Metatek-Group (MTEK) Q1 2026 earnings summary

Executive summary

• Q1 revenue was $4.1M, unchanged YoY; seasonality and a temporary Dubai project pause weighed on activity and gross profit.

• Adjusted backlog was approximately $77M at March 31, expected to be realized over the next 18 months; management expects activity to accelerate through the year.

• First operational dFTG deployment performed better than expected and was well received by the client.

Financial highlights

• Revenue was $4.075M versus $4.088M YoY; gross profit was $1.813M versus $2.244M.

• Operating loss was $1.768M versus operating profit of $565K YoY; operating expenses rose to $3.581M from $1.679M.

• Total comprehensive loss was $11.1M, including an $8.7M non-cash revaluation loss on debentures that converted to equity in the IPO.

• Operating cash inflow was $0.2M versus $1.1M YoY, after $0.8M of prepaid expenses for an aircraft engine investment planned later in 2026.

Outlook and guidance

• Adjusted backlog of approximately $77M at March 31 is expected to be realized over the next 18 months.

• Management is focused on converting backlog into revenue as activity accelerates through the year, following normal seasonality and client budget and approval cycles.

• A larger planned West Africa survey is expected to commence in Q2 2026; the Dubai dFTG project is planned to resume when conditions allow.