Cognex Reports Second Quarter 2026 Results
COGNEX CORP (CGNX) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Cognex Reports Second Quarter 2026 Results August 5, 2026 — NATICK, MA — Cognex Corporation (NASDAQ: CGNX), the global technology leader in industrial machine vision, today reported financial results for the second quarter ended July 5, 2026 . Second-Quarter Financia
How this was made
The 30-second read
Why it matters
The combination of record revenue, sharp operating margin expansion, higher adjusted EPS, strong cash generation, and explicit guidance ranges creates a clear catalyst for re-rating expectations and near-term positioning.
Market read
A company-specific earnings and guidance update with quantified margin and EPS improvements, plus dividend declaration, is likely to drive immediate sentiment and revisions.
What to watch
The release references OneVision general availability and AI vision strategy, but the filing excerpt does not quantify adoption metrics; traders may need to watch for customer conversion and backlog commentary in the full exhibit.
Cognex Reports Second Quarter 2026 Results
Record quarterly revenue of $291 million, 17% year-over-year growth, operating-margin expansion of 1,200 basis points, and full-year guidance for strong double-digit revenue growth and significant profitability expansion support a strong read.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $291M | – | 17% |
| Revenue growth excluding foreign currency exchangeother | 16% | – | 16% |
| Gross marginGAAP | 70.6% | – | – |
| Adjusted gross marginnon-GAAP | 71.5% | – | 350 basis points |
| Operating expensesGAAP | $120M | – | decrease of 3% |
| Adjusted operating expensesnon-GAAP | $119M | – | decrease of 3% |
| Adjusted operating expenses growth on a constant-currency basisnon-GAAP | decreased 5% year over year | – | decreased 5% year over year |
| Operating incomeGAAP | $86M | – | 100% |
| Operating marginGAAP | 29.4% | – | 1,200 basis points |
| Adjusted operating marginnon-GAAP | 30.7% | – | 1,200 basis points |
| Adjusted EBITDAnon-GAAP | $94M | – | 81% |
| Adjusted EBITDA marginnon-GAAP | 32.2% | – | 1,150 basis points |
| Net incomeGAAP | $73M | – | 78% |
| Adjusted net incomenon-GAAP | $76M | – | 77% |
| Net income per diluted shareGAAP | $0.43 | – | 79% |
| Adjusted EPS (diluted)non-GAAP | $0.45 | – | 80% |
| Cash from operating activitiesGAAP | $69M | – | 60% |
| Free Cash Flow (FCF)other | $68M | – | 70% |
| Second quarter FCF conversion rate of net incomeother | 93% of net income | – | – |
| Second quarter FCF conversion rate of Adjusted net incomeother | 89% of Adjusted net income | – | – |
| Trailing twelve-month FCF conversion rate of net incomeother | 153% of net income | – | – |
| Trailing twelve-month FCF conversion rate of Adjusted net incomeother | 114% of Adjusted net income | – | – |
Q3 2026 and full-year 2026 outlook
- RevenueQ3 2026: $300 - $320; full-year 2026: $1,130 - $1,150
- NoteQ3 2026 Adjusted EBITDA Margin: 32% - 35%
- NoteQ3 2026 Adjusted EPS (diluted): $0.50 - $0.54
- NoteFull-year 2026 Adjusted EBITDA Margin: 29% - 31%
- NoteFull-year 2026 Adjusted EPS (diluted): $1.64 - $1.68
- NoteQ3 2026 revenue year-over-year change at midpoint: +12%; +17% excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
- NoteQ3 2026 Adjusted EBITDA Margin year-over-year change at midpoint: +860 bps; +1,140 bps excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
- NoteQ3 2026 Adjusted EPS (diluted) year-over-year change at midpoint: +58%; +86% excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
- NoteFull-year 2026 revenue year-over-year change at midpoint: +15%; +16% excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
- NoteFull-year 2026 Adjusted EBITDA Margin year-over-year change at midpoint: +850 bps; +930 bps excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
- NoteFull-year 2026 Adjusted EPS (diluted) year-over-year change at midpoint: +63%; +71% excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner
Capital returns
- Cognex paid $14 million in dividends to shareholders in the second quarter.
- On August 5, 2026, Cognex's Board of Directors declared a quarterly cash dividend of $0.085 per share.
- The dividend is payable on September 3, 2026, to all shareholders of record at the close of business on August 20, 2026.
What drove it
- Revenue growth was driven by broad-based strength across most major end markets.
- The gross-margin increase was primarily driven by favorable mix and volume.
- Tariff refunds were not a material contributor to the strong gross margin performance.
- Adjusted operating expenses declined primarily because of disciplined cost management.
- Adjusted EBITDA-margin expansion was driven by revenue growth and favorable mix.
- Cognex announced the general availability of OneVision™, with hundreds of customers using the platform to accelerate configuration and deployment of AI-powered vision applications.
Concerns
- No segment-level revenue or end-market revenue detail was reported in the provided filing text.
- Forward-looking statements identify risks related to technological obsolescence, new-product development, competition, skilled-employee retention, product and service distribution, international sales and operations, trade disputes, tariffs, customer demand and order timing, product or revenue mix, and customer acceptance of products.
- Cognex cannot, without unreasonable effort, provide a reconciliation of forward-looking adjusted EBITDA margin and adjusted earnings per share to corresponding forecasted GAAP measures.
What to watch
- Execution against Q3 2026 revenue guidance of $300 - $320.
- Delivery of Q3 2026 Adjusted EBITDA Margin guidance of 32% - 35% and Adjusted EPS (diluted) guidance of $0.50 - $0.54.
- Progress toward full-year 2026 revenue guidance of $1,130 - $1,150, Adjusted EBITDA Margin guidance of 29% - 31%, and Adjusted EPS (diluted) guidance of $1.64 - $1.68.
- Whether favorable mix, volume, and disciplined cost management continue to support margin expansion.
- Customer adoption of OneVision™ and the company's diversification across customers, channels, adjacencies and end markets.
Balance sheet and cash flow
- As of July 5, 2026, Cognex had $755 million in cash and investments and no debt.
- During the second quarter, Cognex generated $69 million of cash from operating activities compared to $43 million in the second quarter of 2025, an increase of 60%.
- During the second quarter, Cognex generated Free Cash Flow (FCF) of $68 million compared to $40 million in the second quarter of 2025, an increase of 70%.
- Second quarter FCF conversion rate was 93% of net income and 89% of Adjusted net income.
- Trailing twelve-month FCF conversion rate was 153% of net income and 114% of Adjusted net income.
Analysis
Cognex reported record quarterly revenue of $291 million for the second quarter ended July 5, 2026. Revenue increased 17% year over year, or 16% excluding FX, with management attributing growth to broad-based strength across most major end markets. The filing does not provide revenue by segment, product line, geography, or individual end market, but it highlights the general availability of OneVision™ and states that hundreds of customers are using the platform.
Profitability improved materially. Gross margin was 70.6%, compared with 67.4% in the second quarter of 2025, while adjusted gross margin was 71.5%, compared with 68.0%. Management attributed the gross-margin improvement primarily to favorable mix and volume and stated that tariff refunds were not a material contributor. Operating income doubled to $86 million, operating margin reached 29.4%, and adjusted EBITDA margin expanded to 32.2% from 20.7%.
Operating expense discipline added to operating leverage. GAAP operating expenses declined to $120 million from $124 million, while adjusted operating expenses declined to $119 million from $123 million. On a constant-currency basis, adjusted operating expenses decreased 5% year over year, primarily driven by disciplined cost management. Net income rose to $73 million from $41 million, and adjusted diluted EPS increased 80% to $0.45 from $0.25.
Cash generation was also strong. Cash from operating activities was $69 million and FCF was $68 million, compared with $43 million and $40 million, respectively, in the second quarter of 2025. Cognex ended the period with $755 million in cash and investments and no debt. The company paid $14 million in dividends during the quarter and subsequently declared a quarterly cash dividend of $0.085 per share.
The guide calls for Q3 revenue of $300 - $320, adjusted EBITDA margin of 32% - 35%, and adjusted diluted EPS of $0.50 - $0.54. For full-year 2026, Cognex guides to revenue of $1,130 - $1,150, adjusted EBITDA margin of 29% - 31%, and adjusted diluted EPS of $1.64 - $1.68. These ranges imply continued strong revenue growth and substantial profitability expansion on the comparisons provided by the company, though the filing does not include a prior outlook for direct guidance-versus-results assessment.
Management, verbatim
Q2 was another strong quarter for Cognex and further evidence that our strategy is driving results. We delivered exceptional performance, highlighted by record revenue, strong margin expansion, and significant earnings growth, which we believe reflects both a more favorable demand environment and focused execution across the business. We continue to make meaningful progress against our strategic objectives to extend our leadership in AI-enabled machine vision, deliver the leading customer experience in the industry, and double our customer base.
Matt Moschner, President and CEO
We believe that diversification is central to the next chapter of Cognex’s growth. We are focused on broadening our reach across customers, channels, adjacencies and end markets, while prioritizing the automation challenges where we expect our technology can create the most value. We believe this strategy will position Cognex to shape the future of AI-enabled machine vision and deliver more sustainable and profitable growth over time.
Matt Moschner, President and CEO
We believe that our Q2 performance underscores the strength of our profitable growth strategy and the strong leverage in our financial model. We are continuing to transform our operating model to drive higher productivity, support sustainable margin expansion, and strengthen our ability to scale efficiently over time. We believe that this disciplined approach will enable us to support Cognex’s long-term growth objectives while reinforcing our commitment to creating shareholder value.
Dennis Fehr, CFO
Not in the filing
stated, not guessed- Segment-level revenue, year-over-year growth, quarter-over-quarter growth, and segment drivers were not reported in the provided filing text.
- Prior-quarter comparisons for reported revenue, margins, operating expenses, operating income, net income, EPS, operating cash flow, and free cash flow were not reported.
- GAAP net income guidance, GAAP operating-income guidance, GAAP operating-margin guidance, GAAP EPS guidance, gross-margin guidance, operating-expense guidance, and tax-rate guidance were not reported.
- Share repurchases were not reported.
- A previous-release outlook was not provided, so guidance-versus-prior-guidance comparisons are unavailable.
- Cash-and-investments prior-period comparison was not reported.
- Total debt amount was not reported; the filing states only that Cognex had no debt.
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is an SEC Form 8-K (Item 2.02) with Cognex’s Q2 2026 results and accompanying Q3 and full-year 2026 guidance.
Ticker impact
Cognex reported Q2 2026 results with record revenue of $291M (+17% YoY), operating margin 29.4%, and issued full-year 2026 guidance.
Likely positive read-through for CGNX, with follow-through risk if Q3 revenue or margin fails to sustain the guidance range.
The filing discloses multiple fresh, decision-relevant datapoints: record revenue, large YoY operating income and margin expansion, improved EPS, strong cash generation, and explicit Q3 and full-year guidance ranges.
Market effects
Signals continued demand and pricing/mix strength in industrial machine vision, potentially improving sentiment for automation and AI vision peers.
Limited direct regional read-through; results are company-specific with global end-market strength.
Moderate, as industrial automation capex cycles can influence broader manufacturing tech spending expectations.
Counterpoint
Margin expansion may be partially mix-driven and could mean less upside if demand normalizes or if gross margin benefits fade.
Key entities
- companyCognex Corporation
Industrial machine vision company reporting Q2 2026 results, declaring a dividend, and issuing Q3 and full-year 2026 guidance.
- productOneVision
Cognex platform for accelerating configuration and deployment of AI-powered vision applications, announced as generally available.
- executiveMatt Moschner
CEO quoted on strategy execution and margin/EPS performance.
- executiveDennis Fehr
CFO quoted on operating model transformation and financial leverage.
