Interlink Electronics, Inc. (LINK): Business Model Canvas [Dec-2025 Updated]

You're digging into the mechanics of Interlink Electronics, Inc. (LINK) as we head into late 2025, trying to see past the noise to the real value proposition. Honestly, after two decades analyzing tech plays, what stands out here is how they are turning specialized tech-their proprietary Force Sensing Resistor (FSR) sensors-into tangible results, evidenced by a $11.73 Million USD Trailing Twelve Months Revenue and a 45% Gross Margin in Q2 2025. We've mapped out their entire nine-block strategy, from their key FDA/NIEHS grants to their M&A moves aimed at offsetting tariff risks, so you can see exactly where the next dollar of profit is coming from. Dive in below to see the full, unvarnished Business Model Canvas.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Key Partnerships

You're looking at the alliances Interlink Electronics, Inc. (LINK) is building to scale its sensor and printed electronics business, which is critical given their recent push for profitability. These partnerships aren't just nice-to-haves; they are direct revenue drivers and technology validators.

Strategic design win with a division of a top 10 global company

Securing a major design win is a huge signal for a company of Interlink Electronics, Inc.'s size. This partnership, an integrated sensing solution program, was landed in April 2025 with a division of a top-10 global company. The financial commitment is clear:

• Expected revenue contribution of approximately $1 million in the 2026 fiscal year.
• Meaningful expansion in revenue projected for 2027 and beyond.
• Pre-production activities for this solution began in the third quarter of 2025.

Government grants from the FDA and NIEHS for sensor development

Non-dilutive funding from government agencies validates the technology for high-stakes applications. Interlink Electronics, Inc. has recently secured two significant Small Business Innovation Research (SBIR) Phase 1 awards:

• A $200,000 SBIR Phase 1 grant from the U.S. Food & Drug Administration (FDA) in October 2025, earmarked for advancing electrochemical sensors for food-safety and quality monitoring.
• A $280,000 SBIR Phase 1 award from the National Institute of Environmental Health Sciences (NIEHS) in August 2025, funding the development of a next-generation, hyper-local air quality monitoring system using AI-enabled gas sensing nodes.

This grant activity shows where Interlink Electronics, Inc. is placing its R&D bets, moving into environmental monitoring and food safety markets.

Suppliers for raw materials and components for printed electronics

Interlink Electronics, Inc.'s core competency in printed electronics relies on a steady supply chain for specialized materials. While specific supplier contracts aren't public, the company's operational success, including achieving a 45.0% gross margin in Q2 2025, suggests effective management of these inputs. The company's expertise in materials science is a key resource underpinning these relationships.

Contract manufacturing and outsourced engineering services via UK acquisition target

The September 2025 Letter of Intent to acquire a UK-based firm directly addresses expanding outsourced engineering and contract manufacturing capacity. This target company brings a specific scale to the partnership structure:

This deal is explicitly designed to complement the existing Calman Technology subsidiary, adding operational depth in the UK and EU markets.

Distribution and sales channel partners for global market reach

Global reach is supported by existing customer relationships and the expansion facilitated by the UK acquisition. Interlink Electronics, Inc. continues to build momentum with its existing customer base, which includes several Fortune 500 companies. The Trailing Twelve Months (TTM) revenue as of September 30, 2025, was approximately $12.02 million, showing the scale these channels are supporting.

The company's sales strategy relies on:

• Integration of the acquired UK entity to strengthen presence in the UK and EU markets.
• Leveraging existing relationships with Fortune 500 customers across industrial, medical, automotive, and IoT verticals.

Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Key Activities

You're looking at the core engine driving Interlink Electronics, Inc. right now, which is a mix of innovation, disciplined spending, and strategic expansion. The key activities show a company fighting to convert top-line growth into consistent bottom-line results, which is defintely the near-term challenge.

Research and development of advanced sensor and printed electronic solutions

Research and development is clearly a major activity, evidenced by the company securing significant non-dilutive funding through government grants in late 2025. This R&D focus is pushing new product lines, especially in the environmental and food safety sensing spaces. For example, the company introduced a breakthrough family of industry-first odor sensors, the 110-37x family, at CES 2025, capable of sensing TBM (Tert-Butyl Mercaptan) and THT (Tetra-Hydrothiophene) gases.

The financial backing for this R&D activity is concrete:

• Awarded a $280,000 SBIR Phase 1 award from NIEHS in Q2 2025 for advanced air quality monitoring system development.
• Secured a $200,000 SBIR Phase 1 grant from the U.S. Food & Drug Administration (FDA) in October 2025.
• Received a $175,000 SBIR grant from the USDA in September 2025 for an AI-powered food quality & safety monitoring system.

Manufacturing of Force Sensing Resistor (FSR) and gas sensor products

Interlink Electronics, Inc. relies on its in-house volume manufacturing capabilities to produce its core Force Sensing Resistor (FSR) technology-the product it invented-alongside its specialized gas sensors. Manufacturing execution directly impacts the reported revenue volatility. For the first nine months of the 2025 fiscal year, the company recorded total revenue of $9.037 million, with a Gross Profit Margin of approximately 41.2% over that period. The performance across quarters shows the lumpy nature of shipments:

The higher shipments of force-sensing products and printed electronics from the Calman Technology subsidiary were the primary growth drivers in Q3 2025, while gas-sensor product sales were lower, partially offsetting those gains. Still, the Trailing Twelve Months (TTM) revenue as of September 30, 2025, stood at roughly $12.02 million.

Executing a disciplined M&A strategy to acquire complementary technologies

The company actively pursues inorganic growth, building on past acquisitions like Calman Technology in 2023 and Conductive Transfers (completed December 2024). This activity is key to diversifying revenue streams beyond traditional FSRs into areas like smart textiles and conductive inks. As of September 2025, Interlink Electronics, Inc. signed a Letter of Intent to acquire another U.K.-based engineering and manufacturing company, signaling continued focus on strengthening its European footprint.

Scaling the sales organization and securing new design wins

Securing design wins is a critical activity that translates future revenue, and Interlink Electronics, Inc. has had success here in 2025. In April 2025, the company secured a major integrated sensing solution design win with a division of a top 10 global company. Pre-production for this win is scheduled to begin in Q3 2025, with almost $1 million of revenue expected in 2026. This focus on large customers is supported by continued momentum with existing Fortune 500 clients.

Mitigating tariff costs by shifting some production to Scotland

Given the broader 2025 trade environment, which saw potential tariffs of up to 50% on certain inputs and new tariff regimes impacting electronics components, managing supply chain costs is a necessary activity. The company is explicitly adjusting production strategies in response to tariff fluctuations. The pursuit of the U.K.-based acquisition in September 2025 directly supports strengthening the European manufacturing base, which, in the context of US tariffs, offers a strategic advantage as the EU and UK generally face lower impact tariffs compared to other major trading partners.

Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Key Resources

You're looking at the core assets Interlink Electronics, Inc. (LINK) relies on to generate value. These aren't just line items; they are the engines of their business, from intellectual property to physical footprint.

Proprietary Force Sensing Resistor (FSR) technology and patents are central. Interlink Electronics, Inc. is a leader in the design of patented Force-Sensing Resistor (FSR) technology, which targets handheld user input and intuitive interface technology for top electronics manufacturers. This intellectual property forms the bedrock of their Human-Machine Interface (HMI) solutions.

The physical infrastructure supporting production is strategically global. Interlink Electronics, Inc. operates advanced printed-electronics manufacturing facilities in three key international locations:

• Shenzhen, China
• Irvine, Scotland
• Barnsley, England

The company also uses its Scottish facility for partial production shifts to manage tariff impacts. This global manufacturing base supports their international customer base.

Deep internal expertise is a non-negotiable resource. Interlink Electronics, Inc. maintains core competencies across several technical domains:

• Expertise in materials science
• Expertise in embedded electronics
• Expertise in firmware
• Expertise in software

The company's structure includes key subsidiaries that expand its market reach and capabilities. The acquisition of Calman Technology Limited on March 17, 2023, for a purchase price of $4.912 million brought over 30 years of experience in membrane keypads and graphic overlays, giving Interlink Electronics, Inc. a stronger base in Europe. Furthermore, the acquisition of Conductive Transfers Limited in December 2024 expanded the firm into the high-growth market of e-textiles and smart textiles.

External, non-dilutive funding validates their innovation pipeline. Interlink Electronics, Inc. has recently secured significant grant funding to accelerate specific R&D efforts:

These grants, including the $200,000 FDA SBIR Phase 1 grant announced in October 2025 and the $280,000 NIEHS SBIR Phase 1 award from August 2025, are critical for driving breakthrough innovation in their Gas and Environmental Solutions division. Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Interlink Electronics, Inc. (LINK) solutions, and the numbers show a company in transition, leaning heavily on specialized tech while navigating a return to consistent profitability. The foundation here is deep-Interlink Electronics boasts nearly 40 years of success in delivering mission-critical technologies across diverse markets.

The value proposition starts with their signature technology, the highly customizable, ultra-thin, and robust Force Sensing Resistor (FSR) sensors for human-machine interface (HMI). These aren't just off-the-shelf parts; they are engineered solutions. For instance, the FSR Model 400 series offers a force sensitivity range from 0.2N to 20N, and the more precise UX 400 series can handle up to 150 N. They are built for endurance, with some variants tested to 10 Million actuations.

Integrated sensing solutions are clearly a near-term growth driver. You can see the momentum in the financials; Q2 2025 revenue hit $3.4 million, an 18% year-over-year increase, and the company delivered a net income of $100,000 that quarter. This is underpinned by securing a major design win with a division of a top 10 global OEM, which is projected to bring almost $1 million of revenue in 2026. The Trailing Twelve Months (TTM) revenue as of late 2025 was reported at $11.73 Million USD.

The push into new gas sensors for industrial safety and environmental monitoring is also a key differentiator. Interlink Electronics introduced industry-first odor sensors (110-37x family for TBM and THT) at CES 2025. This aligns with a market that was projected to grow to USD 3.05 billion in 2025 globally. To further validate this area, the company was awarded a $280,000 SBIR Phase 1 grant for developing an advanced air quality monitoring system.

The diversification extends into E-textiles and smart textiles, which contributed to revenue through the Conductive Transfers segment, offsetting some declines in traditional products in Q1 2025. While the overall picture shows a company working through a transitional year-Q3 2025 revenue was $3.0 million with a net loss of $336,000-the balance sheet strength is notable, with total debt essentially at $0.0 as of late 2025.

Here's a quick look at the recent performance context:

• Q3 2025 Revenue: $3.0 million, an 11% year-over-year increase.
• Q3 2025 Gross Margin: Ticked up to 41.8%.
• Cash on Hand (September 30, 2025): $3.0 million.
• Total Shareholder Equity (November 2025 estimate): Approximately $9.63 million.
• Key Product Line Growth: Gas-sensor shipments and printed electronics demand drove Q2 2025 revenue growth.

The value proposition is built on proven technology and new, high-potential product lines, supported by a debt-free structure. Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Customer Relationships

You're looking at how Interlink Electronics, Inc. (LINK) manages its connections with the people buying its specialized sensor and printed electronic solutions. It's definitely a bifurcated approach, balancing deep, custom work with broader transactional channels.

Dedicated engineering support for custom-tailored solutions

For the high-value programs, the relationship starts with deep technical engagement. This isn't just off-the-shelf sales; it's about integrating their proprietary technology, like their force-sensing resistors, directly into a customer's next-generation product. This requires engineering support that's essentially an extension of the client's own R&D team. You see this commitment reflected in the recent major design win announced in Q1 2025, which involved an integrated sensing solution for a division of a top 10 global OEM.

Long-term, high-volume relationships with Fortune 500 customers

A core pillar of the strategy is cultivating and maintaining relationships with large, established players. Interlink Electronics, Inc. has been actively building momentum with its existing and new Fortune 500 customers. This focus is crucial because these relationships provide the volume stability that helps smooth out the lumpy demand cycles common in the sensor business. For instance, the company highlighted its growing relationships with Fortune 500 customers in August 2025.

Direct sales and technical engagement for major design-in programs

Major design-ins are the lifeblood for future revenue growth, and they require direct, high-touch sales and technical interaction. The company secured a significant integrated sensing solution program with a division of a top-10 global company. Pre-production for this win was scheduled to start in Q3 2025. The financial impact is clear: Interlink Electronics, Inc. expects almost $1 million of revenue from this single program in 2026, with meaningful expansion projected for 2027 and beyond. This is where the direct engagement pays off handsomely.

Investor relations and one-on-one meetings with analysts

For the investment community, customer relationships translate into confidence and capital. Interlink Electronics, Inc. actively manages this by presenting at key industry and investor events. For example, the CEO was scheduled to present at the 2025 Gateway Conference in September 2025, where he planned to hold one-on-one meetings with investors and analysts. This direct engagement is designed to communicate momentum, such as the Q2 2025 results which included double-digit revenue growth and positive net income of $100,000. Also, the company has an expanded investor relations program, including participation at events like the ROTH Conference.

Standard transactional sales via distributors for smaller orders

To capture broader market segments and avoid the high cost of direct engagement on every small order, the company relies on standard transactional sales, likely through distributors. This channel helps move standard products, though the overall strategy seems focused on shifting away from commoditized sales. The company's CEO noted that a segment selling just a membrane keypad without Interlink's added benefits is more of a commoditized marketplace. This suggests the transactional channel is for less customized, lower-margin volume, which contrasts with the high-touch, custom work that drives the major design wins. Still, the company is working to build a diversified portfolio, partly through acquisitions like Conductive Transfers Limited, to reduce dependence on any single customer or sales method.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Channels

You're looking at how Interlink Electronics, Inc. gets its technology into the hands of customers, which is a mix of direct engagement and global infrastructure. For late 2025, the company is clearly leaning on established relationships while expanding its physical reach.

The direct sales force is focused on securing and servicing large, complex deals. Interlink Electronics, Inc. continues to build momentum with new and existing Fortune 500 customers, supported by a scalable product portfolio. This direct channel targets the highest-value opportunities, such as the recent integrated sensing solution design win with a division of a top 10 global OEM.

Logistics and fulfillment are anchored by the Global Product Development and Materials Science Center and distribution and logistics center in Camarillo, California. This center is key to managing the flow of products that contributed to the $3.0 million revenue reported in the third quarter of 2025. The Trailing Twelve Months (TTM) revenue as of September 30, 2025, was approximately $12.02 million.

For standardized components, the online sales portal serves as the transactional channel for models like the Force-Sensing Resistors (FSRs). While specific online sales volume isn't public, the growth in force-sensing products was a key driver in Q3 2025 revenue.

The international footprint supports both manufacturing and market access. The company has advanced printed-electronics manufacturing facilities in Shenzhen, China. The prompt also lists offices in Singapore and Japan, though specific operational details for those locations aren't detailed in the latest reports, which do confirm facilities in the U.S. (Fremont, Camarillo, Irvine) and the U.K. (Irvine, Scotland, and Barnsley).

Engagement with the broader market and investor community happens through key industry events. Interlink Electronics, Inc. presented at the 2025 Gateway Conference on September 3rd in San Francisco. The company also participated in the Planet MicroCap Showcase: VEGAS in April 2025 and the Southern Manufacturing & Electronics event in February 2025.

Here's a quick look at the financial context supporting these channel activities as of late 2025:

The channels are supported by specific operational hubs:

• Direct sales targeting blue-chip and Fortune 500 OEMs, including a division of a top 10 global OEM.
• Global distribution and logistics center in Camarillo, California.
• Online sales portal for standard FSR sensor models.
• International presence including manufacturing in Shenzhen, China, and facilities in the U.K..
• Participation in investor events like the 2025 Gateway Conference.

Finance: draft the 2026 sales forecast by channel segment by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Customer Segments

You're looking at Interlink Electronics, Inc. (LINK) right now at a pivot point, where the customer base is diversifying away from just traditional sensors toward higher-value, specialized applications. Honestly, the financial data from late 2025 shows this shift in action, even if the overall revenue is still relatively small, with Trailing Twelve Months (TTM) revenue as of September 30, 2025, sitting around $12.02 million.

The customer segments Interlink Electronics, Inc. targets are broad, spanning mission-critical technologies across diverse markets. Their blue-chip customers and existing momentum with Fortune 500 companies are key to their strategy moving into 2026.

Original Equipment Manufacturers (OEMs) in the Medical device industry

This segment is a focus area, particularly where their gas and environmental sensors can be integrated. The company secured a major integrated sensing solution design win in April 2025 with a division of a Top 10 Global OEM, which is expected to start generating almost $1 million in revenue in 2026. This points to deep integration within a major player's product line, likely spanning medical or high-reliability industrial uses.

Automotive and Industrial control systems manufacturers

Interlink Electronics, Inc. has historically served these markets with their Force-Sensing Resistors (FSRs) and printed electronics. The company's Q1 2025 revenue decline of 16% year-over-year (from $3.1 million to $2.6 million) was partly attributed to lower traditional force-sensor shipments, suggesting some lumpiness or inventory adjustments in these established segments during early 2025.

Developers of Wearables and IoT (Internet of Things) solutions

This area benefits from their specialized printed electronics, including contributions from their Calman Technology subsidiary and Conductive Transfers, which add revenue from smart textiles and conductive inks. The company is building momentum across multiple growth verticals, leveraging its scalable product portfolio to capture design wins in these connected device spaces.

Consumer electronics companies utilizing touch and force-sensing interfaces

This is the traditional home for their FSR technology. While Q1 2025 saw lower traditional sensor shipments, the rebound in Q2 2025 to $3.4 million revenue (an 18% YoY increase) and Q3 2025 revenue of $3.0 million (an 11% YoY increase) shows that demand for their core sensing technology is recovering or shifting to new, higher-volume projects.

Government and research entities for air quality and safety monitoring

This segment is seeing direct financial investment through non-dilutive funding, validating their sensor technology roadmap. In October 2025, Interlink Electronics, Inc. received a $200,000 SBIR Phase 1 grant from the U.S. Food & Drug Administration (FDA) for food-safety sensors. Furthermore, in September 2025, they were awarded a $175,000 SBIR grant from the United States Department of Agriculture (USDA) for an AI-powered food quality and safety monitoring system. They also expanded their gas sensor line to target industrial safety and environmental monitoring applications.

To give you a snapshot of the financial environment these segments are operating within for the first nine months of 2025, here's the revenue context:

The company's customer engagement is also highlighted by their operational footprint, which supports this diverse base. They serve their international customer base from facilities in:

• Fremont, California (Headquarters and gas sensor production)
• Camarillo, California (Global Product Development and logistics)
• Shenzhen, China (Advanced printed-electronics manufacturing)
• Irvine, Scotland (Advanced printed-electronics manufacturing)
• Barnsley, England (Advanced printed-electronics manufacturing)

If onboarding that major OEM design win takes longer than the expected Q3 2025 pre-production start, revenue recognition for 2026 could slip, which is a risk you need to watch.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Cost Structure

The cost structure for Interlink Electronics, Inc. is heavily weighted toward the direct costs of producing specialized sensor components, which you see reflected in the Cost of Goods Sold (COGS) percentages.

High cost of goods sold (COGS) due to specialized manufacturing and materials is evident when looking at the margin compression in weaker quarters. For instance, in Q1 2025, the Gross Margin was only 35.6%, meaning COGS represented approximately 64.4% of the $2.6 million revenue for that period.

Significant investment in R&D for new sensor technologies and product lines is partially offset by non-dilutive funding. You can see this commitment through recent grant awards, such as the $280,000 SBIR Phase 1 award received in August 2025 for air quality monitoring development. This de-risks some of the internal spending on innovation.

Operating expenses show a clear focus on cost control, partially reduced by lower headcount in Q1 2025. That quarter saw a net loss of $805,000, but the improvement in net income to $100,000 in Q2 2025 was driven by higher revenue and lower operating expenses reflecting that reduced headcount and related compensation costs.

Manufacturing and logistics costs are spread across facilities in the US, UK, and China, with the recent acquisition of UK-based Conductive Transfers Limited adding to the fixed and variable overhead. The strength in printed electronics, driven by the Calman Technology subsidiary, was aided by a stronger Pound Sterling (GBP) in Q2 2025, which helped manage those international cost components favorably.

The sequential improvement in profitability is a key metric for understanding cost leverage. Q2 2025 Gross Margin was 45%, showing strong sequential improvement from the Q1 2025 margin of 35.6%. This shift is critical for covering the fixed R&D and operating expenses.

Here's a quick look at the revenue and margin dynamics that drive the cost absorption:

The cost structure is sensitive to product mix, as evidenced by the margin swing. When higher-margin products like gas sensors and printed electronics lead shipments, the COGS percentage drops significantly, allowing operating leverage to take hold.

Key cost drivers and related financial impacts include:

• COGS as a percentage of revenue, fluctuating between 64.4% (Q1 2025) and 55.0% (Q2 2025).
• Operating Expenses, which were managed down in Q1 2025 due to headcount adjustments.
• R&D investment, partially subsidized by grants like the $280,000 NIEHS award.
• Logistics costs tied to international operations, including the UK facility.

Finance: draft 13-week cash view by Friday.

Interlink Electronics, Inc. (LINK) - Canvas Business Model: Revenue Streams

You're looking at the revenue side of Interlink Electronics, Inc. (LINK) and seeing a company that is definitely fighting to convert operational improvements into consistent, scalable top-line growth. The revenue streams are clearly segmented, but the performance across them has been uneven as of late 2025.

Total Trailing Twelve Months (TTM) Revenue as of late 2025 is reported at $11.73 Million USD. This figure sits alongside the Q2 2025 Net Income milestone of $100,000, showing a return to profitability that quarter, which is a key metric to watch moving forward.

The revenue generation is built on a few core technology pillars. Here's how the money is coming in, based on the latest reported quarterly dynamics:

• Sales of Force Sensing Resistor (FSR) and position sensors
• Sales of gas sensors, including CO and new odor detection products
• Revenue from printed electronics, smart textiles, and conductive inks

The performance of these segments tells a story of shifting demand. For instance, the second quarter of 2025 saw revenue climb 18% year-over-year to $3.4 million, but the third quarter, while still growing at 10.8% YoY, brought in $3.0 million. This revenue variability is defintely something to track.

Here's a quick look at the key financial markers and segment drivers around the middle of 2025:

Sales of Force Sensing Resistor (FSR) and position sensors have been a mixed bag. While these are core products, the segment experienced softness in Q2 2025, partially offsetting growth elsewhere. Still, Q3 2025 revenue growth was partly attributed to higher shipments of these force-sensing products, suggesting demand can be lumpy but is still present.

The gas sensors line is showing forward momentum, especially with new product introductions. Interlink Electronics, Inc. expanded this line in Q1 2025, launching new 4-Series carbon monoxide detectors and industry-first odor sensors, targeting infrastructure and environmental monitoring. Q2 2025 saw higher gas-sensor shipments contributing to that quarter's strong revenue growth.

Revenue from printed electronics, smart textiles, and conductive inks is a clear growth vector, largely through the Calman Technology unit and contributions from the Conductive Transfers acquisition. These segments, along with gas sensors, were specifically cited as drivers for the 18% year-over-year revenue increase in Q2 2025. The company is banking on these higher-margin areas to smooth out the cyclical nature of the traditional sensor business.

The path to sustained profitability hinges on maintaining the gross margin improvement seen in Q2 2025 at 45.0% and Q3 2025 at 41.8%, while ensuring the revenue mix continues to favor these higher-value printed electronics and advanced gas sensing solutions. Finance: draft 13-week cash view by Friday.