T3 Defense (DFNS) Q2 2026 earnings summary

Executive summary

• Reported $7.6M in revenue for the six months ended June 30, 2026, compared to $0 in the prior year period, reflecting the impact of recent acquisitions and business expansion.

• Net loss attributable to stockholders was $109.6M for the six months ended June 30, 2026, versus net income of $106M in the prior year, driven by a significant non-cash loss from warrant liabilities.

• Completed multiple acquisitions, including Star 26 Capital, Nimbus Drones, ITS, and Project 35, expanding presence in defense and aerospace sectors.

• Implemented a 1-for-125 reverse stock split effective July 20, 2026, to regain Nasdaq compliance.

Financial highlights

• Revenue for the six months ended June 30, 2026: $7.6M; gross profit: $1.4M; operating loss: $7.2M.

• Net loss for the six months ended June 30, 2026: $107.8M, primarily due to a $107.6M loss from change in fair value of stock purchase warrant liabilities.

• Cash and cash equivalents as of June 30, 2026: $4.1M; total current assets: $21.2M.

• Net cash used in operating activities for the six months ended June 30, 2026: $9.8M.

• Net cash provided by financing activities: $15.4M, mainly from private placements and ELOC drawdowns.

Outlook and guidance

• Management expects to need approximately $5M for the next 12 months of operations.

• Plans to leverage existing cash, an active equity line of credit, and cash-positive subsidiaries to support liquidity.

• Ongoing cost reduction and efficiency measures are planned in certain subsidiaries.