Ondas Holdings Inc.

Ondas reported approximately $83.8 million in second-quarter revenue, up 67% sequentially and more than 13x from the prior-year period. Gross profit was approximately $36 million, and adjusted gross margin was 50.4% versus 51.5% in the prior quarter. Adjusted EBITDA was a loss of approximately $51 million. On a pro forma organic basis, revenue grew approximately 85% year over year. Cash operating expenses were approximately $93 million, while reported operating expenses were approximately $199 million. The company ended June with approximately $1.4 billion in cash, cash equivalents, restricted cash and short-term investments. Management raised full-year 2026 revenue guidance to $525 million-$550 million and guided Q3 revenue to $140 million-$155 million. It expects gross margins to remain above 50% longer term, though it flagged some second-half margin pressure from mix and recently acquired excess capacity. The operating platform is now expected to reach profitability in Q4 2026, and company-wide adjusted EBITDA profitability is targeted for Q4 2027.

Eric Brock framed the quarter as evidence that Ondas is becoming a unified platform rather than a collection of acquisitions, repeatedly emphasizing 'One Ondas' and the ability to combine technologies across counter-UAS, ISR, precision strike and autonomous ground systems. His tone was confident and expansionary: he said the business is at the start of an exponential growth curve, with demand broad-based, backlog visibility improving and a significant second-half revenue ramp already in hand. He also highlighted new leadership additions and strategic partnerships as part of building a larger global defense and security platform.

Neil Laird focused on the financial inflection: $83.8 million of revenue, $36 million of gross profit, 50.4% adjusted gross margin and a $51 million adjusted EBITDA loss. He said more than half of the $199 million of operating expenses were noncash or acquisition-related, while adjusted cash operating expenses were about $93 million, reflecting integration work and investment ahead of growth. He also highlighted the strong balance sheet with about $1.4 billion in cash and investments, and said $325 million had already been deployed in Q3 for the DZYNE and Cyberhawk acquisitions. Management expects Q2 to have been the peak in adjusted EBITDA losses, with OpEx growth moderating as revenue scales.

Analysts focused on the jump in the strategic pipeline, the sustainability of organic growth, and the scale of corporate/integration spending. Eric said the $11 billion pipeline increase was broad-based across regions and segments, with DZYNE contributing materially but also with organic gains in Europe, Asia Pacific and elsewhere. On growth sustainability, he said 30% to 40% growth across the portfolio looked achievable and sustainable, though the base becomes larger over time. In response to questions about integration, Ryan said Foundry and Warp Speed are already operational, running on GovCloud and Microsoft Azure, and that AI agents are helping unify ERP, MRP, inventory and financial systems; he said some tools became operational within a week of the World View acquisition.