Executive Summary
Ocean Power Technologies Inc (OPTT) reported a modest Q3 2025 revenue of $0.825 million against a backdrop of material non-operating expenses and a sizable quarterly loss. Gross profit amounted to $0.197 million, yielding a gross margin of approximately 23.9%, but operating expenses surged by the impact of other charges to push EBITDA to a negative $5.689 million and net income to a loss of $6.72 million (EPS -$0.0455). The quarter was characterized by an accelerated cash burn from operations (-$3.74 million) and a sizable financing infusion (+$11.89 million) via equity issuance, which boosted ending cash to about $10.18 million and left OPTT with a net cash position of roughly -$7.96 million of net debt (net cash negative? Note: the company reports net debt negative, i.e., net cash). These dynamics imply a near-term liquidity runway contingent on further equity raises or licensing/contract wins, rather than robust operating cash generation. The balance sheet remains cash-rich for a small cap industrials player, with current ratio ~3.88 and a strong cash position, but accumulated deficits and a minimal revenue engine underscore the high execution risk in scaling commercialization of PowerBuoy-based solutions. Management commentary (where available) was not provided in the data; the narrative thus centers on cash-flow milestones, cost structure, and strategic repositioning needs to advance toward meaningful commercial cadence.
Key Performance Indicators
QoQ: -65.88% | YoY:-53.96%
QoQ: -75.22% | YoY:-75.77%
QoQ: -50.06% | YoY:24.08%
QoQ: -71.74% | YoY:-3.24%
QoQ: -26.04% | YoY:58.64%
Key Insights
Revenue: $0.825m (-YoY -53.96%, -QoQ -65.88%). Gross Profit: $0.197m (+YoY/-) with Gross Margin 23.88% (0.239). Operating Income: -$5.875m (-YoY +24.08%, QoQ -50.06%). EBITDA: -$5.689m (-6.89% EBITDA margin). Net Income: -$6.72m (-YoY -3.24%, QoQ -71.74%). EPS: -$0.0455 (-YoY +58.64%, QoQ -26.04%)....
Financial Highlights
Revenue: $0.825m (-YoY -53.96%, -QoQ -65.88%). Gross Profit: $0.197m (+YoY/-) with Gross Margin 23.88% (0.239). Operating Income: -$5.875m (-YoY +24.08%, QoQ -50.06%). EBITDA: -$5.689m (-6.89% EBITDA margin). Net Income: -$6.72m (-YoY -3.24%, QoQ -71.74%). EPS: -$0.0455 (-YoY +58.64%, QoQ -26.04%).
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
825.00K |
-53.96% |
-65.88% |
| Gross Profit |
197.00K |
-75.77% |
-75.22% |
| Operating Income |
-5.88M |
24.08% |
-50.06% |
| Net Income |
-6.72M |
-3.24% |
-71.74% |
| EPS |
-0.05 |
58.64% |
-26.04% |
Key Financial Ratios
operatingProfitMargin
-712%
operatingCashFlowPerShare
$-0.03
freeCashFlowPerShare
$-0.03
Management Commentary
No earnings-call transcript or management quotes were provided in the data set. As a result, this section cannot extract themes or quotes from management to corroborate the numerical performance. Objective commentary relies on disclosed financials and qualitative signals within the press/event materials.
Forward Guidance
No formal forward guidance was disclosed in the provided data. Given the current set of results, management’s likely focus areas would include (1) reducing 'other' or non-operating costs to meaningfully improve EBITDA, (2) advancing commercial pilots or contracts for the PowerBuoy and related offshore power/ocean energy solutions, and (3) securing additional equity or strategic partnerships to fund ongoing burn while pursuing a pathway to revenue growth. In the absence of explicit guidance, the achievability of milestones hinges on execution in product adoption, partner programs, and near-term contract wins. Investors should monitor any updates on backlog progress, customer pilots, and potential government/defense or offshore wind opportunities that can validate higher-margin, recurring revenue potential.