Ondas Inc. has reported exceptional financial performance for the second quarter of 2026, achieving a record $83.8 million in revenue, a substantial increase compared to the previous year. This impressive growth is attributed to both robust organic expansion and strategic acquisitions. The company has revised its full-year 2026 revenue projections upwards, now aiming for a range of $525 million to $550 million, signaling continued confidence in its market trajectory. Key highlights include the expansion of its strategic program pipeline to over $11 billion and a pro forma backlog reaching approximately $757 million, underscoring strong customer demand and operational effectiveness.
During the Q2 2026 earnings call, held on Thursday, August 13, 2026, at 8:30 a.m. ET, Chairman and CEO Eric Brock, alongside CFO Neil Laird and other leadership team members, detailed the company's progress. Brock emphasized the 'Core + Strategic Growth' plan, which focuses on integrating acquired entities into a unified global platform, dubbed 'One Ondas.' This strategy aims to leverage mission-ready technologies, engineering talent, and operational capabilities to create cohesive solutions across various domains. The goal is to move beyond disparate products to integrated 'systems of systems' solutions, particularly in Counter-UAS, where layered architectures are deployed to combat diverse drone threats.
Neil Laird provided a detailed financial overview, noting that the $83.8 million revenue figure represented a 67% sequential increase and a 13-fold rise year-over-year. Organic revenue growth stood at an impressive 85% on a pro forma basis, indicating that core businesses are thriving within the Ondas ecosystem. Gross profit reached $36 million, with an adjusted gross margin of 50.4%. While operating expenses increased to $199 million, over half were non-cash or acquisition-related. Adjusted cash operating expenses were $93 million, reflecting significant investments in integrating new businesses, deploying Palantir Foundry, and scaling infrastructure to support anticipated growth. Laird projected that adjusted EBITDA losses would peak in Q2, with operating leverage expected to materialize in the latter half of 2026 as revenue accelerates. The company maintains a strong balance sheet with $1.4 billion in cash and equivalents, providing substantial financial flexibility for future growth and acquisitions.
The leadership team further elaborated on the strategic operational model. Ondas Inc. serves as the overarching entity for capital allocation, strategy, and governance. Beneath this, a shared operational platform provides capabilities in supply chain, production, sales, marketing, and field services, enabling specialized technology companies to scale efficiently. The company operates across four high-growth market segments: Aerial Security, ISR and Persistent Intelligence, Precision Strike, and Autonomous Ground Systems. These segments are unified by AI-enabled software and command-and-control capabilities. The strategic program pipeline has expanded significantly to over $11 billion, reflecting robust demand across major geographic markets and the successful integration of new platforms from recent acquisitions like DZYNE. Notable customer relationships include various U.S. military branches, international defense forces, and critical infrastructure clients.
Ryan Hartman, CEO of Ondas Sentinel, highlighted the role of the 'One Ondas' strategy in integrating talent, technology, and operations across 25 physical locations in over 60 countries, employing approximately 1,700 individuals. He emphasized the use of Palantir Foundry and Warp Speed to accelerate integration and create a common operating framework, enabling real-time visibility and efficient coordination across manufacturing, supply chain, and finance. This technology-driven approach aims to transform acquired entities into a unified enterprise platform rapidly. Key technological advancements include the operational deployment of the Iron Wave product line for ISR capabilities and the integration of DZYNE’s Sawtooth counter-UAS technology with Sentrycs’ Cyber-over-RF capabilities to create a differentiated counter-UAS solution. The SkyWeaver Edge AI platform, developed with Palantir, is poised to become a foundational intelligence layer, enabling multi-domain operations.
Ondas is strategically positioned to capitalize on expanding defense and security markets. The company's enhanced outlook for 2026, targeting revenues between $525 million and $550 million, signifies a more than tenfold increase from 2025 and over 30% organic growth year-over-year on a pro forma basis. Expectations include substantial contributions from major programs like the U.S. Army's Lethal Unmanned Strike IDIQ, ULTRA, IonStrike, and INDO Earth's combat engineering vehicles. The company anticipates narrowing adjusted EBITDA losses in the second half of 2026 and achieving profitability for its operating platform in Q4 2026, with company-wide adjusted EBITDA profitability projected for Q4 2027. Ondas aims to reach an annualized run rate revenue of $1 billion by the end of 2026, significantly outpacing its long-term targets and reinforcing its commitment to becoming a global leader in autonomous defense and security technologies.
