Interlink Electronics, Inc. (LINK): ANSOFF MATRIX [Dec-2025 Updated]

You're looking at Interlink Electronics, Inc. as they navigate a pivotal year, aiming for that $16 million revenue forecast and profitability by 2026. Honestly, as someone who's seen a few market cycles, the strategy here isn't just one path; it's four clear routes laid out in their Ansoff plan. We're talking about squeezing more from existing Force-Sensing Resistor (FSR) sales to current clients, expanding into new Asian markets, launching those exciting odor sensors announced at CES 2025, and even jumping into e-textiles using their recent acquisitions. The key is turning these defined moves-from boosting the Q3 2025 gross margin of 41.8% to pursuing new FDA grant-backed medical tech-into concrete action. Defintely read on to see exactly how Interlink Electronics, Inc. plans to make this transitional year stick the landing.

Interlink Electronics, Inc. (LINK) - Ansoff Matrix: Market Penetration

Increase sales of core Force-Sensing Resistors (FSRs) to existing automotive and medical OEMs.

Revenue for the third quarter ended September 30, 2025, was reported as $2.959 million, an 11% increase year-over-year from $2.7 million in the third quarter of 2024. This growth was driven by higher shipments of the Company's force-sensing products.

Secure follow-on orders from the major integrated sensing solution design win starting pre-production in Q3 2025.

In October 2025, the Company received a $200,000 SBIR Phase 1 grant from the U.S. Food & Drug Administration (FDA) to advance electrochemical sensors for food-safety and quality monitoring. Additionally, a $175,000 USDA SBIR grant was awarded.

Target a higher attach rate for the new industry-standard 4-Series Carbon Monoxide sensors in current industrial safety accounts.

The 140-101 '4-series' Carbon Monoxide (CO) sensor was introduced in January 2025.

Leverage the improved Q3 2025 gross margin of 41.8% to offer competitive pricing on high-volume standard products.

The gross margin for the third quarter of 2025 was 41.8%, a 40-basis-point increase from the third quarter of last year. This compares to a gross margin of 45.0% in Q2 2025.

Expand cross-selling of printed electronics from the Calman Technology subsidiary within the current EU customer base.

Revenue for the third quarter of 2025 included contributions from printed electronics at the Calman Technology subsidiary. Calman Technology reported revenue of $3.1 million for the 12 months ended September 30, 2022. The acquisition of Calman provided Interlink Electronics with a significant presence in Scotland to expand its sales program into Europe.

The net loss for Q3 2025 was $336,000, an improvement from a net loss of $523,000 in the year-ago period.

• Higher shipments of force-sensing products contributed to year-over-year revenue growth.
• The 4-Series CO sensor was showcased at CES 2025 in January.
• Calman Technology's prior 12-month revenue was approximately $3.1 million as of September 30, 2022.

Interlink Electronics, Inc. (LINK) - Ansoff Matrix: Market Development

Interlink Electronics, Inc. has a trailing twelve-month revenue as of September 30, 2025, of $12M. For the third quarter ended September 30, 2025, revenue increased 11% year-over-year to $3.0 million.

The strategy involves expanding existing footprints and targeting new regions with current product lines.

• Letter of Intent for UK acquisition valued up to $1.9 million cash.
• UK target company reported revenues of approximately $5 million in its last fiscal year.
• Secured design win with a division of a top 10 global OEM in October 2025.
• Pre-production for the new design win is scheduled for Q3 2025, expecting almost $1 million of revenue in 2026.
• Momentum continued with new and existing Fortune 500 customers.
• Increased sales from the Calman Technology subsidiary contributed to Q3 2025 revenue growth.

The company's existing solutions include force-sensing resistors (FSRs) and Human-Machine Interface (HMI) technologies.

• New 4-Series carbon monoxide detectors launched, targeting industrial safety.
• Expanded gas sensor product line with industry-first odor sensors.
• Force-sensing products and printed electronics drove Q3 2025 revenue growth.

Interlink Electronics, Inc. (LINK) - Ansoff Matrix: Product Development

You're looking at how Interlink Electronics, Inc. is pushing new products into its existing customer base, which is the Product Development quadrant of the Ansoff Matrix. This means taking R&D dollars and turning them into immediate revenue streams for current industrial and OEM clients. It's about deepening the wallet share, not just finding new buyers.

The company made a splash at CES 2025 in January, introducing a breakthrough family of electrochemical gas sensors, the 110-37x series. This new line offers the industry-first capability to sense both TBM (Tert-Butyl Mercaptan) and THT (Tetra-Hydrothiophene), which are the compounds added to odorless natural gas for leak detection. This directly targets existing environmental monitoring clients who need automated, reliable detection for natural gas consumption points.

The focus on higher-value, full-system solutions is already showing up in the order book. Interlink Electronics, Inc. secured a major integrated sensing solution design win with a division of a top 10 global company back in April 2025. Pre-production for this complex system, which integrates proprietary Force-Sensing Resistor (FSR) technology with new firmware/software, is slated to begin in Q3 2025. Management projects almost $1 million of revenue from this single program in 2026, with meaningful expansion projected in 2027 and beyond. That's the value of bundling your core FSR tech with new software capabilities.

R&D investment is clearly being channeled into air quality, building on federal support. The $150,000 SBIR Phase 1 award from NASA in January 2025 was for developing predictive air quality assessment solutions. To be fair, the company has continued to secure non-traditional funding; they also announced a $280,000 Phase 1 SBIR award from the NIH's NIEHS in July 2025 for AI-enabled gas sensing nodes, plus a $200,000 SBIR Phase 1 grant from the FDA. This pipeline of non-dilutive funding helps de-risk the development of next-generation monitoring solutions.

The late 2024 acquisition of UK-based Conductive Transfers Limited and its affiliate, Global Print Solutions Limited, is now feeding new materials and processes into the existing industrial customer base. These acquired entities bring patented processes for integrating electronics with textiles, creating functional e-textiles. Their operations are managed from a state-of-the-art 11,000 square foot facility near Sheffield, UK. Contributions from the acquired business, which include smart textiles and conductive inks, helped offset lower traditional sensor sales in Q1 2025, where revenue was $2.6 million.

The success of moving up the value chain is visible when you compare the first half of 2025. The revenue mix is shifting toward these newer, more complex offerings, which is key for long-term margin health. Look at the sequential improvement:

The jump to positive net income of $100,000 in Q2 2025, up from a net loss of $805,000 in Q1 2025, shows that when the product mix is favorable-likely driven by higher-value integration work-the operating leverage kicks in. The Trailing Twelve Months (TTM) revenue as of September 30, 2025, was approximately $12.02 million, against a market capitalization around $63.32 million in November 2025. Defintely, the focus on complex, customized solutions is what drove that Q2 profitability.

The product development pipeline is also introducing standardized components to capture more volume, such as the 140-101 '4-series' Carbon Monoxide (CO) sensor, which features an industry-standard packaging footprint. This standardized approach aims to compete in the global CO sensor market, valued at approximately $600 million, against established players like Honeywell and Figaro Engineering.

• Commercialized TBM/THT odor sensors at CES 2025.
• Secured design win with $1 million revenue expected in 2026.
• Secured $150,000 NASA SBIR award in January 2025.
• Integrated e-textile tech from Conductive Transfers acquisition.
• Achieved 18% YoY revenue growth in Q2 2025 to $3.4 million.

Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Ansoff Matrix: Diversification

You're looking at how Interlink Electronics, Inc. is moving beyond its core force-sensing resistors (FSRs) into entirely new product and market spaces. This diversification strategy is clearly backed by non-dilutive government funding and strategic acquisitions.

The push into AI-powered food quality and safety monitors is actively funded by a \$175,000 Small Business Innovation Research (SBIR) Phase I grant from the U.S. Department of Agriculture (USDA), announced in September 2025. This funding supports developing a system that fuses electrochemical gas sensing with proprietary data analytics to assess produce quality from farm to table. This directly targets the agricultural and food processing markets with a new product line.

Entering the high-growth e-textiles and smart textiles market came directly from the December 2024 acquisition of UK-based Conductive Transfers and Global Print Solutions. This move brought patented processes for integrating electronics with textiles. The acquired operations manage development from prototype to production in a state-of-the-art 11,000 square foot facility near Sheffield, UK. The product offerings gained include:

• Heaters for clothing and personal protective equipment.
• Functional Electrical Stimulation electrodes for stroke rehabilitation.
• Sensors for pressure, temperature, humidity, and moisture.

Developing new diagnostic sensor systems for the healthcare sector is being supported by a \$200,000 SBIR Phase 1 grant from the Food and Drug Administration (FDA), announced in October 2025. This funding is specifically for creating advanced electrochemical gas sensors to monitor quality parameters of post-harvest food products throughout the supply chain, which is a food safety application, but it leverages expertise applicable to medical monitoring, like sensors for hospital beds mentioned in the acquisition details. The company also secured a separate \$280,000 grant from the National Institute of Environmental Health Sciences for an air quality monitoring system, showing a pattern of securing government R&D funds for environmental and safety applications.

To reach the long-term goal of significant revenue scale, Interlink Electronics, Inc. is pursuing strategic Mergers & Acquisitions (M&A) in non-core sensor technologies. You have to look at the scale: the market capitalization was approximately \$54.85 million around the time of the Conductive Transfers deal in late 2024, but by October 2025, it was reported around \$141.65 million. This growth trajectory, combined with organic wins, informs M&A targets. A major design win with a top-10 global company is already secured, expected to generate approximately \$1 million in revenue in 2026 alone, which is a concrete near-term financial anchor for this growth strategy. The TTM revenue as of late 2025 stood at \$11.73 Million USD.

Targeting new government and infrastructure markets with advanced environmental and safety sensors is a natural extension of the Gas and Environmental Solutions division, which received the aforementioned grants. This includes developing technology for early wildfire detection, leveraging their expertise in electrochemical gas sensing. The company reported Q3 2025 revenue of \$3.0 million, marking its second consecutive quarter of double-digit growth at 11% year-over-year. Here's the quick math on recent financial performance:

What this estimate hides is the need to scale these new product lines quickly to justify the M&A appetite. The company is defintely focused on turning grant money into commercial revenue streams, so you'll want to track the progress of the AI food monitor development closely.

Finance: draft 13-week cash view by Friday.