ONDS

Welcome to the Ondas Inc. first quarter 2026 earnings and business Update conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Before we begin, the company would like to remind you that this call may contain best current judgment. They are subject to risks and uncertainties that can cause actual results to differ materially from those implied by these forward-looking statements. These risks are discussed in Ondas's periodic SEC filings and in the earnings press release issued today, which are both available on the company's website.

Ondas undertakes no obligation to revise or update any forward-looking statements to reflect future events or circumstances, except as required by law. During this call, Ondas will refer to certain non-GAAP financial measures. These non-GAAP measures are not prepared in accordance with generally accepted accounting principles. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures is shown in our press release issued today, which is available at the investor relations section of our website. This non-GAAP information is provided as a supplement, not as a substitute or as superior to measures of financial performance prepared in accordance with GAAP. However, management believes these non-GAAP measures provide investors with valuable information on the underlying trends of our business. Please note this event is being recorded. I would now like to turn the presentation over to Eric Brock, Chairman and CEO. Please go ahead, sir.

Thank you, operator. Good morning, everyone. We appreciate you joining us today and your continued interest in Ondas. Before we begin, I want to thank ThinkReal for allowing us to share his Systems of Systems music video ahead of the formal program. He is an Ondas investor and a talented creator active on X. We are grateful for his support, appreciate his creativity, and look forward to seeing more of his work. With that, let me set the stage for today's discussion. Our plan is working. Over the past year, we laid out a clear core plus strategic growth strategy to build Ondas into a scaled global operating platform for unmanned and autonomous systems serving defense, security, industrial, and critical infrastructure markets. We believe our results in today's update increasingly validate that strategy. We are building a world-class systems of systems portfolio across air, ground, and now the stratosphere.

Through internal innovation, disciplined execution, and strategic acquisitions, we continue to add differentiated capabilities across multiple operational layers. At the same time, we are executing against our operating plan and capturing growth synergies across the Ondas platform. We are leveraging shared customer relationships, expanding go-to-market reach, and building a broader global footprint to scale efficiently. We are also expanding our global market opportunity as reflected in growing customer traction, strategic partnerships, major program opportunities, and a larger backlog. All of this continues to support what we believe is a powerful financial model driven by strong market tailwinds, operating leverage, scalable infrastructure, and attractive long-term returns on capital. We believe the strategy is sound, execution is improving quarter-by-quarter, and the market is increasingly recognizing the value of what we are building, as shown by growing support from customers, strategic partners, and institutional investors.

Today, we look forward to updating you on our progress and explaining why we remain highly optimistic about Ondas' future. Let's turn to today's agenda. This morning, we will outline how the business is scaling across our technology portfolio, operating platform, go-to-market capabilities, and financial model. I'll begin with key first quarter 2026 highlights and our progress against our strategic objectives. Neil will review our Q1 financial results. We will provide an operational update on customer momentum, global expansion, and progress across our product, solutions, and go-to-market roadmaps. We will also take a closer look at World View, our multi-domain ISR roadmap, and our work with Palantir to advance mission autonomy and layered ISR capabilities for defense and security customers. We'll close with an updated 2026 outlook and open the call for questions.

I'm also pleased to be joined this morning by key members of our leadership team. Joining me today are Neil Laird, our Chief Financial Officer, Oshri Lugassy, Co-CEO of Ondas Autonomous Systems, and Meir Kliner, President of OAS, all of whom are well-known to many of our investors and stakeholders. We are also joined by Ryan Hartman, President and CEO of World View, who will provide additional insight into our multi-domain ISR capabilities and long-term strategic roadmap. Neil and I will lead today's presentation and will aim to be efficient with your time while providing meaningful detail on the progress we are making across the business. Oshri will provide the operational update for OAS. Let's now turn to some of the key takeaways from the start of 2026. We began the year with tremendous momentum, which we have sustained.

I'm extremely proud of our performance and want to recognize our employees, partners, and customers for their exceptional efforts and support. We believe we have built a highly talented and mission-driven organization at Ondas, and that team is executing at a very high level. In the first quarter, we generated more than $50.1 million in revenue, representing tenfold growth year-over-year and over 25% above the high end of our prior target. To put that into perspective, our Q1 revenue alone was approximately equal to all of the revenue Ondas generated during full year 2025. We believe that clearly demonstrates the pace at which we are scaling the business and expanding our financial model.

Revenue growth during the quarter was driven by strong performance across our counter drone and defense-related markets, with particularly strong contributions from our Sentrycs Cyber Over RF platform and our Iron Drone interceptor systems. We also saw upside contribution from BIRD Aerosystems, where demand for airborne missile defense and protection systems continues to strengthen as threats to both military and commercial aircraft increasingly evolve. Importantly, we achieved product company level EBITDA profitability during the first quarter, approximately two quarters ahead of our internal plan. We believe this is another important validation point for the operating and financial model we have been building. At the same time, it is important to recognize that we continue to make substantial investments across the organization, including leadership expansion, operational infrastructure, global go-to-market capabilities, and strategic growth initiatives designed to support the next phase of scale.

While we are pleased to reach this milestone ahead of schedule, we also believe there remains significant operating leverage ahead of us as the platform continues to mature. As Neil will discuss in greater detail, our strengthening financial profile is also reflected in the continued expansion of our backlog and the strength of our balance sheet. Following the closing of the World View and Mistral acquisitions in April, backlog increased to more than $450 million, providing significant visibility into our 2026 outlook and beyond. Our focus now is on efficiently converting that backlog into customer deliveries, revenue growth, and cash flow generation. Our balance sheet also remains a major strategic advantage. With approximately $1.4 billion in cash and short-term investments, we have substantial financial flexibility to continue investing in the business, supporting organic growth initiatives and advancing our strategic growth program.

We believe that capital position gives Ondas a meaningful competitive advantage as we continue to scale the platform and pursue additional accretive opportunities. Finally, based on the strength we are seeing across the business, we are pleased to raise our full year 2026 revenue outlook to at least $390 million. In summary, 2026 is off to a terrific start. We are demonstrating our ability to execute against our long-term objectives and financial model, which we believe is allowing us to create substantial shareholder value. Over the past year, Ondas has transformed from a small unmanned systems developer into a growing global enterprise with increasing operational scale across markets and geographies. As shown on this slide, we now operate across 15 offices in key regions supporting engineering, manufacturing, business development, customer operations, and field support worldwide.

Our customer footprint is also expanding with active deployments in more than 45 countries across defense, homeland security, critical infrastructure, and public safety markets. This expansion is not just geographic. It reflects the build-out of a scalable operating platform for large customers, complex deployments, and long-term strategic programs worldwide. Ondas now has more than 1,000 employees globally supporting operations, engineering, manufacturing, integration, and customer delivery, positioning us to meet growing demand and keep scaling. In unmanned and autonomous systems, leadership requires more than strong technology. It requires an integrated operating platform that can deliver mission-critical systems at scale across engineering, manufacturing, deployment, training, and global support. That is what we are building at Ondas by expanding not only our technology base, but also our operations and go-to-market capabilities.

In recent months, we have significantly expanded our U.S. market reach, production infrastructure, and strategic ecosystem through the April acquisitions of World View and Mistral. We believe both businesses fill key strategic gaps and accelerate the scaling of our platform while adding differentiated technology, customer relationships, leadership, engineering talent, and operational capabilities to support growth in 2026 and beyond. We also announced a strategic partnership with Palantir, which we see as strong validation of Ondas' capabilities and growth strategy. The partnership gives us access to Palantir's AIP stack and operational software, helping us scale internally while advancing mission autonomy and multi-domain ISR solutions. It also aligns both companies on customer opportunities, go-to-market initiatives, and long-term roadmap development. During the quarter, we also launched ONBERG, our Germany-based joint venture with Heidelberg, initially focused on Germany and Ukraine with broader European expansion over time.

As defense and security markets increasingly require localized manufacturing, sovereign alignment, and regional operating capabilities, we believe ONBERG strengthens our position in the European defense modernization cycle and across EU and NATO markets. As our global operating platform grows, so do our customer reach, talent base, and ability to deliver integrated systems of system solutions at scale. In the last 12 months, Anduril has significantly expanded its opportunity set and addressable and obtainable markets. We are now positioned across four major defense technology verticals, including counter UAS and aerial security, ISR and surveillance systems, loitering munitions, and autonomous strike systems, and unmanned ground robotics. Within our aerial security and counter UAS vertical, our portfolio now includes the Sentrycs Cyber Over RF platform, the Iron Drone Raider Interception System, InsightSense EOIR sensing technologies, and BIRD Aerosystems airborne missile defense and protection systems.

Our ISR portfolio includes World View Stratollite, the Optimus System autonomous drone platform, and Rotron Aerospace UAV systems, providing capabilities spanning tactical to high-altitude persistent intelligence and surveillance operations. In loitering munitions and autonomous strike systems, we now include the Rotron SkyLance and Defender platforms, the Rift Dynamics Wåsp system, and related border security and autonomous response infrastructure capabilities. Of course, Mistral is additive here, with a broad lineup of both ISR and strike capabilities being deployed with U.S. Defense customers. In ground robotics, our portfolio includes Roboteam and Apeiro Motion UGV platforms, INDO Earth's heavy military engineering and support capabilities, and 4M's demining and land intelligence operations. These markets are huge and global and rapidly growing, and Ondas is building a very impressive set of capabilities to deliver effective and mission-ready capabilities satisfying our customer roadmaps.

What is important here is not simply the expansion of the portfolio itself, but the evolution of Ondas into a broader multi-domain autonomous systems platform. We will be introducing new systems of systems capabilities over the course of 2026. This includes our newly introduced Iron Drone platform, which I will highlight in just a moment. As I mentioned, we are increasingly integrating our technologies into systems of systems deployments aimed at some of the fastest-growing segments of the global defense and security market. This includes a range of new platforms that connect aerial and ground domains with integrated sensors and AI-enabled command and control capabilities. We have a number of these platforms underway, and we will share updates as development progresses through 2026. One example is Iron Drone, a newly introduced systems of systems platform featured in this video.

Iron Drone is a combat-proven, multi-layered robotic solution built around a mobile UGV platform that integrates multiple autonomous systems to support maneuvering forces. Containerized unit for remote operations, enabling rapid deployment and sustained frontline support while bringing multiple Ondas technologies together in a unified operational system. The platform provides both aerial defense and offensive support, combining C-UAS detection and neutralization against multiple drone threats with both ground and aerial assault effectors. IRON-WAVE is powered by an AI-assisted mobile command and control center with secure communications, onboard power, and advanced operational management software for coordinated multi-domain missions. The UGV can also deploy smaller robotic systems to investigate confined spaces and complex environments more safely for reconnaissance and operational control. Ondas provided the initial IRON-WAVE systems to combat units during the first quarter, and they are now operational with multiple military units in active combat environments.

The system has received strong feedback for improving mission effectiveness, enhancing force protection, and helping protect troops during combat operations. We are very happy with this introduction and think IRON-WAVE and our systems of systems pipeline is both differentiating Ondas and expanding our addressable markets. That concludes our introductory comments. I will now hand the call to Neil to provide a detailed financial update.

Thank you, Eric. We are pleased to report strong first-quarter 2026 results that mark an inflection point in the growth of the business, both organically and through our strategic growth program. These results validate our strategy, demonstrate the strength of our core business, and highlight the scalability of our operating model as we prepare for a significantly larger phase of growth. Revenue in the first quarter was $50.1 million, a tenfold increase year-over-year and up 66% sequentially from the fourth quarter 2025. This performance was 25% above the high end of our prior Q1 targets and reflects strong demand across our Ondas Autonomous Systems segment. Gross profit was $24.7 million, representing a 49% gross margin, a significant improvement from 35% in the prior year and 42% in the fourth quarter 2025.

This reflects both favorable product mix and the benefits of scaling revenue across our cost base. Operating expenses increased to $67.3 million, driven primarily by investments in personnel and infrastructure to support the scaling of our operating platform, as well as increased activity related to our acquisition program. We view these investments as both intentional and necessary to support the significant revenue growth we expect in 2026 and beyond. Let me briefly address the movement in other expenses during the quarter, which was primarily driven by non-cash accounting items. As a result of the structure of the October 2025 and January 2026 financings, certain warrants are required to be classified as a liability and are market-to-market each reporting period using a Black-Scholes valuation methodology.

In the first quarter, this resulted in a non-cash gain of approximately $389.5 million, which is reflected in other income. As a reminder, this charge is purely accounting driven and does not impact our cash position, operations, or the underlying economics of the business. We expect this line item will continue to result in variability in our reported earnings going forward. We also had several other non-cash items, including a $51.5 million accounting gain on the deconsolidation of Ondas Networks due to the capital restructuring of that company in January of 2026. Other key items to note in other income include $12 million in interest generated primarily by interest earned on our cash balances following our recent capital raises and a $46.2 million non-cash charge to adjust the value of an acquired variable interest entity.

We believe it is important for investors to focus on the underlying operating performance of the business, where we are seeing strong revenue growth, significant backlog expansion, and continued execution of our strategic plan. Cash operating expenses were $36.9 million. A summary of cash operating expenses was included as a table in our earnings release and as an appendix to this presentation. Net income for the quarter was $362.9 million, driven by the $389.5 million non-cash gain related to warrants discussed above. Adjusted EBITDA was a loss of $10.9 million compared to a loss of $7.5 million in the prior year. Overall, the financial results reflect a business that is scaling rapidly, investing ahead of growth, and beginning to demonstrate the operating leverage embedded in our model.

This level of growth reflects the high demand signal from customers, strong execution in our core business, and the early impact of our strategic growth program. Turning to our cash flow and capital position. We ended the first quarter with $1.48 billion in cash equivalents, restricted cash, and short-term investments compared to $616.1 million at the end of 2025. The company holds long-term investments of $42.3 million, up from $35.6 million at the end of 2025. We believe this large cash balance provides us with significant financial flexibility to execute our growth strategy. Cash used in operating activities for the first quarter was $51.3 million compared to $6.7 million in the first quarter 2025.

This includes approximately a $47 million increase in working capital to support expected revenue growth. Cash used in investing activities was $474.2 million. The majority of which approximately $429.1 million was for the purchase of short-term investments net of maturities and another $31.8 million deployed into acquisitions as part of our strategic growth program. In addition, we invested $5 million in the quarter in long-term equity investments. Our short and long-term investments are aligned with our broader platform strategy. They support key partners, enhance access to critical technologies, improve supply chain efficiency, and we believe will generate attractive returns over time. Cash provided by financing activities was $968.5 million, primarily from our January equity offering throughout the year, along with proceeds from warrant and option exercises.

Looking ahead, we expect cash efficiency to improve over the course of 2026 as revenue and gross profit scale. We continue to expect higher cash usage in the upcoming quarter, reflecting continued investment ahead of growth. In particular, the second quarter will have a step up in spending related to the acquisitions that occurred year-to-date, many of which only closed late in Q1 or early in Q2. As we move through the second half, we expect to see meaningful improvement in adjusted EBITDA losses driven by operating leverage, particularly within our OAS segment. Turning to the balance sheet. We believe Ondas now has one of the strongest balance sheets in the sector, and this is a key competitive advantage as we scale the business. We ended the quarter with $1.48 billion in cash equivalents, restricted cash, and short-term investments.

This provides us with significant financial capacity to execute on both our organic growth and strategic initiatives. At the same time, the company carries virtually no debt. The previously discussed warrant liability was recorded at $1.1 billion at quarter end. Again, we expect our warrant liability will continue to result in variability in our reported earnings going forward. Quarterly changes in this measure will result in non-cash impacts on our GAAP net income. As a result of all the factors discussed, our shareholders' equity has increased to approximately $1.078 billion compared to $441.8 million at the end of 2025. Overall, we've significantly improved both the scale and the quality of the balance sheet, positioning the company with financial flexibility and cost of capital advantage to support our growth strategy.

With that, I'll turn the call back over to Eric.

Thank you, Neil. As we execute our core plus strategic growth program, we are seeing our financial model scale very quickly. As the P&L matures, it's important for Ondas to be transparent and communicative about how we are prioritizing our OpEx investments. I choose the phrase OpEx investments very carefully because that is exactly the way we look at our OAS and Ondas Inc. level growth OpEx. These are investments designed to support a much larger enterprise. The build-out of our OAS leadership team and growth infrastructure, and the similar investment in the corporate development effort at Ondas Inc., the parent company serves to dramatically increase the scope of our business and position Ondas in leadership positions in large, rapidly growing markets. Of course, this means we can create a much larger business today and allow us to access growth tailwinds across the unmanned and autonomous systems sector globally.

To provide insight into core profitability and our discretionary OpEx growth investments, we have provided the analysis here. You can see the Ondas Inc. level OpEx, which includes traditional public company costs, as well as the investments we make in corporate development and Ondas Capital. At the OAS level, we highlight product company OpEx, along with the OAS leadership and infrastructure layer, which drives the global market penetration and efficient delivery of technology and services via marketing, supply chain and production, and field support and services. Our commitment to you is to continue to manage these OpEx investments aggressively and focus on maximizing our ability to capture strong market positions in the segments we compete and to drive operating scale and efficiently maximize our returns on investment and profitability.

I will now turn the call to Oshri, who will provide a more detailed look at the progress we made in Q1, emphasizing how we have captured business, grown our customer and program pipeline, and matured our operating footprint. Oshri Lugassy?

Thank you, Eric. We have had a strong start, and we will share these details with our investors over the next few slides, starting with an emphasis on our global sales and marketing operations. As Ondas continues to scale globally, we are significantly expanding our marketing, business development, and operational infrastructure across key international markets. Today, Ondas is building a growing global presence with offices, local partners, agents, and operational representatives across more than 45 countries worldwide. Of course, the addition of Mistral and World View, along with our ONBERG joint venture in Germany, are very important examples of this. Our expanding infrastructure enables us to support customers more effectively, accelerate market penetration, and establish stronger relationships with defense organizations, homeland security agencies, system integrators, and strategic industrial partners. Our strategy is focused on building localized market access while leveraging Ondas integrated global operating platform.

This approach allows us to accelerate deployments, support regional operational requirements, and pursue larger strategic programs across multiple domains and geographies. We believe this growing international presence is becoming a significant competitive advantage as demand for autonomous defense and security technologies continues to expand globally. This quarter demonstrates the strength of Ondas integrated operating platform and our ability to accelerate growth across the technologies within the group. As we outlined in our last call, our operating model is structured to plug in operational and mission-ready technologies for rapid mobilization and order capture. We are demonstrating that acquired companies grow faster as part of Ondas post-acquisition, which is a powerful source of accretion in the Ondas growth model. We are now able to demonstrate evidence of this value creation with hard data.

During Q1, Airobotics delivered approximately 260% year-over-year revenue growth driven by expanded Iron Drone and Optimus deliveries and our new border infrastructure program. Sentrycs had a very strong start to 2026, capturing $36 million in orders through April 1st. That was more than the $30 million in revenue that Sentrycs generated in all of 2025. We will continue to invest in Sentrycs cyber over RF solutions to capture the substantial C-UAS market opportunities in front of us. Lastly, I will highlight 4M Defense, which after generating just $8 million in revenue in 2025, captured $80 million in tender awards with $25.8 million of initial orders against those tenders. With Ondas, 4M is able to invest in its operating footprint, which is driving the market expansion we see for their intelligent de-mining solutions.

The key takeaway here is that Ondas operating platform enables cross-selling, integrated program capture, supply chain leverage, and faster market expansion across defense, homeland security, and critical infrastructure markets. The data here is early evidence that Ondas Core + strategic growth program is working to compound shareholder value creation. We have had a strong start to 2026 from a program and order capture standpoint, which I will share some details on starting with backlog. Our growing backlog of approximately $457 million reflects the increasing global demand for Ondas technologies across multiple operational domains and strategic regions. What is especially important is the diversification of this backlog across several key technology segments, demonstrating the strength of our integrated defense tech strategy and the expanding relevance of our platforms to modern defense and security requirements.

In aerial security, we are seeing strong momentum driven by airport protection programs, critical infrastructure security, and emerging anti-missile initiatives. These opportunities are increasingly focused on integrated multilayered defense architectures combining sensors, AI, autonomous platforms, and effectors. Within ISR, our backlog growth is being driven by military base protection, public safety deployments, and high altitude and stratospheric intelligence solutions. We continue to see growing demand for persistent autonomous intelligence and surveillance capabilities across both defense and homeland security markets. In the UGV segment, we are advancing opportunities around smart demining, engineering vehicles, and multi-robotic operational systems. As we discussed earlier with Iron Drone, militaries are increasingly looking for integrated robotic solutions capable of operating in complex frontline environments. In the LMS segment, backlog growth is supported by border security, drone programs, and advanced autonomous mission systems, including opportunities connected to programs such as LASSO.

Geographically, the backlog is supported by strong expansion in the United States, the Middle East, and additional international markets across Europe and Asia. We believe this regional diversification positions Ondas well to continue scaling globally while supporting long-term strategic growth across our core technology segments. Ondas has won and positioned itself within several key strategic programs, representing a combined program potential of more than $1.6 billion. Here we highlight some of the notable program wins we are delivering against. These programs position Ondas for continued expansion across defense, homeland security, border security, and autonomous warfare markets worldwide with significant long-term growth potential across multiple operational domains. These programs demonstrate our ability to compete for and support large-scale defense and homeland security initiatives requiring advanced autonomous technologies, robotics, ISR, and strike capabilities.

In the UGV domain, we are supporting opportunities related to smart demining and engineering vehicle programs, including border security barrier projects and military engineering platforms. These programs represent growing demand for autonomous robotic systems capable of operating in high risk and contested environments while improving force protection and operational efficiency. Within the LMS segment, we are advancing several major autonomous drone and strike infrastructure opportunities. This includes participation in the U.S. LUS program focused on Low Altitude Stalking and Strike Ordnance capabilities, where the total program potential is estimated at nearly $1 billion. We are also pursuing border protection initiatives, leveraging autonomous drone swarm infrastructure and long-range autonomous strike platform opportunities connected to NATO Eastern Flank defense requirements. These programs reflect the increasing global demand for scalable autonomous systems capable of persistent surveillance, coordinated operations, and long-range mission execution.

Looking ahead, Ondas is continuing to build a strong global pipeline of strategic programs and tenders across multiple operational domains. Today, our active pipeline represents approximately $4.3 billion in opportunities across more than 45 submissions globally, reflecting the increasing demand for autonomous defense, security, ISR, and robotic technologies. We believe this pipeline positions Ondas for significant long-term expansion over the coming years. Regionally, the United States and Europe represent the largest portions of the pipeline with approximately $1.8 billion and more than $2 billion in active opportunities, respectively. We are also advancing multiple strategic programs in Israel and additional international markets. Overall, we believe this pipeline reflects the growing relevance of Ondas's technologies across modern defense and homeland security markets while demonstrating our ability to compete for large-scale global programs across multiple operational domains. We are working hard to maximize our win rate.

I will now turn the call back to Eric.

Thank you, Oshri. Let me now turn to World View and our broader multi-domain ISR strategy. As you know, we introduced World View on our last conference call and completed the acquisition on April 1st. Combined with Mistral, these acquisitions have significantly expanded our U.S. market presence and strengthened our operational and commercial scale across defense, homeland security, public safety, and critical infrastructure markets. Importantly, World View has accelerated our multi-domain ISR roadmap, particularly in combination with our strategic partnership with Palantir. I'd now like to hand the call over to Ryan Hartman, who will discuss our ISR strategy, the World View platform, and how adaptive agentic AI and mission autonomy are shaping the next phase of the Ondas platform. Ryan?

Thank you, Eric. As technology and use cases mature, we have seen the stratosphere has quickly evolved from interesting to required in modern ISR planning, especially when customers are building integrated multi-domain concepts. World View is seeing that shift show up as pull, not push. In practical terms, recent mission performance is converting into real account expansion and a higher volume of active RFPs and late-stage contracting conversations. The Department of War is the hardest customer set to break into for a reason. The bar is operational credibility, endurance, reliability, and mission integration. This is exactly the bar we designed Stratollite to clear, and we are now clearing it in ways customers can validate. Two examples. First, UNITAS in fall 2025. We demonstrated stratosphere persistence in a maritime operating context for Smartronix and 4th Fleet under the Marlins contract.

The result is ongoing engagement tied to potential follow-on support for hybrid autonomous U.S. maritime efforts against narcotics trafficking and illegal fishing. That matters because success in that problem set tends to become programmatic and durable. Second, Dorado in spring 2026. A 39-day mission in the Atlantic moved quickly from prove it to contracted. That performance has directly translated into advanced contracting discussions and several active RFPs for World View to be a long-term high-altitude balloon provider for SOUTHCOM and CENTCOM AORs. World View has also been down selected by both U.S. and international defense ministries for advanced sensor development and flight testing for missile defense applications. Beyond these initial programs, we're seeing the opportunity set broaden significantly.

Interest and meaningful engagement in stratospheric ISR has been growing throughout the Department of War across all key combatant commands and military branches, alongside increasing engagement for major defense primes as they've designed integrated multi-domain solutions. In parallel, allied foreign ministries of defense across Australia, Canada, Mexico, Peru, Ecuador, Guatemala, Saudi Arabia, Indonesia, and others are actively exploring how Stratollites can provide persistent advantage. These opportunities are concentrating around contested maritime environments such as the Gulf of Mexico, the Eastern Pacific, and the Indo-PACOM region, as well as global hot zones like the Middle East. Collectively, this reflects a growing recognition that stratospheric persistence is becoming a foundational layer in modern defense architectures. As customers seek a unified intelligence ecosystem, the stratospheric layer is increasingly being specified as part of that design.

Now, I want to build on what Eric framed and give investors a precise understanding of why SkyWeaver is a portfolio-level asset, not a platform-specific one. That comes down to a critical distinction: platform economy versus mission autonomy. Platform autonomy lives at the vehicle level. It's about flying itself, managing faults, and staying on station without a pilot. That work is essential, but it's table stakes. It's fundamentally a cost and reliability story, and every serious defense platform is pursuing it. Mission autonomy lives at the intelligence layer. It's the ability to perceive the operational environment, reason over what matters, coordinate action across platforms, and deliver finished intelligence without waiting for a human to close every loop. That's not a cost story, that's a strategic outcome story, and it's what customers are demanding. The key insight is this: platform autonomy is locked to the platform. Mission autonomy is not.

It lives in software, and because it lives in software, it can run across every platform in the Ondas portfolio. That is the architectural significance of SkyWeaver. SkyWeaver is Palantir's Artificial Intelligence Platform deployed at the edge as an intelligence operating layer. It sits above our stratospheric platforms, our aerial systems, and our ground systems, ingesting what they observe, reasoning over it in real time, and coordinating action across the fleet. Consider the breadth of that fleet. Ondas operates stratospheric balloon platforms through World View. We operate fixed-wing and rotary unmanned aerial systems through Ondas Autonomous Systems. We operate ground-based counter UAS and surveillance systems. Each of these platforms collects data in a different domain at different altitudes with different sensor modalities. Without SkyWeaver, each of those platforms produces a data stream that requires a human analyst to synthesize, interpret, and act on. With SkyWeaver, those data streams are fused automatically.

The system reasons across domains simultaneously. A stratospheric platform identifies an area of interest. SkyWeaver tasks the UAS for a closer look without waiting for a ground operator to make that connection. The UAS data refines the picture. SkyWeaver updates the intelligence product and delivers it to the customer's Palantir Foundry environment already correlated and contextualized. This is the difference between a portfolio of platforms and an integrated intelligence system. SkyWeaver is what makes Ondas the latter. What differentiates SkyWeaver is adaptive agentic AI. The term agentic AI is in wide use right now, so let me be specific about what it means in our context. This is not a system that generates an answer and stops. Agentic models in our architecture run continuously and operate on five principles. They perceive, reason, plan, act, and adapt. It uses real tools. It takes real actions.

It does not wait to be prompted. Let me explain these five principles. First, perceive. SkyWeaver ingests sensor data continuously from every connected platform across all domains simultaneously. Stratospheric long dwell collection, aerial close look, ground-based perimeter monitoring. It holds all of that in one common operational picture. Next, reason. Palantir's AI models evaluate what is observed against mission parameters, known patterns of life, and threat indicators. They score significance across the full multi-domain picture, not just what any single platform can see. Next, plan. The system autonomously optimizes collection strategy across the fleet. Which platforms reposition? Which sensors should re-task? Which domain requires increased coverage? These decisions are made against the mission objective, not against platform health alone. Next is act. SkyWeaver executes cross-platform tasking, generates geospatial intelligence products, triggers alerts, and populates the customer's Palantir Foundry environment with finished correlated intelligence ready for analyst consumption. Last is adapt.

When the environment shifts, when a platform goes offline, when a new area of interest emerges, SkyWeaver re-optimizes across the remaining fleet in real-time without requiring operator intervention. This is the capability that matters most when communications are degraded and human reaction time is too slow. Defense and intelligence customers execute every ISR platform using the TCPED cycle, tasking, collecting, processing, exploiting, and disseminating. The question they are always asking is how much of that cycle requires human labor and how fast can it execute under operational stress? Legacy ISR architectures automate collection and stop there. Everything downstream of collection still requires human operators pulling data to the ground, running it through exploitation tools, and manually producing finished products for analysts. This is a slow, people-intensive process. It is the exact latency that adversaries are designed to exploit. SkyWeaver automates the full TCPED chain across the Ondas fleet.

Tasking, collection, processing, exploitation, and dissemination all run through a shared intelligence layer. Instead of raw feeds and delayed analysis, customers receive correlated decision-ready intelligence, always multi-domain and always current. No single platform ISR provider can offer that. This is the structural advantage of having an AI intelligence layer that spans the portfolio. The commercial implications of this architecture are significant, and I want to be direct about them. First, SkyWeaver changes how we price. Platform autonomy is priced on hardware and flight hours. Mission autonomy is priced on intelligence outcomes delivered. That shift from a hardware and services model to an outcomes and software model compresses the cost curve while expanding revenue per mission significantly. Second, SkyWeaver scales with the portfolio. Every new platform Ondas brings to the market is a new node in the intelligence network. The value of the network grows with each addition.

This is a compounding dynamic that a single platform competitor cannot replicate. Third, SkyWeaver creates switching costs. Once a customer's operational architecture is built around Palantir Foundry and led by SkyWeaver-enabled Ondas platforms, the intelligence products, the workflows, and the analytical infrastructure are all integrated. This is not a program. This is an operational dependency. SkyWeaver is the reason our platforms become more valuable together than they are separately and more valuable to the customer over time as the fleet grows. Initial integrations across the Ondas portfolio are targeted for the fourth quarter of 2026. We are on plan, and we expect to share program-specific milestones as we progress. The fastest way to build a defensible advantage in this market is execution velocity, and the Palantir partnership is increasing our speed on multiple fronts at the same time.

First, we are building a suite of AIP applications that connect how we plan missions, manage programs, and operate fleets. The work is already improving operating cadence because teams are moving through shared auditable workflows instead of stitching together disconnected tools. Just as important, through our deployment of Warp Speed, we are enhancing efficiencies and scalability across critical operations, which will ultimately be deployed across Ondas. These AIP applications developed via Warp Speed will also enable us to integrate acquired companies faster. With Palantir, we have built agents that integrate ERPs, MRPs, engineering workflows, and financial workflows. This means within days of closing an acquisition, we can deploy agents and start realizing efficiencies and synergies within weeks. Second, we are pairing build with capture. We are coordinating joint customer engagement and program pursuits so the platform story shows up consistently in how we qualify opportunities, share requirements, and compete.

That matters because integrated ISR programs are won as architectures and operating concepts, not as one-off payload demonstrations. Third, we are coordinating strategic growth. The partnership is helping us define repeatable integration patterns that make future acquisitions easier to absorb into a common operating layer faster and at lower friction. The important point is the timeline. We only started working with Palantir in January, we have already moved from roadmap to deployed capability in a matter of weeks. Each release improves internal efficiency, strengthens our data foundation, accelerates the next release. That compounding cycle creates a moat. It is difficult to replicate quickly because it combines software, workflows, and operational learning all tied into real missions and real customer needs. Eric, I'll hand it back to you. Thank you.

Thank you, Ryan, for providing the deep insight into our software and agentic AI development. As Ryan outlined, adaptive agentic AI will be a force multiplier to transform autonomous ISR platforms into autonomous intelligence systems with massive benefits to efficient decision-making and superior outcomes. I am happy Ryan was able to share this update and encourage our investors to watch where we take this capability going forward. Let's now turn to our outlook for the balance of 2026. I will start with providing an update on our strategic growth program. We will touch on our capital allocation priorities and then provide an updated outlook for our P&L targets. So far in 2026, we have closed. As shown on this slide, the current pipeline represents more than $500 million in potential annualized revenue opportunity. Importantly, we believe our strategic growth program is highly accretive to shareholder value.

This is not simply about adding revenue. We are acquiring differentiated technologies, strong leadership teams, customer relationships, and operational capabilities that strengthen the broader Ondas platform. As we integrate these businesses, we believe we create what we have described as a double dip of value creation benefiting from the acquired company itself, purchased at an attractive valuation, while also accelerating growth through the scale and reach of the Ondas operating platform. I also want to address a narrative we occasionally see suggesting Ondas is simply buying revenue and the acquisitions are financially oriented and dilutive without creating economic value. We fundamentally disagree with that narrative, which we think demonstrates highly superficial analysis. It totally disregards the technology platforms, the operating scale and ecosystem development, and the financial outcomes inherent in our strategy.

In my opinion, the economic value we are creating is significant and compounds over time in a very powerful manner. We believe we are demonstrating that, and of course, we need to continue to demonstrate that to you, and I believe we will. It's only been a few quarters since we launched our strategic growth program, and the data suggests we have the right strategy and financial model. Looking ahead, the pipeline continues to mature significantly, particularly in the U.S. The additions of Mistral and World View have materially strengthened our ability to pursue larger and more strategic opportunities tied to our multi-domain ISR roadmap and broader systems of systems strategy. As we evaluate opportunities going forward, we remain disciplined and focused on transactions that expand our operating scale, strengthen our technology leadership, and deepen the strategic value of the Ondas platform.

In short, we believe our Core + Strategic growth strategy remains a powerful driver of long-term shareholder value creation, and we are highly confident in the direction of the business as we continue to scale. I want to spend a few minutes discussing our capital allocation strategy and why we believe our balance sheet represents a significant competitive advantage for Ondas. As we have discussed throughout this presentation, exceptional technology is essential to winning in our markets, but technology alone is not enough. Customers increasingly require scaled operating platforms capable of delivering, supporting, and sustaining mission-critical systems globally. At the end of the day, we believe the companies that win in defense and security markets will be those that combine differentiated technology with strong go-to-market infrastructure, operational scale and efficient access to capital. Building that type of platform requires substantial resources and long-term investment capacity.

We view our balance sheet as a strategic asset and a powerful lever for growth. It is highly valued by customers, employees, and strategic partners. It is increasingly opening larger and more impactful opportunities for Ondas across the market. Importantly, we intend to put this capital to work thoughtfully and strategically on behalf of shareholders. First, we will continue investing in the operating platform to support growth and scale the business efficiently. Second, we will continue executing our strategic growth program. Based on our current capital position, we estimate that Ondas has the capacity to support more than $4.2 billion of M&A activity, assuming an approximate 2-to-1 equity-to-cash structure.

Using target acquisition multiples of approximately 2.5x-4x projected 2027 revenue, that translates into the potential to add between $1 billion and $1.8 billion of incremental annualized revenue as our M&A capacity is deployed. Importantly, this strategic growth opportunity will be incremental to the large and rapidly growing business we have already built today. We believe this demonstrates the scale of the opportunity in front of Ondas and our ability to accelerate our leadership position across critical defense, security, and autonomous systems markets while continuing to build a powerful financial model. At the same time, we will remain disciplined. Maintaining a strong balance sheet is integral to our strategy, our credibility, and our long-term success, and we believe it will continue to be highly valued by customers, partners, and investors alike.

Let me now turn to our updated outlook for 2026. Based on the strong start to the year and the momentum we are seeing across the business, we are increasing our 2026 revenue target to at least $390 million, up from the $375 million outlook we shared just seven weeks ago. We believe we have strong visibility into this target, supported by our backlog of over $450 million and a growing global customer pipeline. We also expect our strategic growth program to be meaningfully additive to the outlook during the second half of 2026. As shown on the chart to the right, we expect revenue contributions across all of our major platforms and market verticals.

We currently expect aerial security and ground systems to represent the largest contributions, though we continue to see strong demand trends across the broader systems of systems portfolio. As many of you know, building a strong long-term financial model is critically important to us. We believe shareholder value creation ultimately requires not only rapid growth, but also substantial profitability and strong returns on capital over time. At the same time, we are operating in very large and rapidly expanding markets, and we believe it is important to continue investing aggressively in the growth opportunity in front of us. As we discussed earlier, we are very pleased to have achieved EBITDA profitability at the product company level two quarters ahead of our prior expectations. We currently expect product company profitability to continue through 2026 and beyond, although quarterly results may fluctuate based on product mix and investment priorities.

Importantly, this progress allows us to accelerate our expectations for profitability at the broader OAS level as well. We now expect OAS to achieve EBITDA profitability in the first quarter of 2027, six months ahead of our prior target. At the Ondas Inc. and OAS levels, we do expect operating expenses to continue increasing during the first half of 2026 as we invest in leadership, infrastructure, systems integration, and operational scale to support a much larger enterprise. We believe these investments are essential and will drive meaningful operating leverage as revenue continues to scale. Overall, we believe our outlook reflects a business with strong visibility, accelerating momentum, improving financial performance, and multiple opportunities for upside through 2026 and beyond.

More broadly, we believe the unmanned systems and autonomy markets are transitioning from development to scale deployment while still remaining early in what we expect to be a long-term global adoption cycle. We believe that creates a generational opportunity for leaders in the space and reinforces our conviction in the core plus strategic growth strategy we are executing today. With that said, I want to thank you again for spending the time with us. Operator, we will now move to take investor questions.

Thank you. We will now begin the question-and-answer session. To ask a question you may press star then one on your touchtone phone. If you may need to use speaker phone, please peak up your handset before pressing the keys. If at any time your question has been addressed, and you would like to withdraw your question, please press star then two. Our first question for today will come from Austin Bohlig with Needham. Please go ahead.

Hey, guys. Thanks for taking my question, and congrats on the solid results. Eric, I just first had a question regarding the organic growth rate. Really strong growth in the Airobotics business, 260% year-over-year. Is that how we should think about organic growth rate, or how do you guys think about it?

Austin, thanks for the question. The way I'm thinking about it is core growth is very strong, and I think we're gonna be able to show you metrics like that, as we're moving through the year. Another metric I'll share, which we didn't put into the prepared remarks, was our sequential growth. I highlight that because in Q1, you know, we were comping against, you know, a portfolio that included new companies, such as Sentrycs.

We, the sequential gross was 32.8% Q1 versus Q4. Some more context is, I'll recall, like, we may have discussed this on our last call, that the pro forma revenue for all the companies we owned at the end of 2025 as if we pro forma for as if we owned them on day one, so for the full year was $90 million. If you remember, at our analyst meeting in January, we had our initial guidance for $175 million on the year. We're outperforming that, so you can kind of think of core growth as 100% starting in the year. Like I said, we're trying to do better. So that's the way I would look at it, Austin.

All right. Thank you. I guess just my follow-up is, looking at the larger backlog number, kind of one, how should we think about that translating into revenues this year? Secondly, it seems like a big bulk of that backlog number is related to the Mistral acquisition and the sizable UVision contract you guys have. How do you guys think about that big, almost billion-dollar contract translating over the next couple of years?

That remains to be seen, of course. We do think that there's a well-funded program, and the customer has need for reorders. I think if you look at our guidance here or the, or the targets, I should say, you know, we plan conservatively there. Then, you know, specific to Mistral, and I'd also add that, you know, the quarterly cadence here, I think we'll see strong sequential growth quarter-over-quarter for Q2 and Q3 and Q4. At the moment, it's really hard to be precise about that.

All right. Well, guys, keep up the great work. Thanks for the questions.

Awesome. Thanks, Austin.

The next question will come from Amit Dayal with H.C. Wainwright. Please go ahead.

Thank you, guys. Good morning, and congrats on all the progress. Amazing to see, you know, so many things coming together for you guys. One question on the, you know, gross margin strength, Eric. You know, is the gross margin strength in the business model coming from being able to sort of customize each solution for the customer versus just having sort of a standard set of features?

Yeah, for sure. I think that's part of it. At the same time, let me just also add firstly that, you know, we're still expecting gross margins to be volatile quarter-to-quarter, and that is based on mix, and, you know, the need for us to still drive scale across the company and efficiency. We're seeing that. We had a good quarter for sure on the margin side, and we expect that, you know, our targets we've shared with you previously for better than 50% gross margins, hopefully trending higher towards 60% as we do scale, we can achieve.

I'd also add that in your question and as we're bringing systems of systems together in these total solutions, that is valuable, and that does allow us to drive margins higher over time. I think that's gonna be part of the equation. We certainly endeavor to add more software to our portfolio, and that'll help as well.

Thank you, Eric. Just follow-up, I guess is, are you targeting a certain, you know, percentage of revenues as your adjusted EBITDA results going forward? I mean, I know things are still in motion and you are still sort of, you know, normalizing operations, et cetera, and that could take time. Is there sort of a target range where you might want to come out over the next few years with your adjusted EBITDA expectations?

Yeah, for sure. I think we're all day long still focused on getting those to the 25%-30% level. Of course, we have to drive scale and efficiencies across the business. But yeah, at the same time, you know, we've been quite clear that we're investing in the business and the infrastructure, the growth platform, to capture markets. We think the reward to do that is significant because there's a massive market to penetrate, and there's some big companies and big important companies that build, we endeavor to be one of those. You know, I think in the near term, at least, and we'll keep giving you updates on this, of course, you know, the objective is not to show, you know, massive profitability.

The objective of this is to capture those markets. As we do, that's gonna lead to a much larger enterprise and a much more profitable company as we, as the markets grow and mature.

Thank you, Eric. That's all I have.

Thank you.

The next question will come from Jonathan Siegmann with Stifel. Please go ahead.

Thank you very much for taking my question. Good morning.

Good morning.

Since the last update in early February, we've had some developments in the Middle East. It's an important region for you. Could you maybe talk a little bit about some of the push-pull of, you know, creating new urgent demands and replenishment and potentially customers over there being distracted? Does that slow things down and any kind of operational difficulties of the team operating during an active war zone? Thank you.

It's a great question, and I'll start with the last part of it. You know, it's clearly there's operational challenges. It's not just about producing and delivering what we do. You know, our employees are often called to serve when conflicts heat up. That's a challenge. At the same time, you know, we are a mission-driven company, and I'm really proud of how our team can rally around this. Support each other and still drive the business forward because it's critical what we do. I'd also add, and again, this is not easy, but this is not a new environment for us, we're used to working under this pressure. Again, I'm really proud of the team.

In terms of demand, we've certainly seen demand strength in opportunities in the Middle East and Israel. I think that's not necessarily adding to the near-term revenue. I think what you'll see us continue to do, as appropriate, is to prioritize these urgent needs, you know, for the customers who are faced with the conflict and securing their countries and their populations. That's, you know, how some of those dynamics are playing out.

Thank you. Maybe over here in the U.S. with Mistral now in the fold, congratulations for that.

Thank you.

I mean, can you provide a sense of what existing Ondas products could be produced there? What's the sense of what does 46,000 sq ft give you in terms of revenue capacity at that facility? Thank you again.

Yeah, great question, Jon. I don't have that number in terms of capacity other than I'd say, you know, we certainly can fill it, and we're gonna be looking to potentially expand that capacity with Mistral. Of course, we're also using other partners and supply chain folks to help support our growth. I think for Mistral, when we're talking about localizing the technologies for Ondas that have been developed and matured in Israel, we're really focused on probably out of the gates here, the counter-drone systems and some of the ground robotic systems we have.

Thank you.

Thank you.

The next question will come from Max Michaelis with Lake Street Capital Markets. Please go ahead.

Hey, guys. Great quarter, and thanks for taking my questions. First one from me. You went over in the, in the presentation, I think it was 45 programs for potential program revenue of $4.3 billion. Can you help give us a sense of sort of what the internal expectations in terms of like a win rate around those programs are? I'm sure you guys are a good fit for all of them, but sort of give us an idea on what we could expect or what you guys are expecting out of those 45 programs.

Yeah, Max, it's a good question, and it's really hard to be precise, because it is a diversified, a target list there. Each one has a different p-win, as you know. I think what we'd like to do is, as we're moving through the year, give you a little bit more granular detail on that, as we're progressing and maturing the companies that are joining our portfolio.

Okay, perfect. Just with Mistral and that closing, can you kind of give us an idea on how some of the conversations with the DoD and then special operations have evolved since you guys completed that merger?

Sure. You know, I think this is just business as usual, firstly. Secondly, what we communicate to customers and partners is that, you know, Mistral is now, you know, an even better partner with more resources. We're investing in outcomes with these customers. I think the feedback, the response we're getting from the marketplace has been very strong.

Awesome. Thanks.

Thanks, Max.

The next question will come from Mike Latimore with Northland Capital Markets. Please go ahead.

Great. Thanks. The SkyWeaver program, very interesting. Can you help clarify a little bit how that relates to, like, Maven? It feels like Maven's part of mission autonomy as well. Just kinda maybe think of how SkyWeaver would relate to a Maven platform. Then as you talk about, you know, charging for outcomes versus maybe the traditional point product route, you know, how much do deal sizes expand then?

Yeah, that's great. I'll ask Ryan to answer that.

Yeah, great question. When we think about SkyWeaver and how it relates to Maven, what we're focused on is creating an agentic AI solution specifically in the intelligence, surveillance, and reconnaissance space. Ultimately takes advantage of the Maven architecture for disseminating that integrated intelligence product. If you think about the Ondas portfolio and having multiple domains, collecting intelligence and applying agentic AI, we're producing a fully integrated and reasoned intelligence product that ultimately can be delivered fast and exactly to the right person via Maven. You know, when I think about it, you know, SkyWeaver can't operate without Maven, and Maven ultimately benefits from the existence of SkyWeaver.

Great. Great. Then just charging on outcomes versus the traditional route, how much do deal sizes potentially expand?

Yeah, I don't-

It's a very-

Yeah, Ryan, I just say, you know, I'd like you to expand on the business model in around the ISR as a service.

Yep

I don't think it's necessarily outcome where, you know, we provide certain intelligence and, they pay us more, right? Anyway, Ryan, can you add to this?

Yeah. Today, for a good majority of the ISR that's collected, especially in conflict, it's done through a COCO ISR services model, a contractor-owned, contractor-operated, ISR systems. What we see as the opportunity is by having an integrated and multi-domain ISR solution, we can ultimately offer, you know, multiple domains via a single contract. Instead of having to contract for just stratospheric balloon ISR or tactical UAS ISR, we can offer a full domain solution or a multi-domain solution and have it fully integrated via SkyWeaver and leverage common operators, common sensors, common field support, which, you know, decreases cost, ultimately decreases price. For us, also increases margins. You know, I expect that as we continue to roll out our multi-domain ISR capability, deal sizes will go up.

Okay. Thank you.

The next question will come from Matthew Golinko with Maxim Group. Please go ahead.

Hey, thanks for taking my questions. Maybe just following up on a prior question. Eric, I think you mentioned trying to expand software content in your mix. Can you maybe go a little bit further into how you get there?

Well, for sure. You know, I'll ask Ryan to support this, because a lot of this is in and around the ISR. More broadly, you're seeing us, both internally, develop software on command and control and the integration of our systems. We showed one of those systems, IRON-WAVE, in a video. There you saw us combining, you know, our ground capabilities with our aerial and counter-drone capabilities. You know, as we're doing that, the C2 around that, you know, becomes critically important. We're doing that in a variety of ways. Ryan, can you expand on that as it relates to SkyWeaver.

Yeah. So SkyWeaver's both a product that will be deployed on Ondas platforms, but it's also a set of solutions that can be deployed on other platforms. It creates a software product, along with software licenses, you know, that increases the, you know, the software revenue that will be available to us. In addition to that, you know, we see it as one of those solutions where, you know, it's an additional item in our bill of materials, you know, that will benefit from licenses as we deploy our systems to customers, and specifically through those COCO ISR services contracts. You know, there will be a continued set of features that are added to SkyWeaver that create additional software licenses, and therefore software gross margins, through a lot of those contracts.

All right. Matt, I'll add that, you know, you'll hear more about this as we're moving through the year. Also in our strategic growth pipeline, we have, you know, some interesting things that we're looking at that are software related.

Thanks. I guess my follow-up would be on IRON-WAVE. I was hoping that maybe you covered this, but is the development of that and subsequent systems sort of more reactive to customer demands, or are you proactive just trying to skate to where the puck is going next?

We're absolutely proactive. You know, we think we have opportunities to define and really lead the integration of these various domains. I'll ask Meir Kliner to share more context as to how the Iron Drone and other elements of this are coming together, because it's not just Iron Drone. We have more in the pipeline to share as we're moving through the year in terms of systems of systems and integrated solutions. Meir?

We took most of our tech company's technology and combined everything together under one roof. Here, as Eric mentioned, system of system, if we're talking about IRON-WAVE, we're talking about counter-UAS, mobile counter-UAS that integrate together, C2 as a brain.

Did we lose Meir?

Pardon me, I think we lost Meir.

Okay. All right. You know, I guess I'll just try to piggyback. I, you know, we did talk about this a bunch, and you'll hear more. You know, the critical part of this is integrating them, you know, on the hardware level, in a system and form factor that's effective and can be deployed. As Meir started to talk about, you hear more about this OS and brain that we're creating that can be interoperable with many of the edge technologies we have. We lost Meir, and I'm sure we'll have an opportunity to talk about this in greater detail as we're moving through the year.

Great. Thank you.

Thank you.

This will conclude our question-and-answer session. I would like to turn the conference back over to Mr. Eric Brock for any closing remarks. Please go ahead.

Okay. Well, thank you, operator. You know, as we wrap the call, I want to thank you again for spending time with us today. 2026 is off to a great start, and we are focused on sustaining that momentum throughout the year, and we look forward to providing more updates along the way. Also, as a reminder, if you're a stockholder as of April 9th, the record date, please cast your vote for the annual meeting. Your vote is important, and we appreciate your continued support. Our team's now going to go back to the important work of building the company. We hope you have a great day. Thank you.

The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

Thanks, everybody.

Welcome to the Ondas Inc Fourth Quarter and Fiscal Year 2025 Conference Call. [Operator Instructions] Before we begin, the company would like to remind you that this call may contain forward-looking statements. While these forward-looking statements reflect Ondas' best current judgment, they are subject to risks and uncertainties that could cause actual results to differ materially from those implied by these forward-looking statements. These risk factors are discussed in on this Periodic SEC filings and in the earnings press release issued on Monday, which are both available on the company's website. Ondas undertakes no obligation to revise or update any forward-looking statements to reflect future events or circumstances, except as required by law. During this call, Ondas will refer to certain non-GAAP financial measures. These non-GAAP measures are not prepared in accordance with generally accepted accounting principles. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures is shown in our press release issued on Monday, which is available at the Investor Relations section of our website. This non-GAAP information is provided as a supplement to, not as a substitute for or as superior to, measures of financial performance prepared in accordance with GAAP. A However, management believes these non-GAAP measures provide investors with valuable information on the underlying trends of our business. Please also note today's event is being recorded. At this time, I would like to turn the floor over to Eric Brock, Chairman and CEO. Please go ahead.

Thank you, operator, and good morning. We appreciate you joining us today and for your continued interest in Ondas. Let me start by setting the stage for today's discussion. Simply put, Ondas is delivering a whole strategic growth plan we have consistently outlined over the past year. We are doing what we said we would do. We are seeing strong momentum across the business. Revenue growth and increasing market adoption are validating our strategy. At the same time, our acquisitions are adding meaningful strategic value and expanding the scope of what we can deliver to customers. Importantly, this is not happening in isolation. Our business strategy is actively driving the buildout of a scaled operating platform, one that is designed to support global deployment, localization and long-term growth. And as that operating platform scales, we are beginning to see it reflected in our financial model. So when you look at Ondas today, what you're really seeing is a company where strategy is translating into execution, execution is building the platform, and the platform is driving financial outcomes. We believe this dynamic positions us for significant upside as we move through 2026 and beyond. So let's turn to the agenda. I want to highlight that today's investor update will be a bit different than our typical earnings call. We're now at the end of March. And importantly, we provided a comprehensive strategic update at our OAS Investor Day in January along with additional financial and business updates throughout the quarter. So rather than walking you through a detailed recap of 2025, we're going to focus today on the transformation of Ondas and how that transformation has continued to accelerate into the first quarter of 2026. Note that we expect our prepared remarks to be on the longer side this morning, considering the significant activity at Ondas in recent months. Our goal is to give you a clear view of how the business is scaling across our technology portfolio, our expanding operating platform and go-to-market strategy and the rapid maturation of our financial model. We'll begin with a brief introduction and then discuss our new joint venture with Heidelberg, ONBERG Autonomous Systems, which is a key component of our European strategy. We'll also cover the World View acquisition announced on Monday, which is scheduled to close in Q2 2026, along with our partnership with Palantir and how, together, we are building a scalable, software-defined multi-domain ISR platform. Neil will then provide a brief financial review. After that, we will provide a brief update on Ondas Networks and then focus on Ondas Autonomous Systems and our strategic growth program and emphasize how we are creating and compounding value as we scale the business. We'll close with our outlook and then open the call for questions. I'm pleased to be joined this morning by key members of our leadership team, including Neil Laird, our Chief Financial Officer; Oshri Lugassy, Co-CEO of Ondas Autonomous Systems and Meir Kliner, President of OAS, all of whom are quite familiar to you. Neil and I will lead today's presentation, and we'll aim to be efficient with your time. Oshri and Meir will be available during the Q&A to address questions, particularly details around our technology platforms, operations and growth initiatives. I will continue now by highlighting the momentum we are seeing across the business and importantly, how that momentum is accelerating into 2026. Starting with 2025, we delivered strong performance across both our core business and our strategic initiatives. We generated over $50 million in revenue, well ahead of our earlier targets and exited the year with a significantly expanded backlog, reflecting growing customer demand and market adoption. At the same time, we are raising our 2026 revenue outlook to at least $375 million, representing a substantial step-up from prior expectations. This reflects both the strength of our core business and the impact of our strategic growth program. Importantly, we are investing ahead of that growth, particularly in the first half of 2026, to support what we expect to be a significant revenue ramp in the back half of the year and beyond. On the strategic side, we've made meaningful progress accelerating the build-out of our systems-of-systems platform. In the first quarter alone, we announced 5 accretive acquisitions that expand our capabilities across multiple domains, while also enhancing our financial profile. We've done this with a highly attractive capital position ending the year with a pro forma cash balance of over $1.5 billion, which gives us the flexibility to continue executing our strategy at scale. And finally, we've continued to invest in leadership and operational infrastructure to ensure we can integrate and scale these capabilities effectively. So when you step back, what you see is a business that not only exceeded expectations in 2025, but has also accelerated its strategic road map, and we are carrying that momentum into 2026 with a high degree of confidence. I'm excited to introduce ONBERG, our European joint venture with Heidelberg, a key step in Ondas' global expansion and our localized go-to-market platform for Europe. Delivering defense and security solutions today requires more than advanced technology. It demands local manufacturing, talent, and alignment with national and regional priorities. This is especially true in Europe where defense spending is rising to rapidly deploy modern capabilities, including unmanned and autonomous systems. ONBERG is our answer to this market need. This joint venture with Heidelberg, a leading German industrial platform provides local manufacturing, engineering and life cycle support that meet European sovereignty requirements. Heidelberg's established relationships with government and defense procurement channels across Germany and NATO and aligned customers further strengthen our position. By combining Ondas systems-of-systems expertise with Heidelberg's local infrastructure, we're creating a sovereign aligned platform ready to deliver large-scale programs across the EU. ONBERG has already identified strong demand for OAS platforms, particularly in Germany and Ukraine where requirements for autonomous systems are immediate. Strategically, ONBERG enables us to participate directly in European programs as a localized provider critical to winning in this market. Financially, ONBERG represents significant upside. While our current European business is growing, our forecasts do not yet include new incremental revenue from ONBERG. As ONBERG becomes operational in the coming months, we expect it to drive meaningful growth beyond our existing targets. Ondas holds a 51% controlling interest in ONBERG ensuring we capture the value as the platform scales. So overall, ONBERG is an important extension of our global strategy. Localizing our platform, expanding our addressable market and positioning Ondas to participate in one of the fastest-growing defense markets in the world. Let me now turn to what we believe is one of the most important strategic developments for Ondas, the acquisition of World View and our partnership with Palantir. Starting with World View. This acquisition brings a unique and highly strategic capability into our platform, persistent sensing in the stratosphere. The stratosphere sits between traditional airspace and low-earth orbit and it is increasingly being recognized as a critical domain for defense, homeland security and commercial ISR applications. By adding this stratospheric layer, we are accelerating the build-out of our systems-of-systems architecture expanding from ground and air into a truly multi-domain ISR platform. Now equally important is how this capability is being integrated, and that's where Palantir comes in. We are very excited about our partnership. We believe Palantir is one of the most important force multipliers for Ondas as we scale this platform globally. Through this relationship, we have access to Palantir's full AIP software stack from operational platforms like Warp Speed and Foundry to mission-critical systems, including Maven and advanced command and control capabilities. This enables a software-defined ISR architecture or data across stratospheric aerial and ground systems is fused in real time into actionable intelligence. Importantly, this is not just technology integration. It is an active commercial partnership. We are already working together on market development, pursuing tailored solutions and program opportunities where our combined capabilities are differentiated. Palantir is also engaged strategically as we expand our layered ISR platform helping shape how we scale over time. So when you step back, the combination of World View, Ondas and Palantir is creating something unique, a scalable, multilayered ISR platform that integrates sensing, data and decision-making into a unified operational system. We believe this platform positions us extremely well for the next generation of defense and intelligence programs, and we expect this partnership to be a meaningful driver of upside as we move through 2026 and into 2027, accelerating our ability to penetrate what we see as a large and high-value market opportunity for layered ISR systems at scale. Before we go deeper into the World View platform and how it fits into our broader ISR strategy, I want to take a moment to introduce Ryan Hartman, President and CEO of World View. The entire Ondas leadership team, including Oshri and myself, is excited to partner with Ryan and the World View team as we accelerate our systems-of-systems road map. Ryan is a true industry pioneer with critical experience across Raytheon and Insitu as well as serving as the UAS representative on the FAA NextGen Advisory Committee and on the FAA Drone Advisory Committee. He brings a proven track record of scaling advanced aerospace technologies into real-world mission-critical deployment. We believe Ryan and his team will be instrumental in scaling this platform and capturing the significant opportunities ahead, particularly in the United States as we expand across defense, intelligence and homeland security markets. Ryan will walk you through the World View platform, including the Stratollite system, key use cases and how this integrates into our broader software-defined multi-domain ISR architecture. He'll also touch on how our partnership with Palantir is helping us accelerate market development and expand program opportunities. Ryan, over to you.

Thank you, Eric. The team at World View is thrilled to join forces with Ondas and excited about working closely with you and the entire leadership team across Ondas and OAS. I also appreciate the opportunity to be here today with our investors. I'm excited to share our vision for an interconnected intelligent multi-domain ISR ecosystem and why World View is such an important part of that future. At World View, we have helped make the stratosphere an operational domain. For a long time, the stratosphere was largely overlooked. It sits between traditional aircraft operations and space. It was understood scientifically but had not been fully operationalized for persistent sensing. That changed in a very visible way in early 2023 when a Chinese high-altitude balloon incident reshaped how governments think about the strategic importance of the stratosphere. World View is uniquely positioned to meet the growing demand for stratospheric intelligence, surveillance and reconnaissance from the U.S. Department of War, Department of Homeland Security, allied governments across the world and an expanding range of commercial customers. We build stratospheric platforms that can remain over an area of interest for 30 days or more. We do that by using the 4 directional wind bands that exist at different altitudes in the stratosphere by changing altitude with ballasted air, we can navigate or station keep over a target area. It is simple in principle, but complex in execution because you are steering a month-long mission using stratospheric physics. Navigation becomes a vertical decision that creates a horizontal result. We call these platforms Stratollites. Stratollites operate in the stratosphere and often overlooked a strategically important layer of the atmosphere. They deliver a unique combination of persistence, proximity, resolution and flexibility. UAVs are precise and responsive, but their endurance is measured in hours. Satellites are global and predictable, but they operate in fixed orbits with limited revisit. Stratollites fill the gap between those 2 domains. They can deliver high resolution sensing than satellites with much longer endurance than UAVs. And we have built this as a flexible platform architecture, not a single-purpose asset. We have designed a family of stratollites in different shapes and sizes to meet different mission requirements from long duration, navigable altitude-controlled systems with high size, weight and power capacity to shorter duration tactical free float systems. On top of that, we configure payloads to the mission whether a customer needs electrooptical data, hyperspectral imaging, infrared sensing, communications capabilities or a combination of any of those and more, we can tailor the system to the objective. That configurable architecture allows us to serve a broad mix of defense and commercial missions. For maritime surveillance and in-theater operations to border security, critical infrastructure, energy, mining, disaster response and wildfire monitoring. Today, we are seeing demand expand as more customers understand the strategic and economic value of persistent sensing and insight from the stratosphere. Right now, for example, stratospheric platforms like ours are being contemplated as a key layer of the $1 trillion golden Dome system. We are also actively preparing for the inclusion of our technology in support of active U.S. Department of War operations like Epic Fury. But the stratosphere is only one domain. It offers unique advantages just as UAVs, land systems and space-based assets offer their own unique advantages. Even within the UAV segment, different classes of systems serve very different operational needs. And that is exactly what both World View and Ondas recognized independently and early. World View's vision has been to move beyond a single domain sensing company and build toward a broader, integrated multi-domain AI-powered ISR architecture. Ondas has been pursuing a highly complementary vision, building a portfolio of autonomous systems across adjacent domains with the same underlying belief that the future of ISR is not platform by platform, it is networked, interoperable and decision centric. That shared vision is why joining forces made so much sense. This is not a case of one company plugging into another company's road map. It is the combination of 2 companies that we're moving toward the same future from different points of strength. World View brings the stratospheric layer and a heritage of persistent sensing, Ondas brings complementary autonomous systems and a heritage of building toward multi-domain integration. Together, we can move faster and build more cohesively than either company could alone. Because the broader ISR market still has a structural problem today. Across the industry, most systems still operate in walled gardens, separate data feeds, separate tools, separate teams, separate time lines. Customers are left stitching together fragments just to understand what is happening, let alone act on it. The operator should not have to carry which domain the data came from. The operator should care whether the decision is right, fast and accountable. By joining forces with Ondas and through our recently announced partnership with Palantir, we are building a true system of systems, unified intelligence with one operational picture. That means one workflow language and one set of decision loops that can task the right asset at the right moment. If you need persistence and proximity, the stratosphere can hold station and support edge inference close to the area of interest. If you need precision and rapid tactical response, a UAV or land-based system can execute the mission. If you need broader context, additional domains like satellites can complete the frame. What makes that multi-domain picture operational is the Palantir-powered AI infrastructure we are building underneath it. At the operations layer, it helps increase efficiency across planning, production, mission management, and fleet coordination by connecting workflows that are often fragmented today. At the mission layer, it enables edge inference that can ingest, fuse and contextualize data from across these domains into a single operational picture. The result is not just more visibility. It is decision-ready insight that helps operators understand what matters, act faster and do so with greater confidence. Operationally, this also creates a more unified structure that allows the portfolio of companies to maintain their platform-centric expertise while benefiting from a common ISR tool set, shared tasking, processing, exploitation and dissemination workflows and shared support functions where that creates leverage. The simplest way to think about it is this, we are connecting persistence, autonomy and AI into one operational workflow in a way that has not existed before. We are building what we call an interconnected intelligence ecosystem. In practical terms, that means connecting platforms, sensors, software and operators so customers can move from data to decisions faster. And that is where we believe the market is going. It is not enough to collect more data. The value is turning that data into decisions faster, more coherently and across domains. We believe the future of ISR is multi-domain interoperable and decision centric. World View brings the stratospheric layer, Ondas brings complementary autonomous systems and Palantir brings the software and AI backbone. Together, we're building a more connected way to operate. Eric, I'll hand it back to you. Thank you.

I will now hand the call to Neil to provide a detailed financial update.

Thank you, Eric. We are pleased to report strong fourth quarter and full year results, which we believe represent an inflection point in the growth of the business, both organically and through our strategic growth program. We believe these results validate both the strength of our core business and the scalability of our operating model as we move into a significantly larger phase of growth. Revenue in the fourth quarter was $30.1 million up 629% year-over-year and nearly 200% sequentially from the third quarter. This performance was at the high end of our preliminary guidance and reflects strong demand across our Ondas Autonomous Systems segment. Importantly, organic revenue growth was also strong, increasing 63% year-over-year, driven by continued deliveries of Iron Drone and Optimus systems. Gross profit was $12.7 million, representing a 42% gross margin, a significant improvement from 21% in the prior year and 26% in the third quarter. This reflects both favorable product mix and the benefits of scaling revenue across our cost base. Operating expenses increased to $36.1 million, driven primarily by investments in personnel and infrastructure to support the scaling of our operating platform as well as increased activity related to our acquisition program. We view these investments as intentional and necessary to support the significant revenue growth we expect in 2026 and beyond. Let me briefly address the movement in other expenses during the quarter, which was primarily driven by a noncash accounting item related to our October 2025 financing. As a result of the structure of that financing, certain warrants are required to be classified as a liability and mark-to-market each reporting period using a Black Scholes valuation methodology. In the fourth quarter, this resulted in a noncash charge of approximately $82.2 million, which is reflected in other expenses. Importantly, this charge is purely accounting-driven and does not impact our cash position, operations or the underlying economics of the business. The valuation of these warrants can fluctuate meaningfully from period to period based on factors such as our stock price, volatility assumptions and time to maturity. And as a result, we expect this line item to introduce variability into our reported earnings going forward. We believe it is important for investors to focus on the underlying operating performance of the business, where we are seeing strong revenue growth, expanding backlog and continued execution of our strategic plan. I also note that this noncash charge was partially offset by approximately $10.7 million of other income, primarily driven by interest earned on our cash balances following our recent capital raises. Cash operating expenses were $23.6 million. A summary of cash operating expenses was included as a table in our earnings release and as an appendix to this presentation. Net loss for the quarter was $101 million driven by the $82.2 million noncash charge related to warrants discussed above. Adjusted EBITDA was a loss of $9.9 million compared to $7 million in the prior year. Overall, the financial results reflect a business that is scaling rapidly, investing ahead of growth and beginning to demonstrate the operating leverage embedded in our model. Turning to our full year results. For 2025, we generated $50.7 million in revenue, representing 605% growth compared to $7.2 million in 2024 and at the high end of our previously issued guidance range. This level of growth reflects both strong execution in our core business and the early impact of our strategic growth program. Full year gross margin improved significantly to 40% compared to 5% in the prior year, driven by higher volumes and improved product mix, particularly in the fourth quarter. For the full year, other expense was primarily driven by the previously discussed noncash warrant revaluation related to our October 2025 financing, resulting in an $82.2 million charge for the year. As noted, this is a mark-to-market accounting adjustment with no impact on our cash operations or underlying business performance and may introduce variability in reported results going forward. This noncash expense was partially offset by approximately $7.7 million of other income, primarily from interest earned on our cash balances. Cash operating expenses were $53 million, net loss for the year was $133.4 million with the warrant accounting and other noncash expenses being major contributors to the increase year-over-year. Adjusted EBITDA for the full year was a loss of $31.3 million compared to a loss of $28.5 million in 2024, reflecting increased investment in personnel, infrastructure and integration to support the next phase of growth. Now turning to our cash flow and capital position. We ended the year with $594 million in cash, cash equivalents and restricted cash compared to $30 million at the end of 2024. As Eric noted earlier, following our recent capital raise, our pro forma cash balance is over $1.5 billion providing significant financial flexibility to execute our growth strategy. Cash used in operating activities for the full year was $38.7 million compared to $33.5 million in 2024. This includes approximately a $10.7 million increase in accounts receivable in line with revenue growth. Cash used in investing activities was $260 million, the majority of which approximately $207 million was deployed into acquisitions as part of our strategic growth program. In addition, we invested approximately $51 million into short- and long-term investments including a number of strategic investments. These investments are aligned with our broader platform strategy. They support key partners, enhance access to critical technologies, improve supply chain efficiency, and we believe will generate attractive returns over time. Cash provided by financing activities was $863 million, primarily from our equity offerings throughout the year along with proceeds from warrant and option exercises. Looking ahead, we expect cash efficiency to improve over the course of 2026 as revenue and gross profit scale. We do expect higher cash usage in the first half of the year, reflecting continued investment ahead of growth. However, as we move through the second half, we expect to see meaningful improvement driven by operating leverage particularly within our OAS segment. Turning to the balance sheet. We believe Ondas now has one of the strongest balance sheets in the sector and a key competitive advantage as we scale the business. We ended the year with $594 million in cash and following our January equity raise, our pro forma cash position increased to approximately $1.5 billion. This provides us with significant financial capacity to execute on both our organic growth and strategic initiatives. At the same time, the balance sheet was further strengthened by reducing debt by approximately $41.7 million during the year, leaving only a modest debt profile at year-end held by certain subsidiaries, including Ondas networks. The previously discussed warrant liability was recorded at $489 million at year-end. And again, this liability is expected to fluctuate higher and lower perhaps significantly quarter-to-quarter based upon Ondas share price and other value is relevant for Black Scholes valuation and quarterly changes in this measure will result in noncash impacts on our GAAP net income. As a result, our shareholders' equity has increased to approximately $441 million compared to just $17 million at the end of 2024. So overall, we've significantly improved both the scale and the quality of the balance sheet, positioning the company with a capital flexibility and cost of capital advantage to support our growth strategy. With that, I'll turn the call back over to Eric.

Thank you, Neil. I want to take a moment to expand on what Neil discussed regarding our balance sheet and liquidity because we believe this is a key differentiator for Ondas. We are benefiting from strong and growing investor support. That support is reflected not only in the strength of our balance sheet, but also in our continued access to capital and a clear cost of capital advantage relative to many subscale competitors in our sector. Since June of 2025, we have raised approximately $1.8 billion including the $1 billion financing we completed in January of this year. That January financing was led by a large U.S.-based institutional investor who knows the Ondas business well and has been a long-time supporter of the company. Importantly, the prefunded warrants associated with that financing have been fully exercised and are in the share count, and we believe the investor currently holds less than 5% of our outstanding shares. More broadly, we are seeing continued growth in our institutional ownership base. Based on Capital IQ data, institutions now hold approximately 33% of our shares. We are actively working to further broaden that base. And we believe Ondas is well positioned for inclusion in additional indices, including the Russell 2000 as we move through 2026. So overall, we see our capital position and investor support as a meaningful competitive advantage, one that enables us to execute our strategy at scale. Let me briefly touch on Ondas' networks. 2025 was an important year for Ondas Networks, highlighted by the formal adoption of our IEEE 802.16 or .16, technology by the Association of American Railroads, as the communications protocol for the next-generation Head of Train/End of Train standard. This is a significant milestone and reflects years of development and validation, including our ongoing collaboration with MXP Rail. More broadly, the AAR has now signaled its intent to adopt .16 across all of its communications networks, which we believe confirms Ondas Networks position as a foundational technology provider for next-generation rail communications. This is a very important development given the large total addressable market with the Class 1 rails in North America and underpins what we believe is substantial value underlying Ondas' networks software-defined networking capability and the network upgrade opportunity that will eventually accrue to Ondas shareholders. From a commercial perspective, we are seeing continued progress with interest in 160 megahertz accelerating from many parts of the industry. We are now engaged with all Class 1 railroads and are advancing multiple infield proof-of-concept deployments particularly around 160 megahertz network applications. These efforts are generating strong feedback, and we expect to begin converting these into commercial opportunities in the second half of 2026. At the same time, ACSES radios for Amtrak are now in production with initial deliveries expected to be completed in the first half of the year. While we are disappointed in the time lines with respect to driving network deployments with our rail customers, we continue to see meaningful long-term value in the Ondas Networks business. As adoption of .16 expands and commercial deployments begin to scale. Of course, we are working to realize that value for our investors, and we think we will make measurable progress in 2026. Let me now turn back to Ondas Autonomous Systems and the broader platform. As we outlined at our Investor Day in January, we are executing against a clear plan across both our core business and our strategic growth program and we are making strong progress. We've already covered our 2025 performance at the OAS Investor Day in January. So rather than revisit that, I want to focus today on how the business has evolved and transformed in the last few months. Specifically, I want to walk you through how we've expanded our technology and capabilities, how we are now positioned across multiple high-value market segments and how we have significantly broadened our operating platform. What you'll see in the next few slides is the result of that transformation, how Ondas is evolving into a scaled multi-domain autonomy platform with the ability to deliver integrated solutions at a global level. This is where the strategy becomes visible in the platform we've built. As depicted on this slide, Ondas has undergone a significant transformation in just the last 9 months. I want to highlight the 5 new acquisitions from Q1 2026, Rotron, Mistral, BIRD, INDO Earth and now World View, which have materially expanded both the scope and scale of our platform. Ryan Hartman and I shared details regarding World View and the strategic fit and road map earlier. We will also provide some context for the other acquired companies a bit later on the call. But make no mistake, these acquisitions are not just additive. They are highly strategic. We are adding mission-ready technologies, established customer relationships and exceptional talent across multiple domains. This is accelerating the build-out of our systems-of-systems architecture and expanding our ability to deliver integrated solutions at scale as these companies are also accelerating the scaling of our operating platform. At the same time, this transformation is having a direct impact on our financial model. We are building a significantly larger backlog, increasing our revenue base and expanding our gross profit pool, all of which support operating leverage as we scale and that operating leverage is what ultimately drives our path to profitability. So this is not just about growth. It's about building a platform that can scale efficiently and generate strong financial outcomes over time. This is a step change in the scale and maturity of the Ondas operating and financial platform. Just 12 months ago, Ondas Autonomous Systems was primarily focused on 2 markets: ISR and counter UAS with 2 core platforms: the Optimus system and Iron Drone Raider. Today, that has changed significantly. Our market opportunity set has been transformed. We are now positioned across 4 high-value defense technology verticals, including Counter-UAS, ISR, loitering munitions and one-way attack systems and unmanned ground vehicles. And with the addition of World View, we've extended that capability even further into the stratosphere, adding an entirely new domain to our aerial and ground capabilities. So what you're seeing is a substantial expansion, not only in our technology base but also in the financial opportunities available for Ondas. We've moved from a focused set of capabilities into a broad multi-domain platform positioned to compete across some of the fastest-growing segments in the global defense market. This slide brings together visually everything we've been discussing. Here, you can see the breadth of our aerial and ground-based platforms, combined with the software-enabled command and control layer and AI-driven applications that sit on top. What makes this powerful is not just the individual systems, it's the integration. We are building a unified platform where sensors, effectors and autonomous systems are connected through a common C2 and software layer, enabling coordinated real-time operations across multiple domains. And with our partnership with Palantir, we are able to take that integration even further, deploying these capabilities into broader mission level systems with advanced data fusion, AI-driven analytics and decision support. So rather than offering stand-alone products, we are delivering an integrated operational capability, one that allows customers and partners like Palantir to move from data to decisions faster and to execute missions more effectively. With that foundation in place, let me now turn to how we are scaling this platform through our strategic growth program. Over the past several months, we've announced a series of strategic acquisitions that are expanding both our capabilities and our market access. These businesses play very specific roles within the OAS platform, enhancing our technology stack strengthening our go-to-market capabilities and accelerating our ability to deliver integrated solutions at scale. I covered World View with Ryan earlier in the call. Here, I want to walk through Mistral, Rotron, BIRD and INDO Earth. And highlight how these transactions are contributing to the evolution of our financial model, adding revenue, expanding our gross profit pool and supporting operating leverage. Importantly, we view these acquisitions as highly accretive, not only to our financial profile, but to the long-term enterprise value of Ondas as we continue to scale. Let me start with Mistral which has been a partner of Ondas since the second quarter of last year and is one of our most strategically important acquisitions. Mistral is a direct accelerant for our U.S. market expansion. It enables Ondas to operate as a prime contractor significantly expanding our access to major U.S. defense programs while also adding critical manufacturing and program execution capabilities. Mistral also brings meaningful market experience and customer access across UAVs, loitering munitions and ground robotics, aligning closely with the core segments of our platform. The company has already captured programs in excess of $1 billion, which we expect to generate significant pull-through revenue. We also expect Mistral to contribute meaningful backlog to Ondas upon closing, which we anticipate in the second quarter. Just as importantly, Mistral brings deep U.S. market development expertise, helping us localize our Israeli developed platforms for U.S. requirements and accelerate adoption across defense and security customers. We expect Mistral to be a meaningful driver of revenue growth and EBITDA leverage beginning in the second quarter of 2026 and continuing as we scale our presence in the U.S. market. Next, let me highlight Rotron Aerospace. Rotron significantly expands our aerial capabilities, adding long-range UAV platforms in the Talend platform, autonomous strike systems with the Defender and Stratos platforms and advanced propulsion technologies. This is particularly important as modern defense strategies continue to shift toward low-cost attritable mass scale autonomous systems that can be deployed efficiently and cost effectively in contested environments. With Rotron, we are extending our platform beyond ISR into a more complete strike and effector layer. Strengthening our overall multi-domain architecture. In addition, Rotron provides a strong local presence in the United Kingdom, where it is competing for programs, including the project break stop, a one-way effector or OWE program. Rotron positions Ondas to engage directly with U.K. and broader NATO rearmament programs, which are seeing significant acceleration. So strategically, Rotron enhances both our technology stack and our geographic reach while positioning Ondas to participate in the next generation of autonomous defense systems, where scale, autonomy and affordability are critical. Next, BIRD Aerosystems. BIRD adds a critical airborne protection layer to our platform with advanced ISR and counter UAS capabilities designed to protect both manned and unmanned systems. This is particularly important in today's environment where the increasing lethality and proliferation of low-cost UAS and loitering munitions is driving strong demand for effective airborne protection solutions across both military and security applications. At the core, our proven mission-critical technologies, including laser-based DIRCM systems, which autonomously detect, track and defeat incoming missile threats in real time, providing active protection in highly contested environments. Importantly, BIRD brings access to long cycle program of record defense budgets, supporting more predictable and recurring revenue streams, along with high-margin systems already deployed on leading global platforms. Strategically, BIRD strengthens our ability to deliver integrated ground to air defense architectures while contributing meaningful backlog, revenue and EBITDA as we scale the business. Finally, INDO Earth. INDO Earth expands our ground system strategy into military engineering vehicles, providing entry into large-scale defense procurement programs with immediate revenue contribution. This adds a scalable platform in heavy ground equipment with strong visibility into revenue and gross profit, supported by active programs and customer demand. Importantly, INDO Earth also provides a funded services platform in Israel, which we expect will support the broader OAS business and drive meaningful operating expense leverage as we continue to scale our operations in the region. Strategically, this is an important step in broadening our systems-of-systems architecture into the heavy grad segment, complementing our aerial and ISR capabilities. Over time, we see a clear opportunity to integrate autonomy and advanced technologies into these platforms, creating next-generation robotic engineering systems. INDO Earth is a great business and financial opportunity for Ondas. It not only contributes near-term revenue backlog, but also establishes a foundation for long-term growth in autonomous ground systems. Let me bring this all together. We believe these acquisitions significantly accelerate our systems-of-systems strategy while driving meaningful scale in our financial model. This is exactly how we designed our strategy from the outset. The key takeaway here is the level of accretion we are generating both to our financial model and to our enterprise value. Across these 5 acquisitions, we will deploy approximately $550 million of capital and based on our current estimates, these businesses are expected to generate approximately $230 million of revenue in 2026. We view that as a very attractive entry point, particularly given the growth profiles of these businesses and the operating leverage we expect to achieve as they are integrated into the Ondas platform. Importantly, many of these businesses, particularly Mistral, BIRD and INDO Earth have contracted revenue and/or significant backlog, a steep revenue growth curve supported by strong industry tailwinds. And meaningful expected EBITDA generation over the next 12 to 18 months. At the same time, Rotron and World View represent technology-driven platform businesses with strong long-term growth potential as adoption of their capabilities accelerates, aided by the integration with the Ondas operating platform. So this is not just about adding revenue, it's about expanding our gross profit pool driving operating leverage and enhancing the overall quality of our earnings over time. And importantly, we believe this model is repeatable. We are building a disciplined, programmatic M&A capability that allows us to acquire strategic assets at attractive valuations, integrate them into our platform and drive both growth and margin expansion. We look forward to demonstrating that value creation over time but we believe these transactions are already meaningfully accretive and will become increasingly so as we scale. Let me take a moment to step back and explain how this model works and why we believe it is both highly accretive and repeatable. It starts with identifying and acquiring customer validated technology and services platforms operating in markets and categories with strong secular growth tailwinds. In many cases, these businesses are capital constrained. They have strong products and market demand but lack the capital and infrastructure to fully scale making Ondas as an attractive partner to support the next leg of business growth and value creation that allows us to acquire them at attractive entry valuations. At the same time, Ondas benefits from a premium valuation supported by the operating platform we've built and the capital our investors have provided. That creates a favorable dynamic where we can acquire high-quality assets at attractive valuations and integrate them into a scaled platform. That's what we refer to as day one value creation but the more powerful part of the model is what happens after the acquisition. We see what we call a growth double dip. First, these businesses benefit from the underlying growth in their markets. And second, they grow faster as part of the Ondas platform through our go-to-market capabilities, operational infrastructure and access to capital. We are already seeing this in practice. Companies like Sentrycs and 4M, for example, are outperforming the assumptions we made when underwriting the acquisitions. The upside is driven by our growth double dip by virtue of their integration into the OAS platform. And beyond the individual businesses, there is also a portfolio effect. As we integrate these platforms into a systems-of-systems architecture and go to market with more complete multi-domain solutions, we create greater value for customers, which we believe will drive higher revenue and improve margins over time. So overall, this is not just a series of acquisitions or a portfolio of capabilities. Our operating and financial models drive a compounding value creation flywheel, and we believe this strategic growth program will be a major driver of shareholder value in both the near and long term. Let me now turn to how this translates into our outlook. Here, we will focus on our key operating priorities and provide context on the M&A pipeline as well as update our financial targets. Let me firstly touch on our key operating priorities as we move through 2026. At the core, we remain focused on driving order growth, expanding our backlog and delivering continued revenue growth across the business while leveraging the expanded technology base we've built. We are also continuing to invest in and advance our manufacturing capabilities to support scale and meet increasing demand. On the technology road map, advancing the autonomous border protection infrastructure program remains a major focus. This has significant strategic and financial potential, and we expect it to be an important driver for the business as it progresses. In addition, we are rapidly developing what we refer to as a Shahed killer interceptor, and we are optimistic about our ability to field the competitive system in what is becoming a very important market segment. Beyond our core road map, we have also established several new growth platforms that we believe offer meaningful upside to our current financial outlook. Importantly, we have not yet incorporated material contributions from some of these initiatives into our forecast. That includes the layered ISR go-to-market efforts with Palantir, where we are seeing encouraging early engagement and believe this could become a meaningful growth driver as programs develop. Similarly, ONBERG is actively pursuing opportunities in Germany and Ukraine. While we have not yet included revenue from this joint venture in our outlook, we are optimistic about its potential as visibility improves. So overall, we see multiple avenues for upside beyond our current plan as these platforms begin to convert into orders and revenue over time. We will surely keep you updated on this progress. Let me spend a moment on our strategic growth program and M&A pipeline. Our programmatic M&A effort, led by Mark Green continues to be highly productive. We've built a disciplined team and process that spans technical, market, financial and legal expertise, along with dedicated post-merger integration processes to ensure we can efficiently scale these businesses once acquired. As we continue to demonstrate execution, we are seeing increasing inbound interest, including from larger and more mature companies and their investors. We view this as strong validation of our platform and strategy. We believe our ability to source, execute and integrate acquisitions is becoming a core competitive advantage for Ondas. Our pipeline remains robust with over $500 million of potential revenue across active opportunities. That said, our focus is not on driving the size of the pipeline, it's on quality. We are highly selective and prioritize targets that are strategically aligned, financially accretive and that enhance our systems-of-systems road map. The opportunity set is much larger, and we are careful on how we prioritize and sequence our M&A activity. In terms of capital allocation, we've utilized equity in recent transactions as a way to align with sellers and reflect the value of the platform we are building. At the same time, we remain flexible. We will deploy both equity and cash as appropriate, while maintaining a strong balance sheet. And finally, on the topic of dilution versus accretion, our focus is always on value creation. When we issue equity, the key question is what we are acquiring in return. As we've outlined, we believe these transactions are highly accretive and we will continue to demonstrate that through our results over time. Let me now turn to our updated financial outlook. We are increasing our 2026 revenue target to at least $375 million which represents more than a doubling of the outlook we provided at our Investor Day in January. This increase reflects upside across both our core business and the contribution from the acquisitions we have announced in the first quarter. For the first quarter, we expect revenue in the range of $38 million to $40 million, representing strong year-over-year growth. The full impact of these acquisitions will build over time. In Q1, BIRD is the only newly acquired company expected to contribute meaningfully with the majority of revenue from acquisitions ramping from Q2 through the rest of the year. We also expect backlog to increase significantly in the first quarter, driven by continued order momentum in the core business as well as the addition of backlog from the newly acquired companies. From an investment perspective, we will see increased operating expenses at both Ondas Inc. and OAS in the first and second quarter of 2026, as we continue to build out the team and infrastructure required to support a much larger enterprise. We view these investments as essential to enabling the next phase of growth, and we expect them to drive meaningful operating leverage over time as revenue scales. Importantly, we are maintaining our path to profitability. We expect our product companies to reach positive EBITDA in the third quarter of 2026, followed by OAS in the third quarter of 2027 and Ondas Inc. in the first quarter of 2028. And as we begin to integrate our recent acquisitions and realize the benefits of scale, we believe there is potential to accelerate these time lines. So overall, we believe our outlook reflects a business that is scaling rapidly with strong visibility, increasing momentum and multiple opportunities for upside as we move through 2026 and beyond. Finally, the unmanned and autonomy sectors are transitioning from development to deployment with end markets still early in a 10-plus year adoption cycle and increasing urgency for industry maturity. This creates a generational opportunity for leaders like Ondas, reinforcing our focus on executing the core and strategic growth plan. With that said, I want to thank you again for spending the time with us. Operator, we will now move to take investor questions.

[Operator Instructions] Our first question today comes from Austin Bohlig from Needham.

Congrats on all the solid results. The first question I had is just given kind of the increasing conflict we're seeing in the Middle East, how has the business may have progressed or order flow or interest since that conflict began?

Austin, thank you. So without a doubt, that is driving more activity. So we're seeing more demand, more RFP, more urgency. And of course, that's also supporting the long-term thesis we have around how we're building our business and the markets and capabilities we're focused on. I'll ask Meir Kliner maybe to give some more texture to that answer. Meir?

Sure. We believe we have the right products at the right time through our tech companies we are well positioned in both ISR and counter UAS, which are the 2 of the most critical capabilities in today's operational environment. We have seen a very strong demand right now, particularly for the system that we are already proven and deployed around the world. By the way, looking ahead, we don't see this as a short-term dynamic. If anything, once the current conflicts end, there will be a broader recognition that these threats are not going away. So the budget for the government and defense organization is going to increase dramatically, and hopefully, we will be there to supply our capabilities with our tech companies. Thank you.

All right. And I guess just one follow-up for you guys. Really appreciate the color on kind of the revenue contribution from these recent and sizable acquisitions. For that 2026 kind of number you guys provided in the deck. Should we assume that's what's going to be recognized? Or is that kind of like a pro forma revenue number?

So we've given you the target of at least $375 million. We have quite a bit of visibility. We did share some details around what I do believe and I was emphasizing our conservative outlook that we underwrote for the acquired companies in Q1 and I'd highlight that those numbers are full year outlooks. So you got to consider the fact that we're going to only be consolidating the bulk of them over the last 3 quarters of the year. So that's the way to think about the math there.

Our next question comes from Jon Siegmann from Stifel.

So the multilayered ISR, I appreciate all the details on World View. It's been a challenge for the military and industry, just to stick even a single pair of these sensors together. Can you comment a bit on how the customers are going to procure this ambitious capability? And is it possible we'll see some near-term contracts? Or is this something that Ondas might participate as a prime? Or is this as a sub to Palantir or somebody else?

All right. Great question, Jon, and I'm going to ask Ryan to provide some context. Ryan?

Yes. Jon, great question. So in the near term, we expect contracts for the single domains and procuring intelligence surveillance and reconnaissance as a service from those domains. The strategy that we have for a service or a system of systems, will ultimately give us the ability to contract for multi-domain with single customers. So we're seeing movement in the customer base to procure multi-domain through single sources. And the partnership with Palantir enables us to provide a portal for customers to be able to access that multi-domain ISR. So it will take some time to build out the Palantir layer of the technology. But once that's built out, we'll be able to start offering multi-domain ISR as a service to specific customers.

All right. And I'd emphasize that the Stratollite in the stratosphere that's operational today, and it is leveraging some of the work that World View has done with Palantir so we're demonstrating the value and we do believe that we're going to be able to integrate it into other layers that Ondas has and will have in the future.

And then maybe just one on Mistral, great acquisition there. I think most of us are familiar with the HERO system. But our sense is it's more diversified than just that product line. You mentioned $1 billion IDIQ, which is the hero. Just can you talk a bit more about the other products they produce.

Yes, Jon, that's a great point. The HERO is an important product line and program from Mistral, but they do have a bunch of other active systems that they're selling and quite a lot of capabilities around that. So Meir, can you provide some more context around the other things that Mistral is bringing.

So Eric, it was hard to hear. Can you repeat the question, please?

Yes. So the question Meir is, on Mistral in addition to the loitering munitions, the HERO systems. The other revenue-generating platforms.

Yes, they have not only loitering munition, also ISR and also ground vehicle, I think that we talked about it before that we used to work in Mistral in our portfolio companies, also in the UTV and ISR drones and ground units. So I think it's the whole system. And this is specific in the segments that we are working. And this was one of our interests when we're talking about Mistral. And right now, they have the project for the ISR and not only loitering munition.

Our next question comes from Timothy Horan from Oppenheimer.

Eric, can you give us a sense of these acquisitions, what you think the organic growth rate is? And also, can you just talk about the bottlenecks to growth? Is it go-to-market? Is it your manufacturing capacity? Is it just getting yes, any color around that? And then lastly, you have some revenue targets out there for 2030. It seems like you're kind of well ahead of schedule there? Just any thoughts on that revenue target?

Yes. So I'll start with the last observation, and I agree with that. So we are quite confident with the businesses that we've put together here, the momentum we have, the success we think we're demonstrating with the model that, that $1.5 billion target is very visible. So coming back to the first question, we did -- if you look at Ondas in the core as it was ending 2025, the full year pro forma revenue would have been in the $90 million to $95 million range. So clearly, we were looking for significant growth when we started the year, and we shared that $175 million target at our OES Investor Day in January. And I would say that in our increase here to $375 million, we see that core growth even stronger. So we feel really good with our visibility, and we think the growth is going to remain significant going into '27 for sure and beyond.

And what's the bottleneck to growth? Is it -- I mean, do you have the manufacturing capacity? Do you have the salespeople?

Yes, I don't -- I mean, there are no bottlenecks to what we've laid out. But of course, we're going to have to continue -- because we have the capacity identified and we have been building aggressively the OAS platform, which we've emphasized on this call today, and we're going to continue to do that. We're also investing in integration so that the acquired companies can leverage the OAS platform out of the gates to its greatest extent. So at the same time, of course, this is quite a significant revenue ramp in business opportunities. So we're going to have to build the manufacturing capacity in partners as we're going forward. We'll keep you posted on how we're doing that. But I don't think we have any unique bottlenecks, and we can deliver what we're targeting for the year for sure.

And just lastly on World View. Are we talking thousands of balloons in the stratosphere, ultimately, our tens of thousands, hundreds of thousands, I mean, how are you thinking about this? And can you create a cellular network of these stratosphere balloons?

Yes. Great. So Ryan, maybe you could share a couple of things a bit about the as-a-service element of this and then add some details around the various payloads that we see customers engaging in and how the markets may open further for other use cases.

Yes, happy to. Thanks for the question. So the way we operate today is we provide data and intelligence as a service. And so essentially, the way that I've looked at it in the past is data is the new oil, the more data you produce and process, the more customers you can create on a per-flight basis. So when we're looking at the market, we're seeing some great movement in the U.S. Air Force moving towards a program of record. We've seen stated demand that would equate to 250 flights per year just for that 1 customer. In addition to that, we're seeing movement on Golden Dome where the stratosphere is an important layer to the overall Golden Dome architecture. Our assessment is that Golden Dome will make up hundreds of flights per year for that specific capability. And then when we think about kind of the broader market, those 2 specific customers would make up upwards of 450 flights per year. We see equivalent capabilities necessary for Australia, Canada and other allied partners around the world. And then we're building out a commercial capability as well where our technology can be used for things like oil and gas pipeline monitoring, where we can be detecting methane. And we see use cases for monitoring railways and power lines. Anything that's long linear infrastructure, the stratosphere has a unique advantage of being able to see a significant amount of that infrastructure in a single image. And having the right sensors gives us the ability to turn the stratosphere into a very useful asset for, like I mentioned, detecting things like methane, obstructions on railway, falling power lines or foliage encroachment on power lines, things like that. And then on the communications question, yes, absolutely. We can provide a unique mesh networking and/or 4G/5G connectivity from our platforms. So as we start to build out the commercial side, we'll leverage the size, weight and power of the Stratollite to be able to carry multiple sensors or multiple capabilities on a single flight that ultimately increases the gross margin per flight and produces significant revenue on a single flight. So we're quite excited about the number of use cases, excited about the growth and not just the defense market, but the commercial market as well. So to answer your question specifically, are we talking hundreds, thousands or tens of thousands, I believe that scale, we'll be operating thousands of flights per year and something on the order of 50% gross margin on a per flight basis.

Our next question comes from Max Michaelis from Lake Street Capital Markets.

If we go back to the core business, Iron Drone and Optimus, I know you gave out guidance. I think it was last fall or summer. You talked about a $25 million and $45 million in 2026. I was curious if you can kind of update us on what that looks like now. I know just with -- I just kind of want to get an idea of sort of the organic growth rate of the original core business.

I think the -- what I'll say, Max, is that the growth rate there is similar to what I've outlined by giving the tools with the 90 to 95 core, which is essentially doubling this year. And what I'll add is that we're seeing particular strength on the counter drone side with both Iron Drone and Sentrycs and that's going to be growing faster than Optimus.

Okay. And that kind of leads into my next question. I was just hoping you can kind of call out maybe some of the 2025 acquisitions, ones that are sort of outperforming your original expectations is probably just soon to calling you out on the 2026 acquisitions, but anything that helps kind of around the 2025 acquisitions.

It's a good question. I think I can say we're very happy with all the companies and how they're performing. I did highlight in the prepared remarks, Sentrycs and 4M and I've done that because those are some deals that we've announced recently during the fourth quarter. With that said, Roboteam seeing significant demand in Apeiro Motion as well. So I'm expecting that we'll be able to demonstrate that they're outperforming as well to you this year. So we're pretty happy with the portfolio we've put together.

Our next question comes from Michael Legg from Ladenburg.

Congrats on all the success to date. Can you talk a little bit about the integration of all these acquisitions and how you're doing that internally, keeping management, et cetera?

Yes, sure. So we have established at both OAS and the Ondas level, what we call PMI activity. So it's the post-merger integration activities. And that's a very important part of the story there. It's making sure communications across the companies and up and down, right? So we can get that operating leverage is optimized. So we're going to continue to invest in that PMI activity because it's critical otherwise, we're very happy with retention, and that's something we're obviously sizing up before we enter into acquisitions. I think what we see from the companies we acquire is that there's a lot of excitement to join Ondas because we're creating more opportunities for them to really grow the business that they've worked so hard to create. So I think the talent that's coming on and the way we're motivating them. Obviously, there's compensation plans that do that properly but it's an exciting place because we're putting together this go-to-market model that makes the original objectives from these leadership teams around building their businesses, everything. We're just creating more opportunity for them. And I think that's just going to reinforce as we continue to deliver on the operating and financial plan we have shared with you today.

Great. And then just a follow-up question. On the systems and systems approach, can you talk about how much of that you think will come from Ondas internal systems? And how much would be third-party coordinations? So if you look at the internal or the core, as I describe it, that's going to continue to grow. So as I said on the call, if you were with us 12 months ago, we were, of course, very focused on Optimus and Iron Drone. As we ended the year, we had built out a UGV portfolio. We've expanded our aero platforms in Counter-Drone Systems so that becomes the new core. And then, of course, in the first quarter here, we've added even more exceptional platforms that do expand and they deepen and expand the systems and systems capabilities. And Ryan shared a graphic there, which I thought was really important. It showed all the layers. And we're going to begin to pull them together. So I think you should expect us to add more layers, more valuable platforms that fit that model I shared around how they become very accretive to the operating plan, very accretive to customers, right? Customers are looking for companies like Ondas and Palantir to bring this together to make it scalable and valuable so we'll continue on this path.

Our next question comes from Alex Latimore from Northland.

Great information here. Thanks for putting this together. This is very vivid. My question here was regarding the acquisition cadence. I was wondering if you could step through what the acquisition cadence will look like for this year and then potentially going forward and then which capabilities are the highest priority in that pipeline, whether it's hardware, software or different manufacturing assets.

Yes. Good question. I'll start with the latter, and then I'll get to the cadence. So I think it's pretty straightforward. We're going to continue to deepen the aerial and ground capabilities. You do bring up a good point, the C2, the command and control capabilities is another in sensors at the edge, you also see that in our strategic pipeline. So I'm expecting to be able to bring more to the table there as software enablement becomes even more valuable. In terms of cadence, I don't -- March was an interesting month because we had a bunch of deals. Many of them had been started months before and came down and we were able to get into definitive agreements right around the same time. So I don't -- I wouldn't measure 3 or 4 deals a month. At the same time, there is active conversations. And they could be bunched. They could be sequenced with greater time in between. It just remains to be seen but we will continue to pursue the strategic program because it is so valuable.

Understood. And then regarding the C2 platform, I was wondering what your intentions are there? Are you planning to build or acquire a sort of single pane of glass C2 platform to connect all your systems? Or is that where Palantir comes in? And then what level of customer demand are you seeing for that.

Yes. So it's both. So clearly, if you think about the systems and then there's the systems-of-systems, each autonomous system has its own command to control because these can be deployed as infrastructure or for specific use cases by specific customers. We need to make those -- each system be able to be integrated with more -- with other systems, right? So we need to be able to plug into other command and control architectures and we're able to and then, of course, we're going through the Palantir activity, which is the broadest integration around system to systems. So you're going to start to see us -- it's really all of it. It's really at the system level, it's at, say, regional deployments and then there's the wider deployments like the Palantir Maven system that becomes really important. So there's internal development, and you'll also see us -- there's opportunities for us to bring in high-value capabilities around command and control. And we'll see if that comes to fruition. But we don't -- we do have -- our systems are designed to be plugged and play by and large, with what the customer needs to deploy, right? So we can fit into their architecture. We can solve the problem for them or we can fit into what they need us to fit into.

And our next question comes from Matthew Galinko from Maxim Group.

Congrats on the results. Is the ONBERG structure is something you can repeat in other regions? Or is it something you look to do elsewhere?

It's a good question. So yes, it's something we can repeat. I'm not sure if we will. Europe is -- was a particularly interesting opportunity for us because we have been building out our capabilities around systems, and you've heard us speak really strong about the need to be local. And as we started to get to know Heidelberg, who is our partner and understand their capabilities, it really made a lot of sense for us to join forces. So could you see us do that in other markets? I think so, but maybe we'll see how we proceed with ONBERG first. I don't see another market with as the same significance to do a joint venture as we do with what we're doing with ONBERG.

Got it. And my follow-up is, as we look towards 2028 for positive adjusted EBITDA. Can you kind of point to where we'll see OpEx leverage, kind of what line items? Like are we going to continue to see R&D kind of steady with integration and then program development or kind of where will we see the leverage hit?

Great question, and it's going to be hard for me to be specific. I do think R&D, we're going to continue to invest there. And I don't have a target at the moment for what that is going to be as a percentage of revenue. I think we're going to get sales and marketing and supply chain leverage. We're going to get gross margin leverage. So the thesis here, and I think we're demonstrating that if you look at the manufacturing partnerships and the relationships we're building, is that when you can -- we can bring multiple platforms in aerial, ground platforms are really for a manufacturing partner and a component supplier very similar you get -- you become more important to your component vendor, you become more important to your manufacturing partners. And that -- in the scale you provide to them, they can turn back to you with better pricing and cost of goods sold and things like that. So I think the leverage comes in cost of goods sold. It's like -- it's going to come with sales and marketing because we're going to be getting larger deals, right, over time. And then there's the field services as well when you have -- I'll take INDO Earth as an example. INDO Earth, we have a Roboteam. We have Apeiro Motion. We have now built a very serious ground portfolio, and we can have the synergies around how we support customers in the field, right? We have folks out to service the dozers from INDO Earth, they can be the same folks who can do that with UGVs, so I think that -- those are the sorts of things we'll look at for efficiencies around the financial model.

And with that, we've reached the end of today's question-and-answer session. I'd like to turn the floor back over to Eric Brock for closing remarks.

All right. Thank you, operator. And as we wrap the call, I want to say thank you again for spending time with us today. As we've discussed, we have had a strong start to 2026 and we're focused on sustaining that momentum throughout the year. We look forward to providing you more updates along the way as we do, and we're going to get back to doing the work, and we look forward to speaking again soon. Have a great day.

And with that, ladies and gentlemen, we'll be concluding today's conference call and presentation. We thank you for joining. You may now disconnect your lines.