Ondas Holdings Inc. (NASDAQ:ONDS) shares edged lower in premarket trading Friday after soaring 26.5% in the previous session. On Thursday, the company reported first-quarter results that topped Wall Street estimates and raised its fiscal 2026 outlook.

Strong Q1 Revenue Growth Drives Results

The autonomous systems and defense technology company posted first-quarter revenue of $50.1 million, up from $4.2 million a year earlier and ahead of analyst estimates of $39.4 million.

Revenue also exceeded the high end of company guidance by 25% and rose 66% sequentially, reflecting strong momentum across its business segments.

Gross profit increased to $24.7 million, while gross margin expanded to 49% from 35% a year earlier.

Adjusted EBITDA loss widened to $10.9 million from $7.5 million a year earlier as the company continued investing in growth and expansion initiatives.

Ondas ended the quarter with approximately $1.48 billion in cash, restricted cash and short-term investments.

Net income totaled $361.2 million, compared with a net loss of $14.1 million in the prior-year quarter, primarily driven by non-cash gains tied to warrant liability revaluation and the deconsolidation of Ondas Networks.

Backlog Expansion And Defense Demand Accelerate

The company said total backlog rose to about $457 million following the acquisitions of Worldview and Mistral.

Subsidiary Ondas Autonomous Systems reported strong growth across multiple units. Aerobotics revenue climbed about 260% year over year, supported by demand for Iron Drone and Optimus systems.

Centrix secured $36 million in orders through April 1, surpassing its full-year 2025 revenue of $30 million. Meanwhile, 4M Defense won $80 million in tenders and received $25.8 million in initial orders, compared with $8 million in revenue during 2025.

Ondas also disclosed a global opportunity pipeline valued at about $4.3 billion across more than 45 strategic programs worldwide.

Acquisitions And Partnerships Strengthen AI Capabilities

The company highlighted acquisitions, including Worldview and Mistral, along with its partnership with Palantir Technologies Inc. (NASDAQ:PLTR) to strengthen multi-domain ISR, artificial intelligence and autonomous systems capabilities.

During the quarter, Ondas launched Iron Wave, a multi-layer robotic defense platform integrating aerial defense systems, autonomous robotics, AI-enabled command systems and unmanned ground vehicles for military applications.

Management said the company sees more than $1.6 billion in strategic opportunities tied to U.S. border security, autonomous strike platforms, demining robotics and NATO-related defense programs.

Ondas Raises Full-Year 2026 Outlook

Ondas raised its full-year 2026 revenue outlook to more than $390 million, above analyst estimates of $377.7 million and implying roughly 670% year-over-year growth.

The company said adjusted EBITDA losses are expected to peak in the second quarter before improving later in 2026. It also pulled forward its expectation for Ondas Autonomous Systems adjusted EBITDA profitability to the first quarter of 2027 from the third quarter of 2027.

Ondas added that its balance sheet could support more than $4.2 billion in merger-and-acquisition activity, potentially adding $1 billion to $1.8 billion in annualized revenue over time.

ONDS Stock Pulls Back After Massive Rally

ONDS Price Action: Ondas shares were down 3.03% at $10.87 during premarket trading on Friday, according to Benzinga Pro data.

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