Universal Electronics Inc. (UEIC) Earnings
Universal Electronics Inc. is expected to report next earnings on July 30, 2026 (in NaN days), with a consensus EPS estimate of $0.03. UEIC has beaten EPS estimates in 8 of its last 12 reported quarters (average surprise +103.3% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 11, 2026 | $-0.03 | $-0.10 | -233.3% | $79M | +7.0% |
| Nov 6, 2025 | $-0.03 | $0.08 | +366.7% | $91M | +6.4% |
| Aug 7, 2025 | $0.05 | $0.18 | +260.0% | $98M | +3.7% |
| May 8, 2025 | $-0.15 | $-0.12 | +20.0% | $92M | +0.4% |
| Feb 20, 2025 | $0.14 | $0.20 | +42.9% | $110M | +7.8% |
| Nov 7, 2024 | $0.15 | $0.10 | -33.3% | $102M | -0.6% |
| Aug 8, 2024 | $-0.04 | $-0.09 | -107.7% | $90M | -4.9% |
| May 2, 2024 | $-0.24 | $-0.19 | +20.8% | $92M | +1.3% |
| Feb 15, 2024 | $0.01 | $0.07 | +1150.0% | $98M | +0.7% |
| Nov 2, 2023 | $0.08 | $0.08 | +0.0% | $107M | -4.1% |
| Aug 3, 2023 | $-0.17 | $-0.06 | +64.7% | $107M | -1.7% |
| May 4, 2023 | $-0.29 | $-0.28 | +3.4% | $108M | +5.8% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · May 11, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Strategic Restructuring Progress: Management initiated three 2026 structural moves, with measurable early progress in Q1: adjusted non-GAAP operating expenses declined $5.3 million YoY, with Q1 actions expected to deliver $5 million in annualized structural labor cost savings; R&D spending was cut from $7.2 million to $5.4 million YoY as resources are reallocated to high-return initiatives; a global reduction in force was completed, primarily impacting SG&A and select R&D roles, with $1.3 million in one-time severance costs; retention of key employees, customers, and suppliers is prioritized to preserve core capabilities amid operating model simplification. - Profitability and Cash Flow Highlights: Despite lower revenue and margin pressure, adjusted non-GAAP profitability improved YoY due to early cost reduction efforts; working capital discipline delivered a $9.8 million inventory reduction, with sequential declines in accounts receivable and contract assets of $2.8 million, freeing up cash and aligning stock to current demand; cash and cash equivalents at quarter-end were $29.8 million, with a modest $0.8 million quarterly operating cash flow decline driven by timing of accrued liability and restructuring payments. - Commercial Update: Direct outreach to top accounts confirmed positive feedback on service continuity and product roadmaps; in Connected Home, engagement for the HomeSense occupancy sensing and TIDE smart thermostat lines continues, with ongoing roadmap discussions with new North American HVAC OEM prospects, as OEM interest in higher thermostat attach rates supports a long-term meaningful market opportunity despite uneven near-term residential demand; in Home Entertainment, the business is managed conservatively to drive profitability via cost extraction, product line simplification, and supply chain optimization, with selective accretive opportunities pursued amid ongoing market headwinds.
Guidance
- Management reaffirms its full fiscal year 2026 adjusted non-GAAP diluted EPS guidance range of 45 cents to 65 cents, up from 31 cents in fiscal 2025. This guidance is maintained after Q1 2026 results, with management noting higher full-year visibility and increased confidence in the plan. - Full-year 2026 revenue is still expected to decline year-over-year, as secular headwinds in home entertainment and slower-than-projected scaling of connected home products continue to dampen top-line performance. No demand rebound is assumed in the outlook. - Management remains focused on structural cost alignment, improved full-year profitability versus 2025, and permanent working capital reduction to generate free cash flow and strengthen the balance sheet.
Segment performance
Total company Q1 2026 revenue was $79 million, a 14.4% year-over-year (YoY) decline. 1. Connected Home: Net sales were $28.3 million, down from $31.7 million in Q1 2025, accounting for 35.8% of total Q1 2026 revenue. 2. Home Entertainment: Net sales were $50.7 million, down from $60.6 million in Q1 2025, accounting for 64.2% of total Q1 2026 revenue. Adjusted non-GAAP gross profit was $20.6 million (26.1% of sales), down from 28.3% of sales YoY. GAAP operating loss was $3.9 million, compared to a $3.8 million loss in Q1 2025. Adjusted non-GAAP operating loss was $1.6 million, compared to a $1.5 million loss YoY. Adjusted non-GAAP net loss was $1.3 million (10 cents per diluted share), compared to a $1.5 million (12 cents per diluted share) loss YoY.
Risks & headwinds
- Near-term market headwinds: Secular decline in mature home entertainment and subscription broadcasting markets, slower and less predictable connected home growth than projected in H1 2025, uneven residential HVAC demand, pressure on European consumer retail demand, and memory cost/allocation volatility impacting the set-top box market. - Margin pressures: Negative impacts from lower revenue volume absorption, unfavorable product mix (driven by lower retail sales), ongoing commodity cost pressure for resin and electronic components, and residual tariff costs. - Deployment risks: Extended customer product deployment timelines for higher-margin connected home programs have delayed margin improvements.