Ondas Holdings (ONDS -1.68%) wasn't exactly a hit with investors on Monday. The specialty networking services company reported disappointing second-quarter earnings, and investors responded by trading the stock down; it closed the day nearly 14% lower.
One large problem with Ondas' performance was net revenue, which fell on a year-over-year basis and landed well short of analyst expectations. For the quarter it totaled $887,400, 23% below the Q2 2020 result. Analysts following the stock were collectively anticipating just over $1.2 million.
On a slightly happier note, the tech company narrowed its net loss and managed to come above prognosticator expectations for the line item. The shortfall was $2.82 million, or $0.10 per share, against the year-ago loss of $3.22 million. On average, analysts were modeling a per-share deficit of $0.12.
In its earnings release, Ondas touted the momentum of its key business unit Ondas Networks, which it says "continued to make significant business development progress" during the quarter. It also talked up the acquisition of drone specialist American Robotics, a deal that was completed earlier this month. Finally, it pointed out that it raised $51.5 million in a June secondary stock offering that helped it retire 95% of its existing debt.
Another point of concern for investors, however, might be Ondas' somewhat cloudy future. While the company believes that "Ongoing investments in market expansion and deeper penetration of select verticals are expected to continue supporting customer activity," it said that due to fluctuations in its business, it is not proffering guidance for the current quarter.