Ocean Power Technologies, Inc.

Fiscal 2026 revenue was $4.1 million, compared with $5.9 million in fiscal 2025. Gross loss was $8.1 million, versus gross profit of $1.7 million a year ago. Operating expenses were $31.7 million, compared with $23.3 million, including about $9.5 million of non-cash stock-based compensation. Net loss was $43.7 million, versus $21.5 million last year. Backlog increased 58% to $19.8 million from $12.5 million, and the pipeline was $142.3 million versus $137.5 million a year ago. Combined cash, unrestricted cash equivalents, and short-term investments were $8.7 million at April 30, 2026, and net cash used in operating activities was about $22.7 million. Management did not give formal next-quarter or full-year numerical guidance, but said fiscal 2027 priorities are to execute on backlog, convert pipeline into awards, expand recurring revenue, grow internationally, and deepen defense and commercial relationships.

Philipp Stratmann framed fiscal 2026 as a turning point, saying OPT has moved from individual products toward an integrated maritime operational infrastructure across surface and subsea domains. He emphasized the company’s expanding role in defense, security, offshore energy, and critical infrastructure, pointing to the Coast Guard deployment, international expansion, and the subsea acquisition as evidence that the strategy is broadening. His tone was constructive and confident, but he repeatedly stressed that fiscal 2027 is about disciplined execution rather than new strategic reinvention.

Bob Powers described fiscal 2026 as a year of strategic investment and operational execution, noting that results were affected by customer deployment timing, growth investments, and certain contracts accepted at lower margins. He cited backlog of $19.8 million, pipeline of $142.3 million, revenue of $4.1 million, gross loss of $8.1 million, operating expenses of $31.7 million, and net loss of $43.7 million, with roughly $9.5 million of OpEx from non-cash stock-based compensation. On liquidity, he said cash, unrestricted cash equivalents, and short-term investments totaled $8.7 million and operating cash use was about $22.7 million.

Analysts focused on pipeline composition, conversion, cash burn, margin recovery, and the Coast Guard contract mechanics. Management said roughly 50% of the pipeline is defense and national security and about 50% is commercial, that the $6.5 million Coast Guard project is part of pipeline/backlog and includes recurring services over a 15-month period, and that the buoys can be refurbished and redeployed if a contract ends. On margins, management said some upfront accounting on a contract distorted results and said they are working back toward roughly the 35% to 55% margin range seen about a year ago.