Ocean Power Technologies (OPTT) completed the first shipment of its PowerBuoy system under a $6.5 million contract with the U.S. Department of Homeland Security, marking a pivotal step in the company’s shift from wave‑energy research to a recurring maritime domain‑awareness platform for the Coast Guard.
The PowerBuoy platform harvests clean energy from waves, wind, and solar while hosting sensors and communications equipment. The unit will be integrated with Anduril’s surveillance towers and Lattice Command‑and‑Control system, creating a comprehensive sensing architecture that enhances the Coast Guard’s ability to monitor offshore areas and detect potential threats.
Financially, the contract is a key driver of OPTT’s backlog, which stood at $19.9 million as of January 31, 2026—a 165% year‑over‑year increase. The company’s cash, cash equivalents, and short‑term investments were $7.2 million at the same date, and the shipment will allow OPTT to begin recognizing revenue from the contract, improving liquidity amid a Q3 FY26 revenue of $0.5 million and a net loss of $11.4 million.
Management emphasized the significance of the milestone: "This shipment represents an important milestone in the execution of our DHS program and highlights the progress we have made in delivering innovative maritime infrastructure to support national security missions," said Jason Weed, SVP Commercial Sales. "Our PowerBuoy platform provides a unique capability for persistent offshore monitoring, enabling government agencies to enhance maritime domain awareness while reducing operational costs and logistical complexity," added Weed.
Investors responded positively to the announcement, reflecting confidence in OPTT’s execution of a high‑profile defense contract and its broader strategy to secure recurring revenue streams in the maritime domain‑awareness market.
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