The company exhibits persistent revenue erosion, evidenced by a 6.7% year-over-year decline in 2026Q1 revenue alongside a deeply negative operating margin of -20.5%.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 14.81M | 15.08M | 18.76M | 17.03M | 21.24M | 23.2M | 15.7M | 19.25M | 16.45M | 21.29M | 20.79M | 18.4M | 17.02M | 15.66M | 13.61M | 17.51M | 13.5M | 17.13M | 26.56M | 24.12M | 24.98M | 25.03M | 26.13M | 21.61M | 16.31M | 12.33M | 11.55M | 6.9M | 5.48M | 4.78M | 4.57M |
| Revenue Growth % | -16.55% | -19.64% | 10.15% | -19.8% | -8.45% | 47.76% | -18.45% | 17.01% | -22.7% | 2.4% | 12.98% | 8.1% | 8.68% | 15.1% | -22.29% | 29.73% | -21.19% | -35.51% | 10.11% | -3.46% | -0.21% | -4.19% | 20.91% | 32.48% | 32.3% | 6.75% | 67.4% | 25.96% | 14.62% | 4.58% | 1.56% |
| Cost of Goods Sold | 7.43M | 7.59M | 9.31M | 8.57M | 10.87M | 10.76M | 7.37M | 9.15M | 8M | 9.9M | 10.35M | 9.46M | 9.61M | 9.36M | 8.52M | 10.26M | 8.1M | 9.75M | 14.17M | 12.24M | 12.79M | 12.45M | 12.77M | 10.91M | 8.18M | 5.83M | 6.82M | 2.7M | 2.24M | 2.79M | 2.5M |
| COGS % of Revenue | - | 50.34% | 49.62% | 50.32% | 51.19% | 46.39% | 46.91% | 47.54% | 48.61% | 46.49% | 49.81% | 51.44% | 56.45% | 59.75% | 62.6% | 58.6% | 59.98% | 56.95% | 53.35% | 50.77% | 51.2% | 49.71% | 48.86% | 50.47% | 50.13% | 47.25% | 59% | 39.13% | 40.87% | 58.34% | 54.7% |
| Gross Profit | 7.39M | 7.49M | 9.45M | 8.46M | 10.37M | 12.44M | 8.33M | 10.1M | 8.46M | 11.39M | 10.43M | 8.94M | 7.41M | 6.3M | 5.09M | 7.25M | 5.4M | 7.37M | 12.39M | 11.87M | 12.19M | 12.59M | 13.36M | 10.7M | 8.14M | 6.5M | 4.74M | 4.2M | 3.24M | 1.99M | 2.07M |
| Gross Margin % | 49.87% | 49.66% | 50.37% | 49.68% | 48.81% | 53.61% | 53.09% | 52.46% | 51.39% | 53.51% | 50.19% | 48.56% | 43.55% | 40.25% | 37.4% | 41.4% | 40.02% | 43.05% | 46.65% | 49.23% | 48.8% | 50.29% | 51.14% | 49.53% | 49.87% | 52.75% | 41% | 60.87% | 59.13% | 41.66% | 45.3% |
| Gross Profit Growth % | - | -20.77% | 11.68% | -18.36% | -16.64% | 49.21% | -17.48% | 19.45% | -25.76% | 9.16% | 16.78% | 20.53% | 17.61% | 23.86% | -29.8% | 34.2% | -26.75% | -40.48% | 4.35% | -2.61% | -3.16% | -5.78% | 24.84% | 31.57% | 25.07% | 37.37% | 12.74% | 29.66% | 62.68% | -3.81% | 8.95% |
| Operating Expenses | 10.47M | 10.71M | 11.91M | 11.58M | 10.81M | 9.74M | 12.69M | 9.49M | 9.04M | 8.97M | 7.87M | 6.81M | 6.48M | 6.43M | 8.1M | 8.52M | 9.12M | 10.33M | 15.07M | 15.26M | 15.12M | 12.84M | 13.05M | 11.91M | 11.01M | 12.72M | 8.86M | 5.1M | 4.2M | 5.38M | 5.38M |
| OpEx % of Revenue | - | 71.01% | 63.5% | 68.01% | 50.91% | 41.98% | 80.8% | 49.31% | 54.95% | 42.15% | 37.86% | 36.99% | 38.08% | 41.03% | 59.56% | 48.68% | 67.54% | 60.32% | 56.76% | 63.28% | 60.52% | 51.3% | 49.95% | 55.13% | 67.49% | 103.14% | 76.72% | 73.91% | 76.69% | 112.63% | 117.72% |
| Selling, General & Admin | 6.16M | 6.36M | 7.19M | 6.75M | 6.45M | 5.77M | 5.12M | 5.6M | 5.4M | 5.5M | 4.98M | 4.48M | 4.15M | 4.16M | 5.35M | 5.75M | 6.65M | 7.4M | 10.45M | 10.12M | 9.84M | 9.13M | 9M | 8.06M | 7.01M | 7.25M | 5.4M | 3.7M | 3.2M | 4.33M | 4.31M |
| SG&A % of Revenue | - | 42.16% | 38.34% | 39.64% | 30.37% | 24.89% | 32.6% | 29.09% | 32.83% | 25.83% | 23.97% | 24.36% | 24.38% | 26.54% | 39.28% | 32.83% | 49.29% | 43.23% | 39.35% | 41.97% | 39.4% | 36.47% | 34.43% | 37.28% | 42.95% | 58.83% | 46.77% | 53.62% | 58.44% | 90.65% | 94.31% |
| Research & Development | 4.31M | 4.35M | 4.72M | 4.83M | 4.36M | 3.96M | 3.14M | 3.89M | 3.64M | 3.47M | 2.89M | 2.32M | 2.33M | 2.27M | 2.71M | 2.78M | 2.4M | 2.85M | 4.5M | 5M | 5.14M | 3.51M | 3.66M | 3.45M | 3.52M | 3.75M | 2.77M | 1.2M | 999.36K | 1.05M | 1.07M |
| R&D % of Revenue | - | 28.85% | 25.16% | 28.37% | 20.54% | 17.09% | 20% | 20.22% | 22.12% | 16.32% | 13.9% | 12.63% | 13.71% | 14.49% | 19.92% | 15.85% | 17.8% | 16.64% | 16.93% | 20.75% | 20.56% | 14.02% | 14% | 15.96% | 21.55% | 30.38% | 24.02% | 17.39% | 18.24% | 21.98% | 23.41% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 4.43M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 60K | 76.79K | 127.15K | 134.56K | 140.45K | 203.04K | 397.15K | 410.29K | 486.61K | 1.72M | 684.3K | 200K | 0 | 0 | 0 |
| Operating Income | -3.08M | -3.22M | -2.46M | -3.12M | -446.02K | 2.7M | -4.35M | 606.37K | -585.99K | 2.42M | 2.56M | 2.13M | 930.81K | -122.61K | -3.01M | -1.28M | -3.71M | -8.33M | -2.68M | -3.39M | -2.93M | -253.58K | 309.42K | -1.21M | -2.87M | -6.21M | -4.13M | -900K | -961.67K | -3.39M | -3.31M |
| Operating Margin % | -20.82% | -21.35% | -13.12% | -18.32% | -2.1% | 11.63% | -27.71% | 3.15% | -3.56% | 11.36% | 12.33% | 11.57% | 5.47% | -0.78% | -22.11% | -7.28% | -27.52% | -48.63% | -10.11% | -14.05% | -11.72% | -1.01% | 1.18% | -5.6% | -17.62% | -50.38% | -35.72% | -13.04% | -17.56% | -70.97% | -72.43% |
| Operating Income Growth % | - | -30.73% | 21.11% | -599.74% | -116.54% | 162% | -817.48% | 203.48% | -124.24% | -5.67% | 20.4% | 128.71% | 859.18% | 95.93% | -136% | 65.67% | 55.4% | -210.32% | 20.79% | -15.69% | -1054.84% | -181.95% | 125.55% | 57.86% | 53.73% | -50.57% | -358.44% | 6.41% | 71.65% | -2.47% | 2.65% |
| EBITDA | -1.28M | -1.37M | -881.1K | -1.73M | 833.33K | 3.41M | -3.75M | 1.07M | -153.95K | 2.73M | 2.84M | 2.33M | 1.18M | 158.73K | -2.68M | -878.09K | -3.19M | -8.25M | -2.04M | -2.64M | -2.05M | 389.19K | 1.17M | -232.55K | -1.94M | -4.15M | -3.44M | -700K | -767.46K | -3.12M | -3.08M |
| EBITDA Margin % | -8.65% | -9.11% | -4.7% | -10.14% | 3.92% | 14.71% | -23.91% | 5.55% | -0.94% | 12.83% | 13.67% | 12.64% | 6.92% | 1.01% | -19.73% | -5.01% | -23.67% | -48.18% | -7.68% | -10.93% | -8.22% | 1.55% | 4.49% | -1.08% | -11.92% | -33.63% | -29.8% | -10.14% | -14.01% | -65.28% | -67.4% |
| EBITDA Growth % | -6.95% | -55.96% | 48.98% | -307.24% | -75.58% | 190.92% | -451.04% | 794.59% | -105.64% | -3.91% | 22.17% | 97.6% | 641.75% | 105.91% | -205.74% | 72.52% | 61.28% | -304.36% | 22.62% | -28.46% | -627.45% | -66.79% | 603.98% | 88.04% | 53.13% | -20.49% | -391.66% | 8.79% | 75.4% | -1.29% | 16.76% |
| D&A (Non-Cash Add-back) | 1.8M | 1.84M | 1.58M | 1.39M | 1.28M | 715.59K | 596.9K | 462.93K | 432.04K | 313.65K | 279.39K | 197.69K | 246.58K | 281.34K | 324.51K | 397K | 519.69K | 77K | 643.2K | 751.04K | 875.72K | 642.77K | 862.6K | 978.71K | 930.46K | 2.07M | 684.3K | 200K | 194.21K | 272.12K | 230K |
| EBIT | -3.08M | -3.22M | -2.46M | -3.12M | -446.02K | 2.76M | -3.23M | 606.37K | -585.99K | 2.42M | 2.56M | 2.13M | 930.81K | -122.61K | -3.01M | -1.28M | -3.71M | -7.88M | -2.66M | -3.39M | -2.93M | -253.58K | 309.42K | -1.21M | -2.87M | -6.21M | -4.13M | -900K | -961.67K | -3.39M | -3.35M |
| Net Interest Income | -536.33K | -496.59K | -330.85K | -242.16K | -175.05K | -198.94K | -97.49K | -100.66K | -128.61K | -79.44K | -131.35K | -279.23K | -405.25K | -465.95K | -256.99K | -1.12M | -245.82K | -224.7K | -48.87K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 106 | 455 | 22.25K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 536.33K | 496.59K | 330.85K | 242.16K | 175.05K | 199K | 97.49K | 100.66K | 128.61K | 79.44K | 131.35K | 279.23K | 405.25K | 465.95K | 256.99K | 1.12M | 245.93K | 225K | 71.13K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -20K |
| Other Income/Expense | -536.33K | -496.59K | -330.85K | -242.16K | -175.05K | -133.85K | 1.02M | -100.66K | -128.61K | -79.44K | -131.35K | -279.23K | -466.75K | -465.95K | -256.99K | -1.12M | -245.82K | -5.15M | -48.87K | 79.68K | 166.76K | 253.58K | 28.46K | 1.21M | 2.87M | 6.21M | -3.74B | 0 | 0 | 0 | -20K |
| Pretax Income | -3.62M | -3.72M | -2.79M | -3.36M | -621.07K | 2.56M | -3.33M | 505.71K | -715K | 2.34M | 2.43M | 1.85M | 464K | -589K | -3.25M | -2.39M | -3.96M | -2.73M | -2.73M | -3.31M | -2.76M | -166.68M | 337.88M | -1.25B | -2.97B | -6.06B | -3.75B | 0 | 0 | 0 | -3.33M |
| Pretax Margin % | -24.44% | -24.64% | -14.89% | -19.74% | -2.92% | 11.05% | -21.21% | 2.63% | -4.35% | 10.98% | 11.7% | 10.05% | 2.73% | -3.76% | -23.92% | -13.65% | -29.34% | -15.95% | -10.29% | -13.72% | -11.06% | -665.79% | 1293.07% | -5783.91% | -18217.93% | -49173.89% | -32444.63% | - | - | - | -72.87% |
| Income Tax | 10.66M | 10.66M | -551K | -1.44M | -708K | -1.9M | -50.76K | 219.13K | -144K | 3.77M | -9.71M | 32K | 32K | 32K | 32K | 31.94K | 15.52K | 32K | 31.94K | 31.94K | 150.38K | 86.82M | 28.43M | -448.93M | -584.08M | -1.57B | -1.89B | -100K | 105.87K | 162.93K | 0 |
| Effective Tax Rate % | -294.5% | -287.03% | 19.73% | 42.94% | 114% | -74.22% | 1.52% | 43.33% | 20.14% | 161.21% | -399.47% | 1.73% | 6.9% | -5.43% | -0.98% | -1.34% | -0.39% | -1.17% | -1.17% | -0.97% | -5.45% | -52.09% | 8.41% | 35.92% | 19.65% | 25.87% | 50.37% | - | - | - | 0% |
| Net Income | -14.28M | -14.38M | -2.24M | -1.92M | 86.93K | 4.47M | -3.28M | 286.59K | -571K | -1.43M | 12.15M | 1.82M | 432K | -621K | -3.29M | -2.42M | -3.98M | -2.76M | -2.76M | -3.34M | -2.91M | -166.68K | 337.88K | -1.25M | -2.97M | -6.06M | -3.75M | -800K | -1.07M | -3.55M | -3.33M |
| Net Margin % | -96.43% | -95.36% | -11.95% | -11.27% | 0.41% | 19.25% | -20.88% | 1.49% | -3.47% | -6.72% | 58.43% | 9.88% | 2.54% | -3.97% | -24.16% | -13.83% | -29.45% | -16.14% | -10.41% | -13.85% | -11.66% | -0.67% | 1.29% | -5.78% | -18.22% | -49.17% | -32.44% | -11.59% | -19.49% | -74.38% | -72.87% |
| Net Income Growth % | -433.18% | -541.23% | -16.84% | -2307.68% | -98.05% | 236.22% | -1244.02% | 150.19% | 60.1% | -111.78% | 568.52% | 320.6% | 169.57% | 81.11% | -35.69% | 39.07% | -43.84% | 0.02% | 17.24% | -14.7% | -1647.17% | -149.33% | 127.03% | 57.94% | 50.99% | -61.79% | -368.44% | 25.06% | 69.97% | -6.75% | -0.91% |
| Net Income (Continuing) | -14.28M | -14.38M | -2.24M | -1.92M | 86.93K | 4.47M | -3.28M | 286.59K | -571.14K | -1.43M | 12.15M | 1.82M | 432.12K | -620.49K | -3.3M | -2.42M | -3.98M | -7.89M | -2.76M | -3.34M | -2.91M | -166.68K | 337.88K | -1.25M | -2.97M | -6.06M | -3.75M | -800K | -1.07M | -3.55M | -3.33M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.76 | -1.81 | -0.30 | -0.27 | 0.01 | 0.48 | -0.51 | 0.05 | -0.09 | -0.23 | 1.80 | 0.30 | 0.08 | -0.13 | -0.68 | -0.56 | -1.05 | -0.78 | -0.86 | -1.05 | -0.93 | -0.06 | 0.10 | -0.48 | -1.24 | -2.59 | -1.83 | -0.37 | -0.49 | -1.63 | -1.53 |
| EPS Growth % | -403.89% | -503.33% | -11.11% | -2696.15% | -97.83% | 194.12% | -1203.9% | 149.31% | 59.26% | -112.78% | 500% | 275% | 161.54% | 80.88% | -21.43% | 46.67% | -34.62% | 9.3% | 18.1% | -12.9% | -1584.78% | -155.2% | 120.83% | 61.29% | 52.12% | -41.53% | -394.59% | 24.49% | 69.94% | -6.54% | -39.09% |
| EPS (Basic) | - | -1.81 | -0.30 | -0.27 | 0.01 | 0.58 | -0.51 | 0.05 | -0.09 | -0.23 | 2.10 | 0.33 | 0.09 | -0.13 | -0.68 | -0.56 | -1.05 | -0.78 | -0.86 | -1.05 | -0.93 | -0.06 | 0.10 | -0.48 | -1.24 | -2.59 | -1.83 | -0.37 | -0.49 | -1.63 | -1.53 |
| Diluted Shares Outstanding | 8.14M | 7.92M | 7.56M | 7.23M | 7.53M | 8.92M | 6.04M | 6.21M | 6.09M | 6.29M | 6.82M | 5.97M | 5.25M | 4.87M | 4.85M | 4.36M | 3.8M | 3.56M | 3.22M | 3.19M | 3.14M | 3.02M | 3.4M | 2.63M | 2.4M | 2.34M | 2.05M | 2.18M | 2.18M | 2.18M | 2.18M |
| Basic Shares Outstanding | 8.14M | 7.92M | 7.56M | 7.11M | 7.18M | 6.99M | 6.04M | 5.98M | 6.09M | 6.29M | 5.79M | 5.55M | 5.01M | 4.77M | 4.85M | 4.36M | 3.8M | 3.56M | 3.22M | 3.19M | 3.14M | 3.02M | 3.01M | 2.63M | 2.4M | 2.34M | 2.05M | 2.18M | 2.18M | 2.18M | 2.18M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Structural hardware demand decline
As indicated by the most recent quarterly data, Socket Mobile has experienced a sustained period of top-line erosion, with revenue declining by 6.7% in 2026Q1 following a series of double-digit percentage drops throughout 2025, signaling a challenging environment for its core mobile peripheral hardware business.
The consistent negative growth trajectory suggests that the company's reliance on mobile hardware refresh cycles is currently a significant headwind. Investors should monitor whether the recent decline reflects a cyclical downturn in SMB capital expenditures or a more permanent displacement of dedicated scanning hardware by integrated smartphone solutions.
Based on reported financial statements, Socket Mobile has maintained a relatively stable gross margin profile, hovering near 50% despite significant revenue volatility, which suggests that the company retains some pricing power derived from its proprietary CaptureSDK integration within the broader mobile point-of-sale software ecosystem.
The ability to sustain a ~50% gross margin while unit volumes contract implies that the company's value proposition remains intact for its core user base. However, this margin stability is insufficient to offset the high fixed-cost structure, as the company lacks the necessary scale to achieve operating profitability.
According to historical income statements, Socket Mobile exhibits significant negative operating leverage, as evidenced by an operating margin of -20.5% in 2026Q1, demonstrating that the company's fixed overhead costs are not scaling down in proportion to the ongoing decline in total revenue generation.
The persistent operating losses indicate that the current cost structure is misaligned with the company's reduced revenue base. Without a meaningful inflection in unit volume or a successful pivot to higher-margin software services, the company appears trapped in a cycle of structural operating deficits.
While management emphasizes the moat provided by CaptureSDK, the company's net margin collapse to -95.36% in 2025Q4 warrants investigation, as it may suggest that the market for dedicated scanning hardware is undergoing a structural shift toward general-purpose mobile device optics and software-based decoding solutions.
Short-term observers might focus on the potential for a rebound, but the fundamental data suggests a more concerning trend of long-term obsolescence. The inability to return to consistent profitability, even during periods of relative stability, implies that the company's business model may be facing an existential threat from technological evolution.
Quick answers to the most common questions about buying SCKT stock.
For fiscal year 2025, Socket Mobile, Inc. (SCKT) reported total revenue of $15.1M. This represents a 229.9% increase compared to $4.6M in 1996.
Socket Mobile, Inc. (SCKT) reported a net loss of $14.4M for the fiscal year ending 2025.
Socket Mobile, Inc. (SCKT) reported an operating income of $-3.2M, resulting in an operating profit margin of -21.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Socket Mobile, Inc. (SCKT) generated $7.5M in gross profit for the year, representing a gross profit margin of 49.7%. This demonstrates the company's core pricing power and production efficiency.