Ondas Holdings Inc. (NASDAQ: ONDS) announced that its subsidiary, INDO Earth Moving Ltd., has been awarded a $68 million order to deliver heavy engineering vehicles as the first phase of a $140 million strategic procurement program. The contract will begin deliveries in the fourth quarter of 2026 and is designed to integrate autonomous and AI capabilities into traditional military engineering platforms.
The order positions Ondas as a prime contractor for mission‑critical ground systems and expands its autonomous‑systems portfolio. The vehicles are heavy tracked platforms intended for engineering and combat‑support missions, and the program reflects the company’s broader strategy of scaling acquired technologies through manufacturing, supply‑chain, sustainment, and go‑to‑market execution. Eric Brock, Chairman and CEO, said, "This order represents a significant milestone as we begin execution of this large‑scale strategic program and expand our role as a prime contractor delivering mission‑critical ground systems into active defense programs."
Ondas’ revenue surged 605% in the last twelve months to $50.73 million, driven by strong demand across its autonomous‑systems segment. The company reported $30.1 million in revenue for Q4 2025, up 629% year‑over‑year, and a full‑year 2025 revenue of $50.7 million, an 840% increase from $5.3 million in 2024. The new contract is expected to add significant recurring maintenance income and further accelerate revenue growth.
The acquisition of INDO Earth Moving on March 17, 2026, for $5.66 million in cash and 5.49 million shares, underpins the new order. Brock noted, "With the acquisition of INDO, we have added a proven heavy ground equipment engineering platform and are now positioned to deliver these systems at scale while integrating advanced technologies across our broader autonomous systems portfolio. This program reflects the effectiveness of Ondas' operating platform, where acquired technologies are scaled through manufacturing, supply chain, sustainment and go‑to‑market execution."
Oshri Lugassy, Co‑CEO of Ondas Autonomous Systems, added that the program "enables the deployment of ground systems while creating a roadmap toward autonomous and remotely operated capabilities for the platforms."
Ondas has raised its 2026 revenue target to at least $375 million, more than doubling its previous outlook, and is targeting $38–$40 million in revenue for Q1 2026. Gross margin improved to 42% in Q4 2025 from 21% a year earlier, reflecting better pricing and operational leverage. However, the company continues to post significant net losses—$14.14 million in Q1 2025 and $133.4 million for FY 2025— and expects profitability only by Q1 2028. Investors are noting the strong revenue trajectory and guidance while remaining cautious about the ongoing loss profile and valuation implications.
The new order, combined with the INDO acquisition, strengthens Ondas’ position in the defense market and supports its long‑term autonomous‑systems strategy, but the company’s continued losses and the need for further capital to sustain growth remain key considerations for stakeholders.
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