Ondas reported first-quarter revenue of $50.1 million on Thursday — a 1,065% increase year-over-year and well above the $39.4 million Wall Street had expected. The West Palm Beach-based autonomous drone company raised its full-year revenue guidance to $390 million, up from $375 million, implying 670% growth against 2025. Its stock jumped 27% to $11.21 on the news.
The revenue surge was driven primarily by counter-UAS system sales, with backlog growing 569% to $457 million since the end of 2025. That backlog figure is the number that matters most: it means the revenue trajectory is locked in for the near term regardless of new order flow.
The Palantir partnership and what it signals
On March 11, Ondas and Palantir announced a strategic partnership to integrate Palantir’s Foundry platform into Ondas’ autonomous drone systems worldwide. Palantir’s stock gained 2.8% on Thursday alongside the Ondas earnings release — a small move, but notable given Foundry integration is now a named growth driver for an autonomous drone platform posting four-digit revenue growth.
The partnership follows a pattern Palantir has used elsewhere: attach its data infrastructure to hardware operators in fast-growing defense verticals, creating a software layer that compounds as the hardware scales. For Ondas, Foundry integration positions its counter-drone platforms as part of a broader AI-enabled operational stack rather than standalone hardware.
Profitability remains distant
Ondas is not close to profitable. The company posted an adjusted EBITDA loss of $10.9 million in Q1, wider than the $7.5 million loss a year ago, as operating expenses surged 470% to $67.3 million following several acquisitions. Analysts had expected a $19.6 million adjusted EBITDA loss, so the beat on that line was meaningful — but the losses are structural for now.
Management flagged that Q2 adjusted EBITDA losses are expected to represent “the likely peak,” with improvement forecast through the remainder of the year as revenue scales against a more fixed cost base. That trajectory is credible given the backlog, but Ondas has been a volatile stock — up 1,209% over the past 12 months but still 43% below its December 2019 record close of $19.50.
