NN, Inc. Reports 19.3% Revenue Growth and Reduced Net Losses in Q2 2026

NN, Inc. reported its financial results for the second quarter and first half of 2026, showing a notable increase in revenue and a reduction in net losses compared to the same periods in 2025. For the three months ended June 30, 2026, the company achieved net sales of $128.7 million, a 19.3% increase from $107.9 million in the prior year. The six-month figures also reflected growth, with sales rising to $247.2 million from $213.6 million, marking a 15.7% increase. Despite these gains, NN, Inc. recorded a net loss of $2.3 million for the second quarter, an improvement from a loss of $8.1 million in the same quarter last year. For the first half, the net loss was $9.1 million, down from $14.8 million in 2025.

The company's operational performance was bolstered by higher selling prices and increased volumes, which helped offset rising raw material costs. Cost of sales for the second quarter rose to $106.9 million, up from $89.7 million, primarily due to increased raw material prices and unfavorable plant mix. Selling, general, and administrative expenses also increased slightly to $12.6 million from $12.1 million, attributed to higher compensation costs and unfavorable foreign exchange effects. The company’s interest expense remained relatively stable, totaling $5.7 million for the quarter.

In terms of strategic developments, NN, Inc. has been actively managing its capital structure. On June 30, 2026, the company completed a private placement of 24.5 million shares of common stock, raising approximately $70.4 million in net proceeds. Additionally, on August 5, 2026, NN, Inc. executed an exchange agreement involving its Series D Preferred Stock, converting 9,850 shares into 5.5 million shares of common stock, while also redeeming 36,750 shares of the preferred stock for $70 million. These actions are expected to enhance the company's liquidity and support its operational needs.

Operationally, NN, Inc. reported a total of 27 facilities across North America, South America, Europe, and China as of June 30, 2026. The company continues to focus on optimizing its footprint, having closed two manufacturing facilities in 2025 to improve efficiency. The Mobile Solutions segment generated $66.6 million in sales for the second quarter, a 5% increase year-over-year, while the Power Solutions segment saw a more significant rise of 39.5%, reaching $62.3 million. The company’s investment in a joint venture also contributed positively, with a share of net income of $2.4 million for the quarter.

Looking ahead, NN, Inc. remains cautious about macroeconomic conditions, including inflationary pressures and supply chain disruptions, which could impact future performance. The company is committed to managing its costs and optimizing operations to navigate these challenges effectively. With a focus on maintaining liquidity and leveraging its recent capital raises, NN, Inc. aims to position itself for continued growth in the coming quarters.