The numbers shown below have been rounded to one decimal point, unless two decimal points are required for clarity. The full SQ2026 financials can be found in CODA’s Form 10-Q filed with the
- Total revenue was approximately
$6.9 million compared to$7.0 million in SQ2025, representing a decrease of 1.6%. - Revenue from our core business (Marine Technology Business) was
$2.8 million compared to$3.9 million in SQ2025, representing a 26.8% decrease. - Revenue from our Defense Engineering Services Business was
$2.5 million compared to$1.8 million in SQ2025, representing an increase of 37.9%. - Revenue from the Acoustics Sensors and Material Business was
$1.5 million compared to$1.3 million in SQ2025, representing an increase of 17.5%. - Gross profit was
$4.6 million compared to$4.5 million in SQ2025. Gross margin was 66.3% compared to 64.1% in SQ2026, reflecting the mix of type and geography of sales reported in the Period. - Operating income was
$1.8 million in SQ2026 compared to$1.1 million in SQ2025, representing an increase of 64.8%. - Operating margin was 26.0% compared to 15.5% in SQ2025, reflecting the increase in our gross profit and 21.4% decrease in selling, general & administrative expenses.
- Pre-tax income was approximately
$2.1 million in SQ2026 compared to$1.3 million in SQ2025, representing an increase of 68.6%. - Net income after taxes was
$1.7 million in SQ2026 compared to$0.9 million in SQ2025, an increase of 86.8%. - Diluted earnings per share in SQ2026 was
$0.15 compared to$0.08 in SQ2025. - Pre-tax income as a percentage of revenues for SQ2026 was approximately 30.9% compared to 18.0% in SQ2025. Research and Development expenditures for SQ2026 were approximately
$0.6 million compared to approximately$0.7 million in SQ2025, representing a decrease of 6.0%. SG&A in SQ2026 was approximately$2.1 million compared to$2.7 million in SQ2025, representing a decrease of 21.4%.
Our cash balance at the end of SQ2026 of
Even against this backdrop, we made meaningful progress across our key growth pillars. A major milestone for broader DAVD adoption in the military diving sector was the completion of the Approved Navy Use assessment. I am pleased to confirm that the DAVD untethered system has now been formally approved by the
With the R&D phase for the DAVD now complete and the untethered system approved for fleet deployment in
We are also very encouraged by the early market response to our newly released Echoscope PIPE
Echoscope products currently account for approximately 80% of Marine Technology Business revenue. With the launch of the NANO GEN Series and strong customer engagement, we believe we are well positioned to make further forays into the expanding defense and underwater robotics markets. The NANO GEN Series enables small platforms to enhance situational awareness and consolidate multiple sensors into a single, power-efficient unit, providing real-time 3D spatial awareness and forward-looking obstacle avoidance. Beyond subsea vehicles, the NANO GEN Series is also well suited for diver-wearable systems, diving platforms—highly synergistic with our DAVD solutions—and a wide range of underwater robotics applications.
The worldwide Unmanned Underwater Vehicle (UUV) market, valued at
The Company’s full financial results, including its results for the SQ2026, are available at https://www.nasdaq.com/market-activity/stocks/coda/sec-filings .
Conference Call
CODA will host a conference call today,
CODA management will provide prepared remarks, followed by a question-and-answer period.
Date:
Time:
International number: 1-201-389-0879
Conference ID: 13760471
The conference call will broadcast live and be available for replay here.
Persons interested in attending are required to call the conference telephone number approximately 10 minutes before the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please press *0.
A replay of the call will be available after approximately
Telephone replay numbers: 1-844-512-2921 or 1-412-317-6671
International replay number: 1-412-317-6671
Access ID: 13760471
About Coda Octopus Group, Inc.
Coda Octopus Group, founded in 1994, is a leading provider of innovative solutions for the underwater and subsea markets. The Company develops and supplies a range of hardware and software technologies, including its proprietary real-time 4D/5D/6D imaging sonars—marketed under the Echoscope®, Echoscope PIPE®, and Echoscope PIPE NANO Gen Series® brands—and its next-generation Diver Augmented Vision Display (DAVD) system. The Echoscope PIPE® sonar produces real-time 3D/4D/5D imagery of moving objects underwater, even in zero-visibility conditions, and is used globally across commercial offshore and defense applications. These include complex underwater mapping, subsea intervention, asset placement, salvage and recovery, search and rescue, offshore renewable energy, marine construction, robotics, decommissioning, mine countermeasures, ship-hull scanning, diving operations, and port and harbor security.
The Company’s recently launched DAVD system has the potential to transform diving operations in both defense and commercial markets. DAVD integrates topside control with a diver-worn heads-up display, enabling shared visualization of the underwater environment and the exchange of critical information. By incorporating the Company’s sonar technology, DAVD also enables operations in zero-visibility conditions—a longstanding challenge in the diving industry.
Coda Octopus Group recently expanded its capabilities through the acquisition of Precision Acoustics Limited, a recognized leader in acoustic sensors and materials. Precision Acoustics specializes in hydrophone design and advanced acoustic materials for medical imaging and non-destructive testing (NDT), supporting the assessment of structures such as aircraft, ship hulls, wellheads, and other subsea assets. The company also collaborates with national and international standards bodies, including the UK’s National Physical Laboratory, contributing to the development of primary measurement standards.
The Group also includes two Defense Engineering Services businesses—Coda Octopus Martech Ltd (UK) and Coda Octopus Engineering, Inc. (U.S.)—which supply mission-critical sub-assemblies to major defense programs as subcontractors to prime contractors. Their work spans concept development, design, prototyping, manufacturing, and post-delivery support, creating recurring revenue opportunities over the life of long-term programs.
For further information, please visit http://www.codaoctopusgroup.com or contact us at coda@codaoctopusgroup.com.
Forward Looking Statements
This press release contains forward-looking statements concerning Coda Octopus Group, Inc. within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect”, “assume” and similar expressions are intended to identify forward-looking statements. Those forward-looking statements include, without limitation, statements regarding the Company's expectations for the growth of the Company's operations and revenue. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. Factors that could cause or contribute to differences include, but are not limited to, fluctuations in foreign exchange rates, changes in global economic condition, tariff and trade policies, reduction in government spending in the Defense Sector, customer demand, geopolitical issues, the outcome of our ongoing research and development efforts relating to our products including our patented real time 3D solutions or DAVD; our ability to develop the sales force required to achieve our development and other examples of forward looking statement set forth in our Annual Report on Form 10-K for the year ended October 31, 2025, filed with the Securities and Exchange Commission on January 29, 2026 as amended on our Form 10-K/A, filed with the Securities and Exchange Commission on February 29, 2026. Coda Octopus Group, Inc., does not undertake and specifically disclaims any obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur.
Contact:
Mr. Dillon King
Coda Octopus IR Team at coda.ir@codaoctopusgroup.com
Coda Octopus Group, Inc.
1- 407-735-2406
CODA OCTOPUS GROUP, INC.
Consolidated Balance Sheets
April 30, 2026 and October 31, 2025 Audited
| 2026 | 2025 | |||||||
| Unaudited | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS | ||||||||
| Cash and Cash Equivalents | $ | 30,624,337 | $ | 28,682,615 | ||||
| Accounts Receivable, net | 4,945,185 | 3,732,806 | ||||||
| Inventory | 13,995,256 | 13,636,512 | ||||||
| Unbilled Receivables | 2,384,890 | 2,988,779 | ||||||
| Prepaid Expenses | 459,270 | 434,021 | ||||||
| Other Current Assets | 533,498 | 531,469 | ||||||
| Total Current Assets | 52,942,436 | 50,006,202 | ||||||
| FIXED ASSETS | ||||||||
| Property and Equipment, net | 7,441,002 | 7,295,791 | ||||||
| Right of Use Assets | 356,447 | 372,647 | ||||||
| 7,797,449 | 7,668,438 | |||||||
| OTHER ASSETS | ||||||||
| 3,639,334 | 3,639,334 | |||||||
| Intangible Assets, net | 2,959,561 | 3,179,588 | ||||||
| Total Other Assets | 6,598,895 | 6,818,922 | ||||||
| Total Assets | $ | 67,338,780 | $ | 64,493,562 | ||||
Consolidated Balance Sheets (Continued)
| 2026 | 2025 | |||||||
| Unaudited | ||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES | ||||||||
| Accounts Payable | $ | 1,344,276 | $ | 1,407,439 | ||||
| Current portion of operating lease liabilities | 38,450 | 34,862 | ||||||
| Accrued Expenses and Other Current Liabilities | 1,902,774 | 2,475,952 | ||||||
| Deferred Revenue | 1,929,476 | 1,722,796 | ||||||
| Total Current Liabilities | 5,214,976 | 5,641,049 | ||||||
| LONG TERM LIABILITIES | ||||||||
| Deferred Tax Liability, net | 324,958 | 317,949 | ||||||
| Non-current operating lease liabilities, net | 346,146 | 360,070 | ||||||
| Deferred Revenue, less current portion | 38,468 | 59,080 | ||||||
| Total Long Term Liabilities | 709,572 | 737,099 | ||||||
| Total Liabilities | 5,924,548 | 6,378,148 | ||||||
| Commitments and contingencies | ||||||||
| STOCKHOLDERS’ EQUITY | ||||||||
| Common Stock, | 11,276 | 11,271 | ||||||
| Preferred Stock, $.001 par value; 5,000,000 shares authorized, zero issued and outstanding as of | - | - | ||||||
| Treasury Stock 11,096 shares as of | (75,602 | ) | (61,933 | ) | ||||
| 63,334,574 | 63,321,294 | |||||||
| Accumulated Other Comprehensive Loss | (1,207,988 | ) | (1,878,657 | ) | ||||
| Accumulated Deficit | (648,028 | ) | (3,276,561 | ) | ||||
| Total Stockholders’ Equity | 61,414,232 | 58,115,414 | ||||||
| Total Liabilities and Stockholders’ Equity | $ | 67,338,780 | $ | 64,493,562 | ||||
Consolidated Statements of Income and Comprehensive Income
(Unaudited)
| Three Months Ended | Six Months Ended | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Net Revenues | $ | 6,904,012 | $ | 7,017,459 | $ | 13,614,124 | $ | 12,227,174 | ||||||||
| Cost of Revenues | 2,325,963 | 2,520,178 | 4,669,041 | 4,301,423 | ||||||||||||
| Gross Profit | 4,578,049 | 4,497,281 | 8,945,083 | 7,925,751 | ||||||||||||
| OPERATING EXPENSES | ||||||||||||||||
| Research & Development | 648,304 | 689,995 | 1,254,406 | 1,233,121 | ||||||||||||
| Selling, General & Administrative | 2,136,769 | 2,719,602 | 4,887,631 | 4,942,924 | ||||||||||||
| Total Operating Expenses | 2,785,073 | 3,409,597 | 6,142,037 | 6,176,045 | ||||||||||||
| INCOME FROM OPERATIONS | 1,792,976 | 1,087,684 | 2,803,046 | 1,749,706 | ||||||||||||
| OTHER INCOME | ||||||||||||||||
| Other Income | 168,761 | 32,332 | 173,194 | 110,999 | ||||||||||||
| Interest Income | 171,915 | 145,594 | 344,185 | 339,765 | ||||||||||||
| Total Other Income, net | 340,676 | 177,926 | 517,379 | 450,764 | ||||||||||||
| INCOME BEFORE INCOME TAX EXPENSE | 2,133,652 | 1,265,610 | 3,320,425 | 2,200,470 | ||||||||||||
| INCOME TAX (EXPENSE) BENEFIT | ||||||||||||||||
| Current Tax (Expense) | (432,203 | ) | (374,701 | ) | (695,419 | ) | (423,575 | ) | ||||||||
| Deferred Tax (Expense) Benefit | (3,639 | ) | 17,853 | 3,527 | 44,842 | |||||||||||
| Total Income Tax (Expense) | (435,842 | ) | (356,848 | ) | (691,892 | ) | (378,733 | ) | ||||||||
| NET INCOME | $ | 1,697,810 | $ | 908,762 | $ | 2,628,533 | $ | 1,821,737 | ||||||||
| NET INCOME PER SHARE: | ||||||||||||||||
| Basic | $ | 0.15 | $ | 0.08 | $ | 0.23 | $ | 0.16 | ||||||||
| Diluted | $ | 0.15 | $ | 0.08 | $ | 0.23 | $ | 0.16 | ||||||||
| WEIGHTED AVERAGE SHARES: | ||||||||||||||||
| Basic | 11,274,961 | 11,221,080 | 11,272,732 | 11,223,528 | ||||||||||||
| Diluted | 11,285,808 | 11,306,828 | 11,283,579 | 11,309,276 | ||||||||||||
| NET INCOME | $ | 1,697,810 | $ | 908,762 | $ | 2,628,533 | $ | 1,821,737 | ||||||||
| Foreign Currency Translation Adjustment | (441,547 | ) | 1,800,439 | 670,669 | 771,853 | |||||||||||
| Total Other Comprehensive Income (Loss) | $ | (441,547 | ) | $ | 1,800,439 | $ | 670,669 | $ | 771,853 | |||||||
| COMPREHENSIVE INCOME | $ | 1,256,263 | $ | 2,709,201 | $ | 3,299,202 | $ | 2,593,590 | ||||||||
