AXON · 8-K · 20260805PR053363

Net Income and Tax Impact

AXON ENTERPRISE, INC. · 2026-08-05 · Importance 38 · Surprise 40 · In source text

GAAP net income was $29.4 million, or a 3.3% margin, compared with $36.1 million and a 5.4% margin in Q2 2025. Non-GAAP net income declined to $155.5 million from $178.8 million, while non-GAAP margin fell to 17.2% from 26.7%. The year-over-year decline primarily reflected a large tax benefit recognized in the prior year, although pre-tax income increased year over year. Q2 2026 income-tax expense was $3.3 million compared with a $75.0 million tax benefit a year earlier.

Key facts

• Operating income of $47 million increased $48 million year over year source
• Adjusted EBITDA for Q2 2026: $242 million (26.8% Adjusted EBITDA margin), increased over 40% year over year source
• Accumulated other comprehensive loss: (16,417) (30 JUN 2026) and (11,806) (31 MAR 2026?) source
• Net income for six months ended 30 JUN 2026: $198,739 source
• Retained earnings: 1,135,409 (30 JUN 2026) and 936,670 (31 MAR 2026?) source
• Non-GAAP net income for Q2 2026: $155 million (17.2% non-GAAP net income margin), or $1.88 per diluted share source
• Net income for three months ended 31 MAR 2026: $169,312 source
• Net income for six months ended 30 JUN 2025: $124,097 source

Impact estimates