iPower Executes 8-for-1 Reverse Split, Cuts Q3 Expenses 66%, Pivots to AI GPU Infrastructure
iPower executed an 8-for-1 reverse stock split on May 22, 2026, combining every eight shares into one. In fiscal Q3 2026, operating expenses dropped 66%, narrowing non-GAAP net loss to $0.3 million on $3.5 million revenue as it shifts into a $30 million AI GPU infrastructure strategy.
1. Reverse Stock Split Executed
On May 22, 2026, iPower consolidated its common stock via an 8-for-1 reverse split, combining every eight existing shares into one. The move reduced share count while increasing per-share price to meet listing requirements and enhance marketability.
2. Q3 2026 Financial Results
Fiscal third-quarter revenue from continuing operations reached $3.5 million with gross profit of $0.8 million. Operating expenses declined 66% sequentially, narrowing non-GAAP net loss to $0.3 million despite a GAAP net loss driven by a non-cash impairment charge.
3. Strategic Pivot to AI Infrastructure
Leveraging a $30 million facility, iPower is reallocating capital from hydroponic equipment to build GPU clusters and other AI assets. The shift targets the high-growth AI computing market and aligns with a leaner operating model.
4. Outlook and Next Steps
The company aims to deploy GPU infrastructure assets to generate recurring revenue streams while maintaining discipline on costs. Management anticipates this strategy will position iPower for scalable growth in the AI sector.