Aonix Reports Strong Revenue Growth Fueled by Israeli Acquisitions, Despite Net Loss
Translated & summarized from Globes by baba
American defense firm Aonix reported third-quarter revenues of $167 million, exceeding analyst expectations due to acquisitions in Israel. Despite revenue growth, the company posted a net loss of $62.6 million. Aonix projects significant revenue increases for 2026 and 2027, aiming for positive EBITDA by Q3 2027. The company has appointed former Mossad chief David Barnea to a senior role.
The story in 5 lines · by baba
- Aonix reported Q3 revenues of $167 million, exceeding analyst expectations.
- The company posted a net loss of $62.6 million in the third quarter.
- Aonix projects at least $550 million in revenue for 2026 and $1.1 billion for 2027.
- Former Mossad chief David Barnea joined Aonix in a senior position.
- Aonix's stock has fallen 59% from its peak earlier this year.
American defense company Aonix, which has made numerous acquisitions in Israel, released its third-quarter financial results, surpassing analyst revenue expectations while slightly missing on the bottom line. The company projects positive revenue for the current year and 2027.
Aonix reported third-quarter revenues of $167 million, exceeding market forecasts by $19 million. This represents a more than 16-fold increase compared to the same quarter last year and nearly doubles the previous quarter's revenue, largely due to recent acquisitions. On a pro forma basis, assuming all acquired companies were owned for the full prior year, Aonix would have shown 64% growth.
However, under standard accounting principles (GAAP), the company experienced significant increases in operating and net losses, totaling $190 million and $62.6 million, respectively. Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) was a negative $59.7 million for the quarter, bringing the year-to-date total to a negative $117 million. The company's order backlog stood at $835 million at the end of the third quarter.
Aonix anticipates finishing 2026 with at least $550 million in revenue, an upward revision from its previous forecast of $525-550 million. This projection signifies a tenfold increase from 2025 revenues or a 75% pro forma growth. The company also issued an initial forecast for 2027, expecting revenues of at least $1.1 billion, surpassing analyst predictions. Aonix aims to achieve positive EBITDA by the third quarter of 2027, one quarter earlier than previously projected.
CEO Erick Brock stated that the company is accelerating the implementation of its technologies with clients and continues to invest in manufacturing infrastructure, supply chains, and other necessary elements for large-scale delivery. Aonix's stock, which reached a peak earlier this year, has since fallen 59%. The company was valued at $3.3 billion on Nasdaq prior to the earnings release.
Aonix, led by CEO Erick Brock, specializes in autonomous drones, robotics for defense, and communication solutions. Its first Israeli acquisition was the 2022 purchase of drone company Aero-Robotics for approximately $15 million, following a stock market downturn for the acquired firm. Aonix was briefly listed on the Tel Aviv Stock Exchange after this acquisition but was delisted in 2024. The company recently appointed former Mossad chief David Barnea to a senior position, joining other prominent Israeli security figures like Brigadier General (Res.) Oshri Lugasi, who heads the company's defense operations.