Flux Power Holdings Stock Earnings Reports

Flux Power reported Q1 FY2026 revenue of $13.2M, down from $16.1M year-over-year, primarily due to a temporary pause in customer orders driven by tariff uncertainty and macroeconomic caution. Gross margin declined to 28.6% from 32.4% due to lower sales and a mix shift to lower-capacity products. Operating expenses fell to $5.9M as a result of cost reductions (headcount down ~20% since the CEO's arrival). Net loss was $2.6M ($0.15 per share); adjusted EBITDA was negative $1.7M. Cash at quarter end was $1.6M; subsequent capital raises after quarter close generated $13.8M net proceeds ($9.2M from a secondary offering and $4.6M from a private placement) to be used for working capital and product redesign. Operational progress includes NASDAQ compliance retention, UL EE and UL 1973 certifications, a major OEM battery certification, commercialization of the SkyEMS 2.0 SaaS platform with paying customers, and early AI features in development. Management reports order activity rebounding in Q2 with multimillion-dollar orders ($2.4M) from material handling customers and a large ground support equipment (GSE) airline order, and highlights expansion to supply 8 major North American airlines (doubling airline customer base year-over-year). Management expects improving demand into the remainder of the fiscal year as tariff clarity returns and product initiatives drive margin improvement.