Blaize Holdings, Inc. (BZAI): Results of Operations and Financial Condition
Blaize Holdings, Inc. (BZAI) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Blaize Reports Second Quarter 2026 Financial Results El Dorado Hills, Calif. – August 13, 2026 – Blaize Holdings, Inc. (NASDAQ: BZAI, NASDAQ: BZAIW) (“Blaize,” the “Company,” “we,” “us,” and “our”) , a leader in programmable, energy-efficient edge AI computing, today
How this was made
The 30-second read
Why it matters
Key trading inputs are the updated revenue outlook ($40.0M-$43.0M), the gross margin collapse (8% in Q2 vs 58% in Q1), and the binding server agreement (about $70M at current memory pricing) with partial 2H26 revenue recognition.
Market read
The filing is a guidance and margin reset event, with a large backlog contract but weaker profitability and a reduced full-year revenue range.
What to watch
The outlook is explicitly based on binding, non-cancellable orders and excludes still-advancing opportunities; traders should separate backlog quality and revenue recognition timing from the broader pipeline.
Blaize Reports Second Quarter 2026 Financial Results
Revenue increased to $12.0 million from $2.7 million in the first quarter of 2026 and $2.0 million in the second quarter of 2025, but gross margin declined to 8%, net loss widened sequentially, Adjusted EBITDA loss widened, and the Company reduced its full-year revenue outlook.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $12.0 million | – | – |
| Gross marginGAAP | 8% | – | – |
| Net lossGAAP | $28.8 million | – | – |
| EBITDAnon-GAAP | $ (28,505) (Amounts in thousands) | – | – |
| Adjusted EBITDA lossnon-GAAP | $20.9 million | – | – |
| DepreciationGAAP | 219 (Amounts in thousands) | – | – |
| Provision for income taxesGAAP | 268 (Amounts in thousands) | – | – |
| Interest income, netGAAP | (183) (Amounts in thousands) | – | – |
| Stock-based compensationother | 8,689 (Amounts in thousands) | – | – |
| Fair value changes and financing chargesother | (1,948) (Amounts in thousands) | – | – |
| Related party settlement expenseother | 2,760 (Amounts in thousands) | – | – |
| Non-cash inventory cost realignment adjustmentsother | (572) (Amounts in thousands) | – | – |
| Other adjustmentsother | (1,287) (Amounts in thousands) | – | – |
| Revenue, first six months of 2026GAAP | $14.7 million | – | – |
| Gross margin, first six months of 2026GAAP | 17% | – | – |
| Net loss, first six months of 2026GAAP | $51.5 million | – | – |
| EBITDA, first six months of 2026non-GAAP | $ (51,052) (Amounts in thousands) | – | – |
| Adjusted EBITDA loss, first six months of 2026non-GAAP | $34.8 million | – | – |
| Depreciation, first six months of 2026GAAP | 405 (Amounts in thousands) | – | – |
| Provision for income taxes, first six months of 2026GAAP | 367 (Amounts in thousands) | – | – |
| Interest income, net, first six months of 2026GAAP | (362) (Amounts in thousands) | – | – |
| Stock-based compensation, first six months of 2026other | 17,637 (Amounts in thousands) | – | – |
| Fair value changes and financing charges, first six months of 2026other | (2,975) (Amounts in thousands) | – | – |
| Transaction costs, first six months of 2026other | — | – | – |
| Related party settlement expense, first six months of 2026other | 2,760 (Amounts in thousands) | – | – |
| Non-cash inventory cost realignment adjustments, first six months of 2026other | (466) (Amounts in thousands) | – | – |
| Other adjustments, first six months of 2026other | (693) (Amounts in thousands) | – | – |
Full-year 2026 outlook
- Revenue$40.0 million to $43.0 million
- NoteAdjusted EBITDA loss in the range of $62.0 million to $65.0 million
- NoteStock-based compensation of approximately $34.7 million
- NoteWeighted average shares outstanding of approximately 141 million shares
What drove it
- Second-quarter revenue was weighted toward lower-margin third-party server hardware.
- Commercial activity continued across physical AI and the Hybrid AI Platform.
- The Company received a first purchase order from Europe for several thousand Blaize-branded units.
- Activity across the Asia-Pacific region increased.
- The Company closed a binding agreement covering 2,000 servers, representing approximately $70.0 million at current memory pricing.
- The Company expects approximately $20.0 million of the agreement to be recognized as revenue in the second half of 2026, with the remaining approximately $50.0 million representing contracted backlog expected to be fulfilled in 2027.
- The Company is actively pursuing four national-scale Hybrid AI Platform programs at different stages of development.
- Blaize advanced customer qualifications in aerial robotics and ruggedized platforms.
Concerns
- The Company updated its full-year 2026 revenue outlook to a range of $40.0 million to $43.0 million, reflecting engagements that did not convert into orders and supply chain cost inflation driven by materially higher memory pricing.
- Gross margin declined to 8% from 58% in the first quarter of 2026 and 59% in the second quarter of 2025.
- Net loss was $28.8 million, compared with a net loss of $22.7 million in the first quarter of 2026.
- Adjusted EBITDA loss was $20.9 million, compared with an Adjusted EBITDA loss of $13.9 million in the first quarter of 2026.
- The total value of the 2,000-server agreement will vary with memory pricing.
- The revised full-year revenue outlook is weighted toward revenue from the Company's largest customer.
What to watch
- Recognition of approximately $20.0 million from the binding agreement in the second half of 2026.
- Fulfillment of the remaining approximately $50.0 million of contracted backlog expected in 2027.
- Memory pricing and its effect on the total value of the 2,000-server agreement and supply chain costs.
- Conversion of advancing customer opportunities into binding orders.
- Whether revenue mix shifts away from lower-margin third-party server hardware.
- Management's review of its cost structure, operating discipline and cash consumption.
Balance sheet and cash flow
- Cash and cash equivalents were $36.8 million as of June 30, 2026, compared with $33.2 million as of March 31, 2026.
Analysis
Blaize reported second-quarter revenue of $12.0 million, compared with $2.7 million in the first quarter of 2026 and $2.0 million in the second quarter of 2025. The first six months of 2026 produced revenue of $14.7 million, compared with $3.0 million in the first six months of 2025. Management described broader commercial engagement across physical AI and the Hybrid AI Platform, including a first European purchase order, increased Asia-Pacific activity and customer qualifications in aerial robotics and ruggedized platforms.
The revenue increase came with a substantial deterioration in profitability and mix. Gross margin was 8%, versus 58% in the first quarter of 2026 and 59% in the second quarter of 2025. The Company attributed the sequential decline primarily to a revenue mix weighted toward lower-margin third-party server hardware. For the first six months of 2026, gross margin was 17%, compared with 62% in the first six months of 2025.
Losses widened sequentially despite higher revenue. Net loss was $28.8 million, compared with a net loss of $22.7 million in the first quarter of 2026, while Adjusted EBITDA loss was $20.9 million compared with an Adjusted EBITDA loss of $13.9 million in the first quarter. Cash and cash equivalents were $36.8 million as of June 30, 2026, compared with $33.2 million as of March 31, 2026. Management said it is reviewing the cost structure with an emphasis on operating discipline, optimizing cash consumption and preserving core execution capabilities.
The central change in the release is the reduced full-year 2026 revenue outlook of $40.0 million to $43.0 million. Management cited engagements that did not convert into orders and materially higher memory pricing. The outlook is weighted toward revenue from the largest customer and is based on binding, non-cancellable purchase orders that management believes can be fulfilled with inventory commitments already made or planned. The Company stated that it excluded opportunities that are still advancing from the outlook.
A binding agreement covering 2,000 servers represents approximately $70.0 million at current memory pricing. Blaize expects approximately $20.0 million from that agreement to be recognized in the second half of 2026, while the remaining approximately $50.0 million is contracted backlog expected to be fulfilled in 2027. The agreement provides visibility into future activity, but its total value will vary with memory pricing. Investors should focus on second-half recognition from this agreement, further order conversion, revenue mix and the Company's ability to execute its cost-discipline plans alongside a full-year Adjusted EBITDA loss outlook of $62.0 million to $65.0 million.
Management, verbatim
While we delivered solid sequential revenue growth in the second quarter, we have reduced our full-year revenue outlook. What changed is the pace at which opportunity converts into orders, alongside materially higher memory pricing.
Dinakar Munagala, co-founder and CEO of Blaize
At the same time, we are seeing broader commercial engagement across our target markets and customer base. We opened Europe this year and activity across Asia-Pacific has increased. We believe that diversification, together with more disciplined forecasting and execution, can provide a stronger foundation for more predictable growth over time.
Dinakar Munagala, co-founder and CEO of Blaize
Our revised full-year revenue outlook is weighted toward revenue from our largest customer and is based on binding, non-cancellable purchase orders that we believe we can fulfill with inventory commitments already made or planned. We have excluded opportunities that are still advancing, regardless of how far along they may be. This provides a more disciplined basis for our outlook for the remainder of 2026.
Harminder Sehmi, CFO of Blaize
Not in the filing
stated, not guessed- GAAP operating income or loss
- GAAP earnings per share
- Non-GAAP earnings per share
- Segment revenue and segment profitability
- Operating cash flow
- Free cash flow
- Debt balance
- Capital expenditures
- Share repurchases
- Dividends
- Full-year 2026 gross-margin guidance
- Full-year 2026 operating-expense guidance
- Full-year 2026 tax-rate guidance
- Previous-quarter outlook for comparison
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 Blaize’s SEC 8-K (Item 2.02) with Q2 2026 results and an updated full-year 2026 revenue and Adjusted EBITDA outlook.
Ticker impact
Blaize reported Q2 revenue of $12.0M, a gross margin collapse to 8%, and cut full-year 2026 revenue outlook to $40.0M-$43.0M.
Near-term downside bias as the outlook cut and margin compression dominate, partially offset by the binding 2,000-server agreement and Europe order.
The newest decision-relevant facts are the updated revenue outlook range, the gross margin drop drivers (lower-margin server hardware mix and higher memory costs), and the binding purchase agreement with revenue recognition timing (about $20M in 2H26, remainder in 2027).
Market effects
Highlights cost pressure from higher memory pricing and the risk of low-margin server hardware mix for edge AI infrastructure vendors.
Europe and Asia-Pacific commercial activity is cited, but the financial outlook cut suggests execution and conversion remain the key swing factor.
Memory pricing sensitivity and backlog timing are broadly relevant to AI hardware supply chains, though this is company-specific guidance.
Counterpoint
The binding 2,000-server agreement and first Europe purchase order may indicate improving order conversion, with the margin hit reflecting mix and timing rather than structural demand weakness.
Key entities
- companyBlaize Holdings, Inc.
Edge AI computing company reporting Q2 results, updating 2026 revenue outlook, and disclosing a binding 2,000-server agreement tied to memory pricing.
- executiveDinakar Munagala
Co-founder and CEO commenting on slower opportunity-to-order conversion and higher memory pricing.
- executiveHarminder Sehmi
CFO discussing the disciplined basis for the revised outlook and cost-structure review.
