WATT

Image source: The Motley Fool. Wednesday, Aug. 12, 2026 at 4:30 p.m. ET Chief Executive Officer and Chief Financial Officer - Mallorie Burak Chief Strategy and Growth Officer - Giampaolo Marino Chief Accounting Officer - Gregory Sadikoff Operator: Good day and welcome to Energous Wireless Power Solutions Second Quarter 2026 Financial Results Conference Call. [Operator Instructions] Please note that this event is being recorded. As a reminder, during today's call, the company will make forward-looking statements. These statements are subject to inherent risk and uncertainties, detailed in the company's filings with the Securities and Exchange Commission. Actual results may differ materially from those anticipated, except as otherwise required by federal law. Energous disclaims any obligation to publicly release updates or revisions to any forward-looking statements to reflect changes in expectations. I would now like to turn the conference over to Mallorie Burak, Chief Executive Officer and Chief Financial Officer. Ma'am, please go ahead. Mallorie Burak: Thank you, and thank you, everyone. I would like to first thank you for joining us on our Second Quarter 2026 Earnings Call. For those who joined us on the first call in May, welcome back. For those who are newer to the Energous story, I would like to encourage you to review the replay of our Q1 call, which provides a full company overview and the commercial foundation for what I will be discussing today. I will keep the background context brief today and focus on what has changed and what is building. The short answer is a great deal is building. Our active deployments are expanding in scope, geography, and use cases at a pace that gives us increasing confidence in the long-term revenue trajectory of this business. Our proof-of-concept pipeline has grown both in size and quality of the opportunities, and our technology platform has advanced in ways that are directly driving commercial demand. Before I get into the commercial updates, I want to address our second quarter financial results directly and with full transparency because the gross margin line requires context that the numbers alone do not provide. Revenue for the three and six months ended June 30, 2026, was approximately $3.1 million and $6.2 million respectively, versus approximately $1 million and $1.3 million in the same periods in 2025, a 217% and 368% improvement over the same prior period -- prior year periods. Driven by our performance in the first half of 2026, Energous achieved a new historic revenue milestone, having surpassed $10 million in revenue over the trailing 12 months. For the six months ended June 30, 2026, gross profit was $1.2 million, representing a 176% increase versus the same prior year period. Gross margin was 19% for the six months ended June 30, 2026. Gross margin during the second quarter was below the levels we achieved in the recent quarters. This was driven by three primary factors, all of which we believe are temporary in nature and associated with the execution of our long-term growth strategy. First, as we introduced important hardware enhancements across our product portfolio, all of which were driven by our Fortune 10 customers, who were also requiring delivery of those upgraded products in the second quarter, we were limited to U.S.-based capacity as our contract manufacturer overseas was unable to retool its line in time to produce any volume in the second quarter. As a result of these limitations, our U.S.-based contract manufacturer incurred one-time costs associated with retooling and upgrading production lines. These investments were necessary to support the enhanced product design, improve manufacturing capability, and position us for higher production volumes going forward. While these transition costs impacted this quarter's margins, they are not expected to continue at the same level going forward. Second, we experienced supply chain disruptions affecting several critical components. The disruptions were partly attributable to the AI-driven vacuum effect that resulted in finite global supplies of critical components being directed to hyperscalers. To maintain production schedules and meet customer commitments for Q2, we sourced components from alternative suppliers at a higher than normal cost. Although these actions created incremental material cost pressure, they enabled us to avoid significant production delays and preserve our delivery commitments. As supply availability normalizes and our primary sourcing channels stabilize, we expect this cost pressure to diminish. Third, we made a deliberate decision to prioritize product availability for large strategic customers. In certain situations, we absorbed higher input costs rather than delay shipments or disrupt customer deployments. While this resulted in lower gross margins in the near term, we believe it was the right strategic decision to judiciously ramp our U.S.-based capacity in order to protect customer relationships, support continued revenue growth, and reinforce our reputation as a reliable supplier. Taken together, these factors reduced gross margins during the second quarter but should be viewed as transitional rather than structural. Importantly, demand for our product remains strong. Our competitive position continues to improve, and none of these factors change our long-term margin objectives to reach 40%-plus gross margins. Looking ahead, the production line upgrades are substantially complete in the U.S. and are in progress at our overseas contract manufacturer with a goal of producing a limited volume of products overseas during the third quarter and expanding that volume in the fourth quarter. We are actively managing supply chain conditions, and the extraordinary costs associated with component sourcing are expected to moderate over time. As these temporary headwinds subside and operational efficiencies are realized, we expect gross margins to progressively improve over the coming quarters. Our strategy has always been to optimize long-term shareholder value rather than maximize quarterly results. We believe the investments we made this quarter strengthened our manufacturing capability, protected key customer relationships, and positioned the business for sustained growth. We remain confident in our ability to return gross margins toward our historical range while continuing to deliver revenue growth. I also want to note that effective July 1st, we implemented a price increase across our product lines. This pricing action, combined with the production normalization and revenue scaling, supports our confidence in the Q3 and Q4 margin recovery I just described. One additional highlight worth noting, in the second quarter of 2026, five customers accounted for approximately 74% of our revenue. Compare that to a year ago when two customers accounted for approximately 94% of revenue. That shift reflects meaningful diversification of our commercial base across multiple enterprise relationships and verticals. And it is a trend that we expect to continue as our pipeline advances. I will now provide updates on each of our active commercial programs before turning it over to Giampaolo for the broader pipeline and technology discussion. Our active commercial deployments are the programs where our technology is live in production environments, generating revenue today, and scaling in scope and geography. I want to give investors specific updates on each program because the trajectory of these relationships is the most important indicator of where the business is headed. Our first and largest active commercial deployment is with a leading national retailer across its distribution and retail network. This program targets approximately 4,700 U.S. retail locations, and we have delivered thousands of PowerBridge Pro units to ensure that the project remains on track to complete installations across those retail stores based on the customer's schedule. That milestone completion is significant. It will mark the full build-out of the initial program scope and establishes a baseline for expansion discussions already underway. Approximately 90% of the rollout has now been completed, representing a major milestone for both the customer and Energous. What is particularly exciting about this relationship is it is not standing still while the initial store rollout completes. The customer is actively testing additional use cases within retail stores that go beyond the original cold chain compliance, including state of inventory plan and in-store internalized parcel delivery applications. We also believe that both distribution centers and their trucking fleet could represent expanded deployment opportunities in the future. These conversations reflect a customer that has gained confidence in the technology's production scale performance and is now exploring what else it can do within the same installed infrastructure. Beyond the retail store program, we are also working with this customer across approximately 50 of its membership warehouse locations. We are supporting a cold chain initiative with this major retail customer by helping enable real-time visibility into patent movement -- pallet movement throughout the receiving process. The objective is to improve operational efficiency and strengthen cold chain compliance by providing continuous insight into asset dwell time from the loading dock to refrigerated storage. The plan is to expand that program to approximately 550 locations at the beginning of next year with what we believe could be a broader rollout in 2027. We are encouraged by the trajectory of this relationship and the scope of what it could represent over the next 12 to 24 months. Our second Fortune 10 commercial deployment is with a major enterprise in the e-commerce, technology, and cloud services sector, is accelerating in a way that we believe investors should understand because the scale of what is developing is substantial. When we reported on this program in Q1, we noted 14 international installations outside the U.S. The number -- that number has grown and more importantly, the scope of the program has expanded significantly in both geographies and use cases. This customer is now actively deploying across multiple international markets with several new countries on the expansion roadmap. The international dimension of this program alone represents a deployment opportunity that is many multiples of what we initially described. Equally important is the use case expansion within this relationship. We are currently supporting a total of five distinct use cases that are in active deployment. None of the five are fully deployed yet at scale. Each is in earlier stages of what we believe will ultimately be a very large multi-use case, multi-geography, and multi-facility program. The breadth of what this customer is building with our technology across use cases and geography simultaneously is a testament to the platform's versatility and the depth of this commercial relationship. One additional proof-of-concept I'd like to touch on is an update on a program that was characterized only broadly in our Q1 commentary. We're in an active commercial program with a major federal government agency focused on the transport and processing of letters and packages across its facility network. This program is directly enabled by our U.S.-based contract manufacturing capability, which meets the domestic manufacturing requirements that are a condition of federal procurement. That strategic infrastructure investment is paying off in exactly the way that we anticipated when we made it. The proof-of-concept program is currently active. It generated meaningful revenue in the second quarter and was one of our top five customers. The use case centers on dock door operations, specifically checking items in and out and loading materials onto trailers, where real-time wireless tracking eliminates manual processes and improves throughput accuracy. We are in discussions about the multi-stage deployment that could span up to 500 sites over the next 2 to 3 years. In the near term, we believe this program has the potential to ramp to a substantially larger number of active sites within the next 12 months. The government sector represents a category of enterprise customer where domestic manufacturing requirements, infrastructure security standards, and system reliability benchmarks all work in our favor. This program is early stage in the context of its full potential, and we look forward to providing further updates as it advances. I will now turn it over to Giampaolo, our Chief Strategy and Growth Officer, to discuss our technology platform advances, the Wiliot partnerships, our proof-of-concept pipeline, and the broader commercial dynamics we are seeing. Giampaolo? Giampaolo Marino: Thank you, Mallorie. I intend to cover four areas today. An important product capability update that is driving increased demand, an update on the Wiliot partnership and what it means for our pipeline, a program-by-program update on our proof-of-concept portfolio, and a discussion on how the enterprise sales cycle is evolving in ways that we think investors need to understand to properly evaluate our pipeline. On our Q1 call, we described our PowerBridge platform as a wireless power network, providing ambient IoT -- powering ambient IoT, delivering wireless power to battery-free devices, and sending the data they produce to the cloud, providing real-time visibility into the physical layer. That is essentially what we are selling, real-time visibility. That description remains accurate, but something important has evolved in how customers are deploying and requesting our technology. And I want to explain it because it directly drives demand growth. Previously, our PowerBridge transmitters were primarily deployed alongside the nearby Bluetooth gateway to route the data from battery-free sensors into the cloud. While effective, this required separate gateway hardware at each deployment site. We have now added integrated data capability directly into the PowerBridge Pro+, which means that the data device simultaneously delivers wireless power and provides a data pathway into the cloud without requiring a separate Bluetooth gateway infrastructure. The product application is significant. The PowerBridge Pro+ with integrated gateway capability simplified deployment architectures, reduced hardware footprint per site, and give customers an easier, more reliable path for sensor data to travel into the cloud infrastructure. For enterprise customers managing deployment across hundreds of thousands of sites, eliminating a component reduces installation complexity and ongoing maintenance requirements at scale. Customer demand for this capability has been strong. We are seeing requests from both existing customers and new pipeline of opportunities specifically seeking the integrated data plus power solution. We also believe this capability has commercial potential beyond our end-to-end solution. Our Wiliot partnership is one example of where the PowerBridge Pro+ is being evaluated for broader deployment. Turning to our Wiliot partnership, they continue to be a strong partner and I want to provide context on the nature of that relationship and what it means for our commercial pipeline in a way that we have not fully articulated before. Wiliot has done an outstanding job advancing the industry with its battery-free sensing platform and data intelligence capabilities. What's often overlooked, however, is that every physical AI solution ultimately depends on a reliable energy layer. Sensors can only generate persistent intelligence if they have access to persistent energy. In deployments where ambient energy alone cannot consistently support enterprise-scale performance, RF wireless power infrastructure can provide a predictable energy layer that helps enable continuous sensing and trusted operational data. That's where Energous contributes, providing the infrastructure that connects the physical world to enterprise AI. As enterprise deployments scale from pilots to production, the conversations shift from simply connecting sensors to ensuring they can operate reliably and continuously. That's where energy infrastructure becomes increasingly important. Battery-free sensing, persistent connectivity, and enterprise AI all depend on a trustworthy source of energy. The programs we are supporting together demonstrate how RF wireless power infrastructure complements battery-free sensing to deliver the persistent stream of operational data that enterprise customers require. Looking ahead, we believe the role of persistent energy infrastructure will become increasingly important as physical AI deployments as they expand across larger, more complex operating environments. On our Q1 call, we described our proof-of-concept pipeline as spanning retail distribution, supply chain, and inventory management, food service, manufacturing, and government sector. Since that call, the pipeline has continued to develop. I want to provide a program-by-program update on the initiatives we have previously characterized and introduce several new ones. But before I do, I want to directly address the question of commercial decision timing that we introduced on the Q1 call, because it requires context that is important for investors to have. On our Q1 call, we say we expect several active programs to reach a commercial decision during 2026. I want to provide investors with a more complete picture of what that means and how the enterprise sales cycle actually works for technology of this nature because timing of contract signature is not the right indicator of a commercial progress. The enterprise sales cycle for wireless power network infrastructure has shortened significantly as the technology has matured. We are now seeing cycles of six to nine months for new enterprise program, down from 18 to 24 months two years ago. That compression reflects how much more familiar enterprise customers are with ambient IoT technology and how much clear the value proposition has become. But six to nine months is still a deliberate process and investors should understand what that process looks like. It begins with identifying the use case and the customer-specific requirement. By agreeing on the key performance indicators and the success criteria that the proof-of-concept is designed to validate, that alignment phase alone can take more than a month. The proof-of-concept deployment phase can take up to three months from start to finish, and depending on the results and the number of use cases being evaluated, the program might expand to include additional facilities or additional use cases before a commercial decision is made. Some customers moved directly from a successful POC deployment to deployment. Others initiated a large-scale multi-location POC before committing to a full rollout. Every customer has its own requirement and its own decision process. What is important for investors to understand is that this process is a sign of the technology maturity, not a sign of pipeline stagnation. The fact that our enterprise customers are investing months of internal resources and procurement processes into evaluating our technology is evidence that they are treating these as a serious infrastructure decision, not an experiment. The programs that take the longest to reach a commercial decision are often the ones with the largest potential deployment scale. I also want to note an important distinction in how we manage our pipeline. In programs where we are partnering with Wiliot, the pace of proof-of-concept initiation is largely driven by Wiliot and in its customer relationship. In programs where we deploy our end-to-end solution directly, we control the pace of deployment and the customer relationship more directly, often within the support of AWS. Both channels are valuable and both are growing. One more important point on pipeline quality versus pipeline count. A year ago, the average size of a commercial opportunity entering our pipeline was meaningfully smaller than what we are seeing today. The pipeline of opportunity we're building now is exponentially larger in aggregate than what we were managing 12 months ago. The magnitude of the opportunity within each individual customer relationship is many multiples of what it was previously. Every program that is now entering our pipeline operates at a scale that would have been exceptional a year ago and is becoming the new norm. That shift in the quality and scale of our pipeline is the most important commercial development of 2026 that we have not yet fully communicated to investors. I want to provide updates on several of our activities at the proof-of-concept programs. We have completed the initial proof-of-concept deployment with a major national quick service restaurant operator. This customer was one of our top five during the quarter. The evaluation demonstrates technology performance in exactly the food preparation and the cold storageenvironments where battery-free wireless sensing is most valuable, including the lower range temperature environment where, to our knowledge, we are the only provider with a proven solution. We are now in active conversation with this operator about plans for a rollout across its store network. Equally important, we are also in conversation with distributors and other participants in their ecosystem who represent additional and independent commercial opportunities. This is an important data point as national QSRs often require that their suppliers implement new operational infrastructure to augment traceability. These supplier customers include some of the most well-known QSR chains in the world. A national QSR relationship, if it progresses to its full rollout, represents a deployment potential measured in thousands of locations. In addition, gaining access to its suppliers as well creates an exponential sales opportunity for us. We look forward to providing further update on this program as the planning conversation advance. Separately, we are currently in an active proof-of-concept deployment with a national grocery chain operating hundreds of stores. The grocery vertical is one where cold chain compliance, inventory visibility, and food safety monitoring create a compelling and immediate value proposition for wireless power network infrastructure. Importantly, this opportunity is with our end-to-end solution, is in an active evaluation, and we look forward to providing updates as it advances. Beyond the program I have described, our pipeline continues to expand. We have initiated initial proof-of-concept engagement in recent weeks across new enterprise relationships and new verticals that are not yet at the stage to discuss more specifically. What I can say is that the quality and the scale of this new opportunity reflect a market that is increasingly familiar with wireless power network infrastructure and increasingly ready to deploy it. Overall, the aggregate features of our commercial pipeline today is fundamentally different from what it was 12 months ago, and I want to make sure investors understand why. It's not just that we have more programs. It is that each program is operating at a scale of potential deployment that is multiples of what we could have seen in 2025. The Fortune 10 programs alone represent potential deployments across thousands of locations each. The QSR relationship represents potential across thousands of locations if it is progresses to full rollout. The Federal Logistics Program has a multi-stage roadmap spanning hundreds of sites. The Warehouse Club Expansion Program has hundreds of locations beginning of next year. The pipeline we are managing today is one where a single commercial decision by one or more of our advanced stage partner will be transformative for our revenue trajectory. We expect to be able to report meaningful commercial advances across several of these programs over the balance of 2026 and into 2027. I will now turn it back to Mallorie. Mallorie Burak: Thank you, Giampaolo. Before Greg walks through the financials in detail, there are a few additional items I want to address. Our ATM facility remains in place and we have made no use of it since our Q1 call. During last quarter's call, I committed that there were no plans for additional ATM usage this year and that commitment stands. We believe our cash position at quarter end of $31.2 million is sufficient to support our commercial programs and we remain confident in our ability to execute without additional equity financing. I want to briefly address a question that we have been hearing about the customer launch visible on our AWS partner profile. Investors have frequently referenced our partner web page with AWS, which shows a customer launch badge. This number reflects formal co-sell engagements initiated between AWS account managers and Energous through the AWS partner system, a top-of-funnel pipeline activity metric that includes both proof-of-concept completions, commercial deployments, and in many cases, one end customer may represent a significant number of launches as they define it. The trajectory of this number is consistent with how a healthy enterprise co-sell pipeline matures. Early in a partnership, the primary activity is AWS account managers broadly identifying and introducing a solution across their customer base, which drives the launch count higher. As most qualified opportunities move into the active evaluation and deeper engagement, the rate of new launches naturally normalizes. It is also worth noting that the number can decline as programs conclude their formal co-sell engagement period, graduate to direct commercial relationships, or are closed out of the system for administrative reasons. A declining or plateauing count is not a signal that our commercial momentum is slowing. The right place to focus is on what is happening within those engagements. Our AWS partnership is an active co-selling relationship that is generating real enterprise conversations across meaningful verticals. We are advancing the most mature of those programs toward commercial decisions, and that progression is the metric that matters. Several of the opportunities we've discussed today are relationships from our AWS partnership. I also want to briefly note one other significant milestone that occurred between our Q1 call and today that provides additional context on where this company stands. We received FCC certification for the PowerBridge Pro+ during July, our most advanced transmitter featuring integrated gateway data connectivity. As Giampaolo described, this certification enables a simplified deployment architecture that is directly driving customer demand. The PowerBridge Pro+ is now fully certified for U.S. commercial deployment, and customer interest has been strong since this certification. Importantly, our PowerBridge Pro+ is a key component to our end-to-end solution. Therefore, the certification represents a necessary step before active deployments can begin. The PowerBridge Pro+ is now in active deployment discussions with several of the programs Giampaolo described, and we expect it to be a meaningful contributor to our second half revenue mix. I will now turn it over to Greg, our Chief Accounting Officer, for the financial review. Gregory Sadikoff: Thank you, Mallorie, and good afternoon. I will now review our financial results for the second quarter and first half ended June 30, 2026. Revenue for the three and six months ended June 30, 2026, was approximately $3.1 million and $6.2 million respectively, versus approximately $1 million and $1.3 million in the same periods in 2025. A 217% and 368% improvement over the same prior year periods respectively. Second quarter 2026 revenue showed a slight improvement over the first quarter of 2026. [indiscernible] Year-to-date 2026 revenue through June 30, 2026, exceeded the full year's revenue reported for 2025 of $5.6 million. For the six months ended June 30, 2026, gross profit was $1.2 million, representing a 176% increase versus the same prior year period. Gross margin was 19% for the six months ended June 30, 2026. The company has maintained its quality performance record with zero product returns since commercial production of its PowerBridge Pro began in 2024. Ensuring the highest level of product quality remains a key priority for the company as we work toward widespread adoption of our technology. GAAP operating expenses for the second quarter of 2026 total $3.3 million versus $3.1 million for the same period in 2025. GAAP net loss and GAAP loss per share were approximately $2.9 million, or $0.53 per basic and diluted share, for the second quarter of 2026, versus the net loss and loss per share of approximately $2.8 million, or $2.35 per basic and diluted share, for the second quarter of 2025. Further to the discussion about our investment in building out capacity and supply chain management, as of June 30, 2026, prepaid expenses to contract manufacturers was approximately $6.3 million. With that, I will turn the call back to Mallorie for closing remarks. Mallorie Burak: Thank you, Greg. I want to close with the picture of where we stand as we enter the second half of 2026. When I joined Energous 2.5 years ago, we were pre-revenue, working to prove that this technology could perform in real enterprise environments and attract the caliber of customer that would validate it commercially. Today, 2 of the world's largest enterprises are deploying our technology across thousands of locations in multiple geographies. A major federal government agency is deploying our technology across 2 initial sites with a planned multiyear expansion roadmap spanning approximately 15 sites over the remainder of this year. A leading national QSR operator has completed its initial proof-of-concept and is planning a rollout across its store network. A national grocery chain with hundreds of stores is in active proof-of-concept evaluation. And our pipeline of new programs is larger and higher quality than at any point in the company's history. The gross margin pressure in Q2 was real, and it was a deliberate operational choice. We prioritized meeting our customers' installation timelines over protecting our margin in a single quarter. I believe it was the right decision for the long-term health of our customer relationships, and I'm confident the anticipated trajectory from Q3 through Q4 and into 2027 demonstrates that the underlying economics of this business are intact and improving on the trajectory we have described. What I hope investors will take away from today's call is this. The scale of the opportunity in front of Energous has changed materially in the last 12 months. We stabilized the company financially and positioned it for growth. The programs we are managing, the customers we are serving, and the pipeline we are building are all operating at a magnitude that is fundamentally different from where we were a year ago. We're at the beginning of what we believe will be a significant and sustained commercial ramp, and we look forward to demonstrating that through our results over the balance of the year. The market is beginning to recognize that physical AI isn't defined solely by sensors or AI. It's defined by the ability to continuously generate trusted data from the physical world. The capability begins with persistent energy, it begins with Energous technology. We are grateful for your continued support and we will now open the call for questions. Operator: [Operator Instructions] Our first question will come from the line of Jon Hickman with Ladenburg Thalmann. Jon Hickman: First of all, could you tell us if your supply chain issues caused you to push some shipments into Q3 instead of Q4? Or Q2, I mean. Mallorie Burak: So, the supply -- well, I would say that we managed the supply chain in a way that enabled us to meet the Q2 demand that we had. So, all of the PO backlog that we had from our strategic customers was fully delivered in Q2. So, I don't think that it impacted our ability to deliver. It just created some cost pressure for us in terms of being able to source the components in a timely manner to fulfill the demand. Jon Hickman: So, and then could you put some number on the number of POCs in the pipeline and what that looks like versus maybe a year ago or six months ago? Mallorie Burak: Yes, we haven't been providing the pipeline numbers, but we have committed to, as those turn into meaningful commercial discussions, to disclose those to the investment community just by nature of providing updates. Jon Hickman: Could you -- you didn't mention your British Tobacco program this quarter. Mallorie Burak: So that is what I would call a large-scale proof-of-concept that includes several use cases at one facility and I think we're, kind of, in the final stages of getting that live and fully tested end-to-end. Jon Hickman: So you could have talked about more on your call if you, like, didn't care about the timeline or the time factor involved in a call? Giampaolo Marino: Hey, Jon, so this is Giampaolo. What we can say is, also as I mentioned during my portion, this is really a large-scale POC with multiple use cases. And we are finalizing basically the entire POC at a very large facility. And I think we'll be able to provide a lot more information next quarter on how that is progressing and how we're planning to expand now into multiple other facilities across the United States. But things are progressing so far. I mean, things are moving along well, and the POC is progressing well. So that's the only thing we can say right now. Jon Hickman: Okay, Mallorie, I just have one last question. Could you -- I know you don't want to give specific guidance, but maybe could you opine a little bit on where the revenue trajectory is going this year next? Mallorie Burak: Well, yes, so I'm still, kind of, not providing specific guidance, but I think we're still focused on revenue growth and we're still trying to continue to achieve quarterly revenue growth to show that the market adoption is driving commercial demand in a meaningful way. So that's still our focus. Operator: Our next question will come from the line of Scott Buck with Titan Partners. Scott Buck: Mallorie, first one on PowerBridge Pro+. How does commercializing the full end-to-end solution change your average selling price and margin mix versus selling transmitters alone? And then it sounded like you said on the call that this could be a potential contributor in the second half of '26. Is that right? Mallorie Burak: Yes. So great question. The end-to-end solution contains a bundled solution of the e-Sense Tag, the PowerBridge Pro+, and the e-Compass software platform, which is a recurring revenue stream. And then that's augmented by the PowerBridge Pro that they purchased to, sort of, augment the end-to-end solution to provide power, depending on the company's use case and facility layout. The PowerBridge Pro+ has a higher margin. As does, as everybody, kind of, knows that SaaS software has a high margin as well. And so as we start to deploy that end-to-end solution, it should gradually start to help lift overall revenue. Scott Buck: Okay, that's very helpful. And then you mentioned an expansion of use cases with one of your Fortune 10 customers. Do these use cases require additional engineering or rework of the product on your end? I'm just kind of curious if there's an impact to R&D in the near term to meet your expectations. Giampaolo Marino: Yes, no, that's a great question. I think these are additional use cases that will require additional infrastructure to be installed into our customer facility to basically satisfy those use cases. So no, it will not require additional engineering on our [ hand ]. The customer is very well aware of our technology and our technology is -- it needs to be used. It's just now additional use cases that will require basically additional number of bridges to be installed. Mallorie Burak: And to your point, Scott, the changes in features to some of the products like PowerBridge Pro that were requested by some of our strategic customers, those were implemented in Q2. Scott Buck: Okay, perfect. That's very helpful. And then last one, I'm curious, beyond Wiliot, can you talk a little bit about your channel partner or reseller strategy and how that could be a potential contributor here over the next 12 months? Giampaolo Marino: Yes, I think that's a great question. I think as far as resell partners, we are continuing to work very closely with system integrators and installers who we need, especially when we deploy with our end-to-end solution or if we deploy within the Wiliot environment. So -- but at the same time, we also are very selective to who we bring on board as a value-added reseller, right? I mean, we have been talking about AWS, for instance, right? which is a great channel partner. And so we want to bring the same partners or [ couple of ] partners of the same caliber as value-added resellers. So I think we're working with few, which we haven't announced yet, but we're actively cooperating and working. And so you'll probably see some announcement in Q3, Q4 of this year. But at the same time, yes, they are critical for us in terms of how we deploy -- how quickly we deploy. And also, they're critical because sometimes they represent an extended part of our sales force into our end customers. Operator: Thank you. [Operator Instructions] I'm showing no further questions. This will conclude today's question and answer session. This will also conclude today's conference call. Thank you for participating and you may now disconnect. Everyone, have a great day. Before you buy stock in Energous, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Energous wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $419,408!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,348,694!* Now, it’s worth noting Stock Advisor’s total average return is 966% — a market-crushing outperformance compared to 213% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 19, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Energous (WATT) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved a trailing 12-month revenue milestone of over $10 million, driven by a 217% year-over-year revenue increase in Q2. Attributed temporary gross margin compression to deliberate strategic choices, including prioritizing delivery for Fortune 10 customers over short-term profitability. Managed supply chain disruptions caused by an 'AI-driven vacuum effect' by sourcing components from alternative suppliers at higher costs to preserve delivery commitments. Diversified the commercial base significantly, with five customers now accounting for 74% of revenue compared to two customers representing 94% a year ago. Invested in U.S.-based contract manufacturing to meet domestic requirements for federal procurement, which directly enabled a new program with a major government agency. Transitioned the product portfolio toward the PowerBridge Pro+, which integrates data gateway capabilities to reduce hardware footprint and installation complexity for enterprise customers. Confirmed that 90% of the initial 4,700-store rollout for a national retail customer is complete, establishing a baseline for expansion into distribution centers and trucking fleets. Anticipates progressive gross margin improvement toward a 40%-plus long-term objective as production shifts to overseas contract manufacturers in Q3 and Q4. Expects a price increase implemented on July 1st to contribute to margin recovery in the second half of 2026. Projects a multi-stage deployment for the federal logistics program spanning up to 500 sites over the next 2 to 3 years. Assumes a warehouse club expansion program will scale to approximately 550 locations starting in early 2027. Forecasts that the enterprise sales cycle has compressed to 6-9 months, down from 18-24 months two years ago, due to increased market familiarity with ambient IoT. Received FCC certification for the PowerBridge Pro+ in July, a prerequisite for the active deployment of the company's end-to-end solution. Maintained a cash position of $31.2 million, which management believes is sufficient to support operations without further use of the ATM facility in 2026. Reported $6.3 million in prepaid expenses to contract manufacturers, reflecting significant investment in future production capacity. Noted that while AWS 'launch' metrics may plateau, this reflects a healthy maturation of the co-sell pipeline rather than a loss of commercial momentum. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed that all purchase order backlogs from strategic customers were fully delivered in Q2 despite supply issues. The disruptions resulted in cost pressure rather than shipment delays, as the company chose to absorb higher material costs to meet commitments. Characterized as a large-scale proof-of-concept involving multiple use cases at a single large facility. Management is in the final stages of end-to-end testing and expects to provide updates on expansion into multiple U.S. facilities next quarter. The end-to-end solution includes recurring revenue from the e-Compass software platform and higher-margin hardware. Deployment of this integrated solution is expected to gradually lift overall revenue and margin mix starting in the second half of 2026. New use cases do not require additional R&D or engineering rework, as the core technology is already validated. Expansion primarily involves installing additional infrastructure (bridges) to cover new applications within existing customer facilities.

Interested in Energous Corporation? Here are five stocks we like better. Revenue surged: Energous reported second-quarter revenue of approximately $3.1 million, up 217% year over year, while first-half revenue reached $6.2 million and exceeded full-year 2025 revenue. The company surpassed $10 million in trailing 12-month revenue. Margins faced temporary pressure: Manufacturing transition costs, component shortages and reliance on higher-cost suppliers reduced gross margin to 19% in the first half. Energous expects improvement in the second half following production upgrades, overseas manufacturing expansion and a July price increase. Commercial opportunities expanded: Retail, enterprise, government, restaurant and grocery deployments continued progressing, while FCC certification of the PowerBridge Pro+ opened additional second-half revenue opportunities. Energous ended the quarter with $31.2 million in cash and said it does not plan to raise equity this year. 3 Sector ETFs Catching Fire After Earnings Beats Energous (NASDAQ:WATT) reported second-quarter revenue of approximately $3.1 million, up 217% from the prior-year period, as the wireless power company expanded enterprise deployments and progressed proof-of-concept programs across retail, logistics, food service and government markets. For the first six months of 2026, revenue reached approximately $6.2 million, compared with $1.3 million a year earlier. Chief Executive Officer and Chief Financial Officer Mallorie Burak said first-half revenue exceeded the company’s full-year 2025 revenue of $5.6 million and helped Energous surpass $10 million in trailing 12-month revenue. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be However, second-quarter gross margin was affected by manufacturing transition costs, component sourcing challenges and the company’s decision to prioritize deliveries to strategic customers. Burak said those pressures were temporary and that Energous expects margins to improve as U.S. production upgrades are completed, overseas manufacturing ramps and component availability normalizes. For the first half, gross profit rose 176% year over year to $1.2 million, while gross margin was 19%. Burak said second-quarter margins were below recent levels because the company needed to rely on U.S.-based production while its overseas contract manufacturer was unable to retool in time to produce volume during the quarter. → Nebius’ Q2 Beat Shows the AI Bottleneck Is Capacity, Not Demand The U.S. manufacturer incurred one-time costs to retool and upgrade production lines, according to Burak. Energous also faced higher component costs after supply disruptions led it to use alternative suppliers to meet customer delivery schedules. Burak cited an “AI-driven vacuum effect” in which limited global supplies of some components were directed toward hyperscalers. “All of the PO backlog that we had from our strategic customers was fully delivered in Q2,” Burak said during the question-and-answer session. She said supply chain conditions did not prevent the company from delivering products, but increased the cost of sourcing components on time. → Apple’s Next iPhone Could Test How Much Pricing Power Is Left Energous implemented a price increase across its product lines effective July 1. Burak said the pricing action, production normalization and higher revenue scale support the company’s expectations for margin recovery in the third and fourth quarters. Energous continues to target gross margins above 40% over the longer term. Second-quarter GAAP operating expenses totaled $3.3 million, compared with $3.1 million in the year-ago period. The company reported a GAAP net loss of approximately $2.9 million, or $0.53 per basic and diluted share, compared with a net loss of approximately $2.8 million, or $2.35 per share, in the prior-year quarter. Chief Accounting Officer Greg Sadikoff said Energous had recorded zero product returns since commercial production of its PowerBridge Pro began in 2024. Prepaid expenses to contract manufacturers were approximately $6.3 million as of June 30. Burak said Energous’ largest active commercial deployment, with a leading national retailer, targets approximately 4,700 U.S. retail locations. The company has delivered thousands of PowerBridge Pro units, and approximately 90% of the retail rollout has been completed. The retailer is also evaluating additional in-store uses beyond the original cold-chain compliance deployment, including inventory-related applications and internal parcel delivery. Burak said the company sees potential future opportunities at the retailer’s distribution centers and within its trucking fleet. Separately, Energous is working with the same customer at roughly 50 membership warehouse locations on a cold-chain initiative designed to provide real-time visibility into pallet movement during receiving. The company said the program could expand to about 550 locations at the beginning of next year, with a potentially broader rollout in 2027. Its second Fortune 10 deployment, involving an enterprise in e-commerce, technology and cloud services, has expanded beyond the 14 international installations discussed during the first-quarter call. Burak said the customer is deploying across multiple international markets and has several additional countries on its expansion roadmap. Energous is supporting five distinct use cases that are in active deployment but not yet fully scaled. Customer concentration also declined. Five customers represented approximately 74% of second-quarter revenue, compared with two customers accounting for roughly 94% of revenue a year earlier. Energous said an active program with a major federal government agency generated meaningful second-quarter revenue and was among its top five customers. The proof of concept centers on dock-door operations for checking items in and out and loading materials onto trailers. Burak said the domestic manufacturing capability of Energous’ U.S.-based contract manufacturer supports the federal program’s procurement requirements. The company is discussing a multistage deployment that could span as many as 500 sites over the next two to three years. In closing remarks, Burak said the agency was deploying the technology across two initial sites and had a planned roadmap covering approximately 15 sites over the remainder of 2026. Chief Strategy and Growth Officer Giampaolo Marino said the company completed an initial proof of concept with a major national quick-service restaurant operator, which was also one of Energous’ top five customers during the quarter. The evaluation tested the technology in food-preparation and cold-storage environments. Energous is now discussing a potential rollout across the operator’s store network and pursuing opportunities with distributors and other ecosystem participants. The company also has an active proof of concept with a national grocery chain operating hundreds of stores. Marino said the program uses Energous’ end-to-end solution and focuses on applications including cold-chain compliance, inventory visibility and food-safety monitoring. In response to an analyst question, Burak and Marino said a British American Tobacco program remains in a large-scale proof of concept involving multiple use cases at one facility. Marino said Energous expects to provide more information next quarter as it completes testing and evaluates potential expansion to additional U.S. facilities. Energous received Federal Communications Commission certification in July for its PowerBridge Pro+, a transmitter that combines wireless power with integrated gateway data connectivity. Marino said the capability eliminates the need for a separate Bluetooth gateway at deployment sites, reducing hardware requirements and installation complexity. Burak said the PowerBridge Pro+ is now certified for U.S. commercial deployment and is being discussed for use in several active programs. She expects it to become a meaningful contributor to the company’s second-half revenue mix. The company said its enterprise sales cycles have shortened to six to nine months for new programs, compared with 18 to 24 months two years ago. Marino said customers may still extend evaluation periods to test additional facilities or use cases before making broader deployment decisions. Energous declined to provide a number of proof-of-concept programs in its pipeline or formal revenue guidance. Burak said the company remains focused on quarterly revenue growth and expects to disclose updates as programs advance into meaningful commercial discussions. Burak added that Energous had $31.2 million in cash at quarter-end and had not used its at-the-market equity facility since the first-quarter call. She said the company had no plans to use the facility this year and believes its cash position is sufficient to support commercial programs without additional equity financing. Energous Corporation develops and commercializes radio frequency (RF)–based wireless charging technology designed to deliver power over the air to compatible devices. Its WattUp platform includes near‐field and far‐field transmitters that emit targeted RF energy and receiver modules that convert that energy into electrical power. The company's solutions aim to eliminate the need for cables and charging pads by enabling contactless power delivery to a range of products, from wearables and IoT sensors to medical devices and consumer electronics. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Energous Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

This article first appeared on GuruFocus. Revenue: Approximately $3.1 million for Q2 2026 and $6.2 million for the six months ended June 30, 2026, a 217% and 368% increase over the same periods in 2025, respectively. Gross Profit: $1.2 million for the six months ended June 30, 2026, a 176% increase versus the prior year period. Gross Margin: 19% for the six months ended June 30, 2026, with Q2 margins below recent quarters due to temporary factors. Operating Expenses: $3.3 million for Q2 2026, versus $3.1 million in Q2 2025. Net Loss: Approximately $2.9 million, or $0.53 per basic and diluted share, for Q2 2026, versus a net loss of approximately $2.8 million, or $2.35 per share, in Q2 2025. Cash Position: $31.2 million at quarter end, with no ATM usage since the Q1 call. Customer Concentration: Five customers accounted for approximately 74% of Q2 2026 revenue, compared to two customers accounting for approximately 94% a year ago. Prepaid Expenses: Approximately $6.3 million to contract manufacturers as of June 30, 2026. Warning! GuruFocus has detected 1 Warning Sign with WATT. Is WATT fairly valued? Test your thesis with our free DCF calculator. Release Date: August 12, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Revenue surged 217% year-over-year in Q2 2026 to $3.1 million, with a 368% increase in H1, surpassing the full-year 2025 revenue of $5.6 million. Customer base diversified significantly, with five customers accounting for 74% of Q2 revenue versus two customers at 94% a year ago. Active deployments expanded, including a national retailer's 90% completion of a 4,700-store rollout and a Fortune 10 e-commerce customer expanding to five use cases across multiple international markets. Received FCC certification for the PowerBridge ProPlus, enabling integrated gateway data connectivity and simplifying deployment, which is driving strong customer demand. Implemented a price increase effective July 1, 2026, which, combined with production normalization, supports expectations for margin recovery in Q3 and Q4. Maintained a zero product return record since 2024, underscoring product quality and reliability. Cash position of $31.2 million is sufficient to support operations without additional equity financing, with no ATM usage planned this year. Gross margin fell to 19% in H1 2026, below recent levels, due to one-time costs from US-based production retooling, supply chain disruptions, and deliberate absorption of higher input costs. Supply chain disruptions, partly driven by AI-driven demand from hyperscalers, forced sourcing from alternative suppliers at higher costs, creating temporary margin pressure. Overseas contract manufacturer was unable to retool in time for Q2, limiting production to US capacity and incurring additional transition costs. The company remains unprofitable, with a GAAP net loss of $2.9 million in Q2 2026, though slightly improved from the prior year. Prepaid expenses to contract manufacturers increased to $6.3 million, reflecting significant upfront investments that may strain cash flow if revenue growth slows. The AWS partner profile shows a declining or plateauing launch count, which could raise concerns about pipeline momentum, though management attributes this to normal maturation. No specific revenue guidance was provided, and the company acknowledged that commercial decisions from advanced-stage partners are still pending, with timing uncertain. Q: How does commercializing the full end-to-end solution change your average selling price and margin mix versus selling transmitters alone, and could it be a contributor in the second half of 2026? A: Mallorie Burak (CEO & CFO) confirmed that the end-to-end solution bundles the eSense tag, PowerBridge ProPlus, and the eCompass software platform, which introduces a recurring revenue stream. The PowerBridge ProPlus carries a higher margin, and the SaaS component also has high margins. As deployments of the end-to-end solution scale, it should gradually lift overall revenue and margins. She confirmed it is expected to be a meaningful contributor to the second-half revenue mix. Q: Did the supply chain issues cause you to push some shipments into Q3 instead of Q2? A: Mallorie Burak (CEO & CFO) clarified that the company managed the supply chain to meet all Q2 demand. The entire purchase order backlog from strategic customers was fully delivered in Q2. The issues did not impact delivery ability but created cost pressure due to sourcing components from alternative, higher-cost suppliers to maintain production schedules. Q: Can you provide an update on the British Tobacco program, which was not mentioned in the prepared remarks? A: Giampaolo Marino (Chief Strategy & Growth Officer) described it as a large-scale proof of concept involving multiple use cases at a very large facility. The company is in the final stages of getting it fully live and tested end-to-end. They expect to provide more information next quarter regarding progress and plans to expand into multiple other facilities across the United States. Q: Can you provide some color on where the revenue trajectory is going this year and next, even without specific guidance? A: Mallorie Burak (CEO & CFO) reiterated that while specific guidance is not provided, the company remains focused on achieving quarterly revenue growth to demonstrate that market adoption is driving commercial demand in a meaningful way. Q: Do the expanded use cases with one of your Fortune 10 customers require additional engineering or rework of the product, impacting R&D in the near term? A: Giampaolo Marino (Chief Strategy & Growth Officer) stated that the additional use cases will require additional infrastructure (more PowerBridge units) to be installed at customer facilities but will not require additional engineering on Energous' end. Mallorie Burak added that the feature changes requested by strategic customers, such as those for the PowerBridge Pro, were already implemented in Q2. Q: Beyond Wiliot, can you talk about your channel partner or reseller strategy and how it could contribute over the next 12 months? A: Giampaolo Marino (Chief Strategy & Growth Officer) explained that the company is working closely with system integrators and installers for deployments. They are being selective in bringing on value-added resellers, aiming for partners of the same caliber as AWS. They are actively cooperating with a few unannounced partners and expect announcements in Q3 or Q4 of this year, as these partners are critical for deployment speed and act as an extended sales force. Q: Can you put a number on the number of POCs in the pipeline versus a year ago or six months ago? A: Mallorie Burak (CEO & CFO) stated that the company has not been providing specific pipeline numbers but has committed to disclosing updates to the investment community as those POCs turn into meaningful commercial discussions. Q: How is the PowerBridge ProPlus with integrated gateway capability impacting customer demand and the company's competitive position? A: Giampaolo Marino (Chief Strategy & Growth Officer) noted that the integrated data capability simplifies deployment architectures, reduces hardware footprint, and provides a more reliable data pathway. This has driven strong demand from both existing customers and new pipeline opportunities. The FCC certification for the PowerBridge ProPlus in July is a necessary step for active deployments, and it is now in active deployment discussions with several programs, expected to be a meaningful contributor to second-half revenue. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

– Posting Sixth Consecutive Quarter of Revenue Growth – Conference Call Today at 4:30 p.m. Eastern Time SAN JOSE, Calif., Aug. 12, 2026 (GLOBE NEWSWIRE) -- Energous Corporation d/b/a Energous Wireless Power Solutions (Nasdaq: WATT) (“Energous,” the “Company,” “we,” or “our”), a pioneer in scalable, over-the-air wireless power networks, today announced financial results for the second quarter ended June 30, 2026, reporting revenue of approximately $3.1 million, a 217% improvement versus the same prior year period. Revenue for the six months ended June 30, 2026 increased 368% year over year, exceeding the revenue recorded for the full year of 2025. The Company also provided an update on recent events and Company highlights. “Second quarter revenue growth over the same period last year reflects the commercial transformation this company has undergone over the past two years,” said Mallorie Burak, CEO and CFO of Energous. “Our Fortune 10 deployments are growing in scope and geography, a major federal government agency has initiated what we believe will become a significant multi-stage program, a leading national QSR operator is expanding its proof-of-concept evaluation, and we have initiated a new proof-of-concept of our end-to-end solution with a national grocery chain. Our pipeline enters the second half of 2026 larger and more advanced than at any point in our history, and we look forward to sharing continued progress across these programs.” Second Quarter 2026 Financial Results Revenue for the three and six months ended June 30, 2026 was approximately $3.1 million and $6.2 million versus approximately $1.0 million and $1.3 million in the same periods in 2025, a 217% and 368% improvement, respectively, over the same prior year periods. Second quarter 2026 revenue showed a slight improvement over the first quarter of 2026, marking the sixth consecutive quarter of revenue growth. Year to date 2026 revenue, through June 30, exceeded the full year’s revenue reported for 2025 of $5.6 million and contributed to Energous surpassing $10.0 million in revenue for the trailing twelve months – a historic milestone for the Company. For the six months ended June 30, 2026, gross profit was $1.2 million, representing a 176% increase versus the same prior year period. Gross margin was 19% for the six months ended June 30, 2026, reflecting near-term costs associated with ramping production of updated products, as requested by customers, to fulfill Q2 customer demand. The Company has maintained its quality performance record, with zero product returns since commercial production of its PowerBridge Pro began in 2024. Ensuring the highest level of product quality remains a key priority for the Company as we work toward widespread adoption of our technology. GAAP operating expenses for the second quarter of 2026 totaled $3.3 million versus $3.1 million for the same period in 2025. GAAP net loss and GAAP loss per share were approximately $2.9 million, or $0.53 per basic and diluted share, for the second quarter of 2026, versus the net loss and loss per share of approximately $2.8 million, or $2.35 per basic and diluted share, for the second quarter of 2025. Non-GAAP operating expenses1 for the second quarter of 2026 were approximately $3.1 million, increasing from $3.0 million in the same prior year period. Non-GAAP net loss1 was approximately $2.7 million for the second quarter of 2026 versus non-GAAP net loss of approximately $2.6 million for the same prior year period. For the six months ended June 30, 2026, the non-GAAP net loss was $4.3 million versus $5.1 million during the first six months of 2025, a 15% improvement year over year. Approximately $31.2 million in cash and cash equivalents as of June 30, 2026. Company Highlights and Updates Cash on hand at the end of the second quarter was $31.2 million. The Company does not have plans to use the ATM program in the next twelve months. The Company has not sold any shares under its ATM program since March 19, 2026. Since the PowerBridge transmitter began shipping in 2024 through June 30, 2026, Energous has shipped over 56,000 transmitters, primarily driven by demand for the 2W PowerBridge Pro.   The pronounced increase in quarterly shipments beginning in the fourth quarter of 2025 clearly demonstrates the shift from supporting market validation to commercial adoption of the Company’s wireless power network solutions for ambient IoT. New Regulatory Certification – On July 29, 2026, we announced receiving FCC certification for the PowerBridge Pro+, advancing commercialization of our end-to-end wireless power solution. The PowerBridge Pro+ combines high-power RF wireless power delivery with integrated BLE gateway functionality in a single infrastructure device, delivering over-the-air power to compatible ambient IoT devices, such as our e-Sense battery-free sensor. Integrated with the Energous e-Compass SaaS platform, it enables centralized monitoring, analytics, configuration, and control across enterprise IoT deployments. This significant milestone allows for commercialization of Energous’ end-to-end solution. The press release can be viewed here. Webcast and Conference Call InformationA call is scheduled for 4:30 p.m. Eastern Time this afternoon, August 12, 2026, to review the second quarter results and provide an update on recent corporate highlights. The call will be via webcast, and interested parties may access the call using this LINK. Information about the call and a webcast replay will be available after the conference call at http://ir.energous.com/.About Energous Wireless Power Solutions Energous Corporation d/b/a Energous Wireless Power Solutions (NASDAQ: WATT) is pioneering scalable, over-the-air wireless power networks that enable unprecedented levels of visibility, control, and intelligent business automation. The Company’s wireless power transmitter and receiver technologies deliver continuous access to wireless power, helping drive a new generation of battery-free devices for asset and inventory tracking and management—from retail sensors, electronic shelf labels, and asset trackers to air quality monitors, motion detectors, and more. For more information, visit http://www.energous.com/ or follow on LinkedIn. Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this press release are forward-looking statements. Forward-looking statements may describe our future plans and expectations and are based on the current beliefs, expectations and assumptions of Energous. These statements generally use terms such as “believe,” “expect,” “may,” “will,” “should,” “could,” “seek,” “intend,” “plan,” “estimate,” “anticipate” or similar terms. Examples of forward-looking statements in this release include but are not limited to statements about our financial results, expected company growth, and operational initiatives. Factors that could cause actual results to differ from current expectations include: uncertain timing of necessary regulatory approvals; timing of customer product development and market success of customer products; our dependence on distribution partners; and intense industry competition. We urge you to consider those factors, and the other risks and uncertainties described in our most recent Annual Report on Form 10-K as filed with the Securities and Exchange Commission (SEC), any subsequently filed quarterly reports on Form 10-Q as well as in other documents that may have been subsequently filed by Energous, from time to time, with the SEC, in evaluating our forward-looking statements. In addition, any forward-looking statements represent Energous’ views only as of the date of this release and should not be relied upon as representing its views as of any subsequent date. Energous does not assume any obligation to update any forward-looking statements unless required by law. Non-GAAP Financial Measures We have provided in this release financial information that has not been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP). We use non-GAAP financial measures internally in analyzing our financial results and believe they are useful to investors, as a supplement to GAAP measures, in evaluating our ongoing operational performance. We believe that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends, and in comparing our financial results with other companies in our industry, many of which present similar non-GAAP financial measures to investors. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures below. Our reported results include certain non-GAAP financial measures, including non-GAAP net loss, non-GAAP operating expenses, non-GAAP sales, marketing, general and administrative expenses (SG&A) and non-GAAP research and development expenses (R&D). Non-GAAP net loss excludes depreciation and amortization, stock-based compensation expense, severance expense, change in fair value of warrant liability, and expenses related to the abandonment of financing transactions. Non-GAAP operating expenses exclude depreciation and amortization, stock-based compensation expense, expenses related to the abandonment of financing transactions, and severance expenses. Non-GAAP SG&A excludes depreciation and amortization and stock-based compensation expense. Non-GAAP R&D excludes depreciation and amortization and stock-based compensation expense. A reconciliation of our non-GAAP financial measures to their most directly comparable GAAP measures has been provided in the financial statement tables included below in this press release. Contacts:Investor [email protected] Media [email protected] 1 See “Non-GAAP Financial Measures” below for additional information.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes the 633% year-over-year revenue growth to a successful strategic repositioning from consumer electronics to enterprise IoT, specifically targeting battery-free sensing. The company has transitioned from technology validation into volume production, shipping over 25,000 PowerBridge transmitters in 2025 and achieving five consecutive quarters of revenue growth. Operational momentum is driven by two large-scale commercial deployments with Fortune 10 enterprises in retail and e-commerce, solving high-cost problems like cold chain compliance and inventory loss. Management emphasizes that their RF-based wireless power networks provide guaranteed, reliable power delivery that ambient harvesting alternatives cannot independently match for mission-critical applications. The establishment of a second contract manufacturer in the United States was a strategic move to capture government and regulated sector opportunities requiring domestic infrastructure. A 300-plus patent portfolio and years of iterative regulatory testing across multiple jurisdictions are cited as primary competitive barriers to entry. Management is focused on achieving cash flow breakeven by converting an active proof-of-concept pipeline into commercial deployments through co-selling efforts with AWS. The company plans to complete international infrastructure modernization at approximately 35 facilities for a major e-commerce customer during 2026. Guidance for 2026 assumes several active programs will reach commercial decisions, particularly in the quick service restaurant (QSR) and manufacturing verticals. Working capital requirements are expected to grow in proportion to simultaneous customer programs, supported by a $37 million cash position as of the end of Q1 2026. Management stated they have no plans for additional ATM equity usage for the remainder of the year, prioritizing execution over further capital raises. The PowerBridge PRO has yielded zero returns since commercial production began in 2024, which management cites as evidence of product reliability in harsh environments. The company reported a 51% year-over-year improvement in GAAP net loss, driven by higher shipment volumes and a 21% reduction in total operating expenses. Regulatory approvals in the U.S., U.K., and EU now enable immediate commercialization across those major markets. A key risk factor remains the inability to publicly name major Fortune 10 customers due to restrictive non-disclosure agreements, which impacts investor transparency. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. The relationship is described as mutually beneficial: Energous provides the 'missing link' of real-time asset tracking data that feeds AWS cloud revenue. AWS often sponsors or subsidizes proof-of-concept (POC) costs to accelerate the transition from testing to full-scale deployment. The '50-plus launches' on the AWS partner page represent individual orders or use-case tests rather than 50 unique customers. The company is conducting a proof-of-concept with a major U.S. QSR operator involving thousands of potential locations. The primary value proposition is the ability of wireless power infrastructure to operate in low-temperature storage where battery performance typically degrades. International expansion involves navigating different frequency requirements (865 MHz vs 917 MHz), but management confirmed their hardware is built to support both. Margins for international business are expected to remain flat compared to U.S. operations as use cases are nearly identical. The company is currently investing in tooling and test fixtures for its new U.S. manufacturer, with the ramp-up expected to be settled within Q2 2026. Combined capacity between the two contract manufacturers is deemed sufficient to handle any accelerated growth from the current pipeline.

Interested in Energous Corporation? Here are five stocks we like better. Energous reported strong Q1 results with revenue rising to $3.1 million from $0.3 million a year ago and the GAAP net loss narrowing to $1.7 million from $3.4 million. Gross margin improved to 36% and operating expenses fell 21%, reflecting better shipment volume and cost control. The company said it is shifting from technology validation to commercial deployment in enterprise IoT, led by its PowerBridge wireless power products. Management highlighted meaningful traction with two Fortune 10 customers, including large rollouts in retail inventory, cold chain compliance, and e-commerce fulfillment. Energous ended Q1 with about $37 million in cash and said it does not plan to use its ATM equity program further this year. Management believes its cash, manufacturing partners, and growing pipeline put it in position to keep scaling deployments and move toward profitability. 3 Sector ETFs Catching Fire After Earnings Beats Energous (NASDAQ:WATT) reported sharply higher first-quarter revenue and a narrower loss as management said the wireless power company is moving from technology validation into commercial deployment across enterprise Internet of Things markets. On the company’s first earnings call since 2024, Chief Executive Officer and Chief Financial Officer Mallorie Burak said Energous has reached “new milestones” on its path toward profitability and cash flow breakeven. Burak said the company’s strategy is centered on enterprise IoT applications where battery-dependent sensors and tags can be difficult or costly to maintain at scale. → Rocket Lab Just Hit a New All-Time High—Time to Buy or Let It Breathe? Energous reported first-quarter 2026 revenue of $3.1 million, up from $0.3 million in the same period a year earlier. Chief Accounting Officer Greg Sadikoff said the quarter marked the company’s fifth consecutive quarter of revenue growth. Cost of revenue was approximately $2 million, resulting in a gross margin of 36%, compared with 27% in the first quarter of 2025. Sadikoff said the improvement was primarily due to higher volume shipments of the company’s PowerBridge PRO transmitter. Operating expenses fell by approximately $0.8 million to $2.9 million, down 21% from $3.7 million a year earlier. The company reported a GAAP net loss of $1.7 million, compared with a net loss of $3.4 million in the prior-year period, a 51% improvement. → MP Materials Is Quietly Building a Rare Earth Powerhouse Burak said Energous was founded in 2012 with a focus on eliminating charging constraints in consumer electronics but repositioned itself in 2022 around enterprise IoT. The company now targets use cases such as supply chain visibility, cold chain compliance, logistics, retail inventory management and asset tracking. “Our operations and results today reflect a company that has crossed from technology validation into volume production,” Burak said. → Micron Investors Face a High-Stakes Moment After the Latest Rally The company’s commercial platform is built around its PowerBridge family of wireless power transmitters, led by the PowerBridge PRO, which Burak said is designed for deployment in retail, logistics, distribution, cold storage and production facilities. She said the PowerBridge PRO has shipped in meaningful volume, has had zero returns since commercial production began in 2024 and has received regulatory approvals for the U.S., U.K. and European markets. Burak also highlighted the PowerBridge PRO+, launched in 2025 with an integrated gateway, and the e-Sense tag, which she said is waterproof, reusable and dependable in low temperatures. Energous also offers e-Compass, a cloud-based software platform intended to provide real-time asset and inventory visibility, environmental monitoring and operational analytics. Chief Strategy and Growth Officer Giampaolo Marino said Energous has active commercial deployments with two Fortune 10 enterprises. The first is with a leading national retailer focused on inventory management and cold chain compliance monitoring across retail store locations. Marino said the initial phase covers approximately 4,700 U.S. locations, with more than 1,500 installations completed as of the company’s latest update. The second Fortune 10 deployment is with a major enterprise in e-commerce fulfillment, reverse logistics and grocery, Marino said. That program has expanded across multiple use cases and geographies, including more than 14 completed installations outside the U.S. to date. Energous plans to support installations at approximately 35 facilities in 2026 for that customer’s international infrastructure modernization project, he said. Marino said the company believes its technology can deliver up to 99% asset visibility in fixed enterprise environments. He said PowerBridge PRO transmitters deliver 2 watts of conductive power or 1 watt EIRP, which he described as up to eight times the power output of the nearest competition. Energous is also advancing proof-of-concept programs across several sectors. Marino cited a large-scale proof of concept with a U.S.-based subsidiary of a multi-billion-dollar international parent company focused on semi-perishable inventory tracking across production and distribution operations. The company has also started a structured proof-of-concept evaluation with a national quick service restaurant operator. Marino said the QSR vertical represents a potential market expansion for Energous in food safety, compliance, inventory visibility and environmental monitoring. In response to an analyst question, Marino said the quick service restaurant opportunity involves a “major QSR” in the United States with thousands of retail stores nationwide. Marino also said Energous is progressing with government and regulated-sector organizations, where domestic manufacturing, infrastructure security and system reliability are important requirements. Burak said the company added a U.S.-based contract manufacturer earlier this year, supplementing its established international manufacturing partner. Management also discussed Energous’ relationship with Amazon Web Services. Marino said Energous is supporting proof-of-concept evaluations with enterprise customers through AWS’ ISV Accelerate Program, which he described as a co-selling relationship that gives Energous access to enterprise customer conversations at a scale it could not reach independently. Marino said the AWS relationship is mutually beneficial because Energous pushes data into the AWS cloud, while AWS gains a solution for real-time asset tracking, cold chain monitoring and supply chain visibility. He said AWS “oftentimes” sponsors proof-of-concept projects to help customers test the technology and move more quickly toward deployment discussions. Burak clarified that more than 50 “launches” shown on the AWS partner page do not necessarily represent more than 50 customers. She said a single customer can have multiple launches if it is testing different use cases or deploying to different facilities in stages. Burak said Energous raised net proceeds of approximately $31.9 million through its at-the-market equity program from fiscal 2025 through March 23, 2026, resulting in a cash position of approximately $37 million at the end of the first quarter. She said the company has “no plans for additional ATM usage this year.” Management said working capital needs are rising as Energous supports multiple customer programs, including engineering support, customer integration, inventory positioning and certifications. Burak said the company believes it is well positioned to support its pipeline through commercialization with its cash balance and two contract manufacturing relationships. For full-year 2025, Energous reported approximately $5.6 million in revenue, a 633% increase over 2024 and the highest annual revenue in the company’s history, according to Burak. She said the company shipped more than 25,000 PowerBridge transmitters in 2025 and now has more than 39,000 PowerBridge transmitters deployed. “Our job now is execution, converting pipeline into deployments, expanding within existing customers, and scaling our platform across new industries and geographies,” Burak said. Energous Corporation develops and commercializes radio frequency (RF)–based wireless charging technology designed to deliver power over the air to compatible devices. Its WattUp platform includes near‐field and far‐field transmitters that emit targeted RF energy and receiver modules that convert that energy into electrical power. The company's solutions aim to eliminate the need for cables and charging pads by enabling contactless power delivery to a range of products, from wearables and IoT sensors to medical devices and consumer electronics. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Energous Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

This article first appeared on GuruFocus. Revenue: $3.1 million for Q1 2026, up from $0.3 million in Q1 2025. Gross Margin: 36% in Q1 2026, compared to 27% in Q1 2025. Cost of Revenue: Approximately $2 million in Q1 2026. Operating Expenses: Decreased to $2.9 million in Q1 2026 from $3.7 million in Q1 2025. Net Loss: $1.7 million in Q1 2026, improved from $3.4 million in Q1 2025. Cash Position: Approximately $37 million as of the end of Q1 2026. Warning! GuruFocus has detected 3 Warning Signs with WATT. Is WATT fairly valued? Test your thesis with our free DCF calculator. Release Date: May 13, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Energous Corp (NASDAQ:WATT) reported its fifth consecutive quarter of revenue growth, with Q1 2026 revenue reaching $3.1 million, a significant increase from $0.3 million in Q1 2025. The company has achieved regulatory approvals for its PowerBridge Pro transmitters in key markets, including the U.S., U.K., and EU, enabling immediate commercialization. Energous Corp (NASDAQ:WATT) has established a strong partnership with AWS, which is helping to accelerate proof-of-concept evaluations and commercial deployments. The company has expanded its manufacturing capabilities by adding a second U.S.-based contract manufacturer, enhancing its ability to meet domestic supply chain priorities. Energous Corp (NASDAQ:WATT) has a robust patent portfolio exceeding 300 patents, creating a significant barrier to entry for competitors in the RF-based wireless power market. Despite revenue growth, Energous Corp (NASDAQ:WATT) reported a net loss of $1.7 million for Q1 2026, although this is an improvement from the $3.4 million loss in Q1 2025. The company is still in the process of ramping up its U.S. contract manufacturing capabilities, which involves additional costs and investments. Energous Corp (NASDAQ:WATT) faces challenges in naming its major customers due to confidentiality agreements, which may limit transparency for investors. The company operates in a highly competitive market, with the need to continuously innovate and maintain its technological edge. Energous Corp (NASDAQ:WATT) is reliant on converting proof-of-concept deployments into commercial deployments to sustain its growth trajectory, which involves inherent risks and uncertainties. Q: Can you elaborate on your ability to maintain revenue growth for the rest of the year? A: Mallorie Burak, CEO and CFO, explained that Energous is focused on converting proof-of-concept deployments into commercial deployments, many of which are co-selling efforts with AWS. The company is working towards both sequential growth and a path to profitability and cash flow break-even. Q: Can you provide more details on the AWS relationship and the significance of the ISV Accelerate program? A: Giampaolo Marino, Chief Strategy & Growth Officer, highlighted the strong relationship with AWS, which is mutually beneficial as Energous provides real-time asset tracking solutions that AWS needs. AWS often sponsors proof-of-concept (POC) evaluations to help customers quickly assess the technology, which accelerates the transition from POC to deployment. Q: Are there opportunities for Energous in Amazon's new supply chain services? A: Giampaolo Marino noted that while UPS uses battery-based technology for asset visibility, Energous offers a superior battery-free solution that reduces ownership costs and provides more accurate tracking. This positions Energous as a potential fit for Amazon's supply chain services. Q: How large is the quick service restaurant proof of concept, and do you have the capacity to handle smaller companies? A: Giampaolo Marino mentioned that the quick service restaurant POC is with a major U.S. chain with thousands of locations. Energous is open to opportunities with smaller companies and leverages strong partnerships to scale solutions across various use cases. Q: Can you quantify the potential customer base within AWS's reverse logistics partnership? A: Giampaolo Marino stated that AWS has thousands of customers in retail, IoT, manufacturing, and logistics, all of which present significant opportunities for Energous. The use cases and pain points are similar across these customers, offering a large potential market. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Energous (NASDAQ:WATT) held its first-quarter earnings conference call on Wednesday. Below is the complete transcript from the call. This transcript is brought to you by Benzinga APIs. For real-time access to our entire catalog, please visit https://www.benzinga.com/apis/ for a consultation. Access the full call at https://edge.media-server.com/mmc/p/2deb2u4d/ Energous reported a significant revenue increase in Q1 2026, reaching $3.1 million, marking their fifth consecutive quarter of revenue growth. The company has transitioned from technology validation to volume production, with active deployments in Fortune 10 enterprises and regulatory approvals across major markets. Energous has a strong cash position of $37 million and is focusing on commercializing their pipeline without further ATM usage for the year. The company expanded its manufacturing capacity with a new U.S.-based contract manufacturer to support growing demand. Management emphasized their strategic partnership with AWS, which has become a key channel for customer acquisition and proof of concept evaluations. OPERATOR Good day and welcome to the Energous Wireless Power Solutions First Quarter 2026 Financial Results Conference call. All participants will be in a listen only mode during the prepared remarks. Following the prepared remarks, we will conduct a question and answer session. Please note this event is being recorded before the call begins. Energous would like to remind participants that during today's call the Company will make forward looking statements. These statements are subject to inherent risks and uncertainties detailed in the Company's filings with the Securities and Exchange Commission. Actual results may differ materially from those anticipated. Except as otherwise required by Federal law, Energous disclaims any obligation to publicly release updates or revisions to any forward looking statements or to reflect changes in expectations. I would now like to turn the conference over to Mallory Burak, Chief Executive Officer and Chief Financial Officer Mallory, please go ahead. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Thank you and welcome everyone. I appreciate you all joining us on this conference call today, our first since 2024. On this call we will discuss a series of firsts, in other words, new milestones we have achieved on our path to profitability and cash flow break even and why we believe we are positioned to continue our growth. We thank our stockholders and investors for your patience and continued belief in what we are building. I want to take the time today to properly reintroduce our company, where we came from, what we have built, why the momentum we established in 2025 is real and accelerating and what the first quarter of 2026 is telling us about the trajectory ahead. I will then turn it over to Giampala Marino, our Chief Strategy and Growth Officer, to provide context on our technology platform and the industry environment driving enterprise adoption. Greg Sadikoff, our Chief Accounting Officer, will then walk through the Q1 financials in detail. Energous was founded in 2012 with a vision to eliminate the wires and charging constraints that define consumer electronics. At the time, our research and development produced the world's first FCC Part 18 certification for out of distance wireless charging and a patent portfolio that today exceeds 300 patents. In 2022, we made the strategic decision to reposition Energous entirely around enterprise IoT, specifically the opportunity to power a new generation of battery free sensors, tags and monitoring devices in commercial environments where always on maintenance, free sensing is increasingly becoming an operational requirement. The verticals we identified, including supply chain, cold chain compliance, logistics, retail inventory management and asset tracking, share a common characteristic. The scale of deployment makes battery dependency economically and operationally prohibitive. That is the problem we now solve. We spent 2022 and 2023, building the technology, earning regulatory certifications, establishing commercial partnerships and conducting the proof of concept trials that would allow enterprises to validate our technology. Our operations and results today reflect a company that has crossed from technology validation into volume production. Our commercial platform is built around the powerbridge family of wireless power transmitters purpose built for enterprise environments requiring reliable, scalable always on wireless power delivery. Our flagship product, the PowerBridge Pro is designed for deployment in retail, logistics, distribution, cold storage and production facility environments. The PowerBridge Pro has shipped in meaningful volume, has yielded zero returns since commercial production began in 2024 and has received regulatory approval including FCC, UK and EU market approval enabling immediate commercialization across US, UK and European markets in 2025. The Power Bridge portfolio grew with the launch of the PowerBridge Pro plus, featuring an integrated gateway and specifically designed to be an innovative addition to the company's wireless power network solutions Alongside our transmitter hardware we offer a complete end to end ambient IoT solution integrating our wireless power transmitters with battery free sensors, gateways and our cloud based software platform eCompass, providing customers with real time asset and inventory visibility, environmental monitoring and operational analytics. This end to end capability matters. Our customers are not just purchasing a point in time hardware product, they are deploying a wireless power network infrastructure that provides real time visibility into operations and eliminates the ongoing costs and reliability reliability risk of battery dependent IoT systems. Our product family also includes the E-Sense Tag which we also introduced in 2025, broadening the range of use cases our platform addresses and increasing the value we deliver per deployment. The E Sense tag provides dependability in low temperatures, is waterproof and reusable when paired with the Power Bridge transmitters, Energous can offer customers an efficient and effective solution that is ideal for complex use cases such as cold chain monitoring where other applications performance often degrades when exposed to extreme temperatures. Our production infrastructure includes two contract manufacturers. Our established international manufacturing partner provides cost effective high volume production capacity that underpins our existing customer shipments. Earlier this year we added a second contract manufacturer based entirely in the United States. The US Manufacturing capability we have now established has enabled us to engage the customer opportunities that would previously have been inaccessible and it positions us well given the broader domestic supply chain priorities we are seeing across enterprise procurement. I want to be direct about why we believe Energous has durable competitive advantages. First, regulatory Our regulatory credentials and wireless power are not easily replicable. They require years of iterative development, testing and deep regulatory exploitation expertise across multiple jurisdictions. A foundation that we have built over time and continue to apply as we expand into new markets. Second, intellectual property our 300 plus patent portfolio creates a commercial barrier to market entry. Any competitor seeking to operate in RF based wireless power for IoT applications must navigate this IP position. Third, market experience we have now conducted proof of concept deployments and commercial installations across dozens of enterprise environments. The operational knowledge embedded in those deployments, including how our networks perform in real environments with real installation requirements, is not something a new entrant can acquire quickly. Fourth, and most importantly, the ability to meet commercial needs. Enterprises are choosing wireless power networks over just ambient harvesting alternatives because they need guaranteed reliable power delivery. Our power bridge infrastructure delivers consistent defined power within a coverage area, the dedicated power required to consistently and frequently transmit data to the cloud and is what mission critical applications require and which ambient harvesting cannot independently provide sufficiently. With respect to the current momentum in 2025, Energous moved from validation to production. We reported revenue of approximately $5.6 million for the full year, a 633% increase over 2024 and the highest annual revenue in the company. We shipped more than 25,000 power bridge transmitters. We reported four consecutive quarters of revenue growth with Q4 revenue of approximately $3 million, representing a 139% sequential increase from Q3. Behind those financial metrics were two pivotal commercial deployments. During 2025, we began large scale commercial deployments with two of the largest enterprises world. Both of these programs represent exactly what we designed our platform to do solve a real costly operational problem at enterprise scale with infrastructure that performs reliably without battery dependency. The commercial infrastructure we built last year, including recently expanded manufacturing capacity, a strengthened balance sheet and a growing portfolio of active deployments, is enabling us to pursue opportunities at a pace and scale that was not possible 12 months ago. Gianpaolo, our chief strategy and growth officer, will now discuss the technology landscape and industry tailwinds in more depth and he will also cover our proof of concept, pipeline and technology differentiation. Gianpaolo Marino Gianpaolo thank you Mallory. The demand environment for wireless power networks in enterprise setting is structural and strengthening. Let me identify the specific drivers we are seeing in our customer interactions. Supply chain visibility has moved from a competitive advantage to an operational and regulatory requirement. The disruption of recent years and the increasing liability exposure around cold chain compliance, food safety and pharmaceutical logistics have made real time always on sensing a baseline expectation. At large enterprises, the question is no longer whether to instrument a supply chain with sensing technology, but rather how to do it scale without the ongoing cost and the failure risk of battery dependent systems. Our RF based wireless Powered network technology is an end to end platform combining transmitter systems, receiver integrated circuits, antenna systems and supporting software to enable at a distance wireless power delivery for low power IoT devices. A key architectural advantage of our platform is one-to-many power delivery. A single power bridge transmitter can deliver power to multiple receiver enabled devices with range simultaneously. This is what makes our technology economically scalable at enterprise level. The infrastructure cost per sensor point decrease as the deployment density increases. Our platform supports interoperability between transmitters and battery free receivers regardless of the device manufacturer or the system integrator. An open ecosystem approach consistent with how widely adopted wireless technology like Wi-Fi and Bluetooth operate. Our semiconductor devices provide the underlying IP building blocks for our transmitters and receiver technologies. These chipsets allow us to continue evolving our product family efficiently as we address new applications and market requirements. ECompass, our cloud based analytics platform transforms the data generated by the battery free sensor networks into a real time operational intelligence including asset location, environmental condition and compliance status delivered through a software interface that integrates into a customer existing enterprise system. We believe this data is invaluable for feeding AI models, compiling compliance data and generating real time and predictive analytics to improve operational management. I'd like to take few minutes to walk through our commercial agreements portfolio. We think about our pipeline in three distant active commercial deployment, active proof of concept programs and our broader pipeline outlook. Our current production infrastructure deployments with Fortune 10 enterprises are generating revenue today and continuing to scale. Our first Fortune 10 commercial deployment is with a leading national retailer focused on inventory management and cold chain compliance monitoring across its retail store locations. The first phase deployment program starts at approximately 4700 US locations and as one of our most recent updates the customer has completed installation at over 1,500 of those locations. The primary application is pilot level asset tracking across operational facilities, collecting real time data as assets travel through dock doors and freezer and cooler storage areas, preventing spoilage, product diversion and inventory loss while addressing regulatory compliance requirement and operational cost reduction at scale. To our knowledge, Energous is the only provider capable of delivering up to 99% asset visibility in fixed enterprise environments which is made possible by our Power Bridge Pro transmitters which deliver 2 watt of conductor power or 8 watt EIRP up to 8 times the power output of our nearest competition. In cold chain environments where a single blind spot can mean spoilage loss or compliance failure, the power advantage is not a feature, it is the reason why we are in this program. Our second Fortune 10 commercial deployment is with a major enterprise in the E Commerce Fulfillment Reverse logistics and grocery sector. This customer has increased the cadence of its engagement with us and has expanded its program across multiple use cases and geographies. Importantly, this program has now extended internationally with over 14 completed installation outside of the United States to date and we are planning to continue supporting this customer international expansion of its infrastructure modernization project to complete installation at approximately 35 facilities in 2026. This deployment validates that our platform performed at scale beyond the US Market and reflects the growing global demand for wireless power network infrastructure. The active proof of concept programs we are advancing today are designed to provide reference deployment for production scale performance often across multiple facilities. Several of our current programs are specifically structured to scale from initial site deployments to broader multi location rollout. In the near terms, a few sample use cases and opportunities we are addressing today include a large scale proof of concept with a US based subsidiary of a multi billion dollar international parent company focused on modernizing semi perishable inventory tracking a cost across its production and distribution operation. This program is notable because it deploys our full end to end ambient IoT solution. Wireless power networks comprise of battery free sensors, RF transmitters, gateways and eCompass cloud analytics working together to deliver real time inventory visibility at key production facilities. We have also initiated a structural proof of concept evaluation with a national quick service restaurant operator. The QSR vertical in addition to grocery is a significant market expansion for energies across several dimensions. Full safety compliance, inventory visibility and environmental monitoring in food preparation and storage environment are all applications where battery free wireless sensing has a clear operational advantage. To our knowledge, we are the only provider today with a solution proven to operate efficiently in low range temperature. Battery performance degrades in cold storage. Our wireless power infrastructure does not have the constraint in lower temperature ranges and that is what makes this application category unique addressable by Energous. The potential deployment scale in a national QSR program measured in thousands of locations for customer relationship represents a meaningful revenue opportunity. Finally, we are progressing with government and regulated sector organization where the most important requirements are domestic manufacturing infrastructure security and system reliability. Our new US Manufacturing capability positions us to directly meet those requirements. I should also note that through Amazon web Service, our cloud infrastructure partner ISV accelerated program, we are supporting proof of concept evaluation with enterprise customers engaged through that co selling relationship. It gives us access to enterprise customer conversation at a scale we cannot reach independently. This channel has become a genuine commercial pipeline source and we are advancing active evaluation through it. Evidenced by the 50 plus customer launches reported on the AWS Partner page. We expect several of our active programs to reach commercial decisions during 2026. As our customer advance their timeline, we are committed to providing increasing specificity on the composition and scale of our pipeline. I will turn it back to Mallory now. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Thank you, Giampaolo. Before Greg walks through the financials, I want to address our balance sheet and capital position directly. Following fiscal year 2025 through March 23rd of 2026, we raised net proceeds of approximately $31.9 million through our ATM equity program, resulting in a cash position of approximately $37 million at the end of the first quarter. As John Paula just described, as we move from development stage engagements to active commercial deployments supporting multiple simultaneous customer programs, each involving engineering support, customer integration, inventory positioning and certification of our work, our working capital requirements grow in proportion to that activity. With approximately $37 million in cash as of the end of the first quarter and two contract manufacturing relationships in place, we believe we are well positioned to support our pipeline through commercialization. We have no plans for additional ATM usage this year. Our priority is executing on our commercial programs and translating that activity into revenue growth that makes our path to profitability and cash flow break even increasingly visible. I will now turn it over to Greg Sadikop, our Chief Accounting Officer, to review the first quarter 2026 financial results. Greg? Greg Sadikoff (Chief Accounting Officer) Thank you, Mallory. Good afternoon. I will now review our financial results for the first quarter ended March 31, 2026. Earlier today we issued our earnings release announcing the operating and financial Results for the three months ended March 31, 2026, focusing on the GAAP financial statements. During the three months ended March 31, 2026 and 2025, we recorded revenue of $3.1 million and $0.3 million, respectively. Revenue recorded in the first quarter of 2026 represents our fifth consecutive quarter of revenue growth commensurate with the increase in revenue. Our cost of revenue in the first quarter of 2026 was approximately $2 million, yielding a 36% gross margin versus a 27% gross margin reported in the first quarter of 2025. The increase was primarily due to higher volume of our Power Bridge Pro transmitter shipped during the first quarter of 2026. Total operating expense for the three months ended March 31, 2026 decreased by approximately $0.8 million to $2.9 million from $3.7 million in the first quarter of 2025, representing a 21% year over year improvement. The GAAP net loss reported for the three months ended March 31, 2026 was $1.7 million versus a net loss of $3.4 million in the prior year period, representing a 51% improvement year over year. With that, I will turn the call back to Mallory for closing remarks. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Thank you, Greg. I would like to close with some perspective on where we stand. Two years ago, when I joined Energous, we were continuing to develop our technology and operating with a challenged balance sheet. In addition to strategic execution, it has been equally as important to me to rebuild credibility with investors. I have personally spoken to a broad population of investors and it is my sincere hope that our performance over the last two years has demonstrated that commitment and the Energous team is excited about the prospects ahead. Today we have demonstrated five consecutive quarters of revenue growth. We launched three new products creating a compelling end to end wireless power network solution and have more than 39,000 power bridge transmitters deployed. We have two active large scale commercial deployments with Fortune 10 Enterprises, one with over 1500 US locations completed and expanding, and one now operating internationally across multiple geographies and use cases. We have a structured proof of concept pipeline spanning retail, manufacturing, food service and government sectors. We have an active co selling partnership with a major cloud infrastructure provider. Our flagship products have achieved regulatory approvals in key jurisdictions. I believe that we have crossed the turnaround chasm. The transformation is real and it is documented. Our job now is execution, converting pipeline into deployments, expanding within existing customers and scaling our platform across new industries and geographies and continuing to innovate. We believe the platform, the infrastructure, the partnerships and the capital are in place to do exactly that. We are grateful for your attention today and we look forward to continuing this dialogue and will now open the call for questions. OPERATOR Thank you. As a reminder to ask a question, please press star 11 on your telephone and wait for your name to be announced. To withdraw your question, please press star 11 again. One moment for questions. And our first question comes from John Hickman with Leydenbrook Thalman. You may proceed. John Hickman Hi, Mallory, can you hear me okay? Yeah. Hi John. So can you. I know you have a goal of trying to grow each quarter. You've done it for five quarters. Can you elaborate or maybe give us a little insight into the ability to keep that trend going for the rest of the year? Mallory Burak (Chief Executive Officer and Chief Financial Officer) Yeah. So maybe I'll start and then Gianpaolo can chime in as well. So, you know, we're working really hard to not just try to produce sequential growth on the top line, but also working toward a path to profitability and cash flow. Breakeven. So we're doing those in parallel. A lot of the Top line growth is based on our ability to convert proof of concept deployments that we have going on. Many of those are co selling efforts with AWS and converting those into commercial deployments. OPERATOR our next question comes from Mark Gomes with pipeline data. He may proceed. Mark Gomes Yeah, I don't know what happened on the call there. It sounded like you were in the middle of giving an answer and then something happened there. So maybe you want to finish that response and then I can answer, ask my questions. Thanks. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Oh, sure. Thanks, Mark. Yeah, no, you know, I was just saying that we're highly focused on working with the pipeline that we have to convert it into revenue and we're bringing up, you know, we're bringing up the US contract manufacturer into higher volumes and just being prepared to fulfill demand, you know, as we can convert it. Mark Gomes Great. Can you talk about the AWS relationship in more detail and how important the ISV Accelerate program is and kind of the pace and magnitude of the launches that we've seen on the partner site moving from 5 plus to 50 plus. And I know you clarified in the press release, but like what does that say for the relationship you have with them? And maybe give us some color in terms of what the response seems to be in those POCs so far. Kind of give us an indication of your ability to continue to grow and accelerate over the next couple years. Gianpaolo Marino Yeah, Mark, this is Gianpaolo. I'm going to head and address these and obviously Mallory, she can chime in. As far as aws, I think the relationship, it's a very strong relationship that we have built with AWS over probably the last two years, two and a half years. I think we've had a lot of discussion, we've had lots of trainings between energous and AWS RSMs, which is obviously the sales managers sort of to demonstrate how our solution works and why. Our solution is actually something that AWS needs and wants and wants to push. Right. I always say that the relationship is, is mutually beneficial. It's a quid pro quo, meaning we push data into the AWS cloud. AWS basically makes money off of data. Right. But most importantly, when we talk about real time asset tracking, visibility across retail, supply chain, manufacturing, this is the missing link that AWS has not had in the past. When they come across obviously application that they've got to do with real time asset tracking, cold chain monitoring, they don't have or they did not have in the past, a robust and compelling solution that really Brings lots of value and ROIs within a year. And so they have recognized that with Energous. And this is the reason why we are in a lot of discussions with some of their end customers where we get introduced by aws and, and sort of like those discussions turn sometimes quickly into POCs, because we come across pretty much the same pain point that we have seen at these Fortune 10 customers. Right. Lack of visibility, lack of real time data, inability to really monitor asset as they move through complex supply chain. And we solve that pain point very nicely. And this is the reason why we are in those conversations with them in terms of momentum. Mark Gomes Yes, sir. Yeah. Is that why they're subsidizing the poc? From what I understand, ISV accelerate means, you know, that they, that they, they put money towards those POCs and that they compensate their own salespeople for. For selling your solution? Gianpaolo Marino Yeah, certainly, yeah. Oftentimes we see AWS stepping in, you know, sort of like sponsoring, you know, the PoCs to enable customers, customers to really test the technology quickly, assess the value and obviously move them quickly from a POC phase into what we want in deployment phase. So sometimes that sponsorship help accelerate the momentum in terms of like, okay, let's get the POC going, let's validate the data, let's validate the technology and then let's move quickly once we do that into more of a deployment discussion with the end customer. Okay, and then you were going to comment on the momentum there? Yeah, absolutely. I think you mentioned. Right. We went from like 5 to 50 plus. So there's definitely a lot of momentum. Mallory said that before during the call, we have definitely crossed that inflection point. And so now we are at a point where a lot of other customers within retail, within manufacturing, within logistics, you know, are not anymore on the fence about this technology, are not anymore on the fence about ambient iot and they want to get a piece of it. And so this is really, and this reflects, you know, the acceleration momentum that we see through POCs. Because, you know, the world is out there, you know, what we are doing with the two Fortune 10 customers. So anybody else, you know, within the same space or market wants to get a piece of the technology because the benefits are very tangible. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Yeah. And Mark, just to add to what Gianpaolo said, I think we pointed this out in the earnings release, but I think it's just important to also say it again here. The 50 plus launches on the AWS partner page. That doesn't necessarily reflect that it's 50 plus customers, so. Right, no, that's clear. The way they recognize a launch is that, you know, it's more like an order. So a single customer might have multiple orders because maybe they're testing different use cases or deploying to different facilities and stages. So I just want to make sure that's clear. Mark Gomes Yeah, no, that's been clear. But what I've been focused on being aware of that is that it's gone from 5 to 50 plus. So that was kind of notable. So I wanted to hear about that. One other news in Supply Chain, I know you don't talk about who your customers are, so I'm not implying that this is one of your customers, but Amazon announced the Supply Chain services kind of going head to head against a UPS are the services that they're looking to provide something where you guys might be a fit. Not saying are a fit, I'm saying is that, is there a play there for you guys? Gianpaolo Marino So let me Mark, let me actually answer the question by looking at ups. Right. So we know that UPS basically uses a company that is called Traconomy and they start to like have pretty much when you look at, from a technology standpoint, they sort of have the same pretty much base layer technology, but it's battery based. Right. And they use basically battery based Bluetooth Low Energy (BLE) that basically help UPS asset get a lot more visibility as they travel. Right. So yeah, I mean I think we have a superior technology because not only we eliminate the batteries but. And so we reduce cost of ownership. But I think we have a much more accurate technology that can really pinpoint where things are even within very complex operational facilities. So I think it's. Yeah, I think it's converging to a direction where. Why not. Why Amazon could not make use of Uber building today. Mark Gomes Great. I'll go back. I've got more questions but I'll come back in the queue. Also sounds like UPS maybe the opportunity to switch over to you guys if you have superior technology. But I'll cede the floor for a minute. OPERATOR Thank you. Our next question comes from John Hickman with Bladenbrook Thalman. You may proceed. John Hickman Hey, I just wanted a follow up question on you know, the, or the customers that you talk about. Fortune 10, a big customer in. Overseas in the tobacco world. Do you have the time or bandwidth to handle maybe a more mundane company in the bottom of the like S&P 500? Are you even looking at that kind of business? Gianpaolo Marino Yeah, Mallory, I'll take this and please chime in. I think John, we're looking at every Opportunity that comes our way. Right. Because once you have deployed with the technology, then you're starting to learn that the use cases are very similar from opportunity to opportunity. So for us becomes more of a lend and expand sort of like exercise. But nevertheless, I think it's also very important to highlight the fact that we have very strong partners that we work with throughout basically the POC and deployment phase. And those partners are also critical to enable us to basically capitalize on multiple opportunity. It's not that we do everything on our own. We work with system integrators, with installers who are coming in and are helping really us scale the solution and sort of like move to the next use case within the same customer or move to the next customer. John Hickman So Mallory, do you think there will come a time this year when you might be able to name a name? Mallory Burak (Chief Executive Officer and Chief Financial Officer) Oh my gosh, we would love to name a name. Unfortunately right now the customers we have won't grant us permission to do it. But yeah, we're definitely trying to work with customers that will let us use their name. John Hickman And Gianpaolo, can you maybe qualify how large that Q Quick Service restaurant proof of concept is? Gianpaolo Marino Yeah, I mean, I can say that, you know, it's a major QSR here in the United States, you know, with thousands of, you know, retail stores across nationwide. So it's pretty sizable. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Okay, thank you. I'll stead the floor. Thanks, John. OPERATOR Thank you. Our next question comes from John Henderson within Inflections Consulting. You may proceed. John Henderson Hey, Mallory. Hey, John. Paulo, how are you? Congratulations on the seminal inflection point on the seminal inflection point. Just had a quick follow up question on the AWS opportunity. Can you quantify for investors to help educate us within their reverse logistics partnership that you guys have with them, how many potential customers would benefit from your solution, both end to end and the hardware stack? Just trying to understand what the long term opportunity is. We see the 50 launches, which is phenomenal. But I think if you can help educate investors, that would be great. Thank you. Gianpaolo Marino Yeah, I'm going to start. I would say when we talk about aws, right, and you look at the scale of customers AWS has within retail, IoT, manufacturing and logistics, we're talking about thousands of customers there, right? So the scale is huge. I think we are trying to obviously work very closely with them so that we can potentially reach as many customers as we can. And as I mentioned before, what we see is that the use cases, the pain points, the pain points that these customers have are pretty similar from customer to customer. But yeah. Given the scale of AWS and given the relationship of the number of customers they have, it's pretty big. I mean, really thousands of retail, IoT manufacturing and logistics customers with very similar use case with very similar pain points. John Henderson Great, thanks so much. Appreciate it. OPERATOR Thanks, Sean. Michael Molnar Thank you. Our next question comes from Michael Molnar with MYTA Advisors. You may proceed. Hi, Mallory. Hi, Gianpaolo. Thanks for your time and appreciate the clarity on the ATM and all the progress you've made over the last year. So. Well, well done. Giampaolo, question for you on the international opportunity. Is it, is the go to market process there similar to what you experience here in the US or is there a sort of degree of difficulty or customization that an international non US client requires, and would that ultimately imply less opportunity there or lower margins for that business? Or do you see it as just as robust as what you could, what you could do here in the U.S. thank you. Gianpaolo Marino Yeah, it's a great question. I think in terms of use cases, very similar use cases, we are driving in Europe or internationally based on what we see here in what we see here in the US So I would say that from, from a margin standpoint, it's pretty much flat. It's pretty much the same. You know, there's no, there are no differences from one region to the other. Technically, though, there are some differences which are making our deployment a little bit different from what we see here in the US and the technical aspect is in Europe, in country, in Europe, basically you see two different type of frequency of operation. When it comes down to RF Energy, you see 917 and also 865. Okay, so there are countries that want to operate strictly at 865 MHz versus other countries that they want to operate at 917 MHz. And that I think is the biggest difference that we see between obviously Europe and US. But we have products that are capable of meeting both requirements. We have Power Bridge protransmitters that can operate in 917, and we also have Power Bridge Pro transmitters that, you know, can operate at a lower frequency. So it's not a challenge, but I think it's a technical difference that I think needs to be highlighted. Michael Molnar Okay, I've got it. Thank you for that. And Mallory, you added a contract manufacturer. And I think when we spoke a couple months back, you had mentioned there was some spend associated with spooling up these relationships. Is that pretty much behind you now? And what sort of capacity do you have in place from a revenue perspective with two contract manufacturers here in the U.S. Mallory Burak (Chief Executive Officer and Chief Financial Officer) so we're still in the process of ramping the U.S. contract manufacturer to accommodate, you know, what I would call significant volume. So there is some tooling and test fixtures and things like that that we need to invest in. I think that'll be settled within Q2 in terms of capacity. What I'll say is between the two contract manufacturers, I believe we're in very good shape to be able to accommodate any kind of accelerated growth that we may see as these PoCs and enterprise expansions ramp up. Michael Molnar Okay, great. Well, thank you both for your time. Well done. And happy to see you doing a call again and providing so much, so much information and clarity as you progress. So well done. Thanks for your time. Mallory Burak (Chief Executive Officer and Chief Financial Officer) Thanks, Mike. OPERATOR Thank you. And as a reminder to ask a question, please press star one one on your telephone. Our next question comes from Mark Gomes with pipelinedata. You may proceed. Mark Gomes Yes, so, you know, obviously, food and drugs are getting a lot of attention. The government mandate as kind of the driver kind of there. What other areas or use cases are you seeing popping up? And are there prospective customers approaching you and saying, hey, can we use your technology this way? Gianpaolo Marino Yeah, Mark, it's a great question. It's John Paulo, I'm going to try to answer. And obviously, Mallory, she can chime in any, anytime. I will say that manufacturing is also a market segment where we do see our solution being a great fit. As I mentioned during the, you know, during the call, we're working with a manufacturing facility here in U.S. so manufacturing, I think, you know, pharmaceutical, obviously, you know, we've been talking about logistics, retail. You just name it. And when I say manufacturing. Right. Mark, I know I don't give you a strict answer, but manufacturing is a very broad term. So within the manufacturing space, there's definitely multiple interesting segments that are looking at our solution as a potential solution to be adopted across their operation. Mark Gomes Great. And then one last one for me is, you know, with all the attention with regard to these government mandates, we also know that AI has been kind of a good enabler here. What would you say, like, everybody got excited around this space with the government mandates, but how would you characterize AI? Is it, you know, much smaller driver, equal driver, bigger driver? You know, how should we look at that? Gianpaolo Marino Yeah, I think AI is an important driver. But again, we always like to say that if you don't feed the AI with a meaningful data, then there is no AI Then AI doesn't really scale. And this is what we are doing. Here we are creating a physical AI layer at the center level, where now data gets generated seamlessly, and that data gets fed into AI models that are used to make better and much more efficient decision. And so I think the two, they really go end to end. Right. You need the data to have a much more efficient AI. And so this is basically what we are doing. We are right at that intersection point where we're generating the data, and then we're pushing the data into AI models and we're enabling AI to really thrive and make better decisions that will basically improve customer operation and efficiencies. Mark Gomes Great. Well, keep it going, guys. Congratulations on the progress and looking forward to hearing about more. Thanks. Gianpaolo Marino Thanks, Mark. Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company's SEC filings and official press releases. Corporate participants' and analysts' statements reflect their views as of the date of this call and are subject to change without notice. UNLOCKED: 5 NEW TRADES EVERY WEEK. 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