Itron (ITRI) Investor presentation summary

Company overview and industry context

• Operates as a leading industrial IoT and edge intelligence provider, serving utilities and cities in over 100 countries with more than 310 million endpoints delivered and $417M in annual recurring revenue.

• Revenue mix is dominated by networked solutions (66%) and North America (82%), with a $4.4B backlog as of June 30, 2026.

• Industry trends include aging infrastructure, renewable energy integration, electrification, urbanization, and increased regulatory complexity.

• Strategic focus on grid edge intelligence, distributed energy management, and smart city solutions.

Financial performance and outlook

• Q2 2026 revenue was $563M, with annual recurring revenue at $417M, adjusted EBITDA of $97M, and free cash flow of $81M.

• Q2 2026 bookings reached $550M, with a book-to-bill ratio of 0.98 and a $4.4B backlog.

• Gross margin improved to 41.0% (up 410 bps YoY), driven by favorable mix and operational efficiencies.

• Full-year 2026 revenue outlook narrowed to $2.37–$2.41B, with non-GAAP EPS guidance raised to $6.30–$6.50.

• Net leverage stood at 2.3x, with strong liquidity and convertible notes maturing in 2030 and 2032.

Segment performance and strategic initiatives

• Device Solutions revenue decreased 1% YoY; Networked Solutions down 17% due to project timing; Outcomes up 13% on higher services revenue.

• Resiliency Solutions segment launched, including Urbint and Locusview acquisitions, contributing $16M in Q2 2026 revenue.

• Urbint ($325M) and Locusview ($525M) acquisitions enhance SaaS offerings in emergency preparedness, worker safety, and digital construction management.

• Strategic priorities include expanding applications, empowering customers, and increasing free cash flow.

• Capital allocation emphasizes organic R&D, integration of acquisitions, and maintaining flexibility for future M&A.