Eltek Ltd. Reports 2026 First Quarter Financial Results

Rhea-AI Summary

Eltek (NASDAQ: ELTK) reported first quarter 2026 revenue of $10.4 million, down from $12.8 million a year earlier.

The company recorded a gross loss of $1.9 million and a net loss of $2.9 million ($0.42 per share). EBITDA was a $2.7 million loss. Cash and deposits totaled $11.1 million with no debt.

Results were impacted by about $1.3 million higher shekel-based expenses from currency moves, regional security disruptions, logistical constraints, and late execution of a significantly larger order backlog, which management expects to convert into future revenue.

AI-generated analysis. Not financial advice.

Positive

• Cash and short-term deposits of $11.1 million with no outstanding debt
• Order backlog has grown significantly, indicating continued demand for products
• Management expects improved conversion of backlog into revenue over coming periods

Negative

• Revenue declined to $10.4 million from $12.8 million year-over-year
• Shift from $2.2 million gross profit to $1.9 million gross loss
• Net result reversed from $1.0 million income to $2.9 million loss
• EBITDA moved from $1.2 million positive to $2.7 million loss
• Currency depreciation increased reported NIS-based operating expenses by about $1.3 million
• Operations affected by regional security disruptions and temporary logistical constraints

News Market Reaction – ELTK

-2.41%

1 alert

-2.41% News Effect

On the day this news was published, ELTK declined 2.41%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q1 2026 revenue: $10.4M Q1 2025 revenue: $12.8M Q1 2026 net loss: $2.9M +5 more

8 metrics

Q1 2026 revenue $10.4M Quarter ended March 31, 2026

Q1 2025 revenue $12.8M Quarter ended March 31, 2025

Q1 2026 net loss $2.9M Quarter ended March 31, 2026

Q1 2026 EPS $0.42 loss per diluted share Quarter ended March 31, 2026

Q1 2025 net income $1.0M Quarter ended March 31, 2025

Q1 2025 EPS $0.15 per diluted share Quarter ended March 31, 2025

Q1 2026 operating loss $3.3M GAAP operating loss, Q1 2026

Cash and deposits $11.1M Cash and short-term bank deposits as of March 31, 2026; no debt

Market Reality Check

Price: $7.90 Vol: Volume 2,777 is 0.46x the...

low vol

$7.90 Last Close

Volume Volume 2,777 is 0.46x the 20-day average of 6,003 shares. low

Technical Shares at $8.15 are trading below the 200-day MA of $9.51 and 33.14% under the 52-week high.

Peers on Argus

Momentum data flags ELTK trending down while only 2 peers screen for momentum: N...

1 Up 1 Down

Momentum data flags ELTK trending down while only 2 peers screen for momentum: NEON up 3.48% and GAUZ down 25.09%. Mixed peer directions and lack of same-day peer news point to stock-specific dynamics around this earnings release rather than a broad Technology/Electronic Components move.

Previous Earnings Reports

5 past events · Latest: Mar 09 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 09	Full-year 2025 results	Positive	-0.5%	Reported 2025 revenue growth and modest profit despite FX and transition headwinds.
Nov 18	Q3 2025 results	Negative	-20.0%	Weaker margins, net loss, and FX drag on Q3 2025 profitability.
May 20	Q1 2025 results	Positive	-0.3%	Q1 2025 revenue growth and profit but lower gross margin from higher costs.
Mar 11	Full-year 2024 results	Negative	-23.2%	Flat revenue, lower net income, and large capex plan for capacity expansion.
Nov 19	Q3 2024 results	Positive	+3.6%	Strong Q3 2024 revenue growth, high margins, and solid cash position.

Pattern Detected

Earnings-related headlines have produced an average move of -8.06%, with several instances of shares selling off on weaker profitability amid FX and transition headwinds.

Recent Company History

Over the past two years, Eltek’s earnings reports have highlighted strong demand but pressured profitability. Q3 2024 and Q1 2025 showed solid revenue and cash, yet later updates for 2024 and 2025 cited FX headwinds, lower margins, and a strategic capacity-expansion program of $15M. The March 2026 full‑year 2025 release stressed USD/NIS impacts and transition costs. Today’s Q1 2026 results continue this theme of demand strength offset by FX, logistics, and investment drag on margins.

Historical Comparison

-8.1% avg move · In the past five earnings releases, ELTK moved on average -8.06%, often reacting sharply to shifts i...

earnings

-8.1%

Average Historical Move earnings

In the past five earnings releases, ELTK moved on average -8.06%, often reacting sharply to shifts in margins and FX-driven profitability.

Earnings updates show Eltek progressing through a multi‑year capacity expansion while contending with USD/NIS FX pressure. Results moved from strong Q3 2024 profitability to 2025 margin compression and modest net income, with management repeatedly emphasizing demand strength, defense and medical exposure, and ongoing investments intended to support higher-complexity PCB production.

Market Pulse Summary

This announcement details a challenging Q1 2026, with revenue of $10.4M, a net loss of $2.9M, and an...

Analysis

This announcement details a challenging Q1 2026, with revenue of $10.4M, a net loss of $2.9M, and an EBITDA loss versus prior-year profitability. Management attributes the weaker results to USD/NIS depreciation, logistical constraints, and late backlog phasing, while highlighting a significantly larger order backlog and cash of $11.1M with no debt. Investors may track backlog conversion, FX exposure, and margin recovery across upcoming quarters.

Key Terms

gaap, ebitda

2 terms

gaap financial

"First Quarter 2026 GAAP Financial ResultsRevenues for the first quarter..."

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

ebitda financial

"First Quarter 2026 Non-GAAP Financial ResultsEBITDA loss for the first..."

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

AI-generated analysis. Not financial advice.

PETACH TIKVA, Israel, May 19, 2026 /PRNewswire/ -- Eltek Ltd. (NASDAQ: ELTK), a leading global manufacturer of high-quality printed circuit boards, today announced its financial results for the quarter ended March 31, 2026.

 

First Quarter 2026 Highlights

• Revenues of $10.4 million
• Operating loss of $1.9 million
• Net loss of $2.9 million or $0.42 per fully diluted share
• Net cash used in operating activities amounted to $0.4 million.

The continuous sharp depreciation of the U.S. dollar against the Israeli shekel had a material impact on the Company's operating results. This currency movement increased the Company's shekel-denominated expenses when translated into U.S. dollars, resulting in an increase of approximately $1.3 million in reported NIS-based operating expenses, compared to the first quarter of 2025. In addition, the Company's operations during the quarter were affected by the challenging security environment in the region, including temporary disruptions to regular work routines and reduced operational availability at certain times.

"As we indicated in April 2026, our operating results for the quarter were adversely affected by the late phasing of the Company's order backlog during the quarter, although our backlog has grown significantly. In addition, we experienced certain temporary logistical constraints, which contributed to the results for the quarter," said Eli Yaffe, CEO of Eltek.

"The continued growth in our order backlog reflects the underlying strength in demand for our products. While the timing of backlog execution impacted our results in the first quarter, we remain confident in our ability to convert this backlog into revenue over the coming periods. At the same time, we are actively addressing the logistical challenges and expect conditions to improve gradually," concluded Mr. Yaffe.

First Quarter 2026 GAAP Financial Results

Revenues for the first quarter of 2026 were $10.4 million, compared to $12.8 million in the first quarter of 2025.

Gross loss for the first quarter of 2026 was $1.9 million compared to gross profit of $2.2 (17% of revenues) in the first quarter of 2025.

Operating loss for the first quarter of 2026 was $3.3 million compared to operating profit of $0.7 million in the first quarter of 2025.

Net loss for the first quarter of 2026 was $2.9 million or $0.42 per fully diluted share compared to net income of $1.0 million or $0.15 per fully diluted share in the first quarter of 2025.

Cash and short-term bank deposits amounted to $11.1 million as of March 31, 2026, with no outstanding debt.

First Quarter 2026 Non-GAAP Financial Results

EBITDA loss for the first quarter of 2026 was $2.7 million compared to EBITDA of $1.2 million (9% of revenues) in the first quarter of 2025.

About our Non-GAAP Financial Information

The Company reports financial results in accordance with U.S. GAAP and herein provides EBITDA, a non-GAAP measure. This non-GAAP measure is not in accordance with, nor is it a substitute for, GAAP measures. This non-GAAP measure is intended to supplement the Company's presentation of its financial results that are prepared in accordance with GAAP. The Company uses the non-GAAP measure presented to evaluate and manage the Company's operations internally. The Company is also providing this information to assist investors in performing additional financial analysis. Reconciliation between the Company's results on a GAAP and non-GAAP basis is provided in a table below.

Conference Call

Today, Tuesday, May 19, 2026, at 8:30am Eastern Time (15:30pm Israel Time, 5:30am Pacific Time), Eltek will conduct a conference call to discuss the results. The call will feature remarks by Eli Yaffe, Chief Executive Officer and Ron Freund, Chief Financial Officer.

To participate, please call the following teleconference numbers. Please allow for additional time to connect prior to the call:

United States:            1-866-860-9642
Israel:                          03-918-0691
International:               +972-3-918-0691

To Access a Replay of the Call

A replay of the call will be available for 30 days on the Investor Info section on Eltek's corporate website at http://www.nisteceltek.com approximately 24 hours after the conference call is completed.

About Eltek

Eltek – "Innovation Across the Board", is a global manufacturer and supplier of technologically advanced solutions in the field of printed circuit boards (PCBs) and is an Israeli leading company in this industry. PCBs are the core circuitry of most electronic devices. Eltek specializes in the manufacture and supply of complex and high-quality PCBs, HDI, multilayered and flex-rigid boards for the high-end market. Eltek is ITAR compliant and has AS-9100 and NADCAP Electronics certifications. Its customers include leading companies in the defense, aerospace and medical industries in Israel, the United States, Europe and Asia.

Eltek was founded in 1970. The Company's headquarters, R&D, production and marketing center are located in Israel. Eltek also operates through its subsidiary in North America and by agents and distributors in Europe, India, South Africa and South America.

For more information, visit Eltek's web site at www.nisteceltek.com

Forward Looking Statements

Some of the statements included in this press release may be forward-looking statements that involve a number of risks and uncertainties including, but not limited to expected results in future quarters, the impact of currency movements between the US Dollar exchange rate against the Israeli Shekel, the impact of the Coronavirus on the economy and our operations, risks in product and technology development and rapid technological change, product demand, the impact of competitive products and pricing, market acceptance, the sales cycle, changing economic conditions and other risk factors detailed in the Company's Annual Report on Form 20-F and other filings with the United States Securities and Exchange Commission. Any forward-looking statements set forth in this press release speak only as of the date of this press release. The information found on our website is not incorporated by reference into this press release and is included for reference purposes only.

Investor Contact

Ron Freund
Chief Financial Officer
Investor-Contact@nisteceltek.com
+972-3-939-5023

 

 

 

Eltek Ltd.
Consolidated Statements of Income
U.S. dollars in thousands (except per share data)
		Three months ended
		March  31,
		2026		2025
Revenues		10,436		12,756
Costs of revenues		(12,288)		(10,544)
Gross profit (loss)		(1,852)		2,212
Research and development, expenses, net		-		(50)
Selling, general and administrative expenses		(1,415)		(1,437)
Operating income (loss)		(3,267)		725
Financial income (expenses), net		(94)		504
Income (loss) before income taxes		(3,361)		1,229
Income tax expenses (tax benefit)		(508)		227
Net Income (loss)		(2,853)		1,002
Earnings per share:
Basic net income (loss) per ordinary share		(0.42)		0.15
Diluted net income (loss) per ordinary share		(0.42)		0.15
Weighted average number of ordinary shares used to compute
basic net income (loss) per ordinary share (in thousands)		6,719		6,714
Weighted average number of ordinary shares used to compute
diluted net income (loss) per ordinary share (in thousands)		6,786		6,785

 

 

Eltek Ltd.
Consolidated Balance Sheets
U.S. dollars in thousands
		March 31,		December 31,
		2026		2025
Assets
Current assets:
Cash and cash equivalents		11,054		2,481
Short-term bank deposits		-		9,643
Trade receivables (net of allowance for credit losses)		11,338		14,789
Inventories		9,373		11,154
Other accounts receivable and prepaid expenses		699		607
Total current assets		32,464		38,674
Long term assets:
Severance pay fund		71		65
Deferred tax assets, net		913		387
Operating lease right-of-use assets		11,851		6,272
Total long term assets		12,835		6,724
Property and equipment, net		22,647		20,862
Total Assets		67,946		66,260
Liabilities and Shareholder's equity
Current liabilities:
Trade payables		5,032		6,047
Other accounts payable and accrued expenses		5,913		6,565
Short-term operating lease liabilities		494		1,100
Total current liabilities		11,439		13,712
Long-term liabilities:
Accrued severance pay		528		515
Long-term operating lease liabilities		11,629		5,296
Total long-term liabilities		12,157		5,811
Shareholders' equity:
Ordinary shares, NIS 3.0 par value authorized 10,000,000 shares, issued and outstanding 6,719,827 at March 31, 2026 and  December 31, 2025		6,012		6,012
Additional paid-in capital		32,662		32,662
Foreign currency translation adjustments		6,462		6,111
Capital reserve		3,134		3,019
Retained earnings (accumulated deficit)		(3,920)		(1,067)
Total shareholders' equity		44,350		46,737
Total liabilities and shareholders' equity		67,946		66,260

 

 

Eltek Ltd.
Unaudited Non-GAAP EBITDA Reconciliations
U.S. dollars in thousands
		Three months ended March  31,
		2026		2025
GAAP net Income (loss)		(2,853)		1,002
Add back items:
Financial (income) expenses, net		94		(504)
Income tax expenses (tax benefit)		(508)		227
Depreciation and amortization		590		465
Non-GAAP EBITDA (EBITDA loss)		(2,677)		1,190

 

 

Eltek Ltd.
Consolidated Statements of  Cash Flows
U.S. dollars in thousands
		Three months ended
		March  31,
		2026		2025
Cash flows from operating activities:
Net Income (loss)		(2,853)		1,002
Adjustments to reconcile net income to net cash flows
provided by operating activities:
Depreciation		590		465
Accrued interest, net		(69)		(128)
Share-based compensation		115		138
Decrease (increase) in deferred tax assets		(530)		82
		106		557
Decrease (increase) in operating lease right-of-use assets		149		1
Decrease (increase) in trade receivables		3,618		(355)
Decrease (increase) in other receivables and prepaid expenses		(88)		(67)
Decrease (increase) in inventories		1,895		(330)
Increase (decrease) in trade payables		(2,507)		(862)
Increase (decrease) in other liabilities and accrued expenses		(714)		173
Increase (decrease)  in employee severance benefits, net		9		7
		2,362		(1,433)
Net cash provided by (used in) operating activities		(385)		126
Cash flows from investing activities:
Purchase of fixed assets		(739)		(1,137)
Withdrawal of (investment in) short-term bank deposits, net		9,712		534
Net cash provided by (used in) investing activities		8,973		(603)
Cash flows from financing activities:
Exercise of options		-		-
Repayment of long-term loans from bank		-		-
Issuance of shares, net		-		-
Net cash provided by (used in) financing activities		-		-
Effect of translation adjustments		(15)		(632)
Net increase (decrease) in cash and cash equivalents		8,573		(1,109)
Cash and cash equivalents at the beginning of the period		2,481		7,575
Cash and cash equivalents at the end of the period		11,054		6,466

 

 

 

Logo:  https://mma.prnewswire.com/media/881148/Eltek_Logo.jpg                                                    

View original content:https://www.prnewswire.com/news-releases/eltek-ltd-reports-2026-first-quarter-financial-results-302776009.html

SOURCE Eltek Ltd.

FAQ

How did Eltek (NASDAQ: ELTK) perform in Q1 2026?

Eltek reported Q1 2026 revenue of $10.4 million and a net loss of $2.9 million. According to the company, results declined versus Q1 2025, when it posted $12.8 million revenue and $1.0 million net income.

What were Eltek’s key financial metrics for first quarter 2026?

Eltek reported a gross loss of $1.9 million, net loss of $2.9 million, and EBITDA loss of $2.7 million in Q1 2026. According to the company, cash and short-term deposits were $11.1 million with no outstanding debt.

How did currency movements impact Eltek’s Q1 2026 results (ELTK)?

Currency movements materially increased Eltek’s shekel-denominated expenses in Q1 2026. According to the company, dollar depreciation versus the shekel added about $1.3 million to reported NIS-based operating expenses compared with Q1 2025, pressuring profitability.

Why did Eltek’s profitability decline year-over-year in Q1 2026?

Eltek’s profitability fell due to lower revenue, higher shekel-based expenses, and operational disruptions. According to the company, currency effects, regional security conditions, logistical constraints, and late execution of a larger backlog all weighed on first quarter 2026 results.

What is Eltek’s cash and debt position after Q1 2026?

Eltek ended Q1 2026 with $11.1 million in cash and short-term bank deposits and no outstanding debt. According to the company, this balance sheet position provides financial flexibility despite the quarter’s operating and net losses.

What did Eltek say about its order backlog and future revenue?

Eltek stated that its order backlog has grown significantly, reflecting strong demand for its products. According to the company, delayed backlog execution hurt Q1 2026 results, but management expects to convert this backlog into revenue over coming periods.

How did regional security and logistics issues affect Eltek in Q1 2026?

Eltek reported that regional security conditions and logistical constraints disrupted operations in Q1 2026. According to the company, these factors caused temporary work interruptions and reduced operational availability, contributing to weaker financial performance for the quarter.