Ondas Inc. (NASDAQ:ONDS) shares are trading higher after the company reported fourth-quarter results and disclosed an acquisition.

Earnings Snapshot

The company reported losses of 36 cents per share, missing the analyst consensus loss of five cents.

Sales of $30.1 million beat the consensus estimate of $27.6 million.

Revenue surged 198% sequentially to $30.1 million for the quarter ended December 31, 2025, up from $10.1 million in the prior quarter, and soared 629% year over year from $4.1 million.

Revenues from Ondas Networks remained flat Y/Y at $0.5 million due to extended timelines for network deployments by customers.

Meanwhile, OAS revenues escalated 722% Y/Y to $29.6 million on higher shipments of products and services from orders for Iron Drone and Optimus, along with contributions from the companies acquired in the second half of 2025.

Gross profit increased to $12.7 million from $0.9 million a year ago quarter, with margin expanding to 42% from 21% in the prior year quarter.

The improvement was driven by higher OAS revenue, a favorable product mix, absorption of fixed manufacturing costs, and contributions from recently ...