# Ondas Shares Fall 5.6% Before Open as Q3 Gross Margin Drops

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/55768
Published: 2026-11-12T18:37:06.000Z
Updated: 2026-11-12T18:37:06.000Z
Section: Business

> Ondas posted record revenue of $167.5 million and $214 million in new bookings, while its operating loss widened to $189.5 million.

Ondas Inc. (ONDS) shares were down 5.6% at $5.41 in late premarket trading at 9:29:51 a.m. ET Thursday, Nov. 12, from the prior close of $5.73. The company posted record third-quarter revenue and $214 million in new bookings, while gross margin contracted and its operating loss widened.

Revenue reached $167.5 million, more than 16 times the $10.1 million recorded in third-quarter 2025 and nearly double the $83.8 million in Q2 2026. Pro forma organic revenue grew 64% year over year under a comparison that assumes Ondas owned its current portfolio in both periods. The company completed six strategic acquisitions.

New Q3 bookings totaled $214 million, and backlog stood at $835 million at Sept. 30, up 36% sequentially. Ondas Sentinel accounted for $100 million in bookings, including $53.7 million in ULTRA follow-on orders and $21.7 million in IonStrike orders.

Gross profit was $36.5 million, compared with $36.1 million in Q2, but gross margin fell to 21.8% from 43.1%. Ondas attributed the decline to higher amortization of capitalized intellectual property, acquired-inventory accounting adjustments and inefficiencies in the early stages of large program ramps.

Operating expenses were $226 million, and the operating loss widened to $189.5 million from $162.9 million in Q2. Net loss narrowed to $64.7 million from $89.7 million, including $125.1 million in noncash warrant-related gains. The company’s adjusted EBITDA loss, a non-GAAP measure, increased to $59.7 million from $46.2 million.

At Sept. 30, Ondas had $820.3 million in cash, cash equivalents, restricted cash and short-term investments. Management lifted the 2026 revenue floor to $550 million, above its prior $525 million-to-$550 million range, and set a Q4 goal exceeding $250 million. Its initial 2027 revenue target is at least $1.1 billion, excluding additional acquisitions.

For adjusted EBITDA, Ondas projects a transition to positive results first at the operating-platform level in Q4 2026, then across the company by Q3 2027. It expects Q4 gross margin to remain at a similar level because of product mix.