AIRGAIN INC Revenue Disclosure
Note 15. Revenues
Disaggregated revenues are as follows (in thousands):
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For the Years Ended December 31, |
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2025 |
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2024 |
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By Market Group: |
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Consumer |
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$ |
26,082 |
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$ |
21,691 |
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Enterprise |
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22,640 |
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29,497 |
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Automotive |
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3,057 |
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9,411 |
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Total sales |
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$ |
51,779 |
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$ |
60,599 |
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By Geography: |
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North America |
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$ |
23,944 |
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$ |
35,896 |
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China (including Hong Kong and Taiwan) |
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26,878 |
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22,354 |
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Rest of the world |
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957 |
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2,349 |
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Total sales |
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$ |
51,779 |
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$ |
60,599 |
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Timing of revenue recognition: |
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Products and services transferred at a point in time |
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$ |
48,616 |
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$ |
57,817 |
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Products and services transferred over time |
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3,163 |
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2,782 |
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Total sales |
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$ |
51,779 |
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$ |
60,599 |
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Revenue generated from the United States was $23.9 million and $35.9 million for the year ended December 31, 2025 and 2024, respectively.
Contract liabilities are deferred revenues that were recorded when advance payment were received for remaining performance obligations that are recognized over time. The contract liabilities were $0.1 million for each of the years ended December 31, 2025 and 2024.
The Company has recorded sales return reserves based on analysis of historical return trends. As of December 31, 2025, the Company had $0.2 million sales return reserves included in accrued liabilities and other on the consolidated balance sheets. As of December 31, 2024, the amount was less than $0.1 million.
The Company has stock rotation return rights arrangements with certain customers to return a limited percentage of product. As of December 31, 2025 and 2024, the estimated allowance for stock rotation was $0.1 million and $0.3 million, respectively, and are included in accrued liabilities in the accompanying consolidated balance sheets. The expected product returns under the stock rotation arrangement was $0.1 million for each of the years ended December 31, 2025 and 2024, and are included in inventory in the accompanying consolidated balance sheets.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Mar 6, 2024 | |
| 2022 | Mar 20, 2023 | |
| 2021 | Mar 21, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Feb 28, 2020 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.