Ondas Holdings Reports First Quarter 2025 Financial Results-On Track for Record Year
- Record Q1 revenue of $4.2M, representing 500% YoY growth
- Strong backlog increase to $16.8M with $9.3M in new OAS orders
- Healthy cash position of $25.4M to support growth
- Gross profit improved to $1.5M with 35% margin vs loss in Q1 2024
- Selection of dot16 wireless protocol by AAR for NGHE system
- Strategic partnerships formed with Palantir Technologies and Volatus Aerospace
- Operating loss widened to $10.3M from $9.1M in Q1 2024
- Net loss increased to $14.1M compared to $9.9M in prior year
- Higher non-cash interest expense of $3.9M vs $0.8M year ago
- Cash decreased to $25.4M from $30.0M at year-end 2024
Insights
Ondas shows remarkable 500%+ YoY revenue growth to $4.2M, driven by drone systems with strong $16.8M backlog supporting $25M 2025 guidance.
Ondas Holdings delivered impressive Q1 results with
The gross margin improvement to
The balance sheet position remains solid with
The order momentum is particularly impressive with
Strategic partnerships with Palantir Technologies and Volatus Aerospace should enhance product capabilities and market access, though revenue impact remains to be quantified. Meanwhile, the selection of Ondas Networks' dot16 wireless protocol by the Association of American Railroads represents critical industry validation, potentially opening significant commercial opportunities in the rail sector.
The 2025 revenue guidance of at least
Ondas' autonomous drone systems are gaining critical battlefield validation and international market traction in the rapidly growing counter-UAS defense sector.
Ondas Autonomous Systems (OAS) is experiencing a strategic breakthrough in the defense and homeland security sectors, evidenced by multiple international orders for both its Iron Drone Raider and Optimus platforms. The appointment of Brigadier General (Res.) Oshri Lugassy as Co-CEO and the active involvement of former Airobotics Chairman Ron Stern signals a deliberate pivot toward military applications and national security markets.
The Iron Drone Raider is emerging as the category leader in low-kinetic counter-UAS solutions - a critical capability as drone threats proliferate globally. The system's combat validation in active security environments has created a compelling value proposition that's resonating with defense contractors and government security agencies. The
The Optimus Drone Network is gaining traction in urban security applications, with the
The strategic partnership with Palantir is particularly significant for military applications, as it could enhance the AI capabilities and data processing of OAS platforms. Defense customers increasingly demand integrated intelligence solutions, not just hardware, making this collaboration potentially valuable for penetrating prime contractor supply chains.
The expansion of production capacity and regional support infrastructure demonstrates OAS's commitment to scaling operations globally. The FAA BVLOS waiver secured by American Robotics enables more extensive autonomous operations, reinforcing Ondas's technological leadership in this domain.
The market timing is advantageous as defense budgets increasingly prioritize unmanned systems and counter-drone capabilities. The company's focus on both kinetic (Raider) and intelligence-gathering (Optimus) platforms provides diversification within the defense technology portfolio, allowing them to address multiple mission requirements for security customers.
Q1 Revenue of
Over
Ended First Quarter with Over
New Orders Across Europe, the Middle East and the United States Position OAS for Global Expansion in 2025
dot16 Wireless Platform Gains Traction with AAR Selection for NGHE Rail Communications Upgrade; Ondas Networks Now Positioned to Convert this Market Validation into Commercial Adoption
Conference Call Scheduled for Today at 8:30 a.m. ET
BOSTON, MA / ACCESS Newswire / May 15, 2025 / Ondas Holdings Inc. (NASDAQ:ONDS) ("Ondas" or the "Company"), a leading provider of private industrial wireless networks and commercial drone and automated data solutions through its Ondas Networks and Ondas Autonomous Systems (OAS) business units, reported financial and operating results for the first quarter ended March 31, 2025. In addition, the Company announced that Joe Popolo will be stepping down from his role as a director in connection with his public service commitments as the nominee to be the U.S. Ambassador to the Kingdom of The Netherlands.
"Ondas is entering 2025 with strong momentum, led by the outstanding performance of our Ondas Autonomous Systems business unit," said Eric Brock, Chairman and CEO of Ondas Holdings. "OAS is executing effectively on existing programs while expanding its reach with new defense and homeland security customers in Europe and other regions. We ended Q1 with over
"Our team at OAS is advancing key programs in Israel and the UAE with successful deployments of our Iron Drone Raider and Optimus platforms that are now opening new markets in Europe and other regions. These field operations are validating the systems' effectiveness and demonstrating their combat-readiness in live security environments, while helping establish the Raider as the category leader in low-kinetic counter-UAS solutions. In fact, we recently secured our third Iron Drone customer, a governmental entity that will use the Raider for border security. At the same time, we are investing in global scalability by expanding our production capacity, building regional support capabilities, and reinforcing our supply chain to meet growing customer demand. With both Optimus and Raider gaining traction, OAS is transitioning from early customer adoption to attack the large, rapidly growing global defense and security end markets."
"At Ondas Networks, we continue to strengthen our position as a key technology provider for next-generation rail communications. The recent selection of our dot16 wireless protocol by the Association of American Railroads for the NGHE system represents a major milestone and validates years of focused development. With dot16 now positioned across 900 MHz, 220 MHz, and 450 MHz networks, we are strategically aligned with the industry's long-term modernization plans. Our priority now is to convert this market validation into commercial adoption and build a scalable, high-value business serving critical infrastructure operators across North America."
"Lastly, on behalf of the Board and the entire Ondas team, I want to thank Joe Popolo for his dedicated service and strategic guidance during a pivotal period of growth for our company. Joe brought thoughtful leadership to the boardroom, and we are grateful for his many contributions. We congratulate him on his appointment as U.S. Ambassador to the Kingdom of The Netherlands and wish him great success in this important public service role," Brock concluded.
"It has been a privilege to serve on the Ondas Board of Directors and support the Company's mission to deliver transformative technology solutions in critical infrastructure and defense markets. I remain highly confident in the Company's leadership, its strategic direction, and its potential to create meaningful long-term value for shareholders. I look forward to following Ondas' continued progress with great optimism," Joe Popolo added.
First Quarter 2025 and Recent Highlights - Ondas Autonomous Systems (OAS)
Generated
$4.0 million in revenues during the first quarter of 2025, a more than 12-fold increase from$0.3 million in the first quarter of 2024.Brigadier General (Res.) Oshri Lugassy was appointed as Co-CEO of OAS to drive expansion in emerging defense and security technology markets.
Ron Stern, former Chairman of Airobotics, who was appointed to Ondas' Board of Directors in January 2025, has taken an active role in supporting OAS's growth strategy in the defense sector.
Continuing its global expansion, OAS scaled commercial activities with the Optimus System and Iron Drone Raider through increased marketing activity, key customer engagements, new strategic partnerships, and strengthening of its leadership across defense, homeland security, security, and critical infrastructure sectors.
Captured over
$9.0 million in orders year-to-date from both existing and new customers for the Iron Drone and Optimus platforms across the Middle East, Europe, and the United States with future orders supported by a growing and visible customer pipeline.In January, Airobotics received an order from a major defense company for the integration of new applications into the Iron Drone Raider system. This includes testing and development of features designed to defend against ground-based threats.
In February, Airobotics launched a global demonstration tour as part of OAS's expansion strategy. The tour showcases the Iron Drone Raider system to allied government end users and prime defense contractors. These demonstrations have resulted in contractual engagements and initial purchase orders in Europe and other regions. The demo team will continue touring with key partners in the United States, and countries across Europe and the Middle East.
In March, OAS secured a
$3.2 million purchase order from a governmental entity in the UAE to expand its Optimus Drone Network infrastructure. This supports the ongoing deployment of autonomous aerial services under the UAE's Drone Box program, enabling rapid-response public safety and emergency operations in urban environments.In April, Airobotics received a
$3.4 million order for Iron Drone Raider deployments from a renowned defense contractor in Europe on behalf of a major governmental customer to protect and secure critical infrastructure and governmental facilities.Recently, OAS secured its third Iron Drone customer with a
$1.7 million order from a new major governmental security organization, which will integrate Iron Drone Raider into ongoing homeland security operations.OAS formed a strategic partnership with Palantir Technologies to integrate their Foundry platform, enhancing the scalability and operational efficiency of its autonomous drone systems. This collaboration is intended to optimize supply chain, production workflows, and customer engagement and is expected to expand into integration of certain AI-enabled capabilities into OAS' autonomous drone platforms.
OAS also announced a strategic partnership with Volatus Aerospace to enhance border surveillance and situational awareness using its autonomous aerial systems across North America.
American Robotics received a new FAA BVLOS waiver in Q1, enabling expanded drone operations over people and moving vehicles from a remote operations center, reinforcing its leadership in autonomous drone operations.
Eric Brock, CEO of Ondas Holdings, was elected Co-Chair of the Commercial Drone Alliance.
"We are seeing momentum build across both the Optimus and Iron Drone platforms as we demonstrate combat readiness of our systems for scaled field deployments," said Oshri Lugassy, Co-CEO of Ondas Autonomous Systems. "Since the start of 2025, we secured new orders from both existing and new customers in defense and public safety verticals, reflecting the strength of our portfolio, and the growing demand for autonomous drone capabilities. The Raider platform, in particular, is gaining recognition as a highly effective, combat-ready counter-UAS solution which is driving global demand. We remain focused on expanding our operational capabilities so that OAS can respond to increased demand for the protection and security of critical locations and populations from the threat of hostile drones."
"Our team is executing on a clear strategy-scaling production, strengthening our service delivery infrastructure, and forming strategic partnerships with industry leaders like Palantir and Volatus Aerospace. With a strong backlog and a robust pipeline of both near and long-term program opportunities, we believe OAS is well-positioned for record performance in 2025 and to lead the global adoption of autonomous aerial systems deployed in critical security environments," Lugassy concluded.
First Quarter 2025 and Recent Highlights - Ondas Networks
Generated approximately
$0.2 million in revenue during the first quarter of 2025 compared to$0.3 million in the first quarter of 2024.Markus Nottelmann was appointed as CEO of Ondas Networks to lead the commercialization of Ondas Networks' industrial wireless networking capabilities and drive adoption of the dot16 technology platform within the global railroad sector.
In April, the Association of American Railroads' (AAR) Wireless Communications Committee announced the selection of Ondas Networks' IEEE 802.16t (dot16) Direct-Peer-to-Peer (DPP) protocol as the new communications standard for Next Generation Head-of-Train / End-of-Train (NGHE). This decision represents a key milestone in the modernization of NGHE safety critical systems relied on by all freight rail operators.
In May, the Institute of Electrical and Electronics Engineers (IEEE) announced the formal adoption of the 802.16t standard, enhancing secure, mission-critical industrial networks with a modern, open-standard wireless protocol. This adoption supports the upgrade of legacy networks, improving data capacity and meeting the performance and security needs of critical infrastructure sectors like rail and energy.
Ondas Networks continued preparations to supply the critical dot16-enabled connectivity solutions to all HOT/EOT vendors and is engaging with this vendor community to bring NGHE products based on the dot16 standard to market.
Ondas Networks' partner Siemens secured an additional follow-on purchase order from Metra, the primary commuter rail system serving the Chicago metropolitan area, for Airlink dot16 compliant wireless systems to upgrade the legacy 900 MHz Advanced Train Control Systems (ATCS) network and migrate the network to the new 900 MHz A-block. Once fully deployed, Metra will be operating its 900 MHz network entirely on Ondas Networks equipment.
The field trial with a Class I railroad to host Interoperable Train Control Messaging (ITCM) over dot16 in support of Positive Train Control (PTC) messaging over the new 900 MHz A-block continues to progress. This is expected to result in an order to our partner Siemens for 900 MHz equipment for installation on an entire subdivision which is expected to allow for safety system redundancy and serve as a model and additional use case for Class I Rails for the new 900 MHz network.
The 220 MHz radio program on behalf of an Amtrak-sponsored upgrade to its Advanced Civil Speed Enforcement System (ACSES), a PTC system utilized by passenger and transit, as well as certain freight rail operators in the Northeast Corridor (NEC), is progressing well, with commercial deliveries expected to start during Q3 2025.
"Ondas Networks is making important progress in driving adoption of our dot16 wireless technology across critical rail infrastructure," said Markus Nottelmann, CEO of Ondas Networks. "The Association of American Railroads' selection of dot16 as the standard for the NGHE system is a significant validation of our platform and a key milestone in our strategy. Combined with our ongoing work to integrate ITCM over the 900 MHz A-block, we're demonstrating how dot16 can enhance the performance, safety, and efficiency of modern freight rail operations."
"These advancements reflect years of collaboration with MxV and other industry leaders and position Ondas Networks at the center of next-generation rail communications. The flexibility and robustness of our FullMAX platform is expanding our market opportunity across the 900 MHz, 220 MHz, and now 450 MHz networks. We are working closely with vendors to bring NGHE-compliant systems to market and remain focused on scaling commercial deployments through 2025 and beyond," Nottelmann concluded.
First Quarter 2025 Financial Summary
Ondas reported revenues of
Gross profit rose to
Operating expenses increased to
The operating loss widened modestly to
Adjusted EBITDA improved slightly to a loss of
Ondas ended the quarter with
Operational and Financial Outlook
The Company expects to generate strong growth and maintains a revenue target of at least
Bookings and revenue growth are expected to fluctuate from quarter-to-quarter given the variability around both expected orders associated with program expansion with existing customers, as well as the timing of the addition of new customers at OAS, and the timing of rail network buildouts for Ondas Networks.
Earnings Conference Call & Audio Webcast Details
An earnings conference call is scheduled for today, May 15, 2025, at 8:30 a.m. Eastern Time (5:30 a.m. Pacific Time). The conference call will also be broadcast live and available for replay hereand via the investor relations section of the Company's website at ir.ondas.com. A replay will be accessible from the investor relations website after completion of the event.
Date: Thursday, May 15, 2025
Time: 8:30 a.m. Eastern time
Toll-free dial-in number: 844-883-3907
International dial-in number: 412-317-5798
Call participant pre-registration link: here
The Company encourages listeners to pre-register, which allows callers to gain immediate access and bypass the live operator. Please note that you can register at any time during the call. For those who choose not to pre-register, please call the conference telephone number 10-15 minutes prior to the start time, at which time an operator will register your name and organization.
About Ondas Holdings Inc.
Ondas Holdings Inc. ("Ondas") is a leading provider of private wireless data solutions via Ondas Networks Inc. ("Ondas Networks") and commercial drone solutions through Ondas Autonomous Systems Inc. via its wholly-owned subsidiaries American Robotics, Inc. ("American Robotics" or "AR") and Airobotics LTD ("Airobotics"), which we operate as a separate business unit called Ondas Autonomous Systems.
Ondas Networks is a developer of proprietary, software-based wireless broadband technology for large established and emerging commercial and government markets. Ondas Networks' standards-based (802.16t), multi-patented, software-defined radio FullMAX platform enables Mission-Critical IoT (MC-IoT) applications by overcoming the bandwidth limitations of today's legacy private licensed wireless networks. Ondas Networks' customer end markets include railroads, utilities, oil and gas, transportation, aviation (including drone operators) and government entities whose demands span a wide range of mission critical applications.
Ondas Autonomous Systems Inc. (OAS) specializes in designing, developing, and marketing autonomous drone solutions via its two advanced drone platforms: the Optimus System, the world's first FAA-certified small UAS (sUAS) for aerial security and data capture, and the Iron Drone Raider, a counter-drone system designed to combat hostile drones. Both platforms are highly automated, AI-powered, and capable of continuous, remote operation for critical defense, infrastructure, industrial, and government applications. American Robotics and Airobotics have achieved industry-leading regulatory milestones, including the first-ever FAA Type Certification for the Optimus System and the first drone system approved by the FAA for automated beyond-visual-line-of-sight (BVLOS) operations without an on-site human operator.
Ondas Networks, American Robotics and Airobotics together provide users in defense, homeland security, public safety and other critical industrial and government security and infrastructure markets with improved connectivity, situational awareness and data collection and information processing capabilities.
For additional information on Ondas Holdings, visit www.ondas.com or follow Ondas Holdings on X and LinkedIn. For additional information on Ondas Networks, visit www.ondasnetworks.com or follow Ondas Networks on X and LinkedIn. For additional information on American Robotics, visit www.american-robotics.com or follow American Robotics on X and LinkedIn. For additional information on Airobotics, visit www.airoboticsdrones.com or follow Airobotics on X and LinkedIn. For additional information on Ondas Autonomous Systems, follow us on LinkedIn.
Information on our websites and social media platforms is not incorporated by reference in this release or in any of our filings with the U.S. Securities and Exchange Commission.
Non-GAAP Financial Measure
As required by the rules of the Securities and Exchange Commission ("SEC"), we provide a reconciliation of Adjusted EBITDA and cash operating expenses, the non-GAAP financial measures, contained in this press release to the most directly comparable measures under GAAP, which reconciliations are set forth in the tables below.
We believe that Adjusted EBITDA and cash operating expenses facilitate analysis of our ongoing business operations because such measures exclude items that may not be reflective of, or are unrelated to, the Company's core operating performance, and may assist investors with comparisons to prior periods and assessing trends in our underlying businesses. Other companies may calculate Adjusted EBITDA and cash operating expenses differently, and therefore our measures may not be comparable to similarly titled measures used by other companies. Adjusted EBITDA and cash operating expenses should only be used as supplemental measures of our operating performance.
We believe that Adjusted EBITDA improves comparability from period to period by removing the impact of our capital structure (interest and financing expenses), asset base (depreciation and amortization), tax impacts and other adjustments as set out in the table below, which management has determined are not reflective of core operating activities and thereby assist investors with assessing trends in our underlying businesses.
We believe that cash operating expenses improve comparability from period to period by removing the impact of depreciation, amortization and stock-based compensation as set out in the tables below, which management has determined are not reflective of core operating expenses and thereby assist investor with assessing trend in our underlying business.
Management uses Adjusted EBITDA and cash operating expenses in making financial, operating, and planning decisions and evaluating the Company's ongoing performance.
Forward-Looking Statements
Statements made in this release that are not statements of historical or current facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. We caution readers that forward-looking statements are predictions based on our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance, or achievements could differ materially from those expressed or implied by the forward-looking statements as a result of a number of factors, including the risks discussed under the heading "Risk Factors" discussed under the caption "Item 1A. Risk Factors" in Part I of our most recent Annual Report on Form 10-K or any updates discussed under the caption "Item 1A. Risk Factors" in Part II of our Quarterly Reports on Form 10-Q and in our other filings with the SEC. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date, except as required by law.
Contacts
IR Contact for Ondas Holdings Inc.
888.350.9994
ir@ondas.com
Media Contact for Ondas
Escalate PR
ondas@escalatepr.com
Preston Grimes
Marketing Manager, Ondas Holdings Inc.
Preston.grimes@ondas.com
ONDAS HOLDINGS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
March 31, | December 31, | |||||||
2025 | 2024 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current Assets: | ||||||||
Cash | $ | 25,363,853 | $ | 29,958,106 | ||||
Restricted cash | 46,121 | 41,215 | ||||||
Accounts receivable, net | 1,913,771 | 5,223,182 | ||||||
Inventory, net | 10,548,855 | 9,821,692 | ||||||
Other current assets | 5,523,951 | 2,476,356 | ||||||
Total current assets | 43,396,551 | 47,520,551 | ||||||
Property and equipment, net | 2,576,849 | 2,586,691 | ||||||
Other Assets: | ||||||||
Goodwill, net of accumulated impairment charges | 27,751,921 | 27,751,921 | ||||||
Intangible assets, net | 26,140,340 | 27,178,057 | ||||||
Deposits and other assets | 694,588 | 663,073 | ||||||
Operating lease right of use assets | 4,040,390 | 3,921,995 | ||||||
Total other assets | 58,627,239 | 59,515,046 | ||||||
Total assets | $ | 104,600,639 | $ | 109,622,288 | ||||
LIABILITIES, TEMPORARY EQUITY, AND STOCKHOLDERS' EQUITY | ||||||||
Current Liabilities: | ||||||||
Accounts payable | $ | 4,498,886 | $ | 5,659,643 | ||||
Operating lease liabilities | 1,243,084 | 1,121,565 | ||||||
Accrued expenses and other current liabilities | 5,483,927 | 4,719,214 | ||||||
Notes payable, net of unamortized debt discount and issuance costs of | 1,500,000 | 1,273,215 | ||||||
Convertible notes payable, net of unamortized debt discount and issuance cost of | 5,258,453 | 5,137,763 | ||||||
Convertible notes payable, net of unamortized debt discount and issuance cost of | 29,151,834 | 31,947,445 | ||||||
Deferred revenue | 2,638,081 | 329,025 | ||||||
Government grant liability | 643,057 | 388,752 | ||||||
Total current liabilities | 50,417,322 | 50,576,622 | ||||||
Long-Term Liabilities: | ||||||||
Notes payable | 300,000 | 300,000 | ||||||
Convertible notes payable, net of current, net of unamortized debt discount and issuance cost of | - | 15,568,216 | ||||||
Accrued interest | 18,962 | 20,041 | ||||||
Government grant liability net of current | 2,239,532 | 2,168,430 | ||||||
Operating lease liabilities, net of current | 4,892,704 | 4,961,967 | ||||||
Other liabilities | 82,500 | 82,500 | ||||||
Total long-term liabilities | 7,533,698 | 23,101,154 | ||||||
Total liabilities | 57,951,020 | 73,677,776 | ||||||
Commitments and Contingencies | ||||||||
Temporary Equity | ||||||||
Redeemable noncontrolling interest | 20,568,332 | 19,361,205 | ||||||
Stockholders' Equity | ||||||||
Preferred stock - par value | - | - | ||||||
Preferred stock, Series A - par value | - | - | ||||||
Common stock - par value | 12,772 | 9,317 | ||||||
Additional paid in capital | 276,572,688 | 252,941,813 | ||||||
Accumulated deficit | (250,504,173 | ) | (236,367,823 | ) | ||||
Total stockholders' equity | 26,081,287 | 16,583,307 | ||||||
Total liabilities and stockholders' equity | $ | 104,600,639 | $ | 109,622,288 | ||||
ONDAS HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended | ||||||||
2025 | 2024 | |||||||
Revenues, net | $ | 4,248,182 | $ | 625,009 | ||||
Cost of goods sold | 2,759,632 | 1,019,991 | ||||||
Gross profit (loss) | 1,488,550 | (394,982 | ) | |||||
Operating expenses: | ||||||||
General and administration | 5,909,398 | 3,898,089 | ||||||
Sales and marketing | 2,430,110 | 1,321,149 | ||||||
Research and development | 3,459,480 | 3,512,975 | ||||||
Total operating expenses | 11,798,988 | 8,732,213 | ||||||
Operating loss | (10,310,438 | ) | (9,127,195 | ) | ||||
Other income (expense), net | ||||||||
Other income (expense), net | (1,162 | ) | (2,324 | ) | ||||
Change in fair value of government grant liability | (124,025 | ) | (74,392 | ) | ||||
Interest income | 200,806 | 97,501 | ||||||
Interest expense | (3,867,857 | ) | (782,611 | ) | ||||
Foreign exchange gain (loss), net | (33,674 | ) | 12,937 | |||||
Total other income (expense), net | (3,825,912 | ) | (748,889 | ) | ||||
Loss before income taxes | (14,136,350 | ) | (9,876,084 | ) | ||||
Provision for income taxes | - | - | ||||||
Net loss | $ | (14,136,350 | ) | $ | (9,876,084 | ) | ||
Less preferred dividends attributable to noncontrolling interest | 390,000 | 334,138 | ||||||
Less deemed dividends attributable to accretion of redemption value | 817,127 | 638,646 | ||||||
Net loss attributable to common stockholders | (15,343,477 | ) | (10,848,868 | ) | ||||
Net loss per share - basic and diluted | $ | (0.15 | ) | $ | (0.17 | ) | ||
Weighted average number of common shares outstanding, basic and diluted | 105,004,818 | 63,035,122 | ||||||
ONDAS HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended | ||||||||
2025 | 2024 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Net loss | $ | (14,136,350 | ) | $ | (9,876,084 | ) | ||
Adjustments to reconcile net loss to net cash flows used in operating activities: | ||||||||
Depreciation | 180,709 | 123,071 | ||||||
Amortization of debt discount and issuance cost | 3,303,253 | 539,526 | ||||||
Amortization of intangible assets | 1,061,869 | 1,052,211 | ||||||
Amortization of right of use asset | 221,974 | 237,561 | ||||||
Retirement of assets | - | 3,278 | ||||||
Change in fair value of government grant liability | (32,276 | ) | 74,393 | |||||
Stock-based compensation | 1,572,645 | 269,553 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | 3,309,411 | 1,148,846 | ||||||
Inventory | (727,163 | ) | (1,174,882 | ) | ||||
Other current assets | (3,047,595 | ) | (63,087 | ) | ||||
Deposits and other assets | (31,515 | ) | 3,282 | |||||
Accounts payable | (1,160,757 | ) | 396,573 | |||||
Accrued expenses and other current liabilities | 805,588 | (372,569 | ) | |||||
Deferred revenue | 2,309,056 | 183,103 | ||||||
Operating lease liability | (288,113 | ) | (82,799 | ) | ||||
Other liabilities | - | 82,500 | ||||||
Net cash flows used in operating activities | (6,659,264 | ) | (7,455,524 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Patent costs | (24,152 | ) | (8,689 | ) | ||||
Purchase of equipment | (170,867 | ) | (1,188,086 | ) | ||||
Purchase of software intangible | - | (15,638 | ) | |||||
Net cash flows used in investing activities | (195,019 | ) | (1,212,413 | ) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Proceeds from exercise of stock options and warrants | 983,895 | 2,217 | ||||||
Proceeds from convertible notes payable, net of issuance costs | 923,358 | - | ||||||
Proceeds from government grant | 364,683 | - | ||||||
Proceeds from sale of common stock, net of issuance costs | - | 3,859,394 | ||||||
Proceeds from sale of redeemable preferred stock in Ondas Networks, net of issuance costs | - | 4,375,035 | ||||||
Payments on government grant liability | (7,000 | ) | - | |||||
Net cash flows provided by financing activities | 2,264,936 | 8,236,646 | ||||||
Decrease in cash, cash equivalents, and restricted cash | (4,589,347 | ) | (431,291 | ) | ||||
Cash, cash equivalents, and restricted cash beginning of period | 29,999,321 | 15,022,000 | ||||||
Cash, cash equivalents, and restricted cash end of period | $ | 25,409,974 | $ | 14,590,709 | ||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||
Cash paid for interest | $ | 4,829 | $ | 7,300 | ||||
Cash paid for income taxes | $ | - | $ | - | ||||
SUPPLEMENTAL SCHEDULE OF NON-CASH FINANCING ACTIVITIES: | ||||||||
Preferred dividends attributable to redeemable noncontrolling interest | $ | 390,000 | $ | 334,138 | ||||
Accretion of redeemable preferred stock in Ondas Networks | $ | 817,127 | $ | 638,646 | ||||
Debt exchanged for common stock | $ | 21,939,514 | $ | - | ||||
Warrants in relation to sale of redeemable preferred stock in Ondas Networks | $ | - | $ | 1,471,194 | ||||
Warrants in Ondas Autonomous Systems, in relation to sale of common stock | $ | - | $ | 954,737 | ||||
Warrants in Ondas Networks, in relation to notes payable and convertible notes payable | $ | 345,403 | $ | - | ||||
Transfer of equipment into inventory | $ | - | $ | 398,046 | ||||
Operating leases right-of-use assets obtained in exchange of lease liabilities | $ | 340,369 | $ | - | ||||
ONDAS HOLDINGS INC.
RECONCILIATIONS OF ADJUSTED EBITDA
(Unaudited)
Three Months Ended | ||||||||
2025 | 2024 | |||||||
Net Loss | $ | (14,136,350 | ) | $ | (9,876,084 | ) | ||
Depreciation | 180,709 | 123,071 | ||||||
Amortization | 1,061,869 | 1,052,211 | ||||||
Other expense, net (1) | 3,825,912 | 748,889 | ||||||
Stock-based compensation | 1,572,645 | 269,553 | ||||||
Adjusted EBITDA | $ | (7,495,215 | ) | $ | (7,682,360 | ) | ||
(1) | Other expense, net includes interest income, interest expense, foreign exchange gain (loss), net, change in fair value of government grant liability, and other income (expense), net included on the Company's Condensed Consolidated Statements of Operations. |
ONDAS HOLDINGS INC.
RECONCILIATIONS OF CASH OPERATING EXPENSES
(Unaudited)
Three Months Ended | ||||||||
2025 | 2024 | |||||||
Total operating expenses | $ | 11,798,988 | $ | 8,732,213 | ||||
Depreciation | (180,709 | ) | (123,071 | ) | ||||
Amortization | (1,061,869 | ) | (1,052,211 | ) | ||||
Stock-based compensation | (1,572,645 | ) | (269,553 | ) | ||||
Cash operating expenses | $ | 8,983,765 | $ | 7,287,378 | ||||
SOURCE: Ondas Holdings Inc.
View the original press release on ACCESS Newswire
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