XTI Aerospace Q3 revenue rises on pre-tariff demand
XTIA•XTI Aerospace’s Q3 revenue rose 46% year over year, partly on demand ahead of Section 232 tariffs, and it reported net income of $26.58 million, reversing a year-earlier loss. The company expects 2026 revenue of $125 million to $130 million and gross margins of 17% to 19%.
1. Q3 results
XTI Aerospace said Q3 revenue increased 46% year over year, partly driven by September demand ahead of Section 232 tariffs. The company reported net income of $26.58 million, reversing a loss from the prior year, while income from operations was a loss of $5 million.
2. Outlook and costs
The company expects 2026 revenue of $125 million to $130 million and gross profit margins of 17% to 19%. Q3 gross margin included one-time benefits primarily related to tariff recoveries; excluding those benefits, the margin was lower. General and administrative expenses fell to 29.2% of sales from 39.2%, which the company attributed to headcount and office cuts and contract terminations. XTI expects positive ongoing operating cash flows in Q4 2026.
