Data I/O Q2 net loss widens on interest expense from convertible debt
DAIO•Q2 results
Data I/O said its second-quarter revenue rose 59% sequentially, but missed analyst expectations. The US microcontroller programming firm posted a net loss, impacted by interest expense from recent convertible debt.
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Sales | Miss | $5.15 mln | $5.34 mln (2 Analysts) |
| Q2 Loss Per Share | $0.17 | ||
| Q2 Net Loss | $1.63 mln |
Analyst coverage
The current average analyst rating on the shares is strong buy, with 3 "strong buy" or "buy" recommendations, no "hold" and no "sell" or "strong sell" ratings.
The average consensus recommendation for the computer hardware peer group is buy. Wall Street's median 12-month price target for Data I/O Corp is $5.50, about 88.4% above its August 11 closing price of $2.92.
Business drivers
- Higher bookings & sales mix - Sequential revenue growth was driven by increased bookings and a higher proportion of platform sales.
- End market diversification - Bookings grew in non-traditional markets including edge AI and robotics, alongside favorable automotive bookings.
