Miya Dynamics Stock Plummets Amid Soaring Losses and Dwindling Cash
Miya Dynamics, an Israeli micro-mobility company, experienced a sharp 26.5% drop in its stock value on the Tel Aviv Stock Exchange, marking the largest single-day decline. This downturn follows the release of the company's first-half financial reports, which revealed a loss of nearly NIS 11 million, more than double the NIS 4.6 million loss from the same period in 2025. The increased losses are attributed to a significant decrease in sales and revenue. First-half revenues for the year were less than NIS 400,000, insufficient to cover fixed production costs and generate gross profit. In comparison, the company reported NIS 2.7 million in revenue for the first six months of 2025.
The company's ambitious expansion into the U.S. market appears to be faltering, with only NIS 31,000 in sales reported from the U.S. in the first half of the year. Miya Dynamics' strategy in the U.S. relies heavily on a limited distribution network and a single distributor, Quadsolo, which holds exclusive rights for police, law enforcement, and security vehicles. The company acknowledges its dependence on Quadsolo's network and client base for growth in this sector.
Quadsolo's purchasing behavior has raised concerns. After a substantial order of 1,000 vehicles in 2024, which significantly boosted Miya Dynamics' growth, Quadsolo placed no new orders in 2025 or 2026 and has yet to pay the full amount for the 2024 purchase. This situation, coupled with production and development delays, including those with a joint project with Israel Aerospace Industries subsidiary Elta Systems, has created significant financial pressure.
Miya Dynamics' cash reserves have depleted significantly, falling from NIS 28.65 million at the end of 2025 to NIS 16 million by the end of June 2026. The company's current burn rate suggests it has approximately 14 months of operational runway left, necessitating a search for new funding or investors. Despite these challenges, the board of directors maintains that a liquidity crisis is unlikely based on a two-year forecast.
The company's stock has fallen 31% over the past 12 months, underperforming the TA-Growth index. Its market capitalization now stands at NIS 70 million. The company's convertible bonds, issued in 2025, have also seen a significant decline, trading at a junk yield of 17.5%, though principal and interest payments are not due until late 2029, providing some breathing room for potential recovery.
