Owlet Reports Record Q3 2026 Cash Flow Amidst Safety Update Uncertainty
Owlet (OWLT) reported mixed third-quarter 2026 results, highlighted by record operating cash flow of $2.2 million and a significant expansion in gross margin to 53.8%. While subscription revenue grew to $3.6 million—driven by an 83% year-over-year increase in paying subscribers—total revenue fell 4.9% to $30.4 million due to lower hardware sales and intense competitor discounting on Amazon. The company has withdrawn its full-year 2026 financial outlook following a voluntary safety update for its camera cable accessories. This initiative involves a stop-ship notice for certain products and a transition to an enclosed cable system, which is expected to result in $13 million to $18 million in direct costs and retailer returns during the fourth quarter.
Tickers: $OWLT
Topics: Cash Flow EBITDA Gross Margin Revenue Subscriber Metrics Subscription Growth
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Part of the story Owlet Reports Record Q3 2026 Cash Flow Amidst Safety Update Uncertainty (4 articles)