Franklin Wireless quarterly net loss widens to $1.75 million; net sales drop 57% to $3.44 million

• Franklin Wireless posted a net loss attributable to stockholders of $1.56 million for quarter ended March 31, 2026, swinging from net income in the year-ago quarter.
• Net sales dropped 57% to $3.44 million, reflecting a major carrier discontinuing a recently launched hotspot product.
• Operating loss widened to $1.51 million, while gross margin slipped 0.8 percentage points to 16.1%.
• Other loss totaled $257,997, compared with other income a year earlier, due to the absence of a non-recurring $1 million legal settlement and an unfavorable foreign-currency impact at FTI of about $500,000.
• Management said it is accelerating focus toward commercial and industrial routers and telecommunications modules as demand for a legacy hotspot product fell amid issues with an intermediary over late payments.

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