PI — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-10-28

• We and our partner ecosystem build Physical Intelligence solutions using products that we design and either sell or license, including silicon radios, reading systems, label production systems and intellectual property. We also offer software and cloud

• Our systems business, at least for readers and gateways, depends significantly on large-scale deployments at discrete end users, and deployment timing causes large yearly variability in our systems revenue. For example, we generated 14% of total 2019 revenue

• from a gateway deployment at a large North American SC&L provider. Similarly, in second-quarter 2021, we generated 13% of our revenue from a project-based gateway deployment for RAIN-based self-checkout and loss prevention at a large Europe-based global retailer. While we continue generating project…

• Systems revenue decreased $5.8 million, due primarily to a decrease in shipment volumes. Gateway revenue decreased $3.9 million and reader IC revenue decreased $1.6 million.

• Sales and marketing expense increased $0.9 million, due primarily to an increase of $0.6 million in personnel expense mostly from higher bonus achievement compared to the prior-year period, and a $0.3 million increase in stock-based compensation expense, due primarily to increased outstanding equity…

Text removed vs the prior filing · source: 10-Q · 2026-07-29

• We and our partner ecosystem build item-visibility solutions using products that we design and either sell or license, including silicon radios, reading systems, label production systems and intellectual property. We also offer software and cloud services, and while nascent from a standalone revenue…

• Our systems business, at least for readers and gateways, depends significantly on large-scale deployments at discrete end users, and deployment timing causes large yearly variability in our systems revenue. For example, we generated 14% of total 2019 revenue from a gateway deployment at a large Nort…

• retailer. While we continue generating project-based revenue, we have not seen it at comparable percentages for any annual or quarterly periods since the periods noted above.

• Systems revenue decreased $3.3 million primarily due to a decrease of $2.5 million in reader IC revenue and a $2.3 million decrease in gateway revenue. These decreases were partially offset by a $1.2 million increase in reader revenue.

• Sales and marketing expense increased $1.1 million, due primarily to an increase of $0.7 million in stock-based compensation expense, primarily related to increased outstanding equity grants and an increase of $0.5 million in personnel expenses.

Text added vs the prior filing · source: 10-Q · 2026-10-28

• We are subject to risks associated with transactions that are denominated in currencies other than our functional currency and the effects of translating amounts denominated in a foreign currency to the U.S. dollar as a normal part of our reporting process. The functional currency of the majority of…

• remeasuring transactions denominated in currencies other than U.S. dollars are included in other income, net, on the Condensed Consolidated Statements of Operations. Our Voyantic subsidiary uses Euros as their functional currency, which results in a translation adjustment that we include as a compon…

Text removed vs the prior filing · source: 10-Q · 2026-07-29

• We are subject to risks associated with transactions that are denominated in currencies other than our functional currency and the effects of translating amounts denominated in a foreign currency to the U.S. dollar as a normal part of our reporting process. The functional currency of the majority of…

Text added vs the prior filing · source: 10-Q · 2026-10-28

• AI technologies, including AI tools used to identify and exploit security vulnerabilities, may also increase security risks. If we, our platform, or any of the third parties on which we rely suffers or is believed to have suffered a security breach or other security incident, vulnerability, error, o…

• We rely on third-party services to store and process data on our behalf, and on third-party security systems in a variety of applications. Our platform operates in conjunction with, and depends on, third-party products, services and components for security. The cybersecurity threat environment conti…

• the need to identify and substitute components used in our products and requalify those products if the original components have significant price increases, have extended lead times or become unavailable;

Text removed vs the prior filing · source: 10-Q · 2026-07-29

• We rely on third-party services to store and process data on our behalf, and on third-party security systems in a variety of applications. Our platform operates in conjunction with, and depends on, third-party products, services and components for security. The cybersecurity threat environment conti…