Enovix Q3 Revenue Rises 38% to $11.0M as Drone and Defense Pipeline Hits $216M

Enovix (ENVX) reported preliminary Q3 2026 revenue of $11.0 million, up 38% from a year earlier, beating its guidance of $9 million to $10 million. It was the company's sixth consecutive quarter of year-over-year revenue growth. Drone and defense customers accounted for about 70% of revenue, according to Enovix.

Non-GAAP gross margin reached a record 34.5%, up 13.5 points, on a richer mix that included smart eyewear and drone and defense sales. Non-GAAP net loss was $0.15 per share, against $0.14 a year earlier. Enovix ended the quarter with $512.2 million in cash, cash equivalents, marketable securities and restricted cash.

The company's drone, defense and industrial pipeline grew 18% to about $216 million, with the drone pipeline alone up 48% to about $150 million and expected to keep growing through 2027. Enovix said orders in the first part of Q4 2026 already exceeded total Q3 revenue.

Enovix is investing $19 million to double capacity at its Korean plant, which it acquired for its 20-year defense production history. The company said its defense cells are made in-house in Korea, qualifying as a non-Chinese source under U.S. rules such as the National Defense Authorization Act and foreign entity of concern provisions. Ryan Benton, interim CEO, said the added capacity will enable timely delivery of orders from the pipeline.

Steve Bakos, formerly of Infineon Technologies, was promoted to chief revenue officer and general manager, with full profit-and-loss responsibility over the defense and commercial business. T.J. Rodgers, executive chairman, said the company revamped its executive staff around defense revenue and will report first results of a cost reduction plan in the Q3 2026 report.

Enovix shares were down 19.0% in delayed trading. Full Q3 2026 results and an earnings call were expected on or about November 12, 2026.