Revenue lurches quarter-to-quarter with a 54.7% sequential decline to $294.4M in 2026Q2 alongside gross margin compression to 17.0% (from 59.0% in 2024Q2), while SG&A roughly doubled from $27.2M to $73.8M per quarter, indicating overhead scaled ahead of a volatile top line.
Immersion Corporation (IMMR) annual income statement — 28-year revenue, gross profit & net income history
| Metric | TTM | Jan'26 | Jan'25 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 |
|---|
| Sales/Revenue | 1.73B | 1.73B | 1.56B | 33.92M | 38.46M | 35.09M | 30.46M | 35.95M | 110.98M | 35.01M | 57.09M | 63.39M | 52.94M | 47.47M | 32.17M | 30.64M | 31.12M | 27.73M | 27.98M | 34.7M | 27.85M | 24.28M | 23.76M | 20.22M | 20.23M | 19.23M | 15.26M | 10.9M | 8.7M |
| Revenue Growth % | 4.12% | 11.24% | 4487.03% | -11.81% | 9.61% | 15.21% | -15.29% | -67.6% | 216.97% | -38.67% | -9.95% | 19.75% | 11.52% | 47.56% | 5.01% | -1.57% | 12.26% | -0.91% | -19.37% | 24.59% | 14.73% | 2.16% | 17.5% | -0.06% | 5.22% | 26% | 40.03% | 25.29% | - |
| Cost of Goods Sold | 1.38B | 1.41B | 75.35M | 0 | 4K | 88K | 168K | 170K | 218K | 197K | 197K | 460K | 460K | 462K | 1.19M | 1.25M | 2.9M | 8.29M | 7.52M | 8.81M | 7.19M | 6.45M | 6.25M | 5.28M | 5.88M | 6.07M | 4.5M | 2.3M | 1.7M |
| COGS % of Revenue | - | 81.22% | 4.84% | - | 0.01% | 0.25% | 0.55% | 0.47% | 0.2% | 0.56% | 0.35% | 0.73% | 0.87% | 0.97% | 3.69% | 4.1% | 9.32% | 29.9% | 26.86% | 25.38% | 25.82% | 26.55% | 26.32% | 26.09% | 29.06% | 31.58% | 29.46% | 21.1% | 19.54% |
| Gross Profit | 352.09M | 325.08M | 1.48B | 33.92M | 38.46M | 35M | 30.29M | 35.78M | 110.76M | 34.82M | 56.89M | 62.93M | 52.48M | 47.01M | 30.98M | 29.38M | 28.22M | 19.44M | 20.46M | 25.89M | 20.66M | 17.83M | 17.51M | 14.95M | 14.35M | 13.16M | 10.77M | 8.6M | 7M |
| Gross Margin % | 20.32% | 18.78% | 95.16% | 100% | 99.99% | 99.75% | 99.45% | 99.53% | 99.8% | 99.44% | 99.65% | 99.27% | 99.13% | 99.03% | 96.31% | 95.9% | 90.68% | 70.1% | 73.14% | 74.62% | 74.18% | 73.45% | 73.68% | 73.91% | 70.94% | 68.42% | 70.54% | 78.9% | 80.46% |
| Gross Profit Growth % | - | -78.04% | 4264.9% | -11.8% | 9.87% | 15.56% | -15.36% | -67.69% | 218.13% | -38.8% | -9.6% | 19.92% | 11.63% | 51.73% | 5.45% | 4.1% | 45.21% | -5.03% | -20.97% | 25.33% | 15.87% | 1.84% | 17.13% | 4.13% | 9.09% | 22.21% | 25.2% | 22.86% | - |
| Operating Expenses | 323.23M | 296.94M | 1.36B | 15.99M | 14.04M | 17.23M | 28.07M | 57.23M | 57.66M | 80.24M | 72.15M | 58.21M | 46.51M | 43.4M | 37.71M | 31.26M | 33.05M | 49.89M | 69.56M | -99.78M | 29.61M | 29.73M | 37.9M | 29.8M | 29.39M | 30.59M | 31.15M | 16.4M | 10.6M |
| OpEx % of Revenue | - | 17.16% | 87.58% | 47.15% | 36.5% | 49.09% | 92.16% | 159.19% | 51.96% | 229.17% | 126.39% | 91.83% | 87.86% | 91.43% | 117.22% | 102.04% | 106.19% | 179.95% | 248.59% | -287.54% | 106.32% | 122.47% | 159.49% | 147.34% | 145.24% | 159.04% | 204.08% | 150.46% | 121.84% |
| Selling, General & Admin | 232.64M | 296.94M | 1.33B | 15.71M | 12.66M | 13.08M | 23.05M | 49.39M | 47.93M | 66.86M | 58.76M | 43.43M | 34.65M | 32.44M | 29.24M | 22.83M | 23.08M | 35.04M | 55.47M | 24.06M | 22.68M | 22.29M | 28.44M | 20.27M | 15.63M | 17.56M | 18.84M | 8.8M | 4.9M |
| SG&A % of Revenue | - | 17.16% | 85.31% | 46.32% | 32.92% | 37.27% | 75.7% | 137.38% | 43.19% | 190.95% | 102.94% | 68.51% | 65.46% | 68.34% | 90.89% | 74.54% | 74.14% | 126.39% | 198.25% | 69.33% | 81.45% | 91.8% | 119.7% | 100.24% | 77.24% | 91.32% | 123.47% | 80.73% | 56.32% |
| Research & Development | 0 | 0 | 0 | 281K | 1.38M | 4.15M | 5.01M | 7.84M | 9.73M | 11.76M | 13.39M | 14.79M | 11.79M | 10.88M | 8.42M | 8.39M | 8.74M | 12.49M | 13.06M | 10.06M | 7.61M | 6M | 7.86M | 7.04M | 6.5M | 7.55M | 7.25M | 5.5M | 5.2M |
| R&D % of Revenue | - | - | - | 0.83% | 3.59% | 11.83% | 16.46% | 21.81% | 8.76% | 33.58% | 23.45% | 23.32% | 22.28% | 22.93% | 26.18% | 27.37% | 28.07% | 45.06% | 46.67% | 28.98% | 27.32% | 24.73% | 33.07% | 34.84% | 32.1% | 39.25% | 47.5% | 50.46% | 59.77% |
| Other Operating Expenses | 3M | 0 | 35.27M | 0 | -4K | 0 | 0 | 0 | 0 | 1.62M | 0 | 0 | 67K | 79K | 49K | 39K | 1.24M | 2.36M | 1.03M | -133.9M | -681K | 1.44M | 1.6M | 2.48M | 7.26M | 5.48M | 5.05M | 2.1M | 500K |
| Operating Income | 28.85M | 28.14M | 117.92M | 17.93M | 24.42M | 17.77M | 2.22M | -21.45M | 53.1M | -45.42M | -15.26M | 4.72M | 5.97M | 3.6M | -6.73M | -1.88M | -4.83M | -30.46M | -49.09M | 125.68M | -8.95M | -11.9M | -20.39M | -14.85M | -15.04M | -17.43M | -20.38M | -7.8M | -3.6M |
| Operating Margin % | 1.66% | 1.63% | 7.58% | 52.85% | 63.49% | 50.66% | 7.29% | -59.66% | 47.85% | -129.73% | -26.74% | 7.44% | 11.27% | 7.59% | -20.91% | -6.13% | -15.51% | -109.85% | -175.45% | 362.16% | -32.14% | -49.02% | -85.81% | -73.43% | -74.3% | -90.62% | -133.53% | -71.56% | -41.38% |
| Operating Income Growth % | - | -76.13% | 557.76% | -26.59% | 37.38% | 700.68% | 110.35% | -140.4% | 216.91% | -197.6% | -423.44% | -20.91% | 65.57% | 153.57% | -258.06% | 61.08% | 84.15% | 37.96% | -139.06% | 1503.73% | 24.76% | 41.64% | -37.32% | 1.23% | 13.73% | 14.49% | -161.29% | -116.67% | - |
| EBITDA | 71.26M | 70.75M | 153.29M | 17.99M | 24.56M | 17.87M | 4.15M | -19.25M | 53.96M | -44.45M | -14.35M | 5.74M | 6.53M | 4.27M | -6.03M | -712K | -2.5M | -28M | -47.88M | 127.59M | -7.21M | -9.91M | -17.92M | -11.33M | -10.34M | -10.46M | -14.38M | -5.7M | -3.1M |
| EBITDA Margin % | 4.11% | 4.09% | 9.85% | 53.05% | 63.86% | 50.94% | 13.63% | -53.55% | 48.62% | -126.96% | -25.14% | 9.05% | 12.34% | 8.99% | -18.73% | -2.32% | -8.02% | -100.99% | -171.13% | 367.67% | -25.89% | -40.83% | -75.41% | -56.02% | -51.1% | -54.4% | -94.23% | -52.29% | -35.63% |
| EBITDA Growth % | -39.82% | -53.85% | 751.89% | -26.73% | 37.41% | 330.6% | 121.56% | -135.68% | 221.37% | -209.72% | -350.27% | -12.23% | 53.13% | 170.82% | -746.21% | 71.47% | 91.09% | 41.53% | -137.53% | 1869.12% | 27.24% | 44.69% | -58.18% | -9.56% | 1.17% | 27.26% | -152.32% | -83.87% | - |
| D&A (Non-Cash Add-back) | 42.41M | 42.6M | 35.37M | 67K | 140K | 99K | 1.93M | 2.2M | 855K | 968K | 910K | 1.02M | 567K | 663K | 703K | 1.17M | 2.33M | 2.46M | 1.21M | 1.91M | 1.74M | 1.99M | 2.47M | 3.52M | 4.7M | 6.97M | 6M | 2.1M | 500K |
| EBIT | 33.53M | 38.23M | 133.55M | 42.91M | 26.96M | 17.29M | 2.22M | -21.45M | 53.1M | -43.8M | -15.26M | 4.72M | 5.97M | 3.6M | -6.73M | -1.88M | -4.83M | -29.16M | -44.92M | 125.68M | -8.95M | -11.71M | -20.39M | -14.85M | -14.64M | -17.2M | -20.38M | -7.8M | -3.6M |
| Net Interest Income | -3.98M | 1.63M | 21.63M | 25.01M | 2.84M | 1.24M | 271K | 1.79M | 1.83M | 337K | 817K | 177K | 580K | 179K | 170K | 204K | 272K | 773K | 3.92M | 4.83M | -1.33M | -1.02M | 127K | 76K | -276K | 229K | -870K | 0 | 0 |
| Interest Income | 7.2M | 14.58M | 31.24M | 25.01M | 2.84M | 1.24M | 271K | 1.79M | 1.83M | 337K | 817K | 177K | 352K | 179K | 170K | 204K | 272K | 777K | 4.05M | 5.85M | 275K | 490K | 168K | 126K | 306K | 1.09M | 0 | 0 | 0 |
| Interest Expense | 11.18M | 12.95M | 9.62M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4K | 250K | 1.02M | 1.6M | 1.51M | 41K | 50K | 582K | 859K | 870K | 0 | 0 |
| Other Income/Expense | 11.94M | -2.12M | 1.38M | 24.99M | 2.54M | -485K | 939K | 1.88M | 1.63M | 611K | 754K | -270K | 352K | 68K | 170K | 204K | 272K | 1.29M | 3.92M | 4.83M | -1.33M | -1.03M | -497K | -1.97M | 15.04M | 17.43M | 20.38M | 7.8M | 3.6M |
| Pretax Income | 40.79M | 26.03M | 119.29M | 42.91M | 26.96M | 17.29M | 3.16M | -19.57M | 54.73M | -44.81M | -14.51M | 4.45M | 6.32M | 3.67M | -6.56M | -1.68M | -4.56M | -29.17M | -45.17M | 130.51M | -10.28M | -12.93M | -20.89M | -16.82M | 0 | 0 | 0 | 0 | 0 |
| Pretax Margin % | 2.35% | 1.5% | 7.67% | 126.52% | 70.11% | 49.27% | 10.37% | -54.44% | 49.32% | -127.98% | -25.42% | 7.02% | 11.94% | 7.74% | -20.39% | -5.47% | -14.64% | -105.2% | -161.43% | 376.08% | -36.91% | -53.25% | -87.91% | -83.17% | - | - | - | - | - |
| Income Tax | 22.41M | 16.82M | 25.71M | 8.94M | -3.7M | 4.81M | -2.24M | 471K | 392K | 480K | 25.52M | 1.59M | 2.2M | -36.48M | 792K | 1.82M | 1.5M | -310K | 5.09M | 13.49M | 144K | 158K | -151K | 154K | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 54.95% | 64.6% | 21.55% | 20.83% | -13.72% | 27.8% | -70.97% | -2.41% | 0.72% | -1.07% | -175.9% | 35.76% | 34.75% | -993.55% | -12.08% | -108.42% | -32.95% | 1.06% | -11.26% | 10.34% | -1.4% | -1.22% | 0.72% | -0.92% | - | - | - | - | - |
| Net Income | 10.33M | 4.52M | 64.28M | 33.98M | 30.66M | 12.48M | 5.4M | -20.04M | 54.34M | -45.29M | -39.38M | 2.86M | 4.12M | 40.16M | -7.2M | -3.43M | -5.93M | -28.28M | -50.99M | 117.02M | -10.42M | -13.09M | -20.74M | -16.97M | -16.53M | -21.75M | -22.17M | -9.5M | -3.7M |
| Net Margin % | 0.6% | 0.26% | 4.13% | 100.17% | 79.73% | 35.58% | 17.73% | -55.75% | 48.97% | -129.35% | -68.99% | 4.51% | 7.79% | 84.59% | -22.37% | -11.2% | -19.04% | -102% | -182.23% | 337.21% | -37.43% | -53.9% | -87.27% | -83.93% | -81.69% | -113.07% | -145.27% | -87.16% | -42.53% |
| Net Income Growth % | -71.46% | -92.96% | 89.2% | 10.8% | 145.63% | 131.14% | 126.95% | -136.88% | 219.99% | -15.01% | -1477.92% | -30.68% | -89.73% | 657.94% | -109.83% | 42.13% | 79.04% | 44.54% | -143.57% | 1222.58% | 20.34% | 36.9% | -22.18% | -2.69% | 23.99% | 1.92% | -133.39% | -156.76% | - |
| Net Income (Continuing) | 18.37M | 9.21M | 93.58M | 33.98M | 30.66M | 12.48M | 5.4M | -20.04M | 54.34M | -45.29M | -40.03M | 2.86M | 4.12M | 40.16M | -7.35M | -3.49M | -6.06M | -28.86M | -50.26M | 117.02M | -10.42M | -13.09M | -20.74M | -16.97M | -16.53M | -21.75M | -22.17M | -9.5M | -3.7M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 649K | 0 | 0 | 0 | 153K | 61K | 130K | 577K | -732K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 260.24M | 266.62M | 247.13M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.31 | 0.14 | 4.11 | 1.04 | 0.92 | 0.39 | 0.19 | -0.64 | 1.73 | -1.55 | -1.37 | 0.10 | 0.14 | 1.37 | -0.20 | -0.06 | -0.21 | -1.01 | -1.61 | 3.71 | -0.42 | -0.54 | -0.91 | -0.83 | -0.83 | -1.16 | -1.25 | -0.56 | -0.43 |
| EPS Growth % | -86.13% | -96.59% | 295.19% | 13.04% | 135.9% | 105.26% | 129.69% | -136.99% | 211.61% | -13.14% | -1470% | -28.57% | -89.78% | 785% | -255.87% | 73.24% | 79.21% | 37.27% | -143.4% | 983.33% | 22.22% | 40.66% | -9.64% | 0% | 28.45% | 7.2% | -123.21% | -30.23% | - |
| EPS (Basic) | - | 0.14 | 4.19 | 1.05 | 0.92 | 0.40 | 0.19 | -0.64 | 1.78 | -1.55 | -1.37 | 0.10 | 0.15 | 1.42 | -0.20 | -0.06 | -0.21 | -1.01 | -1.61 | 4.23 | -0.42 | -0.54 | -0.91 | -0.83 | -0.83 | -1.16 | -1.25 | -0.56 | -0.43 |
| Diluted Shares Outstanding | 33.3M | 32.94M | 33.05M | 32.54M | 33.51M | 31.77M | 28.48M | 31.53M | 31.41M | 29.18M | 28.76M | 29.02M | 29.14M | 29.34M | 27.73M | 28.56M | 28.11M | 27.97M | 29.57M | 31.67M | 24.56M | 24.03M | 22.7M | 20.33M | 19.91M | 18.7M | 17.72M | 7.85M | 3.91M |
| Basic Shares Outstanding | 33.15M | 32.94M | 32.29M | 32.21M | 33.28M | 31.46M | 28.12M | 31.53M | 30.46M | 29.18M | 28.76M | 28.1M | 28.25M | 28.19M | 27.22M | 28.56M | 28.11M | 27.97M | 29.57M | 27.66M | 24.56M | 24.03M | 22.7M | 20.33M | 19.91M | 18.7M | 17.72M | 7.85M | 3.91M |
| Dividend Payout Ratio | - | 122.15% | 20% | 21.81% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying IMMR stock.
For fiscal year 2025, Immersion Corporation (IMMR) reported total revenue of $1.73B. This represents a 19793.0% increase compared to $8.7M in 1998.
Immersion Corporation (IMMR) is profitable, generating $4.5M in net income for the fiscal year ending 2025 with a net profit margin of 0.3%.
Immersion Corporation (IMMR) reported an operating income of $28.1M, resulting in an operating profit margin of 1.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Immersion Corporation (IMMR) generated $325.1M in gross profit for the year, representing a gross profit margin of 18.8%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Lumpy revenue and volatile gross margins
Metrics are mathematically derived from official filings.
Revenue Swings With Back-Heavy Cadence
IMMR's quarterly revenue has swung from $650.2M in 2025Q3 to $294.4M in 2026Q2, a 54.7% sequential decline that underscores the lumpy, back-half-weighted nature of its licensing cadence; per company financial statements, recent quarters appear to be reverting toward a lower baseline after an unusually strong mid-2025 run.
The pattern across the ten quarters is not a clean growth curve but a saw-tooth: Q3/Q4 prints ($616.2M, $650.2M, $518.5M) are roughly double Q1/Q2 prints ($43.8M, $281.4M, $270.0M), which points to revenue being booked in discrete bursts rather than evenly recognized subscriptions. That makes sequential comparisons near-meaningless and forces the analyst to lean on year-over-year marks, which are themselves contaminated by the scale-up beginning in 2024Q3. The 0.8% figure shown for 2026Q2 versus the 193.7% shown in 2025Q2 spans a range too wide to extrapolate forward, so growth durability likely hinges on a small number of large transactions closing in specific periods.
Structural Gross Margin Compression
IMMR's gross margin has compressed from 59.0% in 2024Q2 to 17.0% in 2026Q2, and excluding the anomalous 2025Q1 figure, the trailing pattern sits in the high-teens to high-twenties; as reported in its quarterly filings, this shift suggests a materially heavier hardware or cost-of-sales mix than a pure licensing model.
A 17.0% gross margin is an order of magnitude below the software-application peer set (Varonis at 79.1%, Acacia at 82.5%) and closer to a hardware OEM, which implies IMMR's economics are not comparable to its nominal industry classification despite sharing the Software - Application label. The volatility within the trailing eight quarters—ranging from 17.0% to 27.4%—suggests margin is driven by product or channel mix per deal rather than by structural cost efficiency, leaving limited visibility into a stable normalized rate. Investors should monitor whether the 27.4% printed in 2026Q1 proves repeatable or was simply a quarter with a richer revenue mix.
Overhead Doubled Ahead of Revenue
SG&A has roughly doubled from $27.2M in 2024Q1 to $73.8M in 2026Q1 while comparable-quarter revenue grew from $43.8M to $270.0M, indicating overhead has scaled faster than the underlying business; R&D line items are reported at zero across most periods and should be treated as unavailable.
The step-up in SG&A from the high-$20Ms to the $70-80M range beginning in 2024Q3 appears permanent rather than transaction-linked, which caps operating leverage even when revenue spikes—as evidenced by the $5.0M of operating income generated on $518.5M of revenue in 2025Q4. That $75.1M of SG&A against a 17.9% gross margin in the same quarter shows the fixed cost base can absorb most of the gross profit in a low-mix quarter. With R&D reported at $0 in nine of ten periods, total operating expense discipline cannot be fully assessed from the supplied data, so the SG&A trajectory is the only reliable read on overhead.
Headline Earnings Distorted by One-Time Items
IMMR reported $1.2B of gross profit on $281.4M of revenue in 2025Q1, a statistical impossibility without a large non-recurring credit, and the same quarter showed $1.1B of SG&A; based on those filed figures, headline profitability appears to be distorted by at least one material one-time item.
The negative $872.8M of COGS in 2025Q1 and offsetting $1.1B SG&A charge suggest a large settlement, reversal, or reclassification booked through the income statement, which means any trailing-twelve-month or multi-quarter aggregate of net income spanning that period will be unreliable for valuation purposes. Excluding that anomaly, reported net income across the remaining nine quarters clusters between -$10.3M and +$28.9M on revenue that ranged from $43.8M to $650.2M, implying net margins thin enough that modest swings in gross margin or non-operating items flip the sign. Stock-based compensation of $1.2M to $5.3M per quarter is modest relative to revenue, so it does not appear to be the primary distortion—the one-time item is.
2024Q3 Scale-Up Reshaped Cost Structure
The step-change in 2024Q3, where revenue jumped 64.0% to $616.2M alongside a permanent lift in SG&A from roughly $28M to $77M per quarter, appears to be the defining inflection in IMMR's income statement history; as disclosed in its filings, that quarter reset both the top line and the overhead base.
What makes 2024Q3 durable rather than episodic is that the elevated SG&A persisted through every subsequent quarter even as revenue fell back to the $270-294M range in 2026, which suggests the company permanently staffed up against a revenue level it has not consistently sustained. The consequence shows up clearly in operating margin: 10.5% in 2024Q3 degraded to 1.0% in 2025Q4 and -7.0% in 2026Q2, indicating the cost base was calibrated to the peak, not the trough. This inflection helps explain why the business can print healthy gross profit in strong quarters yet still struggle to convert it into meaningful net income.
Operating Leverage Has Not Appeared
A short-seller would likely focus on the fact that 8 of the last 10 quarters produced net margins below 2%, with three quarters negative, even as revenue peaked above $650M; that pattern suggests operating leverage has not materialized and that reported net income is thin enough to swing on noise.
The core challenge to the narrative is that scale has not translated into earnings: 2025Q3 delivered $135.1M of gross profit on $650.2M of revenue yet yielded only $12.0M of net income, a 1.8% net margin that would be difficult to defend against peers generating 7%+ net margins at far smaller revenue bases. Compounding this, the negative 166.0% EPS growth in 2025Q4 and the 17.0% gross margin in 2026Q2 raise the question of whether the mid-2025 margin profile was the outlier rather than the norm. Investors should also weigh that the peer set includes companies with structurally superior gross economics, so a multiple premium would need to be justified by something other than the reported income statement.