Ondas Inc. grew third-quarter revenue more than sixteen-fold to $167.5 million, and the defense drone maker is now telling investors to expect at least $1.1 billion in revenue for 2027. The numbers, filed with the Securities and Exchange Commission on November 12, mark one of the steepest growth curves in the small but rapidly consolidating drone sector.

The jump is dramatic. A year earlier, in the third quarter of 2025, the company reported just $10.1 million in revenue. The gap between those two figures tells you most of what's driving this story: acquisitions plus surging demand for defense drones, counter-drone systems, and autonomous platforms.

What did the quarter actually deliver?

The headline figures stack up quickly:

• Revenue: $167.5 million, up from $10.1 million a year earlier — a better than 16-fold increase
• New orders: $214 million booked during the quarter
• Backlog: $835 million, up 36% from the previous quarter
• Full-year 2026 target: raised to at least $550 million

Strip out the acquisitions, though, and the picture is more modest — but still strong. On a pro forma organic basis (which assumes the company's current businesses were owned throughout both comparison periods), revenue grew 64% year over year. That's the number that shows underlying demand rather than dealmaking arithmetic.

Ondas now expects fourth-quarter 2026 revenue to exceed $250 million, which would put it comfortably above the full-year target.

How much of this is acquisitions?

A great deal of it. Ondas completed six strategic acquisitions that now span defense drones, counter-UAS technology (systems that detect and neutralize hostile drones), commercial inspection, sensing, and autonomous systems: DZYNE Technologies, Cyberhawk, Gate/Bron, Ottopia, Insignito, and Caribou Labs.

The company also assembled a new U.S. defense platform, Ondas Sentinel, which combines DZYNE Technologies and World View. Its stated purpose is supporting the development and deployment of defense technologies — a vehicle for consolidating the defense side of the portfolio under one roof.

Where are the defense orders coming from?

Ondas Sentinel alone booked $100 million in new orders during the quarter. Within that, $53.7 million came as follow-on orders for the ULTRA platform and $21.7 million for IonStrike systems.

The counter-drone business is spreading beyond the battlefield. Ondas said its Sentrycs technology provided counter-drone protection at a majority of stadiums hosting the 2026 FIFA World Cup. Multiple NFL stadiums have also selected the company, including for controlled mitigation — interception of unauthorized drones — carried out by authorized operators.

On the military side, the company reported:

• A follow-on U.S. Army task order under its Lethal Unmanned Systems contract
• Selection for an Israeli Ministry of Defense tactical attack drone program
• The first flight of its Blitz Block 3 autonomous UAS (unmanned aircraft system) platform

Geographically, Ondas opened a new office in Huntsville, Alabama, to support counter-UAS demonstrations, training, and customer service — a deliberate move closer to U.S. Army and defense procurement circles.

Why are losses widening despite the growth?

Here's the tension in the story. Revenue multiplied, but so did red ink. The operating loss widened to $189.5 million in the quarter, from $15.5 million a year earlier. Net loss came in at $64.7 million, against $7.5 million in the third quarter of 2025.

Gross margin fell to 21.8% from 25.8%. The company blamed acquisition-related accounting expenses and production inefficiencies as it ramps up deliveries under major programs — the kind of friction that shows up when a manufacturer scales output faster than its factories and processes can absorb.

The balance sheet gives it room to absorb those losses. Ondas ended September with approximately $820 million in cash, cash equivalents, restricted cash, and short-term investments.

What changes for 2027?

The company introduced its initial 2027 revenue target of at least $1.1 billion, and notably, that figure excludes any additional acquisitions. If Ondas hits it, growth will have to come from existing programs, higher production volumes, and sustained defense and autonomous systems demand — the three drivers the company itself cites.

There's also a profitability signal. Ondas moved its target for company-wide adjusted EBITDA profitability (earnings before interest, taxes, depreciation, and amortization, excluding one-off items) forward from the fourth quarter of 2027 to the third quarter.

For a company that just posted a $189.5 million operating loss, that's an aggressive timeline. The bet underneath it is straightforward: the backlog is real, the orders are recurring, and volume will eventually bend the cost curve. Investors will find out over the next four quarters whether the factories can keep up.