Newegg Announces Second Quarter 2026 Results
DIAMOND BAR, Calif., August 27, 2026--Newegg Commerce, Inc. (NASDAQ: NEGG), a leading global technology e-commerce retailer, today announced results for the three months ended June 30, 2026.
Newegg Chief Executive Officer Anthony Chow announced, "Our second quarter continued to play out against a challenging macroeconomic environment, with significant memory and flash supply constraints and industry-wide pricing pressure that we flagged last quarter continuing to weigh on top-line performance. Even in this environment, our early procurement of constrained categories continued to pay off this quarter. We maintained availability, captured bundling opportunities across our core PC categories, and saw continued strength in AI-related products. The quarter was also a milestone period for our brand and community initiatives as we celebrate Newegg's 25th anniversary, highlighted by our largest-ever presence at COMPUTEX 2026, the debut of Newegg Simulator Builder, and our 12th annual FantasTech Sale, which grew 11% year-over-year.
"We also advanced our AI strategy this quarter, launching a new conversational AI shopping experience on Newegg.com that helps customers reason through specs, trade-offs, and budget in real time. Combined with our continued use of AI to drive internal productivity and efficiency, we are making progress on both fronts of our AI roadmap. As we move through the back half of 2026, we remain focused on navigating near-term supply dynamics while continuing to build share in our core categories, expanding our reach across additional customer channels, and delivering long-term value to our customers, partners, and shareholders."
Newegg Interim Chief Financial Officer Christina Ching commented, "Persistent inflation in the second quarter kept consumers cautious with discretionary technology spending. Coupled with higher prices and limited availability amid the industry-wide memory and storage shortage, consumers pulled back on purchase volume. However, demand from our business and wholesale customers strengthened during the quarter, partially offsetting softer consumer volume and underscoring the resilience of our diversified channel mix. As a result, Q2 2026 GMV slightly declined 3.9% year-over-year to $403.2 million — a reflection of market conditions rather than customer engagement, as our active customer base and repeat purchase rate held steady. Against this backdrop, our priority was protecting margins and profitability. Despite the top-line headwinds, our disciplined pricing, inventory management, and continued cost control drove Q2 2026 net income to $2.2 million, up from a net loss of $1.7 million a year ago. With this positive momentum, we intend to renew and expand our existing credit agreements, which have been extended for a period of ninety days from August 27, 2026 through November 25, 2026, to facilitate the renewal process. Supported by our available credit capacity and a strong balance sheet, we have the flexibility to navigate ongoing supply constraints. As we move through the second half, we remain focused on defending margins, deepening customer engagement, and delivering long-term value."