Q3 FY2026
Filed Aug 11, 2026Record quarterly gross margin of 34.9% and record Adjusted EBITDA of $3.7 million, while fiscal 2026 normalized revenue outlook was revised to approximately $70 million to $73 million.
Q3 revenue grew approximately 3% year over year and gross margin reached a record 34.9%, but net profit declined to $0.3 million from $0.9 million and fiscal 2026 revenue expectations were reduced from previously disclosed guidance exceeding $83 million to approximately $70 million to $73 million.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenueother | $17.7 million | – | approximately 3% |
| Revenue, nine months ended June 30, 2026other | $51.3 million | – | approximately 18% |
| Gross marginother | 34.9% | – | approximately 410 basis points |
| Gross margin, nine months ended June 30, 2026other | 33.8% | – | – |
| Adjusted EBITDAnon-GAAP | $3.7 million | – | approximately 27% |
| Adjusted EBITDA marginnon-GAAP | approximately 20.7% of revenue | – | – |
| Adjusted EBITDA, nine-month periodnon-GAAP | approximately $8.5 million | – | approximately 56% |
| Net profitother | $0.3 million | – | – |
| Net profit, nine months ended June 30, 2026other | $2.4 million | – | approximately 80% |
| Cash provided by operating activities before changes in working capital, nine-month periodother | $8.6 million | – | – |
| Closing non-restricted cash balanceother | $13.1 million | – | an increase of $11.8 million |
| Positive working capitalother | $65.9 million | – | – |
| Shareholders’ equityother | $67.2 million | – | – |
Fiscal 2026 outlook
- Revenueapproximately $70 million to $73 million
- NoteApproximately $5 million of high-voltage battery-system deliveries are now expected in the first quarter of fiscal 2027.
- NoteThe sum of anticipated new orders and current firm purchase order backlog is described as combined totalling approximately $100-125 million.
- NoteA discount of approximately 25% (or higher, as appropriate) is used in revenue modeling applied to the overall expected order pipeline.
- NoteCompletion of UL 1973 and UL 9540 certification activities for ElvaPulse 1500 is currently targeted for the first quarter of calendar 2027.
- NoteInitial commercial deliveries of ElvaPulse 1500 are targeted to begin in the second quarter of calendar 2027.
- NoteCertain construction-equipment OEM programs are expected to move to series production from mid 2027.
- NoteJamestown manufacturing start-up is expected towards the end of FY 2026 or first quarter of FY 2027.
What drove it
- Gross margin reached a Company record of 34.9%.
- Adjusted EBITDA was a record $3.7 million and represented approximately 20.7% of revenue, exceeding 20% for the first time.
- Commercial deliveries for robotics and defense applications continued, including the Company’s first 800V high-voltage systems for a hybrid-drive defense application.
- The company announced a commercial agreement with Amazon that provides a framework for continued deployment of Infinity Battery Technology in material-handling operations and potential engagement in robotics and stationary energy storage.
- ElvaPulse 1500 was launched as the first product in the high-power stationary energy-storage portfolio.
- Dry-room construction at the Jamestown facility has been completed, construction of major cell-manufacturing equipment has been completed, and site electrical and HVAC upgrades are ongoing.
Concerns
- Several customer programs shifted later than originally anticipated, including approximately $5 million of high-voltage systems now expected to be delivered early in fiscal 2027.
- Q3 net profit was $0.3 million, compared to $0.9 million in Q3 FY2025.
- Fiscal 2026 normalized revenue outlook was revised to approximately $70 million to $73 million from previously disclosed guidance of more than 30% revenue growth over FY 2025, exceeding $83 million.
- Future Amazon purchases remain subject to Amazon’s normal commercial ordering processes.
- Revenue guidance is subject to geopolitical and economic conditions that may affect supply chains, customer demand and the timing of revenue realization.
- Jamestown ramp-up, government incentives and tax credits, trade conditions, customer ordering patterns and demand outside material handling are identified risks.
What to watch
- Conversion of the Amazon commercial relationship into purchases for existing material-handling products and additional applications.
- Delivery timing for approximately $5 million of high-voltage battery-system deliveries expected in the first quarter of fiscal 2027.
- Progress of the Jamestown factory-acceptance-testing program, equipment shipment, installation, commissioning and manufacturing start-up.
- UL 1973 and UL 9540 certification progress and initial commercial deliveries for ElvaPulse 1500.
- Conversion of discussions with hyperscale customers, data-center developers and power and energy developers into ElvaPulse deployments.
- Whether customer order and delivery timing supports the approximately $70 million to $73 million fiscal 2026 normalized revenue outlook.
Balance sheet and cash flow
- The closing cash balance for Q3 FY 2026 was $13.1 million (non-restricted).
- The Company generated $8.6 million of cash provided by operating activities before changes in working capital during the nine-month period.
- The Company ended the quarter with $65.9 million of positive working capital and $67.2 million of shareholders’ equity.
Analysis
Electrovaya reported Q3 FY 2026 revenue of $17.7 million, compared with $17.1 million in Q3 FY2025, while nine-month revenue increased approximately 18% to $51.3 million. The quarter’s principal strength was profitability at the gross-margin level: gross margin reached a Company record of 34.9%, compared with 30.8% a year earlier. Record Adjusted EBITDA of $3.7 million was up approximately 27% year over year and represented approximately 20.7% of revenue.
Net profit was $0.3 million, compared with $0.9 million in Q3 FY2025, despite the improved gross margin and Adjusted EBITDA. Management attributed revenue pressure to customer programs shifting later than expected, including approximately $5 million of high-voltage systems now expected in the first quarter of fiscal 2027. For the nine-month period, net profit increased approximately 80% to $2.4 million and Adjusted EBITDA increased approximately 56% to approximately $8.5 million.
Liquidity and operating cash generation improved during the nine-month period. Cash provided by operating activities before changes in working capital was $8.6 million, compared with $5.4 million in the prior-year period. The company reported $13.1 million of non-restricted cash, $65.9 million of positive working capital and $67.2 million of shareholders’ equity as it progresses the Jamestown manufacturing expansion.
Strategically, the company expanded its relationship with Amazon and launched ElvaPulse 1500 for high-power stationary energy storage. These initiatives target material handling, robotics, stationary storage, data-center infrastructure and other mission-critical applications. The Amazon agreement provides a framework for future deployment, but purchases remain subject to normal commercial ordering processes. Jamestown expansion milestones include completed dry-room construction and completed construction of major cell-manufacturing equipment, with factory acceptance testing expected to commence shortly.
The outlook is the key change in the release. Electrovaya now expects fiscal 2026 normalized revenue of approximately $70 million to $73 million, below its previously disclosed revenue guidance of more than 30% growth over FY 2025, exceeding $83 million. Management cites delivery timing, material-handling pushouts and a more conservative assessment of anticipated deliveries. The release frames the delayed programs as timing shifts rather than lost orders, while noting that the revised outlook remains exposed to customer ordering patterns, macroeconomic and trade conditions, supply chains, Jamestown ramp-up and availability of incentives and tax credits.
Management, verbatim
The underlying profitability of the business continued to strengthen. We achieved the highest quarterly gross margin in Electrovaya’s history at 34.9%, record Adjusted EBITDA, and an Adjusted EBITDA margin above 20% for the first time, while remaining profitable for the sixth consecutive quarter.
Dr. Raj Das Gupta, CEO of Electrovaya
Overall topline revenue was affected by several customer programs shifting later than we had originally anticipated, including approximately $5 million of high-voltage systems that are now expected to be delivered early in fiscal 2027. These are timing shifts rather than lost orders, and the programs remain active.
Dr. Raj Das Gupta, CEO of Electrovaya
We ended the quarter with approximately $13.1 million of unrestricted cash, $65.9 million of positive working capital and $67.2 million of shareholders’ equity. We remain focused on disciplined management of margins, liquidity and working capital as we complete the Jamestown manufacturing expansion and position the Company for growth across its existing and emerging markets.
John Gibson, Chief Financial Officer
Not in the filing
stated, not guessed- Detailed results-of-operations table figures were not included in the provided filing text.
- GAAP or IFRS operating income for Q3 FY2026 and the prior-year quarter.
- EPS amount for Q3 FY2026 and the prior-year quarter.
- Diluted share count.
- Operating expenses.
- Tax rate.
- Free cash flow.
- Cash provided by operating activities after changes in working capital.
- Capital expenditures.
- Debt and debt maturities.
- Segment revenue disclosures.
- Dividend and share-repurchase disclosures.
- Prior-quarter comparisons for revenue, gross margin, Adjusted EBITDA, net profit and cash flow.
- Gross-margin, operating-expense, tax-rate and earnings-per-share guidance.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.