--- title: "Unusual Machines | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 16.72 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/295094992.md" datetime: "2026-08-06T11:02:11.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295094992.md) - [en](https://longbridge.com/en/news/295094992.md) - [zh-HK](https://longbridge.com/zh-HK/news/295094992.md) --- # Unusual Machines | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 16.72 M Revenue: As of FY2026 Q2, the actual value is USD 16.72 M, beating the estimate of USD 9.195 M. EPS: As of FY2026 Q2, the actual value is USD -0.16. EBIT: As of FY2026 Q2, the actual value is USD -7.834 M. ### Financial Highlights #### Gross Margin Unusual Machines, Inc. reported a gross margin of 34.7% for the second quarter of 2026, a decrease from 37.4% in the second quarter of 2025. This decline is attributed to efforts to onshore and ramp up manufacturing of drone components, a shift towards enterprise revenue, and near-term costs to meet inventory demand. #### Operating Profit/Loss GAAP loss from operations for the second quarter of 2026 was -$7.8 million, compared to an operating loss of -$7.2 million in the second quarter of 2025. For the six months ended June 30, 2026, the loss from operations was -$15,093,130, worsening from -$10,458,284 in the prior year period. #### Operating Expenses Total operating expenses for the second quarter of 2026 were $13,636,276, an increase from $7,985,152 in the second quarter of 2025. For the six months ended June 30, 2026, total operating expenses were $23,549,371, compared to $11,749,770 for the same period in 2025. Non-cash stock compensation expense was $5.7 million for Q2 2026 and $9,585,542 for the six months ended June 30, 2026. #### Net Income/Loss Net loss attributable to common shareholders for the second quarter of 2026 was -$7.8 million, or -$0.16 per share, compared to a net loss of -$6.9 million, or -$0.32 per share, in the second quarter of 2025. For the six months ended June 30, 2026, the company reported a net income of $2,499,441, a significant improvement from a net loss of -$10,231,018 in the first half of 2025. #### Adjusted EBITDA Adjusted EBITDA loss for the second quarter of 2026 was -$0.4 million, and -$2.0 million for the six months ended June 30, 2026. #### Cash and Cash Equivalents Unusual Machines, Inc. ended the second quarter of 2026 with $229.6 million in cash, an increase from $103.3 million as of December 31, 2025. This increase was primarily driven by a common stock offering in March 2026, an at-the-market offering in May 2026, and cash exercise of warrants in January 2026, including $60 million raised from the ATM facility in Q2 2026. #### Working Capital Net working capital at the end of Q2 2026 was $367.5 million, up from $313.5 million at the end of Q1 2026. #### Operating Cash Flow Net cash used in operating activities for the six months ended June 30, 2026, was -$38,891,945, compared to -$3,862,349 for the same period in 2025. #### Capital Expenditures Capital expenditures for the second quarter included $3.3 million for expanding the motor line with high levels of automation. For the six months ended June 30, 2026, purchases of property and equipment amounted to -$508,336, and deposits for property and equipment were -$2,861,101. #### Other Financial Metrics Interest income was $1.8 million for Q2 2026 and $2,612,240 for the six months ended June 30, 2026. The company reported an unrealized loss from investments of -$3,883,535 in Q2 2026, but an unrealized gain of $5,608,541 for the six months ended June 30, 2026. Realized gains from short-term investments were $2,267,931 in Q2 2026 and $9,532,673 for the six months ended June 30, 2026. ### Operational Metrics Headcount grew from 141 employees at the end of Q1 2026 to 240 at the end of Q2 2026, and further to over 255 employees as of the letter date. The largest customer in Q2 2026 represented approximately 42% of total Q2 revenue, while the single best-selling product accounted for approximately 13% of revenue. Raw materials and prepaid inventory increased from $25.8 million as of March 31, 2026, to $42.4 million as of June 30, 2026, and finished inventory value rose from $1.6 million to $4.4 million during the same period. ### Outlook / Guidance Unusual Machines, Inc. plans to use the third quarter to build out systems to sustain increasing demand, expecting production margins to decline in Q3 due to introduction costs for new products and processes, then rebound in Q4 as revenue ramps up quickly. The company targets achieving a 40% gross margin by late 2026 or early 2027 and aims for positive cash flow from operations by the end of 2026 as revenues increase and margins recover. The company believes it will not be demand-limited through 2027 due to the growing U.S. drone industry and regulatory actions emphasizing domestic supply chains. ### Related Stocks - [UMAC.US](https://longbridge.com/en/quote/UMAC.US.md) ## Related News & Research - [Unusual Machines Posts Surging Q2 Revenue, Narrows Losses](https://longbridge.com/en/news/295104251.md) - [Navient announces Form 8-K filing for Q2 2026 financial results](https://longbridge.com/en/news/295144488.md) - [Can Gold Make a New High in 2026?](https://longbridge.com/en/news/295569739.md) - [RVRC Holding publishes update to financial calendar for 2026/27](https://longbridge.com/en/news/295488816.md) - [16:20 ETMSC INCOME FUND ANNOUNCES SECOND QUARTER 2026 RESULTS](https://longbridge.com/en/news/295139078.md)