Guerrilla RF Swings to Operating Profit on 49% Revenue Surge, but Non-Cash Warrant Charge Drives Net Loss

summarizeSummary

Guerrilla RF posted record Q2 revenue of $8.0M and swung to an operating profit, but a non-cash warrant liability adjustment resulted in a net loss of $2.2M.

check_boxKey Events · Earnings and Guidance · GUER

• Revenue Surges 49%

  Driven by a 142% increase in the catalog category, particularly aerospace & defense applications, Q2 2026 revenue reached $8.0 million, up from $5.4 million a year ago.

• Operating Profit Achieved

  Gross margin expanded to 70.9% and operating expenses declined 3%, lifting the company to operating income of $1.0 million—a $2.3 million improvement from the prior-year loss.

• Non-Cash Warrant Charge Masks Profitability

  A $3.0 million non-cash loss from the change in fair value of warrant liabilities—a mark-to-market adjustment driven by the rising stock price—resulted in a net loss of $2.2 million. This is not a cash expense or new dilution.

• Cash Flow Turns Positive

  Reflecting the improved operating performance, operating cash flow swung dramatically to $2.4 million in Q2 2026, from a $1.2 million use of cash in the prior year.

auto_awesomeAnalysis · GUER · Manufacturing

A strong operational quarter saw revenue jump 49% to $8.0 million, swinging the company to a $1.0 million operating profit from a $1.4 million loss a year ago. Gross margin expanded to 70.9%, and operating cash flow turned positive at $2.4 million. Yet a $3.0 million non-cash loss from the remeasurement of warrant liabilities—triggered by the higher share price—pushed the bottom line to a $2.2 million net loss. This mark-to-market charge is purely an accounting entry, not a cash outflow or new dilution. While the core business is clearly improving, the headline net loss masks the operational turnaround.