenses Q1 2025: **$43.9 million** (60.7% of revenue)
– **Decrease**: **19.6%** in operating expenses as a percentage of revenue
– **Selling, General and Administrative Expenses**:
– Q1 2026: **$26.2 million**
– Q1 2025: **$34.4 million**
– **Decrease**: **23.9%**
– **Research and Development Expenses**:
– Q1 2026: **$6.7 million**
– Q1 2025: **$8.3 million**
– **Decrease**: **19.3%**
– **Net Loss**:
– Fiscal Q1 2026: **$17.2 million**, or **($1.87)** per share
– Fiscal Q1 2025: **$19.9 million**, or **($4.15)** per share
– **Decrease**: **13.5%** in net loss dollars, and **55.0%** in loss per share
– **Non-GAAP Adjusted Net Loss**:
– Fiscal Q1 2026: **$14.5 million**, or **($1.58)** per share
– Fiscal Q1 2025: **$7.6 million**, or **($1.59)** per share
– **Increase**: **90.8%** in adjusted net loss dollars
– **Adjusted EBITDA**:
– Fiscal Q1 2026: **- $6.5 million**
– Fiscal Q1 2025: **- $2.2 million**
– **Increase in loss**: **195.5%** in adjusted EBITDA loss
## Liquidity and Debt (as of June 30, 2025)
– **Cash, cash equivalents, and restricted cash**:
– Q1 2026: **$37.5 million**
– Q4 2025: **$16.6 million**
– **Increase**: **126.5%**
– **Total Interest Expense**:
– Q1 2026: **$6.5 million**
– Q4 2025: **$6.8 million**
– **Decrease**: **4.4%**
– **Outstanding Term Loan Debt**:
– Q1 2026: **$104.3 million**
– Q4 2025: **$102.5 million**
– **Increase**: **1.8%**
– **Revolving Credit Facility**:
– Q1 2026: **$0**
– Q4 2025: **$26.6 million**
– **Decrease**: **100%**
## Business Outlook
– **Guidance for Fiscal Q2 2026**:
– Revenue: **$61 million**, +/- **$2 million**
– Non-GAAP Adjusted Operating Expenses: **$27 million**, +/- **$2 million**
– Non-GAAP Adjusted Basic Net Loss per Share: **($0.26)**, +/- **$0.10**
– Adjusted EBITDA: approximately breakeven
## Dividend and Share Repurchase
– Quantum Corporation did not declare a quarterly dividend for this period.
– There were no share repurchase programs mentioned in the report.
## Summary
Quantum Corporation’s financial results for the first quarter of fiscal 2026 indicate several significant areas of decrease in both revenue and profitability compared to the previous fiscal year. Despite these challenges, management remains optimistic about the company’s future prospects following changes to its leadership and strategy. The company is focused on cost management and enhancing its balance sheet, aiming for improvements in the coming quarters.
Here are the extracted tables from the press release:
### CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share amounts, unaudited)
| Assets | June 30, 2025 | March 31, 2025 |
|---|---|---|
| Current assets: | ||
| Cash and cash equivalents | $ 37,404 | $ 16,464 |
| Restricted cash | 143 | 139 |
| Accounts receivable, net of allowance for credit losses of $100 and $99, respectively | 48,445 | 52,502 |
| Manufacturing inventories | 18,507 | 20,336 |
| Service parts inventories | 1,523 | 2,098 |
| Prepaid expenses | 3,763 | 2,738 |
| Other current assets | 8,658 | 8,529 |
| Total current assets | 118,443 | 102,806 |
| Property and equipment, net | 11,025 | 11,378 |
| Goodwill | 12,969 | 12,969 |
| Intangible assets, net | 51 | 281 |
| Right-of-use assets | 8,314 | 8,580 |
| Other long-term assets | 18,352 | 19,388 |
| Total assets | $ 169,154 | $ 155,402 |
| Liabilities and Stockholders’ Deficit | ||
| Current liabilities: | ||
| Accounts payable | $ 26,824 | $ 31,463 |
| Accrued compensation | 10,250 | 9,214 |
| Deferred revenue, current portion | 69,675 | 75,076 |
| Accrued restructuring | 1,779 | 786 |
| Term debt | 96,713 | 96,486 |
| Revolving credit facility | — | 26,600 |
| Other accrued liabilities | 18,511 | 17,982 |
| Total current liabilities | 223,752 | 257,607 |
| Deferred revenue, net of current portion | 36,580 | 38,847 |
| Operating lease liabilities | 8,787 | 8,934 |
| Other long-term liabilities | 14,421 | 14,380 |
| Total liabilities | 283,540 | 319,768 |
| Stockholders’ deficit | ||
| Preferred stock, 20,000 shares authorized; no shares issued and outstanding | — | — |
| Common stock, $0.01 par value; 225,000 shares authorized; 13,319 and 6,962 shares issued and outstanding | 133 | 70 |
| Additional paid-in capital | 846,046 | 779,645 |
| Accumulated deficit | -959,677 | -942,471 |
| Accumulated other comprehensive loss | -888 | -1,610 |
| Total stockholders’ deficit | -114,386 | -164,366 |
| Total liabilities and stockholders’ deficit | $ 169,154 | $ 155,402 |
—
### CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(in thousands, except per share amounts, unaudited)
| Three Months Ended June 30, | 2025 | 2024 | |
|---|---|---|---|
| Revenue: | |||
| Product | $ 37,535 | $ 42,652 | |
| Service and subscription | 24,943 | 26,711 | |
| Royalty | 1,808 | 2,902 | |
| Total revenue | 64,286 | 72,265 | |
| Cost of revenue: | |||
| Product | 30,745 | 32,555 | |
| Service and subscription | 10,829 | 12,653 | |
| Total cost of revenue | 41,574 | 45,208 | |
| Gross profit | 22,712 | 27,057 | |
| Operating expenses: | |||
| Sales and marketing | 12,655 | 13,295 | |
| General and administrative | 13,569 | 21,065 | |
| Research and development | 6,661 | 8,308 | |
| Restructuring charges | 2,423 | 1,192 | |
| Total operating expenses | 35,308 | 43,860 | |
| Loss from operations | -12,596 | -16,803 | |
| Other income (expense), net | -430 | -41 | |
| Interest expense | -6,516 | -3,790 | |
| Change in fair value of warrant liabilities | — | 1,666 | |
| Gain (loss) on debt extinguishment | 2,559 | -695 | |
| Net loss before income taxes | -16,983 | -19,663 | |
| Income tax provision | 223 | 235 | |
| Net loss | $ -17,206 | $ -19,898 | |
| Net loss per share – basic and diluted | $ -1.87 | $ -4.15 | |
| Weighted average shares – basic and diluted | 9,187 | 4,792 | |
| Total comprehensive loss | $ -16,484 | $ -19,756 |
