Symbotic (NASDAQ:SYM) opened fiscal 2026 with what management described as a strong start, pointing to revenue growth, margin expansion, and progress on several strategic initiatives spanning next-generation automation, e-commerce micro-fulfillment development, and a newly closed acquisition.
First-quarter results: revenue up 29% and GAAP profitability
For the fiscal first quarter, Symbotic reported revenue of $630 million, which Chief Financial Officer Izzy Martins said was at the top end of the company’s forecasted range and represented 29% growth year-over-year.
Revenue in the quarter exceeded the prior quarter level, which Martins attributed to a growing base of systems in deployment, systems transitioning from deployment to operational status, and continued progress in paid development work tied to an e-commerce micro-fulfillment solution.
Systems activity, installed base growth, and improving timelines
Symbotic said it added 10 systems during the quarter and ended with 57 systems in deployment after three deployments transitioned to operational status. Martins said systems revenue grew 27% year-over-year to $590 million, driven by start activity, disciplined execution, and continued progress on the company’s paid development program.
Software and services revenue continued to scale as more sites become operational. Martins reported:
- Software revenue of $10.9 million, up 97% year-over-year
- Operations services revenue of $28.8 million, up 68% year-over-year
On deployment timelines, Martins said the company still views “two years from the day we announce a deployment” as a good proxy from announcement to completion. He added the company is focused on shrinking the time from installation to acceptance and operational status, saying recent averages are “probably…going to ten months” for that portion of the process.
Margins, cost discipline, and a stock-based compensation accounting change
Martins said gross margin expanded sequentially and year-over-year, citing improving leverage at scale. He pointed to year-over-year improvement in systems gross margin driven by operational enhancements, cost management, and contributions from the paid development program. Software maintenance and support margins improved with scale, and operations services generated improved gross profit following process optimization.
Operating expenses in the quarter were $127 million on a GAAP basis. Martins said adjusted operating expenses were $80 million and declined sequentially. He noted Symbotic is aligning research and development investment with revenue-generating activity, including shifting a portion of R&D headcount toward paid development work, with the associated costs reflected in cost of revenue rather than operating expenses. In Q&A, he characterized the R&D allocation as “lumpy,” saying second-quarter R&D in OpEx is expected to be higher than in the first quarter, while annual R&D spend should remain relatively consistent with prior assumptions.
The CFO also flagged an accounting change related to stock-based compensation. Symbotic moved from a graded vesting approach to a straight-line method, which Martins said better matches the timing of awards now that accelerated vesting tied to becoming a public company has been completed. The company recast retrospective periods in fiscal 2024 and 2025 and posted supplemental materials; Martins said prior period adjusted EBITDA was unchanged.
Walmart micro-fulfillment development, next-gen storage, and performance gains
Founder, Chairman, and CEO Rick Cohen said Symbotic is focused on unlocking higher margins by “providing additional value for our customers,” and said product innovation—particularly the company’s next-generation storage solution—should deliver economic benefits for customers while improving Symbotic’s margin profile over time.
Cohen also emphasized e-commerce, citing the company’s work with Walmart on accelerated online pickup and delivery centers at stores. He said Symbotic made technical and operational improvements to first-generation automation systems at 19 Walmart stores, which helped drive record holiday volumes and improved performance metrics. Cohen said those improvements are being incorporated into an enhanced second-generation design that Symbotic is being paid to develop. Martins added that paid development represented “double digits” of total revenue in the first quarter (up from “high single digits” previously), but said it likely would not remain at that level in the second quarter and should be expected to be lumpy.
On the timeline for the next-generation “SymMicro” program, Cohen said two prototype installs are expected “within the next 12 months.” Martins added that the Walmart-related backlog referenced by the company “only represents 400 stores,” and said additional backlog would be “triggered” after prototypes are completed.
Cohen also cited internal R&D progress, including performance improvements for the SymBots operating in distribution centers. He said Symbotic has seen “an over 25% increase” in both miles driven and transactions per bot per day versus a year ago, along with per-site volume increases in floor-loaded inbound cells handling unpalletized cases. He added that in calendar 2025, Symbotic systems processed “over two billion cases,” and the bot fleet logged “nearly 200 million miles.”
Fox Robotics acquisition, GreenBox/Exol progress, and fiscal Q2 outlook
Symbotic said it recently closed the acquisition of Fox Robotics, which Cohen described as a leader in autonomous forklift solutions. Management did not quantify near-term revenue impact, but Cohen said Fox has “25 different customers,” including customers that are not currently Symbotic customers, creating an opportunity to expand the company’s customer base. He also said Fox is selling to Symbotic’s largest customer, largely through pilot efforts.
Cohen described forklift automation as an extension of Symbotic’s broader strategy to orchestrate multiple robots and machines with software across more parts of warehouse operations, particularly in dock environments. In Q&A, he said the company is also developing technology related to unloading (and potentially loading) containers, and described interest from customers in sequencing and sorting capabilities for route-based deliveries.
On GreenBox—now branded as Exol—management said a new deployment occurred in the Northeast. Cohen said the Exol site is not yet ready to go live, estimating “the next nine months, nine to 10 months” before the company is ready to start shipping customers, while noting increased interest as tours begin and discussions progress toward contracts.
For the fiscal second quarter, Symbotic guided to revenue of $650 million to $670 million and adjusted EBITDA of $70 million to $75 million. Martins said the company expects third-quarter sequential growth similar to what it anticipates in the second quarter, with more pronounced growth in the fourth quarter, which he tied to the timing of deployments incorporating the company’s next-generation structure.
About Symbotic (NASDAQ:SYM)
Symbotic Inc (NASDAQ: SYM) is a provider of advanced warehouse automation and robotics systems designed to improve throughput, space utilization and labor productivity in distribution centers and fulfillment operations. The company develops integrated hardware and software solutions that automate the storage, retrieval, sorting and palletizing of goods, positioning itself as a systems integrator for material handling challenges faced by large-scale retailers, wholesalers and third-party logistics providers.
Products and services typically include autonomous robotic vehicles and shuttle systems, automated storage-and-retrieval equipment, robotic picking and palletizing cells, conveyors and sortation, together with control and management software that coordinates fleet operations and inventory flow.
